Fla. Owner's Refusal to Pay Terminates Contract and Arbitration Provision

WEST PALM BEACH, Fla. - A country club effectively terminated a construction contract and its arbitration provision by halting payments to a contractor after learning that mold remediation would increase the price of remodeling, a Florida appellate court affirmed July 20. Aberdeen Golf & Country Club v. Bliss Construction, No. 4D04-2545 (Fla. Ct. App., 4th Dist.).

Two judges of Florida's 4th District Court of Appeal agreed that Aberdeen Golf & Country Club could not compel arbitration of its dispute with Bliss Construction Inc. after halting payments to Bliss. A third judge dissented, saying neither party ever sought to terminate or …