Donald Nixon Cline v. Sharon Elizabeth Cline

Court of Appeals of Virginia·Decided June 29, 1999·No. 0766983·Unpublished

Opinion

COURT OF APPEALS OF VIRGINIA

Present: Judges Coleman, Bumgardner and Lemons

DONALD NIXON CLINE MEMORANDUM OPINION * BY

v. Record No. 0766-98-3 JUDGE DONALD W. LEMONS JUNE 29, 1999

SHARON ELIZABETH CLINE

FROM THE CIRCUIT COURT OF ROCKINGHAM COUNTY Dennis L. Hupp, Judge

(Dawn Wine Ruple; Dawn Wine Ruple, P.C., on briefs), for appellant. Appellant submitting on briefs.

(William H. Ralston, Jr.; Miller, Ralston & Earle, P.L.L.C., on brief), for appellee.

Appellee submitting on brief.

Donald Nixon Cline appeals the order of the Rockingham Circuit Court with respect to its equitable distribution order, its refusal to make a reservation of future spousal support to him, its determination of his gross income, and its order that he pay attorney’s fees to Sharon Elizabeth Cline. We hold that the circuit court erred in refusing to make a reservation of future spousal support, and we reverse on that basis. We affirm all other portions of the order.

*Pursuant to Code § 17.1-413, recodifying Code § 17-116.010, this opinion is not designated for publication.

I. BACKGROUND

Donald Nixon Cline (husband) and Sharon Elizabeth Cline (wife) were married on June 24, 1989. The parties had one child born of the marriage, Katy Rose Cline, born on February 8, 1991. On February 21, 1996, the parties separated. On February 26, 1996, the husband filed a bill of complaint seeking a divorce from the wife. On March 13, 1996, the wife filed an “answer and cross bill” seeking a divorce from the husband.

On March 14 and 15, 1996, a pendente lite hearing was held to determine issues of temporary child custody and support, temporary spousal support, and attorney’s fees and costs. By order dated April 11, 1996, the court gave the wife pendente lite custody of the child. The matters of pendente lite child support, pendente lite spousal support, attorneys’ fees and costs were continued to a hearing held on June 20, 1996. An additional hearing was held on August 14, 1996, and on August 21, 1996 a telephonic conference was held. By letter opinion dated September 12, 1996, the court found that the husband’s monthly income was $2,117. The court found that the wife’s income was $811.00 per month and ordered the husband to pay $180 per month in pendente lite spousal support. The court ordered the husband to pay $163 per month in child support, retroactively effective on August 1, 1996. The court awarded $1,600 in pendente lite attorney’s fees to the wife, to be paid

by December 31, 1996. On January 6, 1997, the husband filed a motion for reconsideration, which the court denied.

On April 23, 1997, a consent order was entered granting the husband’s motion to amend his bill of complaint to include an award of spousal support or a reservation of his right to receive spousal support in the future, if the court did not award it at the final hearing set for July 3, 1997. The July 3, 1997 hearing, held for the purpose of addressing all remaining matters of divorce grounds, spousal support, child support, equitable distribution and attorneys’ fees, was continued to August 12, 1997. The August 12, 1997 hearing was held, and the court again continued the case until September 4, 1997. On August 15, 1997, the husband was granted a divorce decree based upon separation of more than one year, but the court reserved its ruling on the matters set for the September 4, 1997 hearing.

In its “memorandum” dated November 24, 1997, and its “memorandum-addendum” dated December 1, 1997, the court resolved all disputed issues of classification and valuation of property remaining from the hearings of August 12 and September 4, 1997. On February 6, 1998, the husband filed a motion for reconsideration, and a hearing was held on the same day. By letter opinion dated February 13, 1998, the court refused to modify any of its earlier rulings. A decree resolving all matters upon which the court had previously reserved ruling was entered on February 27, 1998.

II. EQUITABLE DISTRIBUTION On appeal, the husband argues that the trial court erred in the classification and valuation of several items of personal property. Pursuant to Code § 20-107.3(A), upon decreeing a divorce, a court may:

determine the legal title as between the parties, and the ownership and value of all property, real or personal, tangible or intangible, of the parties and shall consider which of such property is separate property, which is marital property, and which is part separate and part marital property . . . . The court shall determine the value of any such property as of the date of the evidentiary hearing on the evaluation issue.

The court also has the power to apportion marital debt according to factors that include “the debts and liabilities of each spouse, the basis for such debts and liabilities, and the property which may serve as security for such debts and liabilities.” Code § 20-107.3(E)(7). “[D]ecisions concerning equitable distribution rest within the sound discretion of the trial court and will not be reversed on appeal unless plainly wrong or unsupported by the evidence.” McDavid v. McDavid, 19 Va. App. 406, 407-08, 451 S.E.2d 713, 715 (1994).

A. Nationsbank Overdraft Protection Account At the hearing on August 12, 1997, the husband testified that a debt of $1,802.03 was owed in an overdraft protection account attached to a joint checking account held by the parties during the marriage. The wife testified that although she wrote

checks during the marriage, she had no knowledge of the existence of the overdraft protection account, and that she did not even know that this type of account existed. The wife stated that the husband had the only key to the mailbox and “[he] would not allow me to have a key to the mailbox. He always got the mail and he took care of whatever bills there were.” The wife stated that although she had access to a checkbook, the husband “would keep the only ledger.” She testified, “[e]very time I wrote a check, I needed to tell him, if it was for any reason. . . . I did tell him every time I wrote a check because I had no access to the ledger. I didn’t know what he - what we didn’t have. I had to have, as he said in his deposition, his approval or his authorization is what he said for anything . . . other than just gas and food.”

In its memorandum of November 24, 1997, the court stated “I find that the Nationsbank Overdraft Protection account is not marital debt. The Wife did not know of the existence of this account. The Husband controlled the family finances and specifically the checkbook. I will not saddle the Wife with the Husband’s mismanagement.”

In determining the allotment of marital debt generally, “[t]he purpose and nature of the debt, and for and by whom any funds were used, should be considered in deciding whether and how to credit or allot debt.” Gamer v. Gamer, 16 Va. App. 335, 341, 429 S.E.2d 618, 623 (1993). Further, in making an

equitable distribution award, the court must determine “how much of the debt was incurred prior to the dissolution of the marriage or the basis for such debts and liabilities. . . .” Stumbo v. Stumbo, 20 Va. App. 685, 693, 460 S.E.2d 591, 595 (1995) (citations omitted).

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