A spendthrift trust protects the trust assets against most creditors. To be valid under Florida law, a spendthrift trust must restrain both voluntary and involuntary transfers of the beneficiary’s interest. In other words, one cannot validly set up a trust to keep creditors out while simultaneously allowing the beneficiary to freely transfer his interest in…
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In interpreting a will, Florida law holds that the intention of the testator is the controlling factor in the analysis. However, Florida law also provides that the testator’s intention should be gleaned from the four corners of the will. Aldrich v. Basile, 2014 Fla. LEXIS 1027, at *12 (Fla. Mar. 27, 2014) (“The testator’s intention…
Continue reading ›The “American rule” holds that each party to a lawsuit will pay for his or her own attorney’s fees regardless of who prevails in the case. Unless a statute or contractual provision says otherwise, Florida courts will apply the American rule. For that reason, contracts oftentimes contain provisions stating that if litigation arises under the…
Continue reading ›Under Florida law, if a person wishes to contest the validity of a legal instrument, i.e., a will or trust, he or she cannot simultaneously benefit from that instrument. The “renunciation rule” requires that an individual challenging the validity of a legal instrument return the payments or benefits that he or she received under that…
Continue reading ›Generally, under Florida statutory law, restrictive covenants, e.g., non-competition covenants, must be signed by the person against whom the covenant will be enforced. A restrictive covenant cannot be enforced against an individual who did not sign the restrictive covenant. In Winn-Dixie Stores, Inc. v. Dolgencorp, Inc., 964 So. 2d 261 (Fla. 4th DCA 2007), Winn-Dixie…
Continue reading ›Some employers might wish to know whether a job applicant or current employee previously filed worker’s compensation claims. At first glance, such information might seem relevant and even useful to employers. For example, an employer in an accident-prone industry might want to know if the job applicant has a history of repeatedly filing worker’s compensation…
Continue reading ›Under Florida law, employers could face civil liability for the harm an employee causes to a third party. For that reasons, employers might wish to conduct a thorough investigation of a job applicant’s or current employee’s criminal record. According to federal guidelines, however, federal law could impose liability on employers who base their employment decisions…
Continue reading ›Background checks can be a valuable tool for employers. A thorough background check can shield an employer from future liability. However, both federal and state law place limits on what the employer can lawfully do regarding background checks. One such federal law is the Fair Credit Reporting Act (“FCRA”). An employer who wishes to know…
Continue reading ›Under Florida law, a corporation that acquires the assets of another corporation generally does not assume the liabilities of the predecessor corporation. The successor corporation will acquire its predecessor’s liabilities only to the extent it agreed to acquire those liabilities in the asset purchase agreement. Many states have similar laws regarding a successor corporation’s liability.…
Continue reading ›On April 17, 2014, the Florida Supreme Court resolved a conflict in Florida law: whether discrimination based on pregnancy constitutes “sex” discrimination in violation of the Florida Civil Rights Act of 1992 (“FCRA”). The Court held that because pregnancy is a “natural condition unique to women and a ‘primary characteristic of the female sex,’” discrimination…
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