 Gray's Interesting Cases - August/September 2002
 










|
Preface: Once again this is a two month issue as there was no August meeting due to the Advanced Family Law Seminar which started on August 5, 2002.
- Sprouse v. Sprouse, No. 01-0752, not yet published even in the Sup. Ct. J.
Everyone, or at least me, thought that In re A.D. (73/244) would lay to rest the issue of whether the collection of accrued c/s was subject to any S of L. Altho A.D. held that the F/C collection provisions (which do not currently have a S of L) are not unconstitutional as ex posto facto acts, the Supremes specifically said that they weren't deciding whether such F/C provisions violated §31.006 and 34.001, Tex. Civ. Prac. And Rem. Code or such provisions exceeded the remedial boundaries of the Leg. Was this comment just a throw away or a ray of hope for those attempting to defend against 40 yr. old c/s claims? Apparently a ray of hope. On 8/29/02, the Supremes denied pet. for review in the Sprouse case which was an appeal similar to A.D. but in a per curium opinion they said they were denying review "because of the state of the record" whatever that means. They further said "This case involves an important question - whether the dormancy provisions of §31.006 and 34.001 apply to past-due c/s payments".
Comment If you're defending against one of these old c/s collection cases, plead as a defense §31.006 and 34.001 plus the Leg's violation of its "remedial boundaries" so the Supremes can grant review and decide this issue.
- Stine v. Stewart, 45 Tex. Sup. Ct. J. 37B.
In '84 M. loaned her daughter (W) and son-in-law (H) $100,000 to buy a home. A demand p/n was signed. H & W divorced in '92 with an AID whereby H was to live in the house but upon sale, the balance owing to M ($50,000) would be paid and the remainder split 50/50 between H & W. H sold the house in '95 but there was only $6,800 left to pay M (remember M's p/n was long since barred by the 4 yr. S of L). M sued H as a 3rd party bene. of H & W's divorce AID. T/C ruled for M.
CA reversed holding that M wasn't a donee bene. nor was she a creditor bene. as the original p/n was barred by the S of L and the AID wasn't an acknowledgment of the debt thus relieving the debt.
The Supremes reversed holding that the AID was a sufficient debt acknowledgment under §16.065 Tex. Civ. Prat. & Rem. Code thus H still owed M the unpaid balance of the p/n.
- In re O'Connor, 45 Tex. Sup. Ct. J. 37B.
W hired Atty A to represent her in a divorce/SAPCR case. Atty A represented W thru the temp. hearing whereby W became temp. M/C with visitation rights. W then fired Atty A and hired someone else. On final trial, divorce granted and H & W became JMC's with H having the right to determine the child=s domicile. Later W filed a motion to modify so she would have the right to determine the child's domicile or, alternatively, her visitation rights should be expanded. By the time this matter came to trial, Atty B had become the judge of the T/C. Atty, now judge, B tried the case before a jury and the jury poured W out. After the T/C "entered" a take nothing judgment, W hired a new atty who then filed a motion to disqualify Judge B as he and Atty A were partners when Atty A was representing W. Motion denied and W files mandamus.
The Supremes granted the mandamus and disqualified Judge B (to which I say so what - the Supremes said Judge B had "entered" judgment so all that is left is for W to appeal - could it be that the Supremes meant "rendered" instead of "entered"? - there's a big difference). The Supremes held that altho the divorce and the modification are "distinct statutory schemes that involve different issues per V.L.K. (24/343) they are the same for judicial disqualification when kids are involved, i.e. a SAPCR action. TRCP 18b disqualifies Judge B as his previous partner (Atty A) represented W "in the matter in controversy".
Comment - Initially I thought this might cause a lot of problems but it has been my experience that most family judges were solo's before assuming the bench. If you have a judge who came from a partnership (large or small) and that judge's partner represented a party in a SAPCR, that judge is disqualified from presiding over a subsequent SAPCR action between the parties.
- In the Interest of C.H.A., 45 Tex. Sup. Ct. 38A. TDPRS filed a termination suit against two parents. The jury, by clear and convincing evidence, granted the termination. The parents appealed on both legal and factual sufficiency. The CA struggled with the B of P problem when reviewing a factual sufficiency point - is the standard P of the E; clear and convincing; beyond a reasonable doubt; or something else. The CA came up with new standard whereby that found that the termination evidence did not support a finding that it was "highly probable" that termination was in the child's best interest thus they reversed the T/C.
TDPRS appealed to the Supremes and they reversed finding that in a termination case, factual sufficiency is judged by the standard of "clear and convincing" which is a lesser standard than "highly probable".
Comment - Thank God this issue has been resolved as it has been a constant concern in the trailer parks of East Texas.
Here we go again. Bilyeu v. Bilyeu, No. 03-02-00326-CV, not yet published (CA, Austin). A protective order was rendered against H who filed an appeal. W, represented by the A.G., filed a motion to dismiss claiming that protective orders are interlocutory and not subject to appeal when the divorce between the parties is still pending. Recognizing that the appellate courts of Texas are split every which way (appeals are permitted in Waco, Dallas, Ft. Worth, Corpus but not in El Paso or Tyler), the Austin CA ruled that El Paso's '97 ruling in Ruiz (946/123) was persuasive thus protective orders issued while a divorce is pending are interlocutory and not appealable.
Comment - Altho I think protective orders should be appealable as they can have such a potential damaging effect and our T/C's seem to issue them willy nilly without really applying the law to the facts or vice-a-versa, it sure would be nice for the Supremes to resolve the irreconcilable conflict between our CA's. Will they do so? Remember this is a family law matter which the Supremes are loathed to discuss unless it involves such intellectual issues as standards of review or judicial disqualification.
- Baize v. Baize, No. 14-01-00209-CV, not yet published (CA, Houston- 14th).
H & W divorced per an irrevocable MSA whereby H became the primary JMC of the parties' 6 yr. old child. After the T/C rendered the divorce and approved the MSA but before the judgement was signed, W filed a denial of H's paternity and requested paternity testing. The T/C denied W's request and signed the judgment. W appeals.
Affirmed. The T/C didn't abuse its discretion as W's paternity denial was untimely. If she wanted to contest this issue, she should have raised the issue by pleading prior to rendition.
Comment - Good law. To do otherwise allows W to shoot holes in the MSA which shouldn't happen.
- In re Powell, No.2-02-175-CV, not yet published (CA, Ft. Worth). W filed divorce against H in T County. On 8/1/01 W and the kids move to C County. Divorce decree signed on 1/18/02. On 3/6/02 W filed a motion to modify in T County with a motion to transfer to C County. At the time of W's filing, she and the kids had lived in C County for more than 6 mos.; however, 6 months had not lapsed since the signing of the divorce decree. T/C denied the transfer order and W appeals. CA reversed. For the purpose of a transfer motion, the 6 mo. mandatory transfer period starts when the child establishes his/her residence in a new county even if the divorce decree hasn't been signed.
Comment - What always amazes me is that there is a Sup. Ct. case directly on this point, Tippy v. Walker, 865/928, so how on earth did the T/C deny the transfer? Either W's atty wasn't aware of Tippy or the T/C wasn't aware or choose not to comply with Tippy. Inexcusable in any case.
- Reynolds v. Reynolds, No. 03-01-00212-CV, not yet published (CA, Austin).
On 3/11/79 H & W started living together as H & W and satisfied all requirements for a common law marriage. H & W then moved to VA. where they both continue to reside. H said he and W stopped living together in June '92 whereas W said they split up in Oct. '92 (Boy, lets litigate this issue as it is really material - yeah sure). In June '99 H married another woman but W threatened to sue for divorce. In March '00 H comes to Tex and files a declaratory judgment action seeking a judgment precluding W from asserting any claim of common law marriage as the S of L has long since run (§2.401). W filed responsive pleadings which, if believed, might get around the S of L. T/C granted S/J in H=s favor declaring that H & W were not H & W under Tex. law. W appeals.
CA dismissed without deciding because the declaratory judgment act can only apply where there is a justiciable issue between the parties over which the T/C has juris. Is there such an issue here? Nope. Both H & W live in VA. They couldn't file for divorce here in Texas as neither has satisfied the residency or domicile requirements of the F/C and neither has filed for divorce in Tex (or anywhere else for that matter). Since there is no justiciable issue (divorce) over which the Tex. T/C has or could have juris., it has no juris. under the declaratory judgment act.
- Here we go again- 2nd round. A.G. v. Stevens, No. 01-00-01073-CV, not yet published (Houston-1st). H & W divorced in '89 by which H was ordered to pay c/s which he didn't do. In '96 H was held in contempt, his c/s arrearage was fixed and he was ordered to pay his ongoing c/s plus payments towards the arrearage. H's c/s obligation stopped in March '97 apparently when the oldest child became 18 but he still owed the arrearage so in Feb '98 W was awarded judgment against him for $10,000 plus H was ordered to pay c/s for the youngest child which H did pay. In Aug '99 the SSA found that H had been disabled since June '97; therefore, his youngest child (now over 18) received $7,200 as a dependent disability payment. The A.G. then filed suit to reduce the unpaid $10,000 c/s to judgment. (How can this have been done - it was already reduced to judgment in Feb '98? Picky, picky, picky). The T/C credited the $7,200 received by the oldest son against the $10,000 (plus interest) back c/s and award W a $4,000 judgment which the A.G. appeals.
CA reversed. In a suit to reduce accrued c/s to judgment, the obligor is entitled to certain credits such as providing actual support to the child (§157.008) but no where in the F/C is an obligor entitled to credit for a social security disability payment paid to or for a child. Since nothing in the F/C authorizes this, the T/C can't grant H a credit or offset. The 14th CA recognizes that the San Antonio & Texarkana CA's have authorized such credits (Allsup, 926/323 and Rich, 993/272) but they refused to follow such opinions. They even recognize that §154.132 authorized such a disability credit when setting c/s but held that this doesn't apply when a T/C renders judgment on unpaid c/s.
Comment - According to this case, if W is receiving a dependent disability payment as a result of H's disability, H still owes the full am't of c/s thus W gets paid twice. This ain't right. If it is right, then the F/C should be changed to allow this credit. The 14th could have reached the same result without destroying the disability credit by merely distinguishing Allsup and Rich where the wife got the payment for the child's benefit during the child's minority whereas here the payment was made to the oldest son, not to the wife.
- Knapp v. Knapp, No. 04-01-00345-CV, not yet published (CA, San Antonio).
H was a doctor who was a stockholder in a medical P.A. which had a buy-sell agreement which fixed the value of H's stock upon the occurrence of certain events. Divorce filed and the T/C divided the parties' property based on values found by the T/C. Both parties appeal - H because the T/C didn=t use the buy/sell value and W because the T/C didn't use a higher value established by her expert.
CA reversed finding that everyone was wrong. The buy/sell agreement formula doesn't come into effect because the agreement says it is only applicable if H divorces and H does not receive the community's share of the P.A. which he did in this case. W's expert's use of "enterprise value" is wrong in the context of valuing a minority shareholder's stock which is subject to a buy/sell restriction which does impact on the stock value. As there was no evidence as to the "fair mkt" or "mkt" value of the stock, case reversed and remand for add'l evidence.
Comment - When I first read this case I thought it was significant but not I'm not so sure except to say "enterprise value" isn't a substitute for "fair market value".
- In the Interest of S.L.M. and J.A.M., No. 07-00-0241-CV, not yet published (CA, Amarillo).
H & W were JMC's of their 2 kids. On 2/26/97 the T/C signed an agreed modification order whereby H was to pay W $782/mo c/s for his 2 kids (note there was no apportionment of this lump sum between the kids who were 15 & 12) effective 1/15/97. H was
ordered to pay 50% of the uninsured medically expenses for the kids and W was ordered to pay 50% too. In April '98 the older child moved in with H who paid 100% of her medical plus all of her living expenses. H stopped paying c/s after the 5/1/98 payment. In Dec. '98 W filed a motion to enforce and H filed a c/c requesting a change of custody on the older child; c/s from W regarding the older child retroactive to filing; an offset against any c/s he might owe arising from his support payment for the older child plus 50% of that child's medical expenses which he had to pay because W didn't pay her share. The T/C heard W's contempt motion on 12/17/98 but deferred ruling on H's c/s arrearages until hearing on H's motion to modify. Additional hearings were held in May '99 and Dec. '99 and judgment was rendered on the oldest child's 18th birthday. HAPPY B-DAY! The T/C found and/or rendered that H's accrued c/s thru 12/17/98 was $16,000 (actually it was $17,100 but as we'll see that's not significant); H spent $13,700 toward the oldest child's support for which he was due credit; W's share of the older child's medical expenses was $6,600 which H paid so he's entitled to add'l credit; H's motion to modify is granted and W owes him retroactive c/s from date of W's service or answer to the date the oldest child became 18 (which totaled $6,900); H was entitled to $6,900 in "equitable c/s" from the date the older child started living with him to the date he filed his motion to modify requesting c/s so he's entitled to additional offset; set the am't of c/s which H owed for the younger child; and denied atty fees to both parties. With all the offsets and credits granted to H, W received zip for accrued c/s so she appealed.
CA affirmed except it reversed as to the denial of W's request for a wage withholding order regarding the younger child's c/s and held:
- There is no such thing as "equitable c/s" so H wasn't entitled to this credit; however, this wasn't reversible error as H had add'l credits which exceeded W's c/s claim.
- Yes the T/C miscalculated the accrued c/s due W by $1,100 but this wasn't reversible error because H's credits still exceeded the accrued c/s due W.
- W claimed error because the T/C didn't render judgment on her enforcement motion which was heard on 12/17/98 as §157.061 says the T/C shall give preference to her enforcement motion and may not delay the hearing because a motion to modify c/s is pending. The CA overruled this because the T/C found that there were insufficient facts before the ct. by which the ct. could determine the am't of accrued c/s due W, i.e. H was entitled to credits or offsets which would reduce the accrued c/s owing by him. Under these circumstances delaying a ruling on W's motion was discretionary with the T/C not withstanding the apparent mandatory language of §157.061. The T/C did not abuse its discretion.
- When the T/C set W's retroactive c/s for the older child ($6,900), the T/C did not err in offsetting this am't against the accrued c/s owing to W; however if this was error it was harmless as H's $20,300 offset (medical expenses - $6,600 and the older child's living expenses - $13,700) more than offset W's claim of $17,100 in accrued c/s.
- Even though H's offsets (medical, actual support & retroactive c/s) only related to the older child, since the '97 c/s order didn't apportion the c/s between the 2 kids, H was entitled to offset against the c/s obligation for both kids.
- Even tho §157.167 says that if the c/s obligor has failed to pay c/s, the T/C shall order the obligor to pay the obligee's atty fees, the T/C still has the discretion to deny such atty fees if there is no judgment in the obligee's favor for accrued c/s.
Comment - This is a big case on c/s enforcement where the obligor has possession of a child & supports that child. I represented an obligee in a similar case and argued to the T/C that it shouldn't rule on the am't of accrued c/s until after ruling on my motion to modify c/s & request for retroactive c/s. The T/C denied my request because of the apparent mandatory language of §157.061. Thankfully, that judge is no longer on the bench. The issue of non-apportionment of c/s is also significant. If you have 2 or more kids, your c/s order usually has a reduction as each child becomes 18, etc; however, even tho there's a reduction, this doesn't mean the difference between the original am't and the reduced am't apportions the original am't between the children covered by the original order. All in all, this is a great case and gives the T/C's some leeway on c/s enforcement where the obligor winds up rearing one or more of the kids.
- In the Interest of D.R.L.M., No. 2-01-323-CV, not yet published (CA, Ft. Worth).
A was the mother of Child 1 and Child 2, who had different fathers, i.e. they were half-sisters. Child 1 was adopted by X. Later a termination suit was filed against A in respect to Child 2. X and Y intervened in the termination suit requesting to adopt Child 2. A signed an aff. of voluntary relinquishment on Child 2 relinquishing her parental rights to X who had already adopted Child 1. The T/C terminated A's rights and granted the adoption of Child 2 by Y. A & X appeal.
Affirmed.
- A's aff. of relinquishment does not become involuntary because the T/C does not abide by A's wishes that the child be relinquished to the person(s) designated by A in her aff.
- Altho §162.302(c) says "whenever possible siblings should be placed in the same adoptive home," this does not create the burden to prove "clear and compelling reasons" why the child should not be placed in the same adoptive home. The burden is simply what is in the child's best interest.
- The case law which requires "clear and compelling reasons" to justify the split custody of siblings arises from divorce custody suits and is not applicable to adoption cases especially when the siblings have different fathers and they have never lived together in the same household.
|
|