Florida Real Estate Litigation FAQ

Real estate litigation includes disputes involving property or the agreements connected to it. Common examples include:

• Breach of purchase and sale contracts

• Earnest-money and escrow deposit disputes

• Commercial lease defaults

• Title, lien, easement, and boundary disputes

• Broker and commission claims

• Partition and co-ownership disputes

• Conflicts between business partners involving real estate

The governing contract, deed, lease, title documents, and communications between the parties often determine the available claims and remedies.

The contract is the starting point. Depending on its terms and the circumstances, the nonbreaching party may be able to:

• Recover monetary damages

• Keep or recover the deposit

• Terminate the contract

• Seek specific performance requiring the transaction to close

Specific performance is an equitable remedy, not an automatic right. A court considers the contract, the parties’ conduct, whether the requesting party performed or was ready to perform, and whether damages would provide an adequate remedy.

Before terminating the transaction or sending a default notice, have an attorney review the contract’s notice, cure, default, deposit, and dispute-resolution provisions. An incorrect termination can create an additional breach.

The deposit does not automatically return to the buyer or belong to the seller. The result depends on the contract, including its financing, inspection, title, default, and liquidated-damages provisions.

If both parties demand the deposit, the escrow holder may be unable to release it without written agreement or a formal resolution. When a Florida real estate broker holds the money, Florida law provides procedures that can include an escrow disbursement order, arbitration, mediation, or a court proceeding such as interpleader.

Do not sign a release or assume the deposit determines all potential liability without first reviewing the entire contract.

Yes. Florida commercial lease litigation may involve:

• Eviction or recovery of possession

• Unpaid or accelerated rent

• Common-area maintenance and operating expenses

• Repair and maintenance obligations

• Unauthorized alterations or uses

• Early termination

• Security deposits

• Personal guaranties

The lease’s notice and cure requirements can determine whether a lawsuit is premature or legally supportable. Attorney-fee provisions can also significantly increase the parties’ financial exposure.

The deadline depends on the claim and remedy. Under Florida’s current limitations statute:

A claim founded on a written contract generally has a five-year limitations period.

A claim not founded on a written instrument, and claims for fraud or rescission, generally have a four-year period.

An action for specific performance must generally be filed within one year.

Many construction-defect claims have a four-year limitations period and a separate seven-year statute of repose.

These periods do not necessarily begin on the same date. Accrual, discovery, tolling, contractual deadlines, and the version of the statute applicable to the claim can change the analysis. Because some remedies expire much sooner than others, obtain legal advice promptly.

No. Many disputes are resolved through direct negotiation, mediation, or arbitration. Some contracts require alternative dispute resolution before litigation, and Florida law imposes pre-suit procedures for certain homeowners’ association and condominium disputes.

Even after a lawsuit begins, settlement may remain the best business solution. The appropriate strategy should consider the strength of the claims, available remedies, attorney’s fees, litigation costs, timing, and the client’s broader objectives.