Florida Indus. Commission v. Yell for Pennell, Inc.

Decision Date21 September 1971
Docket NumberNo. 71--75,71--75
CourtFlorida District Court of Appeals
PartiesFLORIDA INDUSTRIAL COMMISSION, a political subdivision of the State of Florida, f/u/b/o Florida Plumbing and Mechanical Contractors Self-Insurers Fund, Appellant, v. YELL FOR PENNELL, INC., et al., Appellees.

Moore, Welbaum, Zook & Jones, Miami, for appellant.

Herbert E. Kaufman and Leonard J. Kalish, Miami, for appellee.

Before CHARLES CARROLL, HENDRY and BARKDULL, JJ.

PER CURIAM.

For use and benefit of Florida Plumbing and Mechanical Contractors Self-insurance Fund (herein referred to as the Fund), the Florida Industrial Commission (which has been succeeded by the State Department of Commerce, but will be referred to herein as the Commission), filed this action against numerous named plumbers and plumbing companies. In an amended complaint the plaintiff alleged creation of the fund under § 440.57 Fla.Stat., F.S.A., with a copy of the Fund contract attached, that the Fund obtained reinsurance from Florida Insurance Exchange to cover excess losses above stated amounts; that in 1967 the Florida Insurance Exchange hd become insolvent and been so adjudicated and placed in receivership; that thereby the Fund had become 'unable to meet its commitments to covered employees of the individual members of the Fund without the infusion of additional capital with which to pay claims'; that it became necessary for the trustees of the Fund to make an assessment against the (defendant) members thereof in order to raise money necessary to meet the obligations of the Fund and for it to continue to operate; that the assessment amounts for the several years involved were determined upon and apportioned to the members for each year (plus 30% To allow for costs of collection, and for uncollectable assessments); that a noticed meeting of the members of the Fund was held by the trustees of the Fund, at which 'those in attendance voted for assessments against all Fund members to the extent necessary to make up the deficits'; that thereafter all members for the years involved were so advised by the trustees by letter. The amounts of such assessments for the respective years were set out in the complaint, as was the apportionment thereof to the respective defendant members. It was alleged that certain such assessments to others (not joined) had been paid, and that assessments against certain persons had been determined to be uncollectable.

It was further alleged that upon nonpayment of the assessments by the defendant members, the trustees had applied to the Commission for an order of assessment against them, invoking § 440.58 Fla.Stat., F.S.A. which authorized the Commission to enter an order requiring the employer members and former members of the Fund who were liable therefore to pay all necessary assessments, with the payments to be made to the Commission and by it disbursed to the trustees to...

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