Fern v. United States

15 Cl. Ct. 580, 1988 U.S. Claims LEXIS 156, 1988 WL 102564
CourtUnited States Court of Claims
DecidedOctober 6, 1988
DocketNo. 180-87C
StatusPublished
Cited by11 cases

This text of 15 Cl. Ct. 580 (Fern v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fern v. United States, 15 Cl. Ct. 580, 1988 U.S. Claims LEXIS 156, 1988 WL 102564 (cc 1988).

Opinion

MEMORANDUM OPINION

LYDON, Senior Judge:

Plaintiffs are retired members of the armed forces who claim their property, retired pay, was improperly taken from them by section 1002 of the Uniform Services Former Spouses Protection Act, Pub.L. No. 97-252, (codified at 10 U.S.C. § 1408(c)(1) (1982) (Supp. Ill 96 Stat. 718) (1985) (the Act or USFSPA)). Specifically, plaintiffs contend that the Act was responsible for a reduction in their military retired pay, as a result of state court divorce proceedings, in violation of the United States Constitution.

Both parties have moved for summary judgment. There are no material issues of fact in dispute and the matter for decision is clearly a question of law. After considering the parties’ submissions the court, following oral argument, concludes that defendant’s motion for summary judgment should be granted.

Prior to the Act’s passage on September 8, 1982, effective February 1, 1983, state courts were precluded by federal pre-emption from awarding spouses in divorce cases any portion of the non disability military retirement pay received by, in this case, their ex-husbands. McCarty v. McCarty, 453 U.S. 210, 101 S.Ct. 2728, 69 L.Ed.2d 589 (1981). The Act, in effect, overruled the McCarty holding by removing federal pre-emption and placing state divorce courts in the same position they were in on June 25, 1981, the day before the McCarty decision, relative to the treatment of military retired pay. As a result, prior to February 1, 1983, plaintiffs’ military retired pay was immune from apportionment in divorce proceedings. Subsequent to the Act, however, state courts, on petitions from plaintiffs’ ex-spouses, apportioned plaintiffs’ military retired pay as part of divorce proceedings. As a result, plaintiffs thereafter received less of their retired pay. This reduction in their retired pay, resulting from state court decrees apportioning said pay with plaintiffs’ ex-spouses, constitutes, in plaintiffs’ view, an improper taking of their property.

In their first amended complaint (¶ 32), plaintiffs articulate the theory of their case in pertinent part as follows:

It is a violation of the “takings” clause of the Fifth Amendment for the Con[582]*582gress in the Act, by means of lifting the bar’of preemption [sic] and the application of federal law, so as to allow the application to state community property principles at the time of divorce, to convert current pay, which is otherwise not divisible under the laws of the community property states, into a species of property and then by means of the intended retroactive application of the Act to allow the community property states to deprive plaintiffs of substantial portions of such property. In the alternative, the retroactive application of the Act, so as to deprive plaintiffs of matured rights to earned pay, constitutes an unjustified impairment of the implied contractual arrangement between plaintiffs and the United States, by which plaintiffs would be entitled to the entirety of their retired pay, after having earned it by 20 years of active duty service, as theirs alone.

Statement of Facts

In its unpublished Memorandum Opinion, Fern v. United States, No. 180-87C (Cl.Ct. Jan. 22, 1988) (denying defendant’s motion for summary judgment), the court set out in detail the facts relating to each plaintiff in this litigation. All of those facts will not be repeated herein. Instead, only those facts necessary to place the issues before the court in perspective will be set forth hereinafter.

Plaintiff John T. Flannagan enlisted in the Navy in 1959, served a total of 20 years, and retired in November 1979 with the rank of Lieutenant Commander. Plaintiff Donald Koppenhaver enlisted in the Air Force in 1957, served a total of 20 years, and retired in August 1977 with the rank of Major. Plaintiff David E. Walentowski enlisted in the Marine Corps in 1963, served a total of 24 years, and retired in July 1987 with the rank of Master Sergeant. Plaintiff Robert D. Jeffrey enlisted in the Air Force in 1960, served a total of 20 years, and retired in May 1980 with the rank of Lieutenant Colonel. Plaintiff Max E. Thompson enlisted in the Navy in 1944, served a total of 26 years, and retired in June 1970 with the rank of Commander. Plaintiff Jack F. Trahan enlisted in the Air Force in 1941, served a total of 24 years, and retired in April 1965 with the rank of Major. Plaintiff Robert Louis Stirm enlisted in the Air Force in 1953, served a total of 24 years, and retired in June 1977 with the rank of Colonel. Plaintiff Albert John Fern enlisted in the Army in 1950, served a total of 29 years, and retired in June 1979 with the rank of Colonel. Plaintiff James H. Powell enlisted in the Army Air Corps in 1940, served a total of 20 years, and retired in 1960 with the rank of Lieutenant Colonel.

In support of their motion for summary judgment, each plaintiff submitted a signed Declaration. In these Declarations, plaintiffs state that throughout their years of military service they believed the Government had made them an offer of military retired pay in exchange for serving 20 or more years and that each of them accepted that offer by continuing to serve in the military. Plaintiffs further state that throughout their years of military service they also believed that their retired pay was the personal entitlement of each of them. This belief, plaintiffs state, was supported in part by the following factors: The anti-assignment statutes which governed military pay; oral and written communications from the military services and from their superior and fellow officers; and their understanding that military retired pay was not a pension but was in fact wages or current pay for remaining in the special status of retired officer. This special status, the plaintiffs maintain, subjected them, among other things, to recall to active duty at any time.

Plaintiffs further declare that as the dates of each retirement drew near, each expected that his military retired pay would be his property alone, a factor of special significance to each of them. For each plaintiff relied on his retired pay to provide him with a set monthly income, thereby relieving him of the burden of having to concern himself with finding employment immediately upon retirement from the military. Plaintiffs also relied on their retired pay to augment their income once they did find private sector employment.

Plaintiffs, in their complaint classify themselves into three groups. In the first group, (First Cause of Action), identified as [583]*583“final-decree plaintiffs”, are John T. Flan-nagan, Donald Koppenhaver, and David E. Walentowski. Final-decree plaintiffs are those who secured a state court divorce decree that, in substance, awarded all interest in plaintiffs’ retirement pay to plaintiffs. In the second group (Second Cause of Action), identified as “omitted-asset plaintiffs”, are Robert Jeffrey, Max E. Thompson, and Jack Trahan. Omitted-asset plaintiffs are those who obtained a state court divorce decree that neither divided plaintiffs’ retired pay between plaintiffs and their spouses nor specifically awarded the same to plaintiffs. In other words, the original decrees made no reference to plaintiffs’ retired pay.1 In the third group, (Third Cause of Action), identified as “^re-McCarty divorced plaintiffs”, are Robert Louis Stirm, Albert John Fern, and James H. Powell. Pre-McCarty

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Bluebook (online)
15 Cl. Ct. 580, 1988 U.S. Claims LEXIS 156, 1988 WL 102564, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fern-v-united-states-cc-1988.