Florida Court Rules Unlicensed Contractors Can Still Enforce Condo Contracts

In a decision that could influence hurricane-related insurance claims in Florida, the 3rd District Court of Appeals ruled that an unlicensed status does not automatically invalidate storm-remediation contracts. The case involved Incident365 Florida, a mold remediation contractor that had sued Ocean Pointe Condominium Associations for non-payment after performing $1.4 million worth of work following Hurricane Irma. The lower court sided with the condo associations, arguing that the unlicensed contractor rendered the contract void. However, the appeals court disagreed, explaining that the type of work performed did not necessarily require a building contractor’s license under Florida law.

The case highlights the importance of understanding licensing requirements in storm remediation, particularly in cases involving mold and water damage. Although this decision does not eliminate the defense of contract unenforceability for unlicensed contractors in all cases, it emphasizes the need to evaluate the specific scope of work performed. This ruling could impact ongoing litigation, especially following the damage from Hurricanes Helene and Milton.