A pair of resort companies asked a Florida state judge for partial summary judgment in their suit accusing business firm Berger Singerman LLP of legal malpractice for mishandling their hurricane damage insurance suit, arguing that existing evidence already backs their claims.

ARC Resorts LLC and American Resort Coalition Inc. said Sunday that a jury trial is unnecessary to determine the validity of their claims of unjust enrichment and breach of fiduciary duty  against Berger Singerman and partner Michael Higer due to the evidence they have already provided.

"The record, built almost entirely on defendants' own documents and admissions, shows a calculated betrayal of fiduciary duties for financial gain," the resort companies' motion said. "Defendants' actions are not just a matter of professional negligence; they constitute clear, unambiguous violations of the rules regulating the Florida bar, for which there is no genuine dispute of material fact."

The resort companies first sued Berger Singerman last November, accusing the firm and Higer of breaching their fiduciary duty, committing legal malpractice and failing to "properly perfect" a statutory bad faith claim under a certain insurance-related Florida statute.

The case stems from damage during 2016's Hurricane Matthew to the Americano, a nine-story, 200-room timeshare and hotel building in Daytona Beach with amenities like a health spa, laundry and other guest services. The Americano was insured for building damages and business interruption as a result of the damages.

Berger Singerman was initially retained as joint counsel for the two plaintiffs along with a third party, Americano Beach Lodge Resort Condominium Association Inc., to handle an insurance claim matter related to the building damage. When a conflict of interest arose due to a business interruption claim by ARC and American Resort, the resort companies said the firm violated Rules 4-1.7 and 4-1.9 of the Florida Rules of Professional Conduct by continuing to represent Americano while unilaterally dropping them as clients in the matter.

"The undisputed evidence establishes that defendants violated their duties of loyalty and confidentiality by continuing to represent a client after a conflict arose, dropping their other clients like 'hot potatoes,' and then representing an adverse party, all without the required informed written consent," the resort companies' motion said.

The resort companies added that Berger Singerman violated its fiduciary duties to them by using information from a forensic accounting report gained during its prior representation.

Because of its violation of fiduciary duties, the resort companies said, it can be proven that Berger Singerman unjustly obtained a $700,000 legal fee from its representation of Americano, adding that they should be provided with a full record of the finances of the matter and that the firm should return any funds illegally obtained.

"Because defendants secured a substantial legal fee as a direct result of their ethical breaches, that fee is voidable under well-settled Florida law. It is inequitable for defendants to retain a fee earned from a representation tainted by disloyalty and conflicts of interest," the resort companies' motion said. "As a direct remedy for the breach of fiduciary duty and unjust enrichment, plaintiffs are entitled to a full accounting of the settlement funds and fees defendants obtained and to the disgorgement of all wrongfully obtained benefits."

Counsel for Berger Singerman declined to comment on the matter beyond stating that a response will be provided by Dec. 19.

ARC Resorts and American Resort Coalition are represented by Theodore A. Corless of Corless Law Group.

Berger Singerman is represented by David P. Ackerman, John L. Dicks II and Monica M. Kovecses of Akerman LLP.

The case is ARC Resorts LLC v. Michael Higer et al., case number 2024-13748-CICI, in the Seventh Judicial Circuit Court of Florida.