Larson vs Lesser

case-law_2Larson v. Lesser

106 So.2d 188 (1958)

J. Edwin LARSON, State Treasurer of the State of Florida, as Insurance Commissioner of the State of Florida, Appellant, v. Melvin M. LESSER, Appellee.

Supreme Court of Florida.

November 5, 1958.

Richard W. Ervin, Atty. Gen., and Allan F. Milledge, Asst. Atty. Gen., for appellant.

Cypen, Salmon & Cypen and Michael H. Salmon, Miami Beach, for appellee.

*189 THORNAL, Justice.

Appellant Larson, who was defendant below in a declaratory judgment proceeding, seeks reversal of a final decree declaring Section 636.261, Florida Statutes 1957, F.S.A., to be unconstitutional.

The point to be determined is whether the cited statute constitutes an invalid attempt to invade the appellee’s right to contract.

Appellee Lesser was engaged in the business of a “public adjuster” as defined by Section 636.23, Florida Statutes, F.S.A. He advertised his business publicly and in addition directly solicited contracts for his services. The record reveals that approximately ninety percent of the business of the appellee was obtained by such direct solicitation. The manner of his operation was simply that when he learned of a loss contemplated by the statute, which we hereafter quote, he contacted the insured and solicited the business. He was paid on a contingent fee basis depending on the ultimate results of any settlement reached. The extent of the services rendered by appellee was that he aided in preparing an inventory of the property lost as the result of a fire; he assisted in fixing a value on such property; he made estimates as to possible salvage values and also assisted in the preparation of the claim to be submitted by the insured. The record reveals that appellee did not undertake to advise the insured as to the legal effect of his insurance contract. He did not undertake to interpret the contract, advise as to the validity of the claim, the possibility of recovery or the necessity for filing suit. >>CLICK TO READ THE ENTIRE CASE>>