Post-Tiara: Contracts Are Still King Article
Date of Publication:
Recommended Citation
Anthony Palermo and Daniel L. Buchholz, Post-Tiara: Contracts Are Still King, 95 Florida Bar Journal 18 (2022)Clicking on the button will copy the full recommended citation.
This article analyzes a Florida Supreme Court case, as well as the precedent leading up to it and subsequent decisions, which raised important questions about the independent tort doctrine and economic loss rule in contract disputes. Although similar, these two principles are not identical, and they are often confused by litigants and courts alike. That confusion led in part to debate surrounding the contours and even survival of the independent tort doctrine following the Florida Supreme Court's decision in Tiara Condominium Association, Inc. v. Marsh and McLennan Companies, Inc., which limited the application of the economic loss rule. This article asserts, however, that the decision actually confirms the independent tort doctrine's continued application in Florida and further argues that that the doctrine rests on sound principles of efficiency and equity and should be endorsed and applied by Florida courts. The article also provides an overview of the distinction between the independent tort doctrine and economic loss rule, analyzes the court's decision and relevant precedent, and explains why the independent tort doctrine should remain a vital component of Florida contract law.