Opinion

JOHN KELLERMAN and ROBERT ALLEN v. THE BOARD OF TRUSTEES OF THE CITY OF HOLLYWOOD FIREFIGHTERS' PENSION SYSTEM

Court
District Court of Appeal of Florida
Filed
Jan 5, 2022
Status
Published
Cited by
0 cases
Authority
More cited than 23.2%

The opinion

DISTRICT COURT OF APPEAL OF THE STATE OF FLORIDA

FOURTH DISTRICT

JOHN KELLERMAN and ROBERT ALLEN,

Appellants,

v.

THE BOARD OF TRUSTEES OF THE CITY OF HOLLYWOOD

FIREFIGHTERS’ PENSION SYSTEM and THE CITY OF HOLLYWOOD,

Appellees.

No. 4D20-2349

[January 5, 2022]

Appeal from the Circuit Court for the Seventeenth Judicial Circuit,

Broward County; Jack B. Tuter, Judge; L.T. Case No. 18-27523 CACE (07).

Elliot B. Kula and William D. Mueller of Kula & Associates, P.A., Miami,

and Jared A. Levy of Morgan & Morgan, P.A. West Palm Beach, for

appellants.

Robert D. Klausner, Adam P. Levinson and Blanca T. Greenwood of

Klausner, Kaufman Jensen & Levinson, P.A., Plantation, for appellee

Board of Trustees of The City of Hollywood Firefighters’ Pension System.

J. Robert McCormack of Ogletree, Deakins, Nash, Smoak & Stewart,

P.A., Tampa, for appellee The City of Hollywood.

CIKLIN, J.

John Kellerman and Robert Allen (“the plaintiffs”) appeal a final order

of dismissal entered in favor of the City of Hollywood (“the City”) and the

Board of Trustees of the City of Hollywood Firefighters’ Pension System

(“the Board”). We agree with the plaintiffs’ argument the trial court erred

by dismissing their complaint based on lack of standing. We reverse and

remand for further proceedings.

According to the second amended complaint’s allegations and

attachments, the plaintiffs were each employed as firefighters for the City

for over twenty years and retired in 2002 and 2003, respectively. In 1999,

the firefighters’ union and the City entered into a collective bargaining

agreement (“the 1999 CBA”) that contained a supplemental pension

benefit to “current pension recipients” who had been retired or entered

into the Deferred Retired Options Program (“DROP”) for ten years. In a

fiscal year, if the annual investment return on the pension fund’s assets

exceeded 8%, then eligible recipients would receive a portion of the excess

by way of this supplemental pension benefit, which is known as the “13th

check.” In October 2004, the City passed Ordinance 2004-25, which

provided for the 13th check benefit (“the 2004 Ordinance”).

In relevant part, the 2004 Ordinance provides:

Sec. 12.26. Supplemental pension benefit.

....

4. Eligible recipients for supplemental pension benefit

distribution shall be:

A. Current pension recipients who retired or entered into the

DROP at least ten (10) years prior to September 30th of the

year for which supplemental pension benefits are to be paid.

In 2011, the City passed an ordinance that reduced this benefit, and

the plaintiffs brought a class action suit against the City and the Board,

asserting various claims for breach of contract, violations of constitutional

and statutory law, and declaratory judgment. The Board moved to dismiss

the second amended complaint for lack of standing, arguing that a retiree’s

benefits are fixed to the pension plan in effect at the time he or she retired,

the plaintiffs retired in 2002 and 2003, and the 13th check benefit was

not codified until the 2004 Ordinance was passed, and, thus, the plaintiffs

were not entitled to the 13th check benefit.

The trial court granted the motion to dismiss for lack of standing on the

basis that the plaintiffs retired before 2004:

[T]he allegations in the Complaint demonstrate the existence

of the affirmative defense of standing, namely that Plaintiffs

retired before the 2004 ordinance that Plaintiffs rely upon in

claiming benefits in this case. The Court finds the Board’s

argument on standing well-taken and determines that new

class representatives shall be appointed in this action.

(Emphasis added.) Certain individual counts were also dismissed on other

grounds, but are not challenged on appeal.

2

“This court reviews an order granting a motion to dismiss de novo.”

Abraham & Assocs., Inc. v. Surrey Holding Corp., 939 So. 2d 332, 332 (Fla.

4th DCA 2006). “To rule on a motion to dismiss, a court’s gaze is limited

to the four corners of the complaint, including the attachments

incorporated in it, and all well pleaded allegations are taken as true.”

Swerdlin v. Fla. Mun. Ins. Tr., 162 So. 3d 96, 97 (Fla. 4th DCA 2014)

(citations omitted). “[I]f the face of the complaint contains allegations

which demonstrate the existence of an affirmative defense,” such as

standing, “then such a defense may be considered on a motion to dismiss.”

Llano Fin. Grp., LLC v. Yespy, 228 So. 3d 108, 112 (Fla. 4th DCA 2017)

(quoting Papa John’s Int’l, Inc. v. Cosentino, 916 So. 2d 977, 983 (Fla. 4th

DCA 2005)). However, a court may not look to factual allegations or

exhibits attached to a motion to dismiss to grant such a motion. See

Swerdlin, 162 So. 3d at 97-98.

“Standing requires a sufficient interest in the outcome of litigation

before the court will consider the matter.” Llano Fin. Grp., 228 So. 3d at

112; see also Fla. R. Civ. P. 1.210(a) (“All persons having an interest in the

subject of the action and in obtaining the relief demanded may join as

plaintiffs . . . .”). “A case or controversy exists if a party alleges an actual

or legal injury. An actual injury includes an economic injury for which the

relief sought will grant redress.” Sosa v. Safeway Premium Fin. Co., 73 So.

3d 91, 117 (Fla. 2011) (citations omitted).

The plaintiffs argue on appeal that they are entitled to the 13th check

benefit in accordance with the plain language of the 2004 Ordinance. The

City and the Board maintain that a retiree’s benefits are fixed in

accordance with the pension ordinances in effect at the time of his or her

retirement, and because the plaintiffs retired before the enactment of the

2004 Ordinance, they are not entitled to the 13th check benefit enacted

therein.

Local ordinances such as the 2004 Ordinance “are subject to the same

rules of interpretation as are state statutes; a court interpreting local

ordinances must first look to the plain and ordinary meaning of the words

in the ordinance.” See Town of Longboat Key v. Islandside Prop. Owners

Coal., LLC, 95 So. 3d 1037, 1041 (Fla. 2d DCA 2012). Where a word or

phrase is not defined in a statute, a court may “look to the common,

ordinary dictionary meaning of the word.” Interlatin Supply, Inc. v. S & M

Farm Supply, Inc., 654 So. 2d 254, 255 (Fla. 3d DCA 1995). “If the plain

and ordinary meaning is clear, then ‘other rules of construction and

interpretation are unnecessary and unwarranted.’” Longboat Key, 95 So.

3d at 1041 (quoting Rinker Materials Corp. v. City of N. Miami, 286 So. 2d

552, 554 (Fla. 1973)).

3

The 13th check provision within the 2004 Ordinance states that

“eligible recipients” are “current pension recipients” who have been retired

or in DROP for ten years. “Current pension recipients” and “pension” are

not defined by the 2004 Ordinance. Accordingly, we look to dictionaries

for definitions of those words. Black’s Law Dictionary provides several

relevant definitions for the word “current,” including, “[r]unning; now in

transit; present existence; now in progress; whatever is at present in

course of passage,” and “as applied to current obligations it denotes the

obligations then passing or present in its progress, the service rendered

and the compensation therefor measured by the time of the occurrence of

the event.” Current, BLACK’S LAW DICTIONARY (6th ed. 1990). In relevant

part, “pension” means “[a] regular series of payments made to a person (or

the person’s representatives or beneficiaries) for past services or some type

of meritorious work done; esp., such a series of payments made by the

government.” Pension, BLACK’S LAW DICTIONARY (11th ed. 2019).

“Recipient” means “[s]omeone or something that receives.” Recipient, THE

AMERICAN HERITAGE DESK DICTIONARY (1981).

Consistent with these definitions, the plain and ordinary meaning of

“current pension recipients” includes people who are receiving payments

from the pension fund when the Ordinance was enacted. Thus, under the

plain language of the ordinance, the people eligible to receive the 13th

check include anyone who was receiving pension payments and who had

been retired or in DROP for at least ten years prior to September 30 of the

year for which the 13th check is to be paid. In other words, the 13th check

provision applied to people who were already retired, and it was not merely

a benefit for those who retired on the date the ordinance was passed and

later.

The plaintiffs effectively alleged in the complaint that they were current

pension recipients. They alleged that they retired in 2002 and 2003,

respectively, and that they were current members of the pension system.

They further alleged, “Beginning in 2014, for each of fiscal years 2013

through 2018, [the plaintiffs] each received annual supplemental pension

benefit checks that were based improperly on the Board’s calculations

pursuant to the 2011 Ordinance.” (Emphasis omitted.) Finally, they

alleged that they were injured when their 13th check benefit was reduced

because of the wrongful enactment and/or application of 2011 Ordinance.

These allegations, taken as true, in conjunction with the plain language

of the 2004 Ordinance attached to the complaint, establish an actual

injury. Thus, the plaintiffs sufficiently alleged standing.

4

We reverse and remand for further proceedings.

Reversed and remanded.

GROSS and DAMOORGIAN, JJ., concur.

* * *

Not final until disposition of timely filed motion for rehearing.

5

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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