In short: The Third DCA upheld a judgment enforcing a personal guaranty given to an excavation contractor. The guarantor’s no-consideration and conditions-precedent defenses were fact disputes the trial judge resolved, so they failed on appeal. The judgment was corrected to run only against the individual guarantor, not his company, and reduced by about $25,000.
The Facts
Master Excavators, Inc. sued to enforce a personal guarantee that David Paul had signed in its favor. After a trial in Miami-Dade circuit court, the judge entered a final judgment of $933,617.43 against both Paul and his company, Demida Miami Gardens, LLC.
On appeal, Paul and the company argued the guarantee could not be enforced for two reasons: Master gave nothing in exchange for it (no consideration), and Master had not met the conditions that had to happen before the guarantee could be called. They also argued the judgment wrongly named the company, since the guarantee was Paul’s personal promise, and that it was larger than the amount Master had asked for at trial.
The video title frames the case around a lien that had been wiped out and whether the contractor could still collect on the guaranty. The opinion itself does not discuss any lien; it addresses only the guarantee defenses and the form of the judgment.
The Decision
The Third District rejected both defenses. The court said consideration and conditions precedent were hotly disputed at trial, and while some evidence supported the guarantor, other competent, substantial evidence contradicted it. An appellate court does not re-weigh evidence or decide which witnesses to believe, so the trial judge’s findings stood.
Master conceded the other two errors. The court sent the case back for a corrected judgment against Paul alone, reduced to $908,292.39. Everything else in the judgment was affirmed.
The Law
A guaranty is a promise to pay someone else’s debt if that person does not. Under Florida’s statute of frauds, section 725.01, that kind of promise must be in writing and signed by the guarantor. Like any contract, it also needs consideration, and if it says certain things must happen before the creditor can demand payment (notice, a demand on the main debtor, and so on), the creditor generally must prove those things happened.
Whether those requirements were met is usually a question of fact. Once a trial judge decides a fact question on conflicting evidence, the appellate court will leave that finding alone if competent, substantial evidence supports it. That is why most guaranty disputes are won or lost at trial, not on appeal. A guaranty also binds only the person who signed it in that capacity; a company is not liable on its owner’s personal guarantee just because the two are related.
Current law (2026): Section 725.01 (statute of frauds) is unchanged in substance since 1998; 2026 text confirmed on flsenate.gov.
Lessons
- If you sign a personal guaranty, assume you will be held to it. Defenses like lack of consideration are fact fights that rarely succeed on appeal.
- Build your record at trial. Appeals courts do not re-weigh evidence or second-guess credibility calls.
- Check who the judgment names. A personal guarantee binds the guarantor, not his business entity, unless the entity also signed.
- Check the numbers. A judgment cannot exceed what the creditor proved and asked for; here that error was conceded and fixed.
Source: Demida Miami Gardens, LLC v. Master Excavators, Inc., No. 3D12-873 — Fla. 3d DCA (February 27, 2013).
Watch the Oral Argument
This is the recording of the actual oral argument, posted on the channel. What lawyers and judges say at argument is not the ruling; the decision is summarized above.
Lien Wiped Out — Collect on the Guaranty? | Demida v. Master Excavators, 3D12-0873
Go Deeper
- How Appeals Work in Florida: The 30-Day Deadline, Costs, and What a PCA Means
- Florida's Summary Judgment Rule: How Rule 1.510 Ends Cases Without a Trial
Frequently Asked Questions
Is a personal guaranty enforceable in Florida?
Generally yes, if it is in writing, signed by the guarantor, and supported by consideration, as required by Florida’s statute of frauds in section 725.01 and ordinary contract law. Courts enforce guaranties according to their terms, including any conditions the creditor must satisfy before demanding payment.
Can I get out of a guaranty by arguing there was no consideration?
You can raise it, but it is usually a fact question for the trial judge or jury. In Demida, the guarantor’s evidence on this point was contradicted by other evidence, the trial judge sided with the creditor, and the appellate court refused to re-weigh that evidence.
Is my company liable if I personally guaranteed a debt?
Not because of your personal guarantee alone. A guaranty binds whoever signed it in that capacity. In Demida, the creditor conceded the judgment should not have named the guarantor’s LLC, and the appellate court ordered a corrected judgment against the individual only.
Will an appeals court overturn a guaranty judgment if the evidence was disputed?
Rarely. If competent, substantial evidence supports the trial court’s findings, the appellate court will affirm even if other evidence pointed the other way. Appellate courts correct legal errors; they do not retry facts or decide which witnesses were more believable.
Talk to a Florida real estate litigation lawyer
Weidner Law, P.A. handles Florida real estate disputes, title problems and appeals from St. Petersburg. If you need a real estate litigation lawyer, call (727) 954-8752 or email weidner@mattweidnerlaw.com.
Read the law yourself, free: every Florida statute and court rule is on floridarules.net.
This article is general information about Florida law, not legal advice about your situation. Reading it, watching the videos, or contacting the firm does not create an attorney-client relationship. Every case turns on its own facts, and past results do not guarantee a similar outcome. The hiring of a lawyer is an important decision that should not be based solely upon advertisements.
