Carr v. Burgess

623 A.2d 1384, 264 N.J. Super. 191, 1991 N.J. Super. LEXIS 511
CourtNew Jersey Superior Court Appellate Division
DecidedNovember 15, 1991
StatusPublished
Cited by2 cases

This text of 623 A.2d 1384 (Carr v. Burgess) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Carr v. Burgess, 623 A.2d 1384, 264 N.J. Super. 191, 1991 N.J. Super. LEXIS 511 (N.J. Ct. App. 1991).

Opinion

EPSTEIN, P.J.F.P.

This matter was remanded by the New Jersey Supreme Court for this court to determine the appropriate share of the marital estate which should be awarded to the plaintiff. The opinion of the Supreme Court, Carr v. Carr, 120 N.J. 336, 576 A.2d 872 (1990) contains the factual circumstances of this case through August 1987. Briefly, the plaintiff-wife married the defendant-husband in 1966. The defendant left plaintiff in 1983. Plaintiff filed for divorce in July 1984. Defendant died in 1987. He was survived by the plaintiff and by four children of his previous marriage.

The estate was substantial but plaintiff received only the marital home, which was held by the parties as tenants by the entireties, as defendant had disinherited her in his will. Under the dissolution statute, N.J.S.A. 2A:34-23, the plaintiff was not entitled to equitable distribution of marital assets because a dissolution of the marriage was never ordered. Under the probate statute, N.J.S.A. 3B:8-1, she was not entitled to a surviving spouse’s “elective share” because the parties lived separate and apart at the time of defendant’s death.

For reasons expressed in the Supreme Court opinion, plaintiff was permitted to amend her pleadings to implead defendant’s executor and his estate and to seek a share of the marital assets on the equitable grounds of constructive trust, quasi—contract and unjust enrichment.

Although novel, a determination of plaintiffs interest in the marital assets is not particularly difficult. It involves the examination of the lives of the parties, and their respective financial and other circumstances at the time of their marriage, through and [194]*194including the time plaintiffs share of the assets is awarded to her. In many ways this is similar to the investigation and analysis required by the equitable distribution statute and ease law.

This case, however, has been complicated by the recent revelation of many claims against the estate which are far in excess of its assets. Whether the plaintiffs share of the parties’ assets should be diminished because of these claims is an issue in this case. But, the question of priority of claims, or whether the plaintiffs share of assets are immune from creditors’ claims, has become the overriding issue, since regardless of the percentage or share of the estate this court awards to the plaintiff, the award could be meaningless if she were placed in the same position as the other heirs and received her share only after the just debts of the estate were paid. Alternatively, if plaintiff were placed in the same category as the other creditors then her award would be substantially reduced as she would take her proportionate share of the estate based on her award and the amount determined to be due to the other creditors.

All of the creditors’ attorneys were notified of this trial and three attorneys appeared on the trial date requesting the right to intervene 1. The applications to intervene were granted.

The amount to be awarded to- the plaintiff, however, was of no consequence to the creditors of the estate if their legal position regarding the higher priority of their claims prevailed. Their interest was identical to that of the attorney for the estate and the heirs. They sought to limit the share awarded to plaintiff in the event her share was “immunized” from the general creditors’ claims or given priority over them, or even if she were deemed to be an additional general creditor. The intervenors, therefore, [195]*195agreed not to participate in the actual trial but left that to the attorney for the estate and the heirs.

I find the following additional facts based on the stipulations and the evidence adduced at trial on October 16 and 17, 1991.

Plaintiff and Mr. Carr met in 1960. She was a high school graduate with one year of business (really secretarial) school. Mrs. Carr worked for Mr. Carr as a secretary for two years and then worked in secretarial type jobs for the next three (3) or four (4) years. She married Mr. Carr in 1966. At that time Mrs. Carr was about thirty years old and Mr. Carr was forty years old. Mrs. Carr is now fifty five years old and in good health. Prior to 1960 she worked as a secretary in Canada, her native country. When she married Mr. Carr, he advised her to discontinue her employment and she stopped working. During the marriage Mr. and Mrs. Carr lived well. They vacationed in “first class” places both in and out of the country and ate in good restaurants. Mr. Carr owned a sailboat and had membership in the Yacht Club and the Colonia Country Club. Mrs. Carr enjoyed an excellent relationship with Mr. Carr’s children and occasionally the couple and the children vacationed together.

Substantial assets were accumulated during the marriage. As of the date of the filing of the complaint those assets included, inter alia, real estate, stocks, bonds, and Mr. Carr’s civil engineering business. After subtracting the only liability (the mortgage on the marital home in the amount of $11,500.00) and the monies which were premarital funds of Mr. Carr (approximately $121,-500.00) the net assets of the couple were approximately $1,454,-000.00 ($600,000.00 of which was the value of the business which included three pieces of real estate).

There is no testimony regarding the quality of the marriage except Mrs. Carr’s testimony that there were the “usual” problems. She was unaware, until after Mr. Carr left her in 1983, that he had been seeing other women for many years prior to his separation from her; although, that appears to have been the case.

[196]*196During the marriage, Mrs. Carr’s contribution to the marriage was what used to be referred to as the traditional wife’s role. She cleaned and did house work and most of the food shopping. She entertained their friends and Mr. Carr’s business associates. She had no funds prior to the marriage and was supported entirely by Mr. Carr who was entirely responsible for all of the financial matters relating to his business and the parties marriage.

After Mr. Carr left the plaintiff, he continued to pay all the roof expenses and give the plaintiff money but was not as generous as before he left.

The parties never discussed the future but it is clear from their conduct that Mrs. Carr always expected Mr. Carr to provide for her.

After Mr. Carr’s death in August 1987, all support for Mrs. Carr stopped; she worked part time and then full time. She was then laid off and collected unemployment; currently she is not working and not collecting. She has relied in part on the largesse of her family but both of her parents have recently passed away and her only asset appears to be the former marital home worth approximately $130,000.00 (as of October 11, 1991), an expected inheritance of approximately $35,000.00, and a car which was purchased with $16,000.00 of borrowed funds.

In determining the appropriate share of the marital estate to be awarded to plaintiff this court is not bound by the equitable distribution statute or the probate statute. While plaintiffs claim is an equitable one, more akin to a claim for equitable distribution than a surviving spouse’s elective share, the factual and financial circumstances after the death of the defendant should not be ignored.

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Related

Kay v. Kay
964 A.2d 324 (New Jersey Superior Court App Division, 2009)
Carr v. Burgess
623 A.2d 1384 (New Jersey Superior Court App Division, 1993)

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Bluebook (online)
623 A.2d 1384, 264 N.J. Super. 191, 1991 N.J. Super. LEXIS 511, Counsel Stack Legal Research, https://law.counselstack.com/opinion/carr-v-burgess-njsuperctappdiv-1991.