United States v. Associated Developers of Florida, Inc.

The United States of America (United States) and the State of Florida (State) appeal a final judgment absolving the surety, Auto-Owners Insurance Company, from liability for the receiver’s failure to pay certain tax monies to each government. We reverse.

Several plaintiffs holding mortgages on country club property filed a petition for the appointment of a receiver to continue the business. The trial court granted the petition, effective June 25, 1975, and appointed Frank Mize Jr., receiver of the financially troubled club. The receiver was ordered to “attempt” to keep the property in a good…