MARIAN FARMS, INC., ETC., APPELLANT,
v.
SUNTRUST BANKS, INC., ETC., APPELLEE

Fla. 5th DCA | 2014-01-03
No. 5D12-886
LAWSON, J., and MENDOZA, C.E., Associate Judge, concur.
135 So. 3d 363 Florida District Court of Appeal, Fifth District (2014) Positive Treatment
Cited by 3 cases

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Synopsis

Marian Farms appealed the dismissal of its fourth amended complaint against SunTrust Banks for damages arising from the bank's alleged negligence in accepting forged documents and permitting unauthorized account conduct. The court reversed the dismissal, holding that Marian Farms stated independent tort claims separate from its depository agreement with SunTrust, and that a jury trial waiver in the deposit account agreement did not apply to such independent tort claims.


Holding

The court held that Marian Farms stated independent tort claims separate from the depository relationship, namely negligence in accepting forged documents without verification, and that a jury trial waiver in the deposit account agreement does not apply to independent torts or causes of action where the wrongful acts are separate from breach of the depository agreement.


Headnotes

[1] A plaintiff's claims for independent torts are not barred by the economic loss rule, even if the alleged wrongful acts arise from a contractual relationship and result in…

[2] A jury trial waiver in a deposit account agreement does not apply to independent tort claims arising from wrongful acts separate from a breach of the depository agreement…

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Key Quotes

“This is not a case where Marian Farms merely attempted to recast a breach of its contractual relationship with SunTrust based on the depository agreement by asserting claims that SunTrust negligently performed its contractual duties to its depositor by wrongfully disbursing monies in reliance on forged instruments. Rather, Marian Farms has alleged independent torts and causes of action separate from SunTrust's wrongful disbursement of funds on deposit.”

Establishes the distinction between impermissible recharacterization of contract breaches as torts versus legitimate independent tort claims

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Facts & Procedural History

Marian Farms maintained a deposit account with SunTrust Banks. An employee of Marian Farms engaged in fraudulent or unauthorized conduct, and Marian F…

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Opinion of the Court
GRIFFIN, J.

GRIFFIN, J.

Appellant, Marian Farms, Inc. [“Marian Farms”], seeks review of the order dismissing its fourth amended complaint for damages it allegedly suffered when Sun-Trust Banks, Inc. [“SunTrust”] allowed fraudulent or unauthorized conduct of an employee. The trial court found, as a matter of law, that the plaintiff failed to allege the basis for any theory of liability or independent duty owed to the plaintiff by SunTrust distinct from its depositor relationship. SunTrust sought dismissal of the fourth amended complaint based on Florida’s economic loss rule.

This is not a case where Marian Farms merely attempted to recast a *364breach of its contractual relationship with SunTrust based on the depository agreement by asserting claims that Sun-Trust negligently performed its contractual duties to its depositor by wrongfully disbursing monies in rebanee on forged instruments. Rather, Marian Farms has alleged independent torts and causes of action separate from SunTrust’s wrongful disbursement of funds on deposit. For example, Marian Farms has asserted negligence on the part of SunTrust in accepting forged loan documents and personal guarantees of the principals of Marian Farms without verifying their authenticity. Similarly, Marian Farms alleges that, in a separate transaction, SunTrust accepted obviously forged loan documents without attempting to verify authorization for a loan secured by Marian Farms’ equipment. In yet a separate alleged act of negligence, Marian Farms alleges that SunTrust accepted a forged corporate resolution authorizing the dishonest employee of Marian Farms to make withdrawals from the corporate account, including a representation that authorization had been verified, when in fact, it had not. In light of Tiara Condo. Ass’n, Inc. v. Marsh & McLennan Co., 110 So.3d 399 (Fla.2013), which was decided after entry of the order dismissing the plaintiffs fourth amended complaint, we reverse the appealed order.

We also reverse the order of the trial court that Marian Farms is not entitled to a jury trial on any of its claims based on a jury trial waiver contained within SunTrust’s “Rules and Regulations for Deposit Accounts.” A jury trial waiver is not applicable to the independent torts or other causes of action asserted by Marian Farms where the wrongful act alleged is an act or omission separate from a breach of the depository agreement. The fact that Marian Farms’ losses arising out of the various claims of negligence or other causes of action may be the same damages as those resulting from the breach of the depository agreement does not bar these claims and does not control Marian Farms’ entitlement to a jury trial arising out of separate wrongful acts alleged.

REVERSED and REMANDED.

LAWSON, J., and MENDOZA, C.E., Associate Judge, concur.


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Citator

Cited By

  • Bashar Atout v. Rozanc (Fla. 6th DCA 2026)
  • Lamm v. State St. Bank & Tr., 749 F.3d 938 (11th Cir. 2014)
    …tody agreement, and thus might theoretically fall within the ambit of a breach of contract claim, but it appears that the conduct nonetheless amounts to an “independent tort” under current Florida law. See Marian Farms, Inc. v. SunTrust Banks, Inc., 135 So. 3d 363, 364, 2014 WL 25585, at *1 (Fla. 5th DCA Jan. 3, 2014) (claims against depository bank for negligence in accepting forged loan documents, personal guarantees, and corporate resolution of corporate customer could be brought as torts independent of de…

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