United States Blood Bank, Inc. v. Agency for Workforce Innovation
85 So. 3d 1139
| Fla. Dist. Ct. App. | 2012Background
- Predecessor USBB, a Delaware corporation, merged into USBB Acquisition Corp. and became successor USBB, a Florida corporation.
- Florida Department of Revenue concluded there was common ownership/management/control at the time of the transfer, leading to a higher unemployment tax rate.
- Agency for Workforce Innovation affirmed the Department’s increased unemployment compensation rate.
- 66 employees were transferred from predecessor USBB to successor USBB.
- Sotolongo served as director of both corporations, and corporate records show common management; the Special Deputy relied on these facts in concluding common ownership/management.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether there was common ownership/management/control at the transfer | Sotolongo's dual-directorship plus records show common management | Special Deputy’s findings supported by corporate records and filings | Yes; there was common management and the transfer triggered 443.131(g) consequences |
| Whether the transfer violated 443.131(g) or its purposes | Not argued explicitly in the record here; focus on evidence of control | Agency determined substantial purpose to reduce contributions; rates were increased | Agency findings supported; transfer tied to increased rate under law |
Key Cases Cited
- I.B., ex rel. R.B. v. State, Agency for Health Care Admin., 87 So.3d 6 (Fla. 3d DCA 2012) (competent evidence review for agency findings; de novo on law)
- Dorcely v. State Dep’t of Bus. & Prof. Regulation, 22 So.3d 834 (Fla. 4th DCA 2009) (de novo review of agency conclusions of law)
- Palm Beach Cnty. Canvassing Bd. v. Harris, 772 So.2d 1273 (Fla. 2000) (deference to agency statutory interpretation; findings of fact reviewed for substantial evidence)
- Salinas v. E. Aero Marine, 908 So.2d 1169 (Fla. 3d DCA 2005) (competent, substantial evidence standard for agency findings)
- Maynard v. Fla. Unemployment Appeals Comm’n, 609 So.2d 143 (Fla. 4th DCA 1992) (standards for reviewing unemployment appeals decisions)
- His Kids Daycare v. Fla. Unemployment Appeals Comm’n, 904 So.2d 477 (Fla. 1st DCA 2005) (fact-finder credibility and weighing of evidence)
- I.B., ex rel. R.B. v. State, Agency for Health Care Admin., 87 So.3d 6 (Fla. 3d DCA 2012) (agency findings subject to competent, substantial evidence; law de novo)