15-007237 Stephen J. Byers vs. Antiquers Aerodrome, Inc.
 Status: Closed
Recommended Order on Friday, February 24, 2017.


View Dockets  
Summary: Respondent failed to include amended bylaws in revitalization packages to parcel owners and DEO, and failed to include all information in notices to owners. Recommended disapproval of revitalization of expired covenants and "other governing documents."

1STATE OF FLORIDA

4DIVISION OF ADMINISTRATIVE HEARINGS

8ERICH NIKOROWIC Z,

11Petitioner,

12vs. Case No. 15 - 7236

18ANTIQUERS AERODROME, INC.,

21Respondent.

22_______________________________/

23STEPHEN J. BYERS ,

26Petitioner,

27vs. Case No. 15 - 7237

33ANTIQUERS AEROD ROME, INC.,

37Respondent.

38_______________________________/

39RECOMMENDED ORDER

41These cases initially came before Administrative Law Judge

49Darren A. Schwartz of the Division of Administrative Hearings for

59final hearing on July 15 , 2016, in West Palm Beach, Florida. The

71final hearing concluded on December 1, 2016, by video

80teleconference with sites in West Palm Beach and Tallahassee,

89Florida.

90APPEARANCES

91For Petitioner Erich Nikorowic z:

96Donald Jo seph Thomas, Esquire

101Lewis and Thomas

104Suite 200

106165 East Palmetto Park Road

111Boca Raton, Florida 33432 - 4818

117For Petitioner : Stephen J. Byers , pro se

1257396 Skyline Drive

128Delray Beach, Florida 33446

132For Respondent: Keith F. Backer, Esquire

138Ryan D. Poliakoff, Esquire

142Backer, Aboud, Poliakoff, and Foelster, LLP

148Suite 420

150400 South Dixie Highway

154Boca Raton, Florida 33432

158STATEMENT OF THE ISSUE

162Whether Respondent , Antiquers Aerodrome, Inc.

167(ÐRespondentÑ) , properly revived its expired restrictive

173covenants and othe r governing documents in accordance with

182sections 720.403 - 40 7 , Florida Statutes (2015).

190PRELIMINARY STATEMENT

192On November 5, 2015, the Department of Economic Opportunity

201(ÐDEOÑ) approved the proposed revitalization of RespondentÓs

208restrictive covenants Ð a nd other governing documents. Ñ On

218December 8, 2015, Petitioner Erich Nikorowicz (ÐNikorowiczÑ)

225filed with DEO, a Petition for Administrative Proceedings,

233challenging DEOÓs approval of the proposed revitalization. 1/ On

242December 14, 2015, Petitioner Stephe n J. Byers (ÐByersÑ) filed

252with DEO a Petition for Administrative Proceedings, challenging

260DEOÓs approval of the proposed revitalization.

266On December 18, 2015, DEO forwarded both petition s to the

277Division of Administrative Hearings (ÐDOAHÑ) to assign an

285Administrative Law Judge to conduct the final hearing. The

294petition filed by Nikorowicz was assigned DOAH Case N o . 15 - 7236.

308The petition filed by Byers was assigned DOAH Case No. 15 - 7237.

321On December 29, 20 16, the undersigned entered an O rder

332consolidat ing Case Nos. 15 - 7236 and 15 - 7237.

343On December 31, 20 15, the undersigned entered an O rder

354setting this matter for final hearing on March 4, 2016. On

365February 11, 2016, Byers filed a n unopposed motion to continue

376the final hearing. On February 12, 2016, the undersigned entered

386an Order granting the motion and reset the final hearing for

397April 27, 2016. On April 15, 2016, Nikorowicz filed an unopposed

408motion to continue the final hearing. On April 26, 2016, the

419undersigned entered an Order granting the m otion and reset the

430final hearing for July 15, 2016.

436On July 8, 2016, Nik orowicz and Respondent filed a joint

447pre - h earing s tipulation. On July 8, 2016, Byers filed a

460pre - hearing s tatement. On Jul y 12, 2016, Respondent filed a

473supplemental p re - hearing s tipulation.

480The hearing commenced as scheduled on July 15, 2016 , and

490concluded on December 1, 2016. Nikorowicz did not appear at the

501final hearing, but he was represented at the final hearing by his

513counsel, David J. Thom as . Byers testified on his own behalf and

526presented the additional testimony of Micha el Chinnici. ByersÓ

535Exhibits 1 through 41 were received in evidence based on the

546stipulation of the parties. Respondent did not appear at the

556final hearing, but it was represented at the final hearin g by its

569counsel, Keith F. Backer and Ryan D. Poliakoff. Respondent

578presented the testimony of Robert Ba keris. RespondentÓs Exhibits

587A through O were received in evidence based on the stipulation of

599the parties.

601The two - volume final hearing Transcript was filed at DOAH on

613December 18, 2016. The parties timely filed proposed recommended

622orders, which were considered in the preparation of this

631Recommended Order.

633The partiesÓ pre - hearing stipulations have been incorporated

642herein, to the extent indicate d below. Unless otherwise

651indicated, references to the Florida Statutes are to the 2015

661version.

662FINDING S OF FACT

6661. Respondent is a Florida for - profit corporation that

676serves as the governing homeownersÓ association for the single -

686family r esidential , Ðfly - in/fly - outÑ community , known as

697Antiquers Aerod r ome. The community consists of 37 individual

707parcels and a common airplane runway , located near Atlantic

716Avenue, east of the Florida Turnpike, in Palm Beac h County,

727Florida.

7282. Petiti oners Nikorowicz and Byers are parcel owners in

738the community.

7403. Byers purchased his 2.2 acre parcel in October 2014. At

751that time, there was a 5,000 - square - foot single - family home,

7662,000 - square - foot airplane hanger , and a 2,000 - square - foot garage

783on the property. Since then, Byers has had some chickens and a

795honeybee colony operation on his property .

8024 . RespondentÓs r estrictive c ovenants were recorded in the

813public records of Palm Beach County at OR Book 1651, Page 151, on

826April 21, 1968 . The r estrictive covenants have been amended and

838restated from time to time. By operation of the Marketable

848Record Title Act (ÐMRTAÑ) , c hapter 712, Florida Statutes, the

858restrictive c ovenants expired April 21, 1998.

8655 . Section s 720.403 - 407 provide the mechani sm by which a

879homeownersÓ association, such as Respondent , may revitalize its

887restrictive covenants because they expired by operation of MRTA.

8966. In an effort to revitalize the expired restrictive

905covenants pursuant to the requirements of sections 720.4 03 - 407,

916Respondent prepared a Notice of Special Members Ó Meeting, an

926Agenda, a Limited Proxy , and Instructions for Completing the

935Limited Proxy (Ð r evitalization p ackageÑ) . The revitalization

945package was sent to each parcel owner on J uly 24, 2015.

9577 . Th e revitalization package sent to the parcel owners

968failed to include RespondentÓs most recent bylaws -- the

977November 7, 2010, amended bylaws. Instead, Respondent included

985in the revitalization package its February 12, 1998, bylaws.

9948 . By failing to incl ude the November 7, 2010, amended

1006bylaws in the revitalization package sent to the parcel owners,

1016Respondent failed to comply with section 720.405(3).

10239 . The notice of the meeting , included within the

1033revitalization package , contained the name , addre ss , and

1041telephone number of each of the three member s of the

1052revitalization organizing committee. The notice advised each

1059parcel owner of an upcoming special membership meeting on

1068August 15, 2015, at which time each owner would vote on the

1080revitalization of the expired restricted covenants , either in

1088person at the meeting or by proxy.

109510 . On July 30, 2015, Peggy Preiser, as a member of the

1108organizing committee and secretary of the Board of D irectors of

1119Respondent, sent a follow - up e - mail to the parcel ow ners,

1133reminding them of the upcoming meeting on August 15, 2015. Th is

1145e - mail reiterated the purpose of the upcoming special meeting --

1157Ðfor the purpose of voting to revitalize (restore) the

1166AssociationÓs Restrictive Covenants and Reservations as provided

1173by Sections 720.403 through 720.407, Florida Statutes.Ñ The

1181e - mail also reiterated that the revitalization package ha d been

1193distributed to all parcel owners in preparation for the

1202August 15, 2015, special meeting and vote. The e - mail did not

1215contain the name, address, and telephone number of each member of

1226the revitalization organizing committee.

12301 1 . Ms. Preiser , as a member of the organizing committee

1242and secretary of the Board of D irectors of Respondent, also

1253posted on July 30, 2015, a nother notice o f the special meeting at

1267the front gate community bulletin board . Th is notice contained

1278the same information as the e - mail Ms. Preiser sent to the parcel

1292owners on July 30, 2015. As with the e - mail, the posting at the

1307front gate did not contain the name, address, and telephone

1317number of each member o f the revitalization organizing committee.

13271 2 . The e - mail sent by Ms. Preiser and the posting at the

1343front gate were notices and documents provided by the committee

1353to parcel owners to be affected by the prop osed revived

1364declarations. By failing to provide the name, address, and

1373telephone number of each revitalization committee member in the

1382e - mail and front gate notices , Respondent failed to comply with

1394section 720.405(1). 2 /

13981 3 . The special meeting was held on August 15, 2015. A

1411quorum was present with 26 of the total 37 lots represented in

1423person or by proxy. Byers did not attend the August 15, 2015,

1435meeting nor did he vote by proxy. Ni k orowicz did not attend the

1449meeting, but he voted by proxy against re vitalization of the

1460restrictive covenants .

14631 4 . A majority of 19 votes were required for the

1475revitalization of the restrictive covenants to be approved. At

1484the meeting, t he vote w as taken on whether the expired

1496restrictive covenants should be revital ized. The votes were

1505tallied w ith 22 votes for revitalization and 4 votes against

1516revitalization. Thus, a majority of the parcel owners were in

1526favor of revitalization of the restrictive covenants . The voting

1536results were certified by counsel for Respon dent, revitalization

1545of the restrictive covenants was approved, and the meeting was

1555adjourned.

15561 5 . P etitioners conten d that the following proxies counted

1568at the August 15, 2015, meeting in favor of revitalization of the

1580restrictive covenants were invalid because the signers were not

1589authorized to vote on behalf of the parcel owners . Petitioners Ó

1601position is without merit.

16051 6 . John Lumley and Carol Lumley signed a proxy. Pursuant

1617to a quit claim deed, they are trustees of the Carl J. Lumley

1630Revocable Trust dated May 31, 2005 , which owns the parcel. As

1641trustees of the trust, John Lumley and Carol Lumley were

1651authorized to sign the proxy.

16561 7 . Mayda Balboa signed a proxy. Pursuant to a warranty

1668deed, she is the trustee of the Daoud Family Irre vocable Trust,

1680dated May 19, 2014, which owns the parcel. As trustee of the

1692trust, Mayda Balboa was authorized to sign the proxy.

17011 8 . Shireen Bower and William Bower signed a proxy.

1712Pursuant to a quit claim deed, they are trustees of the William

1724and Shireen Bo wer Trust, dated 2/22/2002, which owns the parcel.

1735As trustees of the t rust, William and Shireen Bower were

1746authorized to sign the proxy.

17511 9 . Mike Blake signed two proxies . Pursuant to a warranty

1764deed, he is the trustee of the Mike Blake Revocable Trus t under

1777Agreement dated December 22, 1997 , which owns the parcel s . As

1789trustee of the trust, Mike Blake was authorized to sign the

1800prox ies .

180320 . Cecilia A. Walsh signed a proxy. She is a managing

1815member of 6814 Skyline, LLC, which owns the parcel. As a

1826managing member, Cecilia A. Walsh was authorized to sign the

1836proxy.

18372 1 . Daniel Lunk signed a proxy. Pursuant to a warranty

1849deed, he is the trustee of the Daniel Junk Trust Under

1860Agreement dated July 26, 2013 , which owns the parcel. As the

1871trus tee of the trust, Daniel Lunk was authorized to sign the

1883proxy.

18842 2 . Luis Claudia Maia Ferreira and Elaine Lignelli signed a

1896proxy. Pursuant to a warranty deed, Luiz Claudia Maia Ferreira

1906is the trustee of the Elaine Lignelli Irrevocable Trust dated

1916September 28, 2012, which owns the parcel . As a trustee of the

1929trust, Luiz Claudia Maia Ferreira had authority to sign the

1939proxy.

19402 3 . After achieving a majority vote in favor of

1951revitalization of the restrictive covenants, Respondent submitted

1958a package to DEO on September 28, 2015, seeking approval of the

1970revitalization of the restrictive covenants (ÐDEO packageÑ).

19772 4 . The DEO package contained an affidavit executed by

1988Ms. Preiser, as an organizing committee member and secretary of

1998Respondent. The a ffidavit purported to comply with the

2007requirements of section s 720.406(1)(a) through (f).

20142 5 . The DEO package contained the full text of the proposed

2027revived restrictive covenants , including any amendments thereto.

20342 6 . The DEO package contained the Cer tificate of

2045Incorporation of Respondent, together with any amendments

2052thereto.

20532 7 . The DEO package contained a graphic depiction of the

2065affected properties in the community, and a legal description of

2075each parcel and the affected properties within the c ommunity.

20852 8 . The DEO package contained verification of: a) the

2096written consents of the requisite number of the affected parcel

2106owners approving the revived declaration; b) a Notice of Special

2116MembersÓ meeting; and c) attendance and voting results.

21242 9 . The DEO package contained the February 12, 1998,

2135bylaws.

213630 . The DEO package did not contain the November 7, 2010,

2148amended bylaws.

21503 1 . The November 7, 2010, amended bylaws were the current

2162and relevant bylaws of Respondent and governed Respondent in

21712015, before and after the submittal of the revitalization

2180package and DEO package. 3 /

21863 2 . By failing to include the November 7, 2010, amended

2198bylaws in the DEO package, Respondent failed to comply with

2208section 720.406(1)(b).

22103 3 . In sum, the revitalizati on and DEO package s were

2223deficient because they failed to contain all of the required

2233documents , namely, the November 7, 2010, amended bylaws . The

2243e - mail and front gate notices prepared by Ms. Preiser were also

2256deficient because they failed to contain th e name, address , and

2267telephone number of each org anization committee member. 4 /

22773 4 . On November 5, 2015, DEO approved the revitalization of

2289the restrictive covenants Ð and other governing documents. Ñ

22983 5 . The revitalized restrictive covenants were recorde d in

2309the public records of Palm Beach County, Florida, at OR Book

232027945, Page 1431, on November 23, 2015.

2327CONCLUSIONS OF LAW

23303 6 . DOAH has jurisdiction over the parties to and subject

2342matter of this proceeding pursuant to sect ions 120.569 and

2352120.57(1), F lorida Stat utes .

23583 7 . Petitioners have the burden of proving their claims by

2370a preponderance of the evidence. Fla. DepÓt of Transp. v .

2381J.W.C., Inc. , 396 So. 2d 778 (Fla. 1st DCA 1981).

23913 8 . The Florida Legislature enacted MRTA over 50 years ago

2403in or der to simplify and facilitate land transactions. Matissek

2413v. Waller , 51 So. 3d 625, 628 (Fla. 5th DCA 2011). Notably,

2425section 712.10 , Florida Statutues , expressly provides that MRTA :

2434s hall be liberally construed to effect the

2442legislative purpose of sim plifying and

2448facilitating land title transactions by

2453allowing persons to rely on a record title as

2462described in s. 712.02 subject only to such

2470limitations as appear in s. 712.03.

24763 9 . Section 712.02 provides, in pertinent part:

2485Any person having the lega l capacity to own

2494land in this state, who, alone or together

2502with her or his predecessors in title, has

2510been vested with any estate in land of record

2519for 30 years or more, shall have a marketable

2528record title to such estate in said land,

2536which shall be fre e and clear of all claims

2546except the matters set forth as exceptions to

2554marketability in s. 712.03.

255840 . In essence, restrictive covenants cease to be effective

2568as to lots governed by the restrictive covenants 30 years after

2579said restrictive coven ants have been referenced in a deed that

2590burdens each lot. Bylaws, which are not interests in real

2600property and do not run with the land, are not extinguished by

2612MRTA. Cirelli v. Ent. , 885 So. 2d 423 , 432 (Fla. 5th DCA

26242004)(recognizing that ÐMRTA only e xtinguishes interests in real

2633property. Ñ ).

26364 1 . As detailed above, Respondent concedes that the

2646restrictive covenants expired by operation of MRTA and were not

2656timely preserved pursuant to MRTA .

26624 2 . If MRTA extinguishes a communityÓs restrict ive

2672covenants, Respondent may attempt to utilize the procedures set

2681forth in chapter 720, part III (s ections 720.403 - 407), to revive

2694the expired restrictive covenants. 5 /

27004 3 . To effectuate this legislative purpose, section 720.403

2710provides:

2711( 1) Cons istent with required and optional

2719elements of local comprehensive plans and

2725other applicable provisions of the Community

2731Planning Act, homeowners are encouraged to

2737preserve existing residential communities,

2741promote available and affordable housing,

2746protect structural and aesthetic elements of

2752their residential community, and, as

2757applicable, maintain roads and streets,

2762easements, water and sewer systems,

2767utilities, drainage improvements,

2770conservation and open areas, recreational

2775amenities, and other infrastr ucture and

2781common areas that serve and support the

2788residential community by the revival of a

2795previous declaration of covenants and other

2801governing documents that may have ceased to

2808govern some or all parcels in the community.

2816(2) In order to preserve a residential

2823community and the associated infrastructure

2828and common areas for the purposes described

2835in this section, the parcel owners in a

2843community that was previously subject to a

2850declaration of covenants that has ceased to

2857govern one or more parcels in the community

2865may revive the declaration and the

2871homeownersÓ association for the community

2876upon approval by the parcel owners to be

2884governed thereby as provided in this act, and

2892upon approval of the declaration and the

2899other governing documents for the as sociation

2906by the Department of Economic Opportunity in

2913a manner consistent with this act.

29194 4 . Section 720.404 further provides as follows:

2928720.404 Eligible residential communities;

2932requireme nts for revival of declaration. -

2939Parcel owners in a community are eligible to

2947seek approval from the Department of Economic

2954Opportunity to revive a declaration of

2960covenants under this act if all of the

2968following requirements are met:

2972(1) All parcels to be governed by the

2980revived declaration must have been once

2986gov erned by a previous declaration that has

2994ceased to govern some or all of the parcels

3003in the community;

3006(2) The revived declaration must be approved

3013in the manner provided in s. 720.405(6); and

3021(3) The revived declaration may not contain

3028covenants that are more restrictive on the

3035parcel owners than the covenants contained in

3042the previous declaration, except that the

3048declaration may:

3050(a) Have an effective term of longer

3057duration than the term of the previous

3064declaration;

3065(b) Omit restrictions cont ained in the

3072previous declaration;

3074(c) Govern fewer than all of the parcels

3082governed by the previous declaration;

3087(d) Provide for amendments to the

3093declaration and other governing documents;

3098and

3099(e) Contain provisions required by this

3105chapter for ne w declarations that were not

3113contained in the previous declaration.

31184 5 . Section 720.405 describes the proce dure and documents

3129required to be provided to the parcel owners in order to obtain

3141parcel owner approval with respect to the r eviv al of expired

3153restrictive covenants. Section 720.405 provides as follows:

3160720.405 Organizing committee; parcel owner

3165approval. -

3167( 1) The proposal to revive a declaration of

3176covenants and a homeownersÓ association for a

3183community under the terms of this act shall

3191be initiated by an organizing committee

3197consisting of not less than three parcel

3204owners located in the community that is

3211proposed to be governed by the revived

3218declaration. The name, address, and

3223telephone number of each member of the

3230organizing committee mu st be included in any

3238notice or other document provided by the

3245committee to parcel owners to be affected by

3253the proposed revived declaration.

3257(2) The organizing committee shall prepare

3263or cause to be prepared the complete text of

3272the proposed revised d eclaration of covenants

3279to be submitted to the parcel owners for

3287approval. The proposed revived documents

3292must identify each parcel that is to be

3300subject to the governing documents by its

3307legal description, and by the name of the

3315parcel owner or the perso n in whose name the

3325parcel is assessed on the last completed tax

3333assessment roll of the county at the time

3341when the proposed revived declaration is

3347submitted for approval by the parcel owners.

3354( 3) The organizing committee shall prepare

3361the full text of the proposed articles of

3369incorporation and bylaws of the revived

3375homeownersÓ association to be submitted to

3381the parcel owners for approval, unless the

3388association is then an existing corporation,

3394in which case the organizing committee shall

3401prepare the exi sting articles of

3407incorporation and bylaws to be submitted to

3414the parcel owners .

3418(4) The proposed revived declaration and

3424other governing documents for the community

3430shall:

3431(a) Provide that the voting interest of each

3439parcel owner shall be the same a s the voting

3449interest of the parcel owner under the

3456previous governing documents;

3459(b) Provide that the proportional - assessment

3466obligations of each parcel owner shall be the

3474same as proportional - assessment obligations

3480of the parcel owner under the previo us

3488governing documents;

3490(c) Contain the same respective amendment

3496provisions as the previous governing

3501documents or, if there were no amendment

3508provisions in the previous governing

3513document, amendment provisions that require

3518approval of not less than tw o - thirds of the

3529affected parcel owners;

3532(d) Contain no covenants that are more

3539restrictive on the affected parcel owners

3545than the covenants contained in the previous

3552governing documents, except as permitted

3557under s. 720.404(3); and

3561(e) Comply with th e other requirements for a

3570declaration of covenants and other governing

3576documents as specified in this chapter.

3582(5) A copy of the complete text of the

3591proposed revived declaration of covenants,

3596the proposed new or existing articles of

3603incorporation and b ylaws of the homeownersÓ

3610association, and a graphic depiction of the

3617property to be governed by the revived

3624declaration shall be presented to all of the

3632affected parcel owners by mail or hand

3639delivery not less than 14 days before the

3647time that the consent of the affected parcel

3655owners to the proposed governing documents is

3662sought by the organizing committee.

3667(6) A majority of the affected parcel owners

3675must agree in writing to the revived

3682declaration of covenants and governing

3687documents of the homeowners Ó association or

3694approve the revived declaration and governing

3700documents by a vote at a meeting of the

3709affected parcel owners noticed and conducted

3715in the manner prescribed by s. 720.306.

3722Proof of notice of the meeting to all

3730affected owners of the meetin g and the

3738minutes of the meeting recording the votes of

3746the property owners shall be certified by a

3754court reporter or an attorney licensed to

3761practice in this state.

37654 6 . Section 720.406 describes the procedure and documents

3775required to be submitted t o DEO in order to revive expired

3787restrictive covenants. Section 720.406 provides as follows:

3794720.406 Department of Economic Opportunity;

3799submission; review and determination. Ï

3804( 1) No later than 60 days after the date the

3815proposed revived declaration and other

3820governing documents are approved by the

3826affected parcel owners, the organizing

3831committee or it s designee must submit the

3839proposed revived governing documents and

3844supporting materials to the Department of

3850Economic Opportunity to review and determine

3856whether to approve or disapprove of the

3863proposal to preserve the residential

3868community. The submissi on to the department

3875must include:

3877(a) The full text of the proposed revived

3885declaration of covenants and articles of

3891incorporation and bylaws of the homeownersÓ

3897association;

3898(b) A verified copy of the previous

3905declaration of covenants and other previo us

3912governing documents for the community,

3917including any amendments thereto;

3921(c) The legal description of each parcel to

3929be subject to the revived declaration and

3936other governing documents and a plat or other

3944graphic depiction of the affected properties

3950i n the community;

3954(d) A verified copy of the written consents

3962of the requisite number of the affected

3969parcel owners approving the revived

3974declaration and other governing documents or,

3980if approval was obtained by a vote at a

3989meeting of affected parcel owne rs, verified

3996copies of the notice of the meeting,

4003attendance, and voting results;

4007(e) An affidavit by a current or former

4015officer of the association or by a member of

4024the organizing committee verifying that the

4030requirements for the revived declaration se t

4037forth in s. 720.404 have been satisfied; and

4045(f) Such other documentation that the

4051organizing committee belie ves is supportive

4057of the policy of preserving the residential

4064community and operating, managing, and

4069maintaining the infrastructure, aesthetic

4073character, and common areas serving the

4079residential community.

4081(2) No later than 60 days after receiving

4089the su bmission, the department must determine

4096whether the proposed revived declaration of

4102covenants and other governing documents

4107comply with the requirements of this act.

4114(a) If the department determines that the

4121proposed revived declaration and other

4126governin g documents comply with the act and

4134have been approved by the parcel owners as

4142required by this act, the department shall

4149notify the organizing committee in writing of

4156its approval.

4158(b) If the department determines that the

4165proposed revived declaration a nd other

4171governing documents do not comply with this

4178act or have not been approved as required by

4187this act, the department shall notify the

4194organizing committee in writing that it does

4201not approve the governing documents and shall

4208state the reasons for the disapproval.

421447. T he relevant statutory provisions are clear and

4223unambiguous. Section 720.405(3) expressly requires, in pertinent

4230part, that Ðthe full text of the proposed articles of

4240incorporation and bylaws of the revived homeownersÓ association

4248. . . be submitted to the parcel owners for approval. Ñ Section

4261720.406(1)(b) expressly require s that the submission to DEO must

4271include a verified copy of the previous declaration of covenants

4281and other previous governing documents for the community,

4289includi ng any amendments thereto. The phrase Ðgoverning

4297documentsÑ means :

4300(a) The recorded declaration of covenants

4306for a community and all duly adopted and

4314recorded amendments, supplements, and

4318recorded exhibits thereto;

4321(b) The articles of incorporation and bylaws

4328of the homeownersÓ association and any duly

4335adopted amendments thereto; and

4339(c) Rules and regulations adopted under the

4346authority of the recorded declaration,

4351articles of incorporation, or bylaws and duly

4358adopted amendments thereto.

4361§ § 720.301( 8 )(a) - (c), Fla. Stat.

437048. Section 720.405(1) expressly requires that: [Ð t ] he

4380name, address, and telephone number of each member of the

4390organizing committee must be included in any notice or other

4400document provided by the committee to parcel owners to be

4410a ffected by the proposed revived declaration. Ñ

44184 9 . As detailed above, Respondent complied with m any of the

4431requirements of 720.403 - 407. Respondent obtained a majority of

4441votes in favor of revitalization at the August 15, 2015,

4451meeting. 6 / Respondent pro vided virtually all of the required

4462documents to the parcel owners and DEO. However, Respondent

4471failed to comply with sections 720.405(3) and 720.406(1)(b) by

4480not including the November 7, 2010, amended bylaws in the

4490revitalization package and DEO package . Respondent also violated

4499section 720.405(1) by failing to provide the name, address, and

4509telephone number of each revitalization committee member in the

4518e - mail and front gate posting. 7 /

45275 0 . It is not the prerogative of the undersigned to

4539construe the u nambiguous language of statutes differently from

4548the plain language of the words employed. Nor is the wisdom of

4560the statutes within the ambit of the undersignedÓs authority.

4569Wright v. City of Miami Gardens , 200 So. 3d 765, 773 - 774 (Fla.

45832016). An admini strative agency simply cannot interpret a

4592statute in a fashion which would result in the provision being

4603voided by administrative fiat. DepÓt of Educ . v. Educ. Charter

4614Found. of Fla. Inc. , 177 So. 3d 1036, 1039 (Fla. 1st DCA 2015).

4627To excuse RespondentÓs actions in this case in failing to submit

4638all of the required documents in the revitalization package and

4648DEO package and not includ ing all of the information in the

4660required notices, would amount to an administrative waiver of the

4670statutory requirements. 8 /

4674RECOMMENDATION

4675Based on the foregoing Findings of Fact and Conclusions of

4685Law, it is RECOMMENDED that the Department of Economic

4694Opportunity enter a Final Order disapproving the revitalization

4702of RespondentÓs expired restrictive covenants and other governing

4710documents.

4711DONE AND ENTERED this 24th day of February , 2017 , in

4721Tallahassee, Leon County, Florida.

4725S

4726DARREN A. SCHWARTZ

4729Administrative Law Judge

4732Division of Administrative Hearings

4736The DeSoto Building

47391230 Ap alachee Parkway

4743Tallahassee, Florida 32399 - 3060

4748(850) 488 - 9675

4752Fax Filing (850) 921 - 6847

4758www.doah.state.fl.us

4759Filed with the Clerk of the

4765Division of Administrative Hearings

4769this 24th day of February , 2017 .

4776ENDNOTE S

47781/ The previous style of this case mistakenly identified

4787Petitioner Nikorowicz as Nikorowiez.

47912 / RespondentÓs contention that Ms. Preiser sent the e - mail and

4804posted the notice at the gate in her capacity as secretary of

4816Respondent, only, and not as a n organizing committee member, is

4827not credited and is rejected as unpersuasive.

48343 / The 1998 bylaws were not extinguished by MRTA.

48444 / Notably, there are only two differences between the

4854February 12, 1998, bylaws and the November 7, 2010, amended

4864bylaws. The 1998 bylaws provided that t he annual meeting shall

4875be held on the third Sunday of November. If that date fell on a

4889legal holiday, then the meeting would be held on the following

4900Sunday. The 2010 amended bylaws provide that the annual meeting

4910is changed from the third Sunday of Nov ember to the first Sunday

4923in November.

4925The 2010 amended bylaws provide that dissolution of

4933Respondent and/or the airport operations it sup ports will only

4943occur with a 91 - percent vote of the shareholders of Respondent at

4956a properly called and notice d meeting for that expressed purpose.

4967The 1998 bylaws did not address this issue.

49755 / MRTA defines a Ðhomeowners Ó associationÑ to mean a homeownersÓ

4987association as defined in section 720.301, or an association of

4997parcel owners which is authorized to enfor ce use restrictions

5007that are imposed on the parcels. § 712.01(4), Fla. Stat. As

5018detailed above, Respondent is a homeowners Ó association pursuant

5027to this definition.

50306 / A trustee is authorized to vote on behalf of a trust which

5044owns real property. § § 689.073(1) and 736.0816 , Fla. Stat. A

5055member of a limited liability company (ÐLLCÑ) is also authorized

5065to vote on behalf of the LLC. § 605.04073, Fla. Stat.

50767 / Notably, even if the 1998 bylaws were extinguished by MRTA

5088(which they were not), the u nambiguous and plain language of the

5100applicable statutory provisions required that Respondent include

5107the amended 2010 bylaws in the revitalization package and DEO

5117package.

51188 / Petitioners contended for the first time at hearing, and

5129subsequently in t heir proposed recommended orders, that because

5138the vote at the meeting and pre - meeting notices did not refer

5151specifically to a proposed revitalization of any documents other

5160than the expired restrictive covenants, t hat DEO improperly

5169granted RespondentÓs r equest to revitalize the revised

5177restrictive covenants Ðand other governing documents.Ñ Although

5184Petitioners are factually correct that the vote and pre - meeting

5195notices did not refer specifically to a proposed revitalization

5204of any documents other than th e expired restrictive covenants ,

5214Petitioners waived this argument by failing to allege it in their

5225petitions or in their pre - hearing stipulations/statement.

5233Moreover, Petitioners never requested leave to amend their

5241petitions to assert this issue. Holmes v. Mernah , 427 So. 2d

5252378, 379 (Fla. 4th DCA 1983).

5258ByersÓ argument that his property is exempt from

5266revitalization pursuant to the Florida Right to Farm Act is

5276rejected. The Florida Right to Farm Act , section 823.14, Florida

5286Statutes, prohibits local government regulation that conflicts

5293with farming activities. The Florida Right to Farm Act has no

5304application to the instant administrative proceeding. Wilson v.

5312Palm Beach Co. , 62 So. 3d 1247 (Fla. 4th DCA 2011).

5323In any event, because the undersigned h as determined that

5333revitalization must fail for the reasons stated above, it is

5343unnecessary to specifically address all of PetitionersÓ other

5351arguments against revitalization. However, the undersigned has

5358considered PetitionersÓ other arg uments , and they are all

5367rejected as without merit.

5371COPIES FURNISHED:

5373Ryan D. Poliakoff, Esquire

5377Backer, Aboud, Poliakoff, and Foelster, LLP

5383Suite 420

5385400 South Dixie Highway

5389Boca Raton, Florida 33432

5393(eServed)

5394Stephen J. Byers

53977396 Skyline Drive

5400De lray Beach, Florida 33446

5405(eServed)

5406Donald Joseph Thomas, Esquire

5410Lewis and Thomas

5413Suite 200

5415165 East Palmetto Park Road

5420Boca Raton, Florida 33432 - 4818

5426(eServed)

5427Katie Zimmer, Agency Clerk

5431Department of Economic Opportunity

5435Caldwell Building

5437107 East M adison Street

5442Tallahassee, Florida 32399 - 4128

5447(eServed)

5448James W. Poppell, General Counsel

5453Department of Economic Opportunity

5457Caldwell Building , MSC 110

5461107 East Madison Street

5465Tallahassee, Florida 32399 - 4128

5470(eServed)

5471Cissy Proctor, Executive Director

5475Department of Economic Opportunity

5479Caldwell Building

5481107 East Madison Street

5485Tallahassee, Florida 32399 - 4128

5490(eServed)

5491NOTICE OF RIGHT TO SUBMIT EXCEPTIONS

5497All parties have the right to submit written exceptions within

550715 days from the date of this Recommended Order. Any exceptions

5518to this Recommended Order should be filed with the agency that

5529will issue the Final Order in this case.

Select the PDF icon to view the document.
PDF
Date
Proceedings
PDF:
Date: 05/30/2017
Proceedings: Agency Final Order filed.
PDF:
Date: 05/25/2017
Proceedings: Agency Final Order
PDF:
Date: 02/24/2017
Proceedings: Recommended Order
PDF:
Date: 02/24/2017
Proceedings: Recommended Order (hearing held July 15 and December 1, 2016). CASE CLOSED.
PDF:
Date: 02/24/2017
Proceedings: Recommended Order cover letter identifying the hearing record referred to the Agency.
PDF:
Date: 02/01/2017
Proceedings: Respondent's Proposed Recommended Order filed.
PDF:
Date: 02/01/2017
Proceedings: Petitioner, Erich Nikorowicz, Proposed Recommended Order filed.
PDF:
Date: 02/01/2017
Proceedings: Proposed Finding of Facts, Conclusions of Law, and Proposed Recommended Order filed.
PDF:
Date: 12/13/2016
Proceedings: Respondent's Notice of Filing Supplemental Pages to Correct Exhibit K filed.
PDF:
Date: 12/01/2016
Proceedings: Notice of Filing Exhibit #41 (filed in Case No. 15-007237).
PDF:
Date: 11/30/2016
Proceedings: Notice of Witness (filed in Case No. 15-007237).
PDF:
Date: 11/29/2016
Proceedings: Respondent's Objection to Notice of Rebuttal Witness filed.
PDF:
Date: 11/28/2016
Proceedings: Notice of Court Reporter (filed in Case No. 15-007237).
PDF:
Date: 11/28/2016
Proceedings: Notice of Rebuttal Witness (filed in Case No. 15-007237).
PDF:
Date: 10/10/2016
Proceedings: Order Granting Continuance and Re-scheduling Hearing by Video Teleconference (hearing set for December 1, 2016; 9:00 a.m.; West Palm Beach and Tallahassee, FL; amended as to ).
PDF:
Date: 10/06/2016
Proceedings: Motion for Continuance of October 11, 2016 filed.
PDF:
Date: 09/30/2016
Proceedings: Notice of Court Reporter filed.
PDF:
Date: 07/27/2016
Proceedings: Notice of Hearing by Video Teleconference (hearing set for October 11, 2016; 9:00 a.m.; West Palm Beach and Tallahassee, FL).
PDF:
Date: 07/27/2016
Proceedings: Notice of Availability of Robert Bakeris, Esq. filed.
Date: 07/25/2016
Proceedings: CASE STATUS: Status Conference Held.
PDF:
Date: 07/25/2016
Proceedings: Notice of Availability filed.
PDF:
Date: 07/21/2016
Proceedings: Notice of Filing Missing Exhibit Page Byers: 000265 filed.
Date: 07/15/2016
Proceedings: CASE STATUS: Hearing Partially Held; continued to date not certain.
PDF:
Date: 07/12/2016
Proceedings: Respondent's Supplemental Pre-hearing Stipulation filed.
Date: 07/11/2016
Proceedings: CASE STATUS: Pre-Hearing Conference Held.
PDF:
Date: 07/11/2016
Proceedings: Order Allowing Testimony by Telephone.
PDF:
Date: 07/11/2016
Proceedings: Supplement to Byers Pre-hearing Statement filed.
PDF:
Date: 07/08/2016
Proceedings: Byers Pre-hearing Statement filed.
PDF:
Date: 07/08/2016
Proceedings: Byers Pre-hearing Statement (filed in Case No. 15-007237).
PDF:
Date: 07/08/2016
Proceedings: Joint Pre-Hearing Stipulation of Petitioner Nikorowicz and Respondent filed.
PDF:
Date: 05/31/2016
Proceedings: Respondent's, Antiquers Aerodrome, Inc.'s, Response to Petitioner, Stephen J. Byers', Amended Request for Admissions filed.
PDF:
Date: 05/06/2016
Proceedings: Petitioner, Stephen Byers', Amended Request for Admissions (Part 2 of 2, filed in Case No. 15-007237).
PDF:
Date: 05/06/2016
Proceedings: Petitioner Stephen Byers' Request for Admissions Amended (to correct omission in request paragraph 12) (Part 1 of 2) (filed in Case No. 15-007237).
PDF:
Date: 05/03/2016
Proceedings: Petitioner, Stephen Byers', Request for Admissions (Part 2 of 2, filed in Case No. 15-007237).
PDF:
Date: 05/03/2016
Proceedings: Petitioner, Stephen Byers', Request for Admissions (Part 1 of 2, filed in Case No. 15-007237).
PDF:
Date: 04/26/2016
Proceedings: Order Granting Continuance and Re-scheduling Hearing (hearing set for July 15, 2016; 9:00 a.m.; West Palm Beach, FL).
PDF:
Date: 04/15/2016
Proceedings: Motion/Petition for Continuance filed.
PDF:
Date: 04/14/2016
Proceedings: Order Denying Motion to Set Live In-person Hearing.
PDF:
Date: 04/11/2016
Proceedings: Motion to Set Live In-person Hearing filed.
PDF:
Date: 04/11/2016
Proceedings: Motion to Set Live In-person Hearing (filed in Case No. 15-007237).
PDF:
Date: 04/07/2016
Proceedings: Stipulation and Consent to Substitution of Counsel filed.
PDF:
Date: 03/10/2016
Proceedings: Respondents, Antiquers Aerodrome, Inc.'s, Response and Objection to Petitioners, Stephen J. Byers', First [sic] Request for Production of Documents filed.
PDF:
Date: 03/10/2016
Proceedings: Respondents, Antiquers Aerodrome, Inc.'s, Response and Objection to Petitioners, Stephen J. Byers', First [sic] Request for Production of Documents (filed in Case No. 15-007237).
PDF:
Date: 02/12/2016
Proceedings: Order Granting Continuance and Re-scheduling Hearing by Video Teleconference (hearing set for April 27, 2016; 9:00 a.m.; West Palm Beach, FL).
PDF:
Date: 02/12/2016
Proceedings: Respondents, Antiquers Aerodrome, Inc.'s, Response to Petitioner's, Erich Nikorowiczs, First Set of Interrogatories filed.
PDF:
Date: 02/12/2016
Proceedings: Respondents, Antiquers Aerodrome, Inc.'s, Response and Objection to Petitioner's, Stephen J. Byers, First Request for Production of Documents filed.
PDF:
Date: 02/12/2016
Proceedings: Respondents, Antiquers Aerodrome, Inc.'s, Response and Objection to Petitioner's, Stephen J. Byers, First Request for Production of Documents (filed in Case No. 15-007237).
PDF:
Date: 02/12/2016
Proceedings: Petitioner's First Request for Production of Documents to Respondent, Antiquers Aerodrome, Inc. filed.
PDF:
Date: 02/12/2016
Proceedings: Petitioner's First Request for Production of Documents to Respondent, Antiquers Aerodrome, Inc. filed.
PDF:
Date: 02/11/2016
Proceedings: Motion/Request for Continuance filed.
PDF:
Date: 02/11/2016
Proceedings: Motion/Request for Continuance (filed in Case No. 15-007237).
PDF:
Date: 02/11/2016
Proceedings: Respondent's, Antiquers Aerodrome, Inc.'s, Response to Petitioner's, Erich Nikorowicz's, Request for Admissions filed.
PDF:
Date: 02/11/2016
Proceedings: Respondent's, Antiquers Aerodrome, Inc.'s, Response and Objection to Petitioner's, Erich Nikorowicz's, First Request for Production of Documents filed.
PDF:
Date: 02/02/2016
Proceedings: Petitioner's First Request for Production of Documents to Respondent, Antiguers Aerodrome, Inc., filed.
PDF:
Date: 01/29/2016
Proceedings: Petitioner's Notice of Service of First Set of Interrogatories filed.
PDF:
Date: 01/13/2016
Proceedings: Petitioner Erich Nikorowicz's Request for Admissions filed.
PDF:
Date: 12/31/2015
Proceedings: Notice of Hearing (hearing set for March 4, 2016; 9:00 a.m.; West Palm Beach, FL).
PDF:
Date: 12/31/2015
Proceedings: Order of Pre-hearing Instructions.
PDF:
Date: 12/29/2015
Proceedings: Order of Consolidation (DOAH Case Nos. 15-7236 amd 15-7237)).
PDF:
Date: 12/28/2015
Proceedings: (Petitioner's) Joint Response to Initial Order filed.
PDF:
Date: 12/21/2015
Proceedings: Initial Order.
PDF:
Date: 12/18/2015
Proceedings: Petition for Administrative Proceedings filed.
PDF:
Date: 12/18/2015
Proceedings: Antiquers Aerodrome, Inc., Revitalization of Restrictive Convenants filed.
PDF:
Date: 12/18/2015
Proceedings: Agency referral filed.

Case Information

Judge:
DARREN A. SCHWARTZ
Date Filed:
12/18/2015
Date Assignment:
12/21/2015
Last Docket Entry:
05/30/2017
Location:
West Palm Beach, Florida
District:
Southern
Agency:
ADOPTED IN TOTO
 

Counsels

Related Florida Statute(s) (17):