1000 BRICKELL, LTD., etc. v. CITY OF MIAMI ( 2022 )


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  •       Third District Court of Appeal
    State of Florida
    Opinion filed June 8, 2022.
    ________________
    No. 3D20-1046
    Lower Tribunal No. 14-11755
    ________________
    1000 Brickell, Ltd., etc.,
    Appellant,
    vs.
    City of Miami,
    Appellee.
    An Appeal from the Circuit Court for Miami-Dade County, Barbara
    Areces, Judge.
    Duane Morris LLP, and Scott D. Kravetz and Richard D. Shane, for
    appellant.
    Victoria Méndez, City Attorney, and Eric J. Eves, Assistant City
    Attorney, for appellee.
    Before EMAS, GORDO and BOKOR, JJ.
    EMAS, J.
    ON MOTION FOR REHEARING
    We deny appellee’s motion for rehearing, but withdraw our previous
    opinion and substitute the following opinion in its stead.
    INTRODUCTION
    1000 Brickell, Ltd. f/k/a 1000 Brickell, Inc. (“1000 Brickell”), the plaintiff
    below, appeals a final summary judgment in favor of the City of Miami on its
    claims against the City related to property deeded in 1974 by 1000 Brickell’s
    predecessor, which property was to be used for public park purposes. For
    the reasons that follow, we reverse in part1 the final summary judgment,
    because it was entered upon an erroneous construction and application of
    section 95.36, Florida Statutes (1974).
    FACTUAL AND PROCEDURAL BACKGROUND
    In 1974, Allen Morris, through his company, 1000 Brickell, deeded the
    subject property (“the Property”) to the City. The deed granted the City a fee
    simple interest in the Property but, importantly, also contained an automatic
    reverter clause which provided:
    [I]f any part of the property herein conveyed shall ever be used
    for any purpose other than public park purposes, the estate
    hereby granted to the grantee shall automatically and
    1
    We reverse the trial court’s final summary judgment on counts I and II of
    the operative complaint. However, we affirm without further discussion that
    portion of the final judgment which entered judgment in favor of the City on
    counts III and IV of the operative complaint.
    2
    immediately terminate, and all right, title and interest in and
    to such property shall thereupon revert to the grantor. 2
    (Emphasis added).
    The City began using the Property as intended, and it became known
    as the Allen Morris Brickell Park. In 1999, the City requested permission to
    use a portion of the Property for outdoor seating of a neighboring restaurant.
    1000 Brickell gave its consent to the City for this limited use of a portion of
    the Property.   However, according to the allegations of 1000 Brickell’s
    lawsuit, the City later violated the terms of this consent agreement by
    unilaterally allowing the restaurant to drastically expand its footprint and
    erect significant permanent improvements, appropriating substantially more
    of the Property for its exclusive private use.
    1000 Brickell filed the instant lawsuit, asserting that, under the express
    language of the deed, the fee simple estate terminated “automatically and
    immediately” and “all right, title and interest in and to” the Property reverted
    to the grantor, 1000 Brickell.
    2
    The deed defined the terms “grantor” and “grantee” to include the parties
    to the instrument and “heirs, legal representatives and assigns of individuals,
    and the successors and assigns of corporations.”
    3
    The City moved for summary judgment, arguing, inter alia, that section
    95.36(1), Florida Statutes (1974)3 barred 1000 Brickell’s lawsuit, because
    the deed was executed more than thirty years before the filing of the
    complaint and that, pursuant to the language of the statute, 1000 Brickell’s
    rights had terminated. Section 95.36(1) provides:
    It is hereby declared to be in the best interest of the public that
    ancient dedications of lands to municipalities for park purposes
    for a period of thirty years or more shall not hereafter be
    disturbed or challenged in law or in equity by the original
    dedicator, his heirs or assigns, or any other person in cases in
    which such lands have been put to some municipal use during
    the period of dedication or have been conveyed by the
    municipality for a period of at least seven years by a deed
    recorded in the public records for that period of time.
    Accordingly, the legislature hereby declares such suits in law or
    equity shall not be maintained in any court in this state, and all
    rights of said ancient dedicator and all other persons are
    terminated and declared null and void.
    (Emphasis added).
    DISCUSSION AND ANALYSIS
    Read in a vacuum, the City’s contention—that this statute precludes
    the instant claim to a reversionary interest after thirty years—might appear
    to have merit. However, when read in light of the various types of property
    3
    It is undisputed that the 1974 version of the statute is the applicable version
    in this case.
    4
    conveyance methods recognized by the common law,4 it is clear that section
    95.36(1) is inapplicable, as the instant conveyance does not involve a
    “dedication of land,” but rather a fee simple conveyance with an automatic
    reverter clause. Indeed, a more specific statutory provision—section 689.18,
    Florida Statutes (1974)—addresses time limitations on claims based upon
    reverter provisions in fee simple conveyances of real property.          That
    statute—rather than section 95.36(1)—applies to the instant conveyance
    and dictates the result in this case.
    Section 95.36(1) and the Common Law of Dedications to
    Municipalities for a Public Purpose
    By its plain language, section 95.36(1)’s application is limited to
    “ancient dedications of lands to municipalities for park purposes.”      The
    dedication of property by a grantor to a municipality for a public purpose
    existed at common law, and today property may still be conveyed either by
    statute or under common law for a specified purpose, which must be adhered
    to by the municipality. See e.g., City of Miami Beach v. Miami Beach Imp.
    4
    The common law is still in effect in Florida today, except where it has been
    repealed or substituted by statute. See Richardson v. Holman, 
    33 So. 2d 641
     (Fla. 1948). See also § 2.01, Fla. Stat. (2022) (“The common and statute
    laws of England which are of a general and not a local nature, with the
    exception hereinafter mentioned, down to the 4th day of July, 1776, are
    declared to be of force in this state; provided, the said statutes and common
    law be not inconsistent with the Constitution and laws of the United States
    and the acts of the Legislature of this state.”)
    5
    Co., 
    14 So. 2d 172
    , 175 (Fla. 1943) (holding: “The courts of Florida have
    defined a common law dedication as a setting apart of land for public use,
    and to constitute such a dedication there must be an intention by the owner
    clearly indicated by his words or act to dedicate the land to the public use”).
    Importantly, however, a dedication of land to a municipality is not the
    same as a fee simple conveyance of real property because, generally, a
    dedication is simply an easement for public use, entrusted to the municipality
    with the fee simple title remaining with the grantor. See City of Palmetto v.
    Katsch, 
    98 So. 352
     (Fla. 1923); City of Miami v. Florida E. Coast Ry. Co., 
    84 So. 726
    , 729 (Fla. 1920); Lehmann v. Cocoanut Bayou Assoc., Inc., 
    269 So. 3d 599
     (Fla. 2d DCA 2019); Brevard Cty. v. Blasky, 
    875 So. 2d 6
     (Fla. 5th
    DCA 2004); Bishop v. Nussbaum, 
    175 So. 2d 231
     (Fla. 2d DCA 1965);
    §95.361, Fla. Stat. (1974); John S. Burton and Herbert J. Jones, Dedication:
    Rights Under Misuser and Alienation of Lands Dedicated for Specific
    Municipal Purposes, 7 Univ. of Fla. L. Rev. 82, 83 (1954) (“Acceptance of a
    common law dedication does not pass the fee in land. The interest acquired
    by the municipality is generally held to be in the nature of an easement, with
    the public having a right of use and nothing more. The dedicator retains the
    fee simple title, and it is subject to the easement only as long as there is
    compliance with the terms of the dedication.”)
    6
    Conversely, when a grantor conveys property in fee simple to a
    municipality, with a deed restriction which requires the property to be used
    for public park purposes, the City holds a fee simple determinable estate
    which terminates automatically upon the happening of a specified event,
    e.g., where the property ceases to be used for public park purposes. John
    N. Redding, Florida Real Property Sales Transactions: Title Considerations,
    Ch. 11 (Fla. Bar CLE 10th ed. 2020). See also Hurd v. Becker, 
    165 So. 2d 420
    , 422 (Fla. 3d DCA 1964), quashed on other grounds, 
    173 So. 2d 141
    (Fla. 1965) (observing that where the estate conveyed is a fee simple
    determinable, “the estate automatically expires upon the occurrence of a
    stated event”). This estate interest is sometimes referred to as a fee simple
    subject to an automatic reverter.
    It cannot be disputed that what was conveyed by the 1974 deed at
    issue was a fee simple determinable estate, subject to the restriction that it
    be used as a public park, and that, if the Property ceased to be used as such,
    it would automatically revert to the grantor and/or his successor. Thus, the
    time limitation contained in section 95.36(1) is simply inapplicable, since that
    statute, by its terms, applies to “dedications of land.”
    7
    Section 689.18 and the Instant Conveyance
    Indeed, there is another, more specific, statutory provision which
    controls the outcome of this case. Section 689.18 addresses time limitations
    on claims based upon reverter provisions in fee simple conveyances of real
    property. That statute provides in pertinent part:
    689.18. Reverter or forfeiture provisions, limitations;
    exceptions
    (1) It is hereby declared by the Legislature of the state that
    reverter or forfeiture provisions of unlimited duration in the
    conveyance of real estate or any interest therein in the state
    constitute an unreasonable restraint on alienation and are
    contrary to the public policy of the state.
    (2) All reverter or forfeiture provisions of unlimited duration
    embodied in any plat or deed executed more than 21 years prior
    to the passage of this law conveying real estate or any interest
    therein in the state, be and the same are hereby canceled and
    annulled and declared to be of no further force and effect.
    (3) All reverter provisions in any conveyance of real estate or any
    interest therein in the state, now in force, shall cease and
    terminate and become null, void, and unenforceable 21 years
    from the date of the conveyance embodying such reverter or
    forfeiture provision.
    (4) No reverter or forfeiture provision contained in any deed
    conveying real estate or any interest therein in the state,
    executed on and after July 1, 1951, shall be valid and binding
    more than 21 years from the date of such deed, and upon
    the expiration of such period of 21 years, the reverter or
    forfeiture provision shall become null, void, and
    unenforceable.
    (5) Any and all conveyances of real property in this state
    heretofore or hereafter made to any governmental,
    8
    educational, literary, scientific, religious, public utility,
    public transportation, charitable or nonprofit corporation or
    association are hereby excepted from the provisions of this
    section.
    While the Legislature has thus made it clear that a reverter provision
    contained in a deed conveying real estate in Florida is deemed “null, void
    and unenforceable” after twenty-one years,5 certain conveyances were
    expressly excepted from its scope: “Any and all conveyances of real property
    in this state heretofore or hereafter made to any governmental, educational,
    literary, scientific, religious, public utility, public transportation, charitable or
    nonprofit corporation or association.” § 689.18(5), Fla. Stat.
    By this exception, the Legislature has permitted Florida to continue
    adhering to the common law that reverter provisions contained in fee simple
    conveyances of real property by a municipality may be of unlimited duration,
    encouraging philanthropic grantors to convey their real property to be used
    for a public purpose without concern that the reverter provision will be
    rendered unenforceable twenty-one years later.
    The City’s position would require this court to accept that the Florida
    Legislature intentionally crafted two statutes which are in conflict with one
    5
    By passing this provision in 1951, the Florida Legislature modified the
    common law, which excepted possibilities of reverter from the rule against
    perpetuities. John N. Redding, Florida Real Property Sales Transactions:
    Title Considerations, Ch. 11 (Fla. Bar CLE 10th ed. 2020).
    9
    another: one law (§ 95.36(1)) gives the grantor thirty years to file suit against
    a grantee who violates the terms of an ancient dedication of land with
    restrictions; while another (§ 689.18) gives the grantor only twenty-one years
    to do so. One of the basic principles of statutory construction is that a court
    “should avoid a construction which places in conflict statutes which cover the
    same general field.” City of Boca Raton v. Gidman, 
    440 So. 2d 1277
    , 1282
    (Fla. 1983) (also holding that statutes should be construed so as to avoid an
    absurd result). Indeed, the City’s proposed construction, taken to its logical
    conclusion, would mean that although the Legislature plainly expressed its
    intent to exempt conveyances to a municipality from the application of the
    twenty-one-year limitation on actions, it simultaneously allowed for that same
    municipality to obtain fee simple absolute title after thirty years, irrespective
    of any restriction imposed by the grantor.
    Second, even if we were to find merit in the City’s construction—
    resulting in a conflict between these two statutory provisions—the Florida
    Supreme Court has consistently applied the canon of statutory construction
    that where two statutes appear to be in conflict, “a specific statute will control
    over a general statute.” Florida Virtual Sch. v. K12, Inc., 
    148 So. 3d 97
    , 102
    (Fla. 2014). Applying that canon here, the more specific statute—section
    689.18, which specifically addresses reverter clauses—would control over
    10
    the more general provision contained in section 95.36, thus leading us to the
    same result. 6
    CONCLUSION
    We hold that the deed executed by 1000 Brickell in favor of the City of
    Miami was a fee simple conveyance with an automatic reverter clause, and
    that section 95.36(1) is inapplicable to that deed. The trial court erred in
    applying the time limitations contained in that section and in granting
    summary judgment in favor of the City, on that basis, as to counts I and II of
    the operative complaint. Instead, the applicable statutory provision is found
    in section 689.18, Florida Statutes, which also contains time limitations but
    which expressly exempts, from those time limitations, conveyances of real
    property made to a governmental entity.
    We therefore reverse the trial court’s final summary judgment in favor
    of the City on counts I and II of the operative complaint, and remand this
    cause for further proceedings consistent with this opinion.
    6
    Of course, because we have concluded the two statutes are not in conflict,
    we need not apply this canon of statutory construction. See DMB Inv. Tr. v.
    Islamorada, 
    225 So. 3d 312
    , 317 (Fla. 3d DCA 2017).
    11