The Florida Division of Administrative Hearings (DOAH) has filed an emergency petition with the 2nd District Court of Appeal, asking it to immediately allow the agency to resume deciding Citizens Property Insurance Corp. claims disputes.
This move comes after a Hillsborough County circuit judge halted the process.
Circuit Judge Melissa M. Polo issued a temporary injunction on August 1st, ruling that the new arbitration process—which allows Citizens to resolve claims disputes through administrative law judges at DOAH instead of traditional lawsuits—is likely unconstitutional. The process was approved by Florida lawmakers in 2023 as part of an effort to curb costly insurance litigation.
DOAH’s lawyers, including former Florida Supreme Court Justice Alan Lawson, argue that Judge Polo “overstepped her authority” and that her ruling has “indefinitely” put on hold all pending Citizens arbitration cases.
- The petition states that 390 Citizens policyholders are currently awaiting resolution of their disputes.
- It warns that the order “completely shuts down the claims dispute resolution procedure” and will irreparably harm DOAH, Citizens, and the thousands of policyholders whose claims will be “in limbo.”
- The agency asserts that the Hillsborough trial court lacks jurisdiction to prohibit DOAH from continuing to arbitrate disputes statewide and that DOAH was improperly blocked without being given notice or an opportunity to be heard as a party in the case.
Citizens Property Insurance Corp., the state’s insurer of last resort, has also appealed Judge Polo’s underlying ruling.
The judge’s decision to vacate an automatic stay—which would typically pause her injunction while Citizens appealed—is what prompted DOAH’s direct and unusual emergency appeal to the 2nd District Court of Appeal.
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