Citizens Property Insurance Corp. v. Rodriguez
In a first-party homeowners fee dispute under section 627.428, the trial court ratified a magistrate's award giving lead counsel his current market billing rate plus prejudgment interest from the date entitlement was fixed. The Third District held that current rates and prejudgment interest compensate the same harm — delay in payment — so awarding both is an impermissible double recovery, adopting Philip Morris USA, Inc. v. Brown, 313 So. 3d 898 (Fla. 1st DCA 2021). It reversed only the prejudgment interest on lead counsel's fees (other professionals were paid below current rates) and affirmed the rest.
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Key facts
- Citizens Property Insurance Corp. sought review of a magistrate's award of attorney's fees in a first-party homeowners insurance dispute under section 627.428, where the trial court awarded lead counsel fees at current market billing rates plus prejudgment interest from the date entitlement was fixed.
- The magistrate awarded fees to the prevailing party using both current market billing rates for lead counsel and prejudgment interest calculated from when the fee entitlement arose, while other professionals were paid at below-current rates.
- +2 more key facts with a free trial
Why it matters
This is a reusable rule for every contested fee hearing: insurers and other fee-paying parties can now cite Third District authority that current rates plus prejudgment interest is an impermissible double recovery for… — full analysis with a trial
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