D.M. v. L.A. CA4/1

CourtCalifornia Court of Appeal
DecidedDecember 30, 2015
DocketD067593
StatusUnpublished

This text of D.M. v. L.A. CA4/1 (D.M. v. L.A. CA4/1) 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
D.M. v. L.A. CA4/1, (Cal. Ct. App. 2015).

Opinion

Filed 12/30/15 D.M. v. L.A. CA4/1 NOT TO BE PUBLISHED IN OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

COURT OF APPEAL, FOURTH APPELLATE DISTRICT

DIVISION ONE

STATE OF CALIFORNIA

D.M., D067593

Plaintiff and Respondent,

v. (Super. Ct. No. DN126772)

L.A.,

Defendant and Appellant.

APPEAL from an order of the Superior Court of San Diego County, William

Wood, Judge. Affirmed.

L.A., in pro. per, for Defendant and Appellant.

D.M., in pro. per., for Plaintiff and Respondent.

L.A. (Mother), in propria persona, appeals an order denying, in part, her request

for modification of child support owed by D.M. (Father) for their minor son, R. On

appeal, she contends that: (1) the trial court abused its discretion by finding Father could

retire before age 65 and by not imputing to him his pre-retirement income or attributing

to him income based on his capacity to earn income; (2) the trial court abused its discretion by not considering Father's standard of living and/or applying Family Code1

section 4057, subdivision (b)(3), to adjust the guideline child support amount upward

based on the disparity in the wealth and income of Father and Mother; (3) the special

master and trial court denied her rights to due process of law and discovery by denying

her an opportunity to review Father's family trust document; (4) the trial court abused its

discretion by not considering that trust's corpus in determining Father's income available

for child support; and (5) the trial court erred by denying her requests for awards of

attorney fees, psychologist fees, and prejudgment interest.

FACTUAL AND PROCEDURAL BACKGROUND

Mother and Father apparently began a relationship in 1999 and had a son, R., in

2001. Father owned a hard money loan business, investing in loans to borrowers at high

interest rates secured by their real estate. Mother apparently has been unemployed since

their son's birth.

On January 1, 2011, they stipulated that Father would pay Mother $700 per month

in child support beginning February 1, 2011.2 In June 2012, Mother apparently filed her

instant request for an order modifying child support, visitation, and attorney fees.3 In

1 All statutory references are to the Family Code unless otherwise specified.

2 The record on appeal is unclear regarding the percentage of time their son spent in Father's custody and in Mother's custody at that time. However, the trial court's statement of decision in this case supports an inference that from 2011 through October 31, 2012, Father had custody 76 percent of the time and Mother had custody 24 percent of the time.

3 The record on appeal does not contain a copy of Mother's request. 2 July 2012, Father filed a request for modification of visitation. At an October 16, 2012,

hearing, the trial court issued custody and visitation orders, finding Father is the primary

custodial parent and Mother had a 24 percent time share from July 1, 2012, through

October 31, 2012, and would have a 29 percent time share beginning November 1, 2012.

At that hearing, the court also appointed a special master, Marc Kaplan, to determine the

parties' income available for child support. Kaplan lodged with the court a report dated

May 28, 2014, and another report dated September 8, 2014.

On September 8, 2014, following multiple continuances, the trial court heard the

remaining issues in this case, including Mother's requests for modification of Father's

child support obligation and awards of attorney fees, psychologist fees, and prejudgment

interest. On December 11, 2014, the court issued its statement of decision and order.

The court adopted Kaplan's findings regarding income available for support and imputed

income to Mother in the amount of $1,560 per month.

The court found Father closed his mortgage business in 2013 and retired at age 62.

In 2013, he also established an estate plan, irrevocably transferring the bulk of his assets

to a trust, the M. family legacy trust, for the benefit of his two children (an adult son and

R.). Based on that estate plan, Father transferred, or sold, income-producing assets to the

trust in return for a note paying him 3 percent annual interest, and he must collect at least

$10,000 per year of that interest from the trust (with any unpaid accrued interest

presumably accumulating). Kaplan found Father's estate plan worked well for estate

purposes, for liability insulation and asset protection, and to minimize Father's income

available for child support. Although Kaplan concluded Father's gift was not done to

3 evade child support, the court found "Father's estate plan is also motivated to reduce his

income available for support."

The court declined to impute income to Father based on his earning capacity for

any ability or opportunity to work in the hard money lending business. However, it

imputed income to Father based on his transfer of assets to the trust based on a Destein4

analysis (i.e., 3 percent annual interest based on value of assets transferred to the trust).

In so doing, the court found "Father may not voluntarily transfer away income in a

fashion that reduces his child support obligation." The court then adopted Kaplan's

findings regarding income available for support. The court followed child support

guidelines, setting Father's child support obligations at $839 per month for the period of

July 1, 2012, through October 31, 2012, $ 1,110 per month for the period of November 1,

2012, through December 31, 2012, $1,227 per month for the period of January 1, 2013,

through December 31, 2013, and $1,074 per month beginning January 1, 2014. Based on

those calculations of Father's child support obligations, it concluded he owed a total of

$12,188 in child support payment arrears. The court also denied Mother's requests for

awards of attorney fees and psychologist fees (except for $1,000). Mother filed a motion

for reconsideration, which the court apparently denied. She timely filed a notice of

appeal challenging the court's December 11, 2014, order.

4 In re Marriage of Destein (2001) 91 Cal.App.4th 1385.

4 DISCUSSION

I

Presumption of Correctness and Standards of Review

Presumption of correctness. A trial court's judgment or order is presumed to be

correct. In Denham v. Superior Court (1970) 2 Cal.3d 557, the court stated:

"[I]t is settled that: 'A judgment or order of the lower court is presumed correct. All intendments and presumptions are indulged to support it on matters as to which the record is silent, and error must be affirmatively shown [by the appellant]. This is not only a general principle of appellate practice but an ingredient of the constitutional doctrine of reversible error.' " (Id. at p. 564.)

"The burden of affirmatively demonstrating error is on the appellant." (Fundamental

Investment etc. Realty Fund v. Gradow (1994) 28 Cal.App.4th 966, 971.) "An appellant

must provide an argument and legal authority to support his contentions. This burden

requires more than a mere assertion that the judgment is wrong.

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