(1) Any owner, contractor, subcontractor, or sub-subcontractor, in making any payment under, or properly applicable to, any contract to one with whom she or he has a running account, or with whom she or he has more than one contract, or to whom she or he is otherwise indebted, shall designate the contract under which the payment is made or the items of account to which it is to be applied. If she or he shall fail to do so or shall make a false designation, she or he shall be liable to anyone suffering a loss in consequence for the amount of the loss.
(2) When a payment for materials is made to a subcontractor, sub-subcontractor, or materialman, the subcontractor, sub-subcontractor, or materialman shall demand of the person making the payment a designation of the account and the items of account to which the payment is to apply. In any case in which a lien is claimed for materials furnished by a subcontractor, sub-subcontractor, or materialman, it is a defense to the claim, to the extent of the payment made, to prove that a payment made by the owner to the contractor for the materials has been paid over to the subcontractor, sub-subcontractor, or materialman, and to prove also that when such payment was received by such subcontractor, sub-subcontractor, or materialman she or he did not demand a designation of the account and of the items of account to which the payment was to be applied or, receiving a designation of its application to the account for the materials, she or he failed to apply the payment in accordance therewith. This subsection is cumulative to any other defenses available to the person paying the materialman, subcontractor, or sub-subcontractor.
History.—s. 1, ch. 63-135; s. 35, ch. 67-254; s. 7, ch. 77-353; s. 9, ch. 90-109; s. 808, ch. 97-102.
Note.—Former s. 84.141.
Structure Florida Statutes
Title XL - Real and Personal Property
Chapter 713 - Liens, Generally
Part I - Construction Liens (Ss. 713.001-713.37)
713.001 - Short title of part.
713.012 - Written notices, demands, or requests.
713.015 - Mandatory provisions for direct contracts.
713.02 - Types of lienors and exemptions.
713.03 - Liens for professional services.
713.04 - Subdivision improvements.
713.05 - Liens of persons in privity.
713.06 - Liens of persons not in privity; proper payments.
713.09 - Single claim of lien.
713.11 - Liens for improving land in which the contracting party has no interest.
713.13 - Notice of commencement.
713.132 - Notice of termination.
713.135 - Notice of commencement and applicability of lien.
713.14 - Application of money to materials account.
713.15 - Repossession of materials not used.
713.16 - Demand for copy of contract and statements of account; form.
713.165 - Request for list of subcontractors and suppliers.
713.17 - Materials not attachable for debts of purchaser.
713.18 - Manner of serving notices and other instruments.
713.20 - Waiver or release of liens.
713.235 - Waivers of right to claim against payment bond; forms.
713.24 - Transfer of liens to security.
713.245 - Conditional payment bond.
713.25 - Applicability of ch. 65-456.
713.30 - Other actions not barred.
713.31 - Remedies in case of fraud or collusion.
713.32 - Insurance proceeds liable for demands.
713.33 - Disbursing agent and others may rely on owner’s notices.
713.345 - Moneys received for real property improvements; penalty for misapplication.
713.346 - Payment on construction contracts.
713.3471 - Lender responsibilities with construction loans.