Mikhaylov v. Bilzin Sumberg Baena Price & Axelrod LLP
Investor sued his transactional lawyers for malpractice and breach of fiduciary duty after his partner allegedly used firm-prepared documents to divest him of his interests; the trial court dismissed on the two-year professional malpractice statute of limitations. The Third District affirmed, holding the 'first-injury' rule governed because the pending related bankruptcy proceeding could only reduce or eliminate already-incurred damages, not determine whether actionable malpractice occurred.
Key facts
- Investor sued his former transactional lawyers for professional malpractice and breach of fiduciary duty, alleging they prepared documents that his partner used to divest him of his business interests.
- The trial court dismissed the lawsuit as time-barred under Florida's two-year statute of limitations for professional malpractice; the Third District affirmed the dismissal.
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Why it matters
The opinion draws a usable line between Kipnis/Larson's finality accrual rule and the default first-injury rule in transactional malpractice cases: pending collateral litigation that only affects the amount of damages… — full analysis with a trial
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