In Re: Assignment for the Benefit of Creditors of Miami Perfume Junction, Inc. v. Osborne
In jointly administered Chapter 727 assignment-for-benefit-of-creditors cases, the trial court ruled that the assignor corporations' attorney-client and accountant-client privileges passed to the assignee, giving him full access to books, records, and communications. The Third DCA denied certiorari, holding that because the issue is one of first impression with no controlling statute or Florida case law, the order could not violate a 'clearly established principle of law,' even if erroneous.
Key facts
- Miami Perfume Junction, Inc. and related corporations assigned their assets for the benefit of creditors under Florida's Chapter 727; the assignee sought access to the corporations' books, records, and privileged communications.
- The trial court ruled that the assignor corporations' attorney-client and accountant-client privileges transferred to the assignee, ordering disclosure of privileged materials.
- +2 more key facts with a free trial
Why it matters
Practitioners resisting privilege-piercing discovery orders should note that certiorari will not lie where the underlying legal question is novel — the 'clearly established law' element is a real hurdle, not a… — full analysis with a trial
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