City of Palm Bay v. Wells Fargo Bank, N.A.
114 So. 3d 924
| Fla. | 2013Background
- Palm Bay Ordinance 97-07 creates superpriority for code enforcement liens recorded after Board orders.
- Code enforcement liens may be recorded under Chapter 162, but the statute contains no express authorization for superpriority.
- Art. VIII, §2(b) of the Florida Constitution and §166.021 grant municipalities broad powers subject to law; preemption can occur even without explicit statutory language.
- Three statutes govern real property priority: recording priority (ch. 28.222, 695.11, 695.01(1)); plus exceptions for certain taxes or special assessments.
- The Fifth District held the Palm Bay provision conflicts with state law and is invalid; Palm Bay sought review in the Florida Supreme Court.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does Palm Bay's superpriority lien provision conflict with state law? | Palm Bay argues broad home rule powers allow exceptions; Legislature may permit similar exceptions. | The ordinance conflicts with priority schemes in ch. 695 and related statutes; preemption by state law. | Yes; ordinance invalid for conflict with state law. |
| May municipalities legislate concurrently with the Legislature on topics not expressly preempted, without explicit preemption? | Municipalities may act concurrently where not expressly preempted and may create exceptions. | Even with concurrent power, actions cannot conflict with state law; exceptions do not authorize conflict. | concurrence exists but cannot conflict with state law; ordinance invalid due to conflict. |
| Is there express preemption of the subject matter by statute that would prohibit Palm Bay's ordinance? | No express prohibition identified in statutes like 162.09 or 695.11. | Implied/preemptive principles show conflict with statewide priority scheme; the subject is preempted. | No express preemption; conflict-based invalidation applies, but the Court ultimately held against the ordinance. |
Key Cases Cited
- Barragan v. City of Miami, 545 So.2d 252 (Fla.1989) (preemption requires clear legislative intent to preempt local regulation)
- Hollywood v. Mulligan, 934 So.2d 1238 (Fla.2006) (concurrent regulation allowed absent express preemption; city powers limited by state law)
- Thomas v. State, 614 So.2d 468 (Fla.1993) (concurrent regulation must not conflict with state law)
- Barragan v. City of Miami, 545 So.2d 252 (Fla.1989) (preemption may be explicit or implied; conflict preemption can apply)
- Argent Mortgage Co., LLC v. Wachovia Bank N.A., 52 So.3d 796 (Fla.5th DCA 2010) (explains priority and recording concepts in Florida)
- Gailey v. Robertson, 123 So. 692 (Fla.1929) (sovereign power may override mortgage priority when proper taxes are imposed)
- First Nationwide Mortg. Corp. v. Brantley, 851 So.2d 885 (Fla.4th DCA 2003) (lien priority depends on statutory nature and purposes)
- Sarasota Alliance for Fair Elections, Inc. v. Browning, 28 So.3d 880 (Fla.2010) (distinguishes implied preemption from express preemption and conflict)
- City of Hollywood v. Mulligan, 934 So.2d 1238 (Fla.2006) (recognizes concurrent power absent express preemption)
- Phantom of Brevard Inc. v. Brevard Cnty., 3 So.3d 309 (Fla.2008) (distinguishes preemption concepts)
