Palm Beach Savings & Loan Association, F.S.A. v. Fishbein

619 So. 2d 267 (1993)

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Palm Beach Savings & Loan Association, F.S.A. v. Fishbein

Florida Supreme Court
619 So. 2d 267 (1993)

AR

Facts

During the dissolution of his marriage to Deborah Fishbein (defendant), Lawrence obtained a loan from Palm Beach Savings & Loan Association, F.S.A. (plaintiff). Lawrence forged Fishbein’s signature on the loan documents and used the loan proceeds to pay off three existing mortgages on the family home. Ultimately, Lawrence went to jail, and Fishbein received the home in the divorce decree. Palm Beach Savings moved to foreclose on the home, but Fishbein claimed that the home was her homestead and could not be foreclosed upon under the terms of the Florida Constitution. The trial court agreed with Fishbein that the home could not be foreclosed upon but permitted an equitable lien on the home to the extent that Palm Beach Savings’ loan was used to pay preexisting mortgages and unpaid taxes. Fishbein appealed, and the appeals court ruled that Palm Beach Savings could not have an equitable lien on the homestead. Palm Beach Savings appealed to the Florida Supreme Court.

Rule of Law

Issue

Holding and Reasoning (Grimes, J.)

Dissent (Shaw, J.)

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