Orkin Exterminating Co., Inc. v. Montagano, 76-2537

Decision Date23 May 1978
Docket NumberNo. 76-2537,76-2537
Citation359 So.2d 512
PartiesORKIN EXTERMINATING COMPANY, INC., a Foreign Corporation, Appellant, v. Michael M. MONTAGANO, Appellee.
CourtFlorida District Court of Appeals

Jonathan J. Davis of Walton, Lantaff, Schroeder & Carson, Fort Lauderdale, for appellant.

H. C. Feige of Patterson, Maloney & Shankweiler, Fort Lauderdale, for appellee.

LETTS, Judge.

This case concerns an exculpatory clause in a termite agreement limiting liability to re-treatment only. The trial judge denied a motion to dismiss for failure to state a cause of action and allowed the case to go to the jury, also denying motions for a directed verdict. The jury award to the house owner was $9,554.00 for termite damage caused because of defective treatment. We affirm.

It is inescapable that Florida courts recognize and uphold, not only contracts with exculpatory clauses which limit liability, but also those which exempt liability altogether. Middleton v. Lomaskin, 266 So.2d 678 (Fla. 3d DCA 1972); Kinkaid v. Avis Rent-A-Car Systems, 281 So.2d 223 (Fla. 4th DCA 1973). Furthermore, in Orkin Exterminating Company of South Florida v. Clark, 253 So.2d 884 (Fla. 3d DCA 1971), the court upheld a clause in a termite agreement limiting the termite company's liability to $5,000, even though the damage had been caused by inadequate treatment by the termite company. However, in this last cited case, possible ambiguity in the wording of the terms of the agreement was not an issue discussed in the court's opinion, whereas all the other cases cited include language such as, for example:

"Generally, exculpatory contracts which attempt to relieve a party of his own negligence are not looked upon with favor; however, such contracts have been held valid and enforceable in Florida, where such intention was made clear and unequivocal in such contract."

Middleton v. Lomaskin, supra.

Accordingly, to be enforceable, the contract must be clear and unequivocal on the liability question and we do not think the instant agreement passes the test of clarity or unequivocation.

On the first page of the termite agreement, now before us, the following is set forth:

'ORKIN is to issue the type of guaranty as checked below:

( ) Lifetime Control and Repair(LR) ( ) None

(x) Lifetime Control(LC) ( ) Pretreat(PR)'

The box styled "Lifetime Control" was clearly checked off.

Further down, on the same first page, the following sentence appears:

"This agreement shall be comprised of this Contract, the General Terms and Conditions as they appear on the reverse side, the accompanying Graph and Specifications, and, upon issuance, the Guaranty."

Turning to the said reverse side of the agreement, we discover that the first two paragraphs there appearing, are set forth in large bold face block capital letters 1 in the same chronology that follows:

"SPECIAL TOTAL PROTECTION LIFETIME SUBTERRANEAN TERMITE GUARANTY.

SUBJECT TO THE GENERAL TERMS AND CONDITIONS, ORKIN WILL ISSUE A SPECIAL TOTAL PROTECTION LIFETIME SUBTERRANEAN TERMITE GUARANTY AND, AT NO EXTRA COST, MAKE SUCH REPAIRS TO THE STRUCTURE AND CONTENTS TO REMEDY ANY NEW DAMAGE CAUSED BY SUBTERRANEAN TERMITES, PROVIDED THAT IT IS ESTABLISHED THAT SAID NEW DAMAGE WAS CAUSED BY SUBTERRANEAN TERMITES AFTER THE DATE OF INITIAL TREATMENT AND THAT AT THE TIME OF DISCOVERY OF THE NEW DAMAGE, THE DAMAGED AREAS ARE INFESTED WITH LIVE SUBTERRANEAN TERMITES. ORKIN WILL BE RESPONSIBLE FOR SUCH REPAIRS ONLY WHEN MADE WITH ORKIN'S APPROVAL AND UNDER ORKIN SUPERVISION AND CONTROL. THE PURCHASER FURTHER UNDERSTANDS THAT ORKIN'S LIABILITY FOR SUCH REPAIRS SHALL IN NO EVENT EXCEED $100,000.00 AGGREGATE LOSS AND IS LIMITED TO STRUCTURAL AND CONTENTS DAMAGE.

SUBTERRANEAN TERMITE CONTROL GUARANTY.

SUBJECT TO THE GENERAL TERMS AND CONDITIONS, ORKIN WILL ISSUE A CONTROL GUARANTY AND, AT NO...

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17 cases
  • In re Pilgrim's Pride Corp.
    • United States
    • U.S. District Court — Northern District of Texas
    • January 31, 2012
    ...damages may be limited or excluded unless the limitation or exclusion is unconscionable ...”)); Orkin Exterminating Co. v. Montagano, 359 So.2d 512 (Fla.Dist.Ct.App.1978) (citing Middleton v. Lomaskin, 266 So.2d 678 (Fla.Dist.Ct.App.1972)) (stating that “[i]t is inescapable that Florida cou......
  • Shaffer v. Wells Fargo Guard Services, a Subsidiary of Burns Intern. Sec. Services, a Subsidiary of Baker Industries, Inc.
    • United States
    • Court of Appeal of Florida (US)
    • March 1, 1988
    ...exculpatory clauses which relieve a party of his own negligence are generally looked upon with disfavor, Orkin Exterminating Co., Inc. v. Montagano, 359 So.2d 512 (Fla. 4th DCA 1978), such clauses have been upheld where the intent to avoid liability is clear As for the negligence count, Sha......
  • In re Pilgrim's Pride Corp., Case No. 08-45664 (DML)
    • United States
    • United States Bankruptcy Courts. Fifth Circuit. U.S. Bankruptcy Court — Northern District of Texas
    • January 31, 2012
    ...damages may be limited or excluded unless the limitation or exclusion is unconscionable...")); Orkin Exterminating Co. v. Montagano, 359 So.2d 512 (Fla. Dist. Ct. App. 1978) (citing Middleton v. Lomaskin, 266 So.2d. 678 (Fla. Dist. Ct. App. 1972)) (stating that "[i]t is inescapable that Flo......
  • Fresnedo v. Porky's Gym Iii, Inc.
    • United States
    • Court of Appeal of Florida (US)
    • April 24, 2019
    ...3d DCA 2001) ); Murphy v. Young Men's Christian Ass'n of Lake Wales, Inc., 974 So.2d 565 (Fla. 2d DCA 2008) ; Orkin Exterm. Co. v. Montagano, 359 So.2d 512, 514 (Fla. 4th DCA 1978) (holding that because "we do not look with favor on exculpatory clauses, we must require the draftsmen of all ......
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1 books & journal articles
  • Chipping away at the economic loss rule.
    • United States
    • Florida Bar Journal Vol. 73 No. 9, October 1999
    • October 1, 1999
    ...recognize and uphold exculpatory clauses which limit or exempt liability for negligence. Orkin Exterminating Co., Inc. v. Montagno, 359 So. 2d 512 (Fla. 4th D.C.A. (36) Moransais, 24 Fla. L. Weekly at S311. (37) HTP, Ltd. v. Lineas Aereas Costarricenses, S.A., 685 So. 2d 1238 (Fla. 1996). (......

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