Cynthia (Pray) Wood McKenna v. Thomas Pray

2024 ME 58
CourtSupreme Judicial Court of Maine
DecidedAugust 6, 2024
DocketYor-23-401
StatusPublished
Cited by5 cases

This text of 2024 ME 58 (Cynthia (Pray) Wood McKenna v. Thomas Pray) is published on Counsel Stack Legal Research, covering Supreme Judicial Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cynthia (Pray) Wood McKenna v. Thomas Pray, 2024 ME 58 (Me. 2024).

Opinion

MAINE SUPREME JUDICIAL COURT Reporter of Decisions Decision: 2024 ME 58 Docket: Yor-23-401 Submitted On Briefs: June 20, 2024 Decided: August 6, 2024

Panel: STANFILL, C.J., and MEAD, HORTON, LAWRENCE, and DOUGLAS, JJ.

CYNTHIA (PRAY) WOOD MCKENNA

v.

THOMAS PRAY

HORTON, J.

[¶1] Thomas Pray appeals from a District Court (Biddeford, D. Driscoll, J.)

divorce judgment disposing of the parties’ marital property and awarding

Cynthia (Pray) Wood McKenna $8,400 per month in general spousal support

for the remainder of her life. On appeal, Pray argues that the court

double-counted the value of trucks used in his pest-control business, failed to

account for the value of the business attributable to Pray’s personal goodwill,

engaged in improper “double dipping” by relying on Pray’s income from the

business to determine both the value of the business and the amount of spousal

support, failed to consider all relevant spousal support factors or to explain its

spousal support award, and abused its discretion in determining that Wood

McKenna was entitled to an award of attorney fees. We conclude that the court 2

erred only in double-counting the trucks’ value in the property allocation and

in making findings that did not sufficiently explain the award of spousal

support. We therefore vacate the disposition of property and the award of

spousal support and remand for further consideration of those components of

the judgment. Because the question of attorney fees is not ripe for appeal, we

dismiss Pray’s appeal with respect to that issue.

I. BACKGROUND

[¶2] The parties were married in 1996, and their only child is an adult.

Wood McKenna filed a complaint for divorce on May 5, 2020. The court held a

trial on March 20, March 22, and June 5, 2023. In addition to the parties’

testimony, the court heard testimony from a real estate appraiser and

competing experts who offered opinions on the value of the pest-control

business, Ecotech Pest Control Services, LLC (Ecotech).

[¶3] The court found the following facts, which are supported by

competent evidence in the record. See Efstathiou v. Aspinquid, Inc.,

2008 ME 145, ¶ 57, 956 A.2d 110. Wood McKenna, age sixty-five, holds a

master’s degree in social work and is a licensed clinical social worker. She has

a serious medical disease that has damaged her internal organs. Her work

hours are limited because of her medical condition. Although her reported 3

adjusted gross income was $12,747 in 2022, she earned between $25,000 and

$35,000 annually during the marriage and could earn as much as $50,000 per

year if her medical condition allowed for regular work.

[¶4] Pray is fifty-five years old and, with minor exceptions, in good

health. He holds a bachelor’s degree in entomology. Pray owns a 100%

membership interest in Ecotech and has exclusively controlled and managed

the company from the start. The business has grown substantially since he

started it in 2000. He takes home approximately fifty-five percent of the

business’s net revenues in the form of salary and distributions. During the

pendency of the case, Pray nearly tripled his salary, from $68,339 in 2021 to

$184,968 in 2022. Between his salary and corporate distributions, Pray’s

reported adjusted gross income for 2022 was $443,837.

[¶5] In determining the value of Ecotech, the court largely accepted the

$1,363,000 valuation proffered by Pray’s expert, who applied a mixed valuation

approach, giving eighty percent weight to an income approach to valuation and

twenty percent to a market approach. The court made certain adjustments,

however, stating,

In reaching a fair valuation of this business for purposes of equitably dividing all marital assets of the parties acquired by the parties during their marriage, the court does not consider a risk discount for speculative impact of PFAS legislation in the future, 4

nor normalization of salary. The Court declines to include [Pray’s] new salary as part of the valuation based upon the historical record from the CPA, the tax returns, and [Pray’s] pretrial management decisions. Adding those deductions back into the equation results in a [fair market value] of approximately $1,800,000 as of December 31, 2022, which is adopted by the court.

[¶6] In its disposition of property, the court awarded Wood McKenna the

marital residence, valued at $815,000, making her responsible for $168,869 in

debt encumbering the property; three individual retirement accounts (IRAs)

valued at $420,095; $679,806 from seven bank and credit union accounts; and

personal property valued at $37,700. The court awarded Pray an IRA valued at

$13,824; $459,208 from four credit union accounts; the Ecotech business,

valued at $1,800,000; and five trucks, valued at $87,000. To equalize the

disposition of property, the court ordered Pray to pay Wood McKenna

$288,150. Citing several statutory spousal support factors, the court awarded

Wood McKenna general spousal support of $8,400 per month for the rest of her

life, modifiable in the event of a substantial change in financial circumstances.

See 19-A M.R.S. § 951-A(4) (2024). The court mentioned certain factors

specifically: the substantial length of the marriage, the “vast disparity” in the

parties’ earnings and earning capacities, the difference between the parties’

ages, and Wood McKenna’s compromised health. 5

[¶7] Pray filed a motion for further findings of fact and conclusions of

law pursuant to Rule 52 of the Maine Rules of Civil Procedure. In the motion,

Pray asked the court to adopt in full the business appraisal of his expert to

prevent the same income stream from being used both to determine the value

of the business and to calculate spousal support. He also sought findings that

the business has value only if he experiences continued managerial success,

that a deduction from the value of the business is appropriate because recent

PFAS legislation in Maine will affect current pesticide spraying practices, and

that spousal support of $1,532 per month for thirteen years is appropriate

given the parties’ incomes, the property disposition, and all other spousal

support factors. With his motion, Pray filed a notice of appeal.

[¶8] The court denied the Rule 52 motion without altering or adding to

its findings.1 Pray’s notice of appeal applies to both the judgment and the

court’s denial of his Rule 52 motion. See M.R. App. P. 2B(c)(2) (providing that

when a notice of appeal is filed within the requisite period after a judgment and

before a Rule 52 motion has been ruled on, the appeal is “treated as an appeal

from both the judgment and the order on the motion”).

1 The court also entered orders correcting Wood McKenna’s name change to eliminate a hyphen

and clarifying that a personal vehicle was allocated to Pray. These orders are not pertinent on appeal, though the final judgment entered on remand should eliminate the stray comma between “Wood” and “McKenna” in the court’s name-change order. 6

II. DISCUSSION

A. Valuation of Property

[¶9] Pray argues that the court improperly double counted $87,000

worth of Ecotech trucks by including them in the value of the property allocated

to Pray even though it had already considered their value as part of the business

valuation.

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Bluebook (online)
2024 ME 58, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cynthia-pray-wood-mckenna-v-thomas-pray-me-2024.