Air Turbine Technology, Inc. v. Quarles & Brady, LLC, Quarles & Brady, LLP and Richard Horn
165 So. 3d 816
Fla. Dist. Ct. App.2015Background
- Air Turbine Technology, Inc. sued Quarles & Brady and Horn for legal malpractice over advice about exposure to Atlas Copco’s attorney’s fees.
- Private Brand Agreement allowed recovery of ‘legal costs and expenses’ but not expressly attorney’s fees.
- Air Turbine relied on Horn’s assurance that fee exposure did not exist; rejected a $500,000 settlement based on that advice.
- At federal court, Atlas Copco prevailed on two claims; Air Turbine’s fee exposure issue was litigated under Florida law.
- Florida trial and appellate courts ruled that the contract’s costs/expenses language did not include attorney’s fees; judgmental immunity was invoked to shield the attorney.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Malpractice based on fee-exposure advice | Air Turbine asserts Horn misadvised on fee exposure. | Horn’s advice aligned with Florida law on costs/expenses. | No malpractice; advice correct. |
| Judgmental immunity applicability | Immunity should not bar review of bad advice. | Good faith, diligent inquiry; immunity applies. | Judgmental immunity applies; no liability. |
| Interpretation of ‘legal costs and expenses’ clause | Clause should include attorney’s fees. | Florida law excludes attorney’s fees absent explicit inclusion. | Excludes attorney’s fees; no liability. |
Key Cases Cited
- Air Turbine Tech., Inc. v. Atlas Copco AB, 336 F. App’x 986 (Fed. Cir. 2009) (contract interpretation of costs/expenses; fees not included without express language)
- Crosby v. Jones, 705 So. 2d 1356 (Fla. 1998) (judgmental immunity; good faith may shield error in unsettled law)
- Dade Cnty. v. Peña, 664 So. 2d 959 (Fla. 1995) (American Rule; strict construction of fee-shifting provisions)
- Miller v. Miller, 107 So. 3d 430 (Fla. 4th DCA 2012) (strict construction of attorney’s fees provisions in contracts)
- Wendel v. Wendel, 852 So. 2d 277 (Fla. 2d DCA 2003) (costs/expenses vs. attorney’s fees; express inclusion required)
