Grapes, P. v. Grapes, L. v. Grapes, P.

CourtSuperior Court of Pennsylvania
DecidedSeptember 5, 2024
Docket1390 WDA 2023
StatusUnpublished

This text of Grapes, P. v. Grapes, L. v. Grapes, P. (Grapes, P. v. Grapes, L. v. Grapes, P.) is published on Counsel Stack Legal Research, covering Superior Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Grapes, P. v. Grapes, L. v. Grapes, P., (Pa. Ct. App. 2024).

Opinion

J-S22034-24

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT O.P. 65.37

PAULA GRAPES, AS EXECUTRIX OF : IN THE SUPERIOR COURT OF THE ESTATE OF DAVID B. GRAPES : PENNSYLVANIA : : v. : : : LINDA GRAPES : No. 1390 WDA 2023 : : v. : : : PAULA GRAPES : : :

Appeal from the Order Entered October 25, 2023 In the Court of Common Pleas of Allegheny County Family Court at FD15-007374-005

BEFORE: PANELLA, P.J.E., LANE, J., and BENDER, P.J.E.

MEMORANDUM BY BENDER, P.J.E.: FILED: September 5, 2024

This is a divorce case involving the enforcement of a marital settlement

agreement (MSA) between David B. Grapes (Decedent) and Appellee Linda

Grapes (Ms. Grapes). Decedent’s second wife and widow, Paula Grapes

(Appellant), appeals pro se from the October 25, 2023 order adopting the

hearing officer’s Report and Recommendation (Report), as modified by the

trial court’s order partially granting Ms. Grapes’ exceptions. The October 25,

2023 order dismissed Appellant’s exceptions, canceled a hearing, and J-S22034-24

specified that the order was final. After careful consideration of the record

and law, we affirm.

Background

This case began on February 19, 2015, when Decedent filed for divorce

from Ms. Grapes. Decedent and Ms. Grapes were married for 40 years, and

their assets included Decedent’s business, W.W. Patterson. On January 19,

2017, Decedent sold W.W. Patterson to the Lidan Sepson Corporation, and

the proceeds were placed in escrow with PNC Bank. See Report at 7. On

September 15, 2017, Decedent and Ms. Grapes executed the MSA.

Pertinently, the MSA addresses the allocation of proceeds and tax liabilities

from the sale of W.W. Patterson; the MSA also provides that Ms. Grapes is

responsible for any liability attributable to a 2010 promissory note she and

Decedent executed “as Maker” to the “1999 IRREVOCABLE TRUST FOR ISSUE

OF DAVID B. AND LINDA J. GRAPES” (1999 Trust).1 MSA at ¶¶ 19-27.

Decedent and Ms. Grapes were divorced by decree entered October 20,

2017. Shortly after, Decedent married Appellant. Decedent died on April 29,

2021. Appellant is the executrix of Decedent’s estate. At Ms. Grapes’ request,

the trial court joined Appellant as an additional defendant in the enforcement

matter. Appellant, as executrix, subsequently substituted her appearance for

Decedent as plaintiff.

____________________________________________

1 Decedent and Ms. Grapes established the 1999 Trust for the benefit of their

seven children.

-2- J-S22034-24

The ensuing litigation has been fraught with procedural quirks and

Appellant’s disregard for the judicial process.

Parties’ Dispute

Prior to Decedent’s death, Ms. Grapes experienced difficulty obtaining

the documentation from Decedent that she needed to file her taxes and

comply with her obligations under the MSA.2 On or about January 13, 2022,

Ms. Grapes filed a petition to enforce the MSA (MSA Petition).

Paragraph 22 of the MSA, as well as an attached stipulation, provides

that the parties are equally responsible for all capital gains and income tax

liability. Ms. Grapes stated:

It has now been over three (3) years since the deadline for filing of [Decedent’s] 2017 Federal, state and local income tax returns has passed.

To date, [Ms. Grapes] has not received [Decedent’s] 2017 or 2018 income tax returns, any drafts of the 2017 and/or 2018 income tax returns, and no pro forma Joint income tax returns.

[Ms. Grapes] desires to finalize all divorce related matters and receive her remaining share of marital property.

Therefore, [Ms. Grapes] is respectfully requesting this matter be referred to one (1) of this Honorable Court’s Divorce Hearing Officers for a three (3) hour Conciliation and any necessary subsequent proceedings.

MSA Petition at 5-6 (paragraph numbers omitted).

Ms. Grapes asserted that Decedent, “and/or his Estate is in breach of

the MSA as [Decedent] failed to timely draft or finalize the 2017 tax returns ____________________________________________

2 According to Ms. Grapes, her counsel “sent no less than twelve (12) letters

requesting this information.” Ms. Grapes’ Brief at 3 (citation omitted).

-3- J-S22034-24

for W.W. Patterson and himself that are necessary to calculate each party’s

theoretical tax obligation under the MSA and to distribute the remaining funds

held in escrow.” Report at 4. Ms. Grapes also requested distribution of the

net sales proceeds and an award of counsel fees for the necessity of bringing

the enforcement action. Id.

On or about January 21, 2022, Ms. Grapes presented a motion to join

Appellant as a party pursuant to Pa.R.C.P. 1920.34 (Joinder Motion). Ms.

Grapes averred:

[Appellant is] the beneficiary and Executrix of [Decedent’s] estate. See, a true and correct copy of the May 19, 2021 email correspondence from counsel for [Decedent] attached hereto as Exhibit “B.”

During his marriage to [Ms. Grapes], [Decedent] was the owner of an interest in W.W. Patterson Company, a marital asset which was liquidated and divided as part of the equitable distribution proceedings.

Prior to the execution of the MSA, the net sales proceeds were divided into two (2) accounts: PNC Escrow Account No. x0131 and BNY Mellon Escrow Account No. x0096.

Paragraph 9 of the MSA dictates how the parties were to divide the balance of the PNC Escrow Account No. x0131.

Specifically, after the payment of the tax liability estimate due as a result of the sale of the W.W. Patterson, [Ms. Grapes] was to receive the first $700,000 and the remaining was to be divided equally (i.e.[,] 50%/50%) between the parties. See, Paragraph 19, page 6 of Exhibit “A.”

Paragraph 19 of the MSA required funds to be withheld to cover [Decedent’s] tax liability associated with the sale of W.W. Patterson on his 2017 and 2018 income tax returns, pursuant to Paragraph 22 of the MSA.

-4- J-S22034-24

To date, despite the passage of over four (4) years, and despite numerous requests by [Ms. Grapes], [Decedent’s] 2017 and 2018 tax returns have never been filed.

As such, undistributed funds, including [Ms. Grapes’] share of marital property, remain in the PNC Bank Escrow Account No. x0131.

Further, Paragraph 20 of the MSA dictates the division of the BNY Mellon Escrow Account No. x0096.

As of the date of this Motion, [Ms. Grapes] is unaware if any remaining balance exists in the BNY Mellon Escrow Account No. x0096.

Pennsylvania Rule of Civil Procedure 1920.34 provides, in pertinent part:

At any stage of an action, the court may order the joinder of an additional person who could have joined or been joined in the action and may stay the proceedings in whole or in part until such person has been joined.

Further, the note to Pa.R.C.P. 1920.34 states that, “The joinder of persons other than husband and wife may be essential in claims ... where persons other than the parties have an interest in property which is the subject matter of a distribution.”

Additionally, 23 Pa.C.S.[] §3323(f) provides the [trial c]ourt with equity power in order to protect the interests of the parties. This power includes the right to grant relief and remedies as equity and justice require against third parties over whom the [c]ourt has jurisdiction and who are concerned with or involved in the disposition of the cause before the [c]ourt.

As the beneficiary and Executrix of [Decedent’s] estate, [Appellant] has an interest in the remaining balance of the PNC Bank Escrow Account No.

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