Cordero v. Cordero

95 Cal. App. 4th 653, 2002 Daily Journal DAR 937, 115 Cal. Rptr. 2d 787, 2002 Cal. Daily Op. Serv. 770, 2002 Cal. App. LEXIS 669
CourtCalifornia Court of Appeal
DecidedJanuary 25, 2002
DocketNo. G024341
StatusPublished
Cited by17 cases

This text of 95 Cal. App. 4th 653 (Cordero v. Cordero) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cordero v. Cordero, 95 Cal. App. 4th 653, 2002 Daily Journal DAR 937, 115 Cal. Rptr. 2d 787, 2002 Cal. Daily Op. Serv. 770, 2002 Cal. App. LEXIS 669 (Cal. Ct. App. 2002).

Opinion

Opinion

SILLS, P. J.—

I. Introduction

This case illustrates the harsh effect of the literal operation of our spousal support collection statutes combined with a high rate of legal interest. Our [655]*655colleagues in Division Two of this appellate district attempted to amelonate that harshness in In re Marriage of Plescia (1997) 59 Cal.App.4th 252 [69 Cal.Rptr.2d 120], which allowed a common law laches defense to spousal support collection. As we explain below, Plescia was “incorrectly” decided insofar as it applied to collection efforts within the old 10-year period that a payee spouse had to renew a support judgment. Even so, the Plescia decision represents an effort by the judiciary to temper what can be, in certain cases at least—and the case before us is certainly one of them—some very onerous and inequitable results where a spouse forbears a substantial period of time before attempting to collect on a support order. We therefore recommend to the Legislature that it codify the rule articulated in Plescia to allow laches defenses to spousal support collection efforts in appropriate circumstances.

As for the case in front of us, we are spared both the need (a) to apply statutes which would have the result of leaving the respondent, a car salesman who at one point in the early 1990’s was only making some $2,000 net per month and paying half of it in child support, practically in a state of indentured servitude or (b) to apply the rule in Plescia which, just and humane as it is, runs clearly contrary to the statutory scheme governing support collection law. This case, at least from the point of view of a court that might otherwise be forced to choose between applying a set of draconian statutes or following an erroneously decided case, has a happy ending.

II. Facts

Louis and June Cordero were divorced in June 1987; the judgment of dissolution dated June 10 provided that Louis was to pay $1,000 a month in spousal support beginning March 1, 1987, and continuing through December 1, 1987. The amount would be stepped down to $825 a month beginning January 1, 1988, and then continue at that level until January 1, 1997, at which time jurisdiction over spousal support would terminate. Louis was working as a car salesman at the time (all indications are that he continues to do so); June was not working at the time the judgment was entered.

Louis, then living in the family residence, was awarded physical custody of the couple’s two children, Vanessa, then almost 10 years old, and Jessica, who was going on eight. The judgment provided that no sum of child support was to be paid by June while the children were in the custody of Louis. However, less than two months later, the parties made an agreement to the effect that June would move back into the family residence, the daughters [656]*656would live with her, and Louis would pay June $500 per month per child in child support. Soon June began working as a property manager.

Louis kept up his child support payments until each daughter came of age, but did not pay spousal support after February 22, 1988. From then to mid-1992, June asked Louis to pay the spousal support order, but Louis kept putting her off by saying he didn’t have the ability to pay. Meanwhile, he paid half of his net monthly income in child support payments which hadn’t been ordered by the court (a fact that would later convince the trial judge that Louis had relied on an agreement relieving him of his spousal support obligation, even though the court found there never actually was an agreement to that effect). After mid-1992, however, June took no steps whatsoever, including any verbal importuning, to collect support.1

That is, until August 1997, when June obtained a wage and assignment order indicating an arrearage of about $103,000. About three months later Louis filed an order to show cause, requesting, among other things, that the wage and earnings assignment order be quashed.

There was a hearing in April, and three months later, on July 21, 1998, the court filed a detailed written order, signed by the trial judge and mailed to the parties the next day by the clerk of the court, The gravamen of the order was that, under the rule of In re Marriage of Plescia, supra, 59 Cal.App.4th 252 (Plescia), Louis was only liable for spousal support arrearages from February 22, 1988, through June of 1992, and he wasn’t liable for any support after that. The order specifically provided that Louis owed June 53 months of support at $825 plus interest. (Without interest, the amount was $43,725.)

On August 6—the 15th day after the clerk had served the signed order— Louis (not June, even though she ostensibly had more money at stake) filed a motion entitled “To Vacate Order Per CCP § 663[;] To Set Payment Plan.” Basically, there were no new facts in the motion, merely the assertion that the trial court had “misinterpreted” the evidence. Louis argued that the trial judge (a) should have found that the parties had an agreement relieving Louis of any support obligation after February 1988; (b) should not have, under Plescia, apportioned the support, but rather applied laches so that June could not collect any spousal support arrearages; (c) should make an order modifying the interest component of the arrearage; and (d) [657]*657correspondingly reduce, under Family Code section 290,2 his monthly obligation.3

Louis’s motion to vacate and set payment plan was heard on September 4, and resulted in an order, signed, filed and served September 16, 1998. The order (a) denied the motion to vacate, (b) denied the request to find that Louis owed no support arrearage at all, but (c) did relieve Louis of any interest obligation on the amount he had been found to owe. Given that Louis had already paid $12,500 toward the $43,725 principal owing, the new order meant that Louis only owed $31,225, which the court determined should be paid at the rate of $1,000 a month until paid in full.

Now it was June’s turn to complain, and two days later, on September 18, 1998, she filed a motion for reconsideration. Her motion was based on (a) the declaration of her daughter that Louis and June had argued about his paying spousal support as late as December 1996; (b) a copy of a letter from June to Louis, dated July 1, 1995, asserting that he still owed support; and (c) the court’s supposed error in relieving Louis of the interest on the amount it found he did owe. The motion resulted in a minute order, entered October 30, 1998, denying the motion for reconsideration.

June filed a notice of appeal November 3, 1998, from the orders of September 16 and October 30. On appeal she argues that the trial court had no basis to apply laches under Plescia to her conduct after June 1992, because there was no prejudice. She also argues that the trial court abused its discretion by deleting the interest.

III. Discussion

A. The Problem of the High Rate of Legal Interest as It Affects Support Judgments

The legal rate of interest is 10 percent. (See Code Civ. Proc., § 685.010, subd. (a) [“Interest accrues at the rate of 10 percent per annum on the principal amount of a money judgment remaining unsatisfied.”].)

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95 Cal. App. 4th 653, 2002 Daily Journal DAR 937, 115 Cal. Rptr. 2d 787, 2002 Cal. Daily Op. Serv. 770, 2002 Cal. App. LEXIS 669, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cordero-v-cordero-calctapp-2002.