Suit claiming Miami overcharged $76M in building permit fees stays alive
A lawsuit filed by city of Miami property owners seeking to get refunded more than $75 million in “excessive” building permit fees collected by the city for more than a decade will move forward, a decision that could potentially lead to refunds for thousands of property owners, an appeals court ruled Wednesday.
The city, the lawsuit alleges, should be ordered to pay back the surplus money it earned after turning permit fees into a “hidden profit reservoir.” The suit was filed in 2022 on behalf of Fox One LLC, which paid more than $200 for a permit for work done on a Little Havana commercial property that housed a small diner and a money-wiring business.
READ MORE: Lawsuit claims Miami overcharged building permit fees for years, seeks $76 million refund
The lawsuit evolved into a class action — and ended up before the 3rd District Court of Appeal after Miami-Dade Circuit Court Judge Thomas Rebull dismissed a complaint in 2024. The dismissal barred the owners from recovering damages.
“This is a big victory for residents and feepayers in the City of Miami, who are one important step closer to recovering tens of millions of dollars in building permit and inspection fees that the City unlawfully charged and retained,” attorneys Simon Ferro, Alexander Fox and Scott Cosgrove said on Thursday.
In a six-page opinion, Judge Bronwyn Miller said the dismissal should be reversed, so a court could resolve whether fees paid before an amendment to a state law, which banned municipalities from retaining surpluses from building permits, could be recovered. Among the claims dismissed were from property owners who, the suit claims, were overcharged in 2017 and 2018, years before the 2019 amendment was enacted.
The suit could include anyone who pulled construction permits to renovate or construct apartment, condo and office buildings, according to the Herald’s previous reporting. It wouldn’t impact the average homeowner as the fees in question didn’t apply to permits for single-family homes or duplexes.
Thousands of property owners could get money back, if the suit succeeds, Fox previously told the Herald.
The fee-related allegations in the lawsuit mirror another set of fees that a court struck down.
In 1998, the city, facing bankruptcy, created a “fire rescue” fee to fill budget gaps, ranging from less than $100 to several thousand dollars for some property owners.
The city collected more than $100 million over about four years before the courts declared the fees were partially illegal. In 2009, Miami shelled out more than $15.5 million to refund people who paid the fees.
This story was originally published December 5, 2025 at 11:01 AM.
