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FLORIDA RECORD

Saturday, September 28, 2024

Fishing Company Alleges Fraudulent Misrepresentation Against Yacht Broker

State Court
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A Florida-based fishing company is taking legal action against a yacht broker and two individuals, accusing them of fraudulent misrepresentation in the sale of a high-performance vessel. The complaint was filed by Royal Fishing Team, LLC in the Circuit Court of the Fifteenth Judicial Circuit in Palm Beach County on July 2, 2024, targeting Luke Davis, HMY Yacht Sales, Inc., and Joseph Davis.

According to the lawsuit, Royal Fishing Team alleges that they were misled into purchasing a 40-ft 2023 Barker Boatworks vessel based on false information provided by the defendants. The plaintiff claims that Joseph Davis, through his nephew Luke Davis and HMY Yacht Sales, listed the boat for sale with a purported fuel capacity of 770 gallons. This specification was crucial for Royal Fishing Team's decision-making process as they sought a high-performance vessel with substantial fuel capacity. Brandon Roy, representing Royal Fishing Team, reviewed the listing and expressed interest based on this key feature.

On March 4, 2024, Brandon Roy and Royal’s broker Brandon Wilson traveled to Jupiter, Florida to inspect the vessel. During this inspection, Luke Davis allegedly confirmed that the boat had a fuel capacity of 770 gallons. However, it later emerged that this claim was false; Joseph Davis had opted out of the higher fuel capacity during manufacturing. Consequently, Royal Fishing Team purchased the vessel for $985,000—a price inflated by at least $125,000 due to the misrepresented fuel capacity.

The complaint includes three counts: violations of Florida’s Deceptive and Unfair Trade Practices Act (FDUTPA), fraud in the inducement, and negligent misrepresentation. The first count asserts that all defendants engaged in fraudulent or negligent misrepresentations about the vessel's specifications during their business operations as yacht brokers or sellers. These actions are claimed to have directly caused financial harm to Royal Fishing Team.

The second count accuses the defendants of intentionally making false statements about material facts concerning the boat's fuel capacity with knowledge of their falsity and intent to deceive potential buyers like Royal Fishing Team. As a result of these alleged fraudulent statements, Royal Fishing Team was induced into purchasing the vessel under false pretenses.

The third count addresses negligent misrepresentation. It contends that even if there was no intentional deceit involved, the defendants should have known their statements were false when made. The reliance on these incorrect statements led to financial damages for Royal Fishing Team.

Royal Fishing Team seeks various forms of relief from the court including compensatory damages exceeding $50,000 exclusive of interest and costs as well as attorney’s fees as stipulated under FDUTPA. They also demand a jury trial for all triable issues.

Representing Royal Fishing Team is Heather A. DeGrave from Walters Levine & DeGrave law firm based in Tampa. The case has been assigned Case Number 502024CA006232XXXAMB.

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