Hartland v. Hartland

777 P.2d 636, 1989 Alas. LEXIS 77, 1989 WL 74519
CourtAlaska Supreme Court
DecidedJuly 7, 1989
Docket3459
StatusPublished
Cited by71 cases

This text of 777 P.2d 636 (Hartland v. Hartland) is published on Counsel Stack Legal Research, covering Alaska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hartland v. Hartland, 777 P.2d 636, 1989 Alas. LEXIS 77, 1989 WL 74519 (Ala. 1989).

Opinion

OPINION

MOORE, Justice.

I. FACTS AND PROCEEDINGS

This divorce case involves two cross appeals from the lower court’s division of the couple’s marital property and subsequent efforts to enforce that division.

Patricia Hartland and Jay Hartland were married on May 5, 1969. Both are college graduates. At the time of trial, Patricia was employed as an elementary school teacher for the Juneau School District and Jay was employed as a stockbroker for Shearson Lehman Brothers. Jay was 43 years old, Patricia was 44, and their daughter, Andrea, was 11 years old. Patricia’s 1985 gross income was $48,588. Jay Hart-land’s salary was based upon commissions. Consequently, his income ranged from $116,840 in 1983 to $46,812 in 1985.

On May 6, 1986, Jay Hartland filed a complaint for divorce. Before trial, the parties reached an agreement whereby Patricia would have sole custody of Andrea until she reached the age of majority. Jay was to pay $500 a month child support. On October 29-31, 1986, a bench trial was held on the property division issues before Judge Duane Craske.

The court valued the party’s marital assets and liabilities as of October 31, 1986, the last day of the trial and the effective day of the divorce. The court found that the total value of the marital assets was $324,186. The court then awarded 60 percent of the assets to Patricia and 40 percent to Jay. The greater percentage to Patricia was to compensate her for Jay’s personal use of marital assets over the year prior to the divorce.

In particular, the court valued Patricia’s retirement benefits at $26,618 and Jay’s retirement benefits at $38,525. The court awarded the couple’s stock in PEP Boys, American Express and Lenora Explorations to Patricia. A subsequent dispute arose over transfer of these stocks to Patricia. Both parties appeal.

II. DISCUSSION

Jay appeals arguing that 1) sufficient evidence was not presented so as to properly value their retirement benefits; 2) the court improperly relied on fault in making the property division; 3) the court erred in not granting a new trial under Rule 60(b)(6) because of his former attorney’s malpractice; 4) he should not have been held in contempt for delay in transferring certain stocks to Patricia; and 5) the court erred in two separate awards of attorney’s fees to Patricia.

Patricia cross-appeals arguing that the court erred by 1) failing to recapture and charge to Jay’s share of the property division all of the marital assets dissipated by him after the parties separated; 2) failing to include in the marital estate certain compensation earned by Jay prior to the date of evaluation; and 3) failing to award Patricia all, or substantially all of her attorney’s fees.

A. Issues Arising Out of The Property Division

1. Did the Court Err in the Evaluation of the Parties’ Retirement Benefits?

Jay Hartland argues that the court possessed insufficient evidence to properly val *639 ue the parties’ retirement benefits. Patricia argues that any lack of evidence on Jay’s retirement benefits is due to his own failure to produce additional evidence. As to the claim concerning her retirement benefits, Patricia argues that Jay never refuted the $26,618 figure at trial. She further argues that she fully complied with Jay’s discovery requests and that all the terms of her teacher’s pension are public information.

After being subpoenaed, Jay produced a 1985 statement from Shearson Lehman indicating his accrued retirement benefits as of January 1, 1985. This statement only provided information regarding the annual benefit which he could expect to receive at a retirement age of 65. He stated that he had checked on more recent information and that Shearson hoped to have a 1986 statement out before the end of the year.

Patricia then served the office manager of Shearson Lehman Brothers with a subpoena to obtain these documents. She was again told that no information was available on the status of Jay’s retirement benefits until a Shearson Lehman audit was completed at the end of 1986.

Patricia served a second subpoena for these and related documents just before trial. The judge and counsel had an extended discussion at trial concerning the difficulties in Patricia’s obtaining needed documents. The court expressed its skepticism concerning the unavailability of the retirement data and noted that if records were being unreasonably withheld he would resolve any doubt against that party-

At trial, Jay did not present any further evidence as to the value of his retirement benefits. Neither party presented evidence as to the present value of future payments under either pension plan. Neither party attempted to discount these future payments to present value terms. Patricia introduced the 1985 statement and questioned Jay concerning it. Patricia also introduced evidence as to Jay’s life expectancy. In closing argument, Patricia calculated the amount which Jay could be expected to receive over his life expectancy after age 65 on the basis of the 1985 statement. At trial, Jay made no objection to the calculation. The trial court accepted this valuation in its Findings of Fact and Conclusions of Law.

i. Standard of Review

Alaska Statute 25.24.160(a)(4) grants the trial court broad discretion in fashioning a property division in divorce actions. Laing v. Laing, 741 P.2d 649 (Alaska 1987). In Moffitt v. Moffitt, 749 P.2d 343, 346 (Alaska 1988), this court explained:

The division of property by the trial court is a three-step process: Step one— determining what property is available for distribution — is reviewed under the abuse of discretion standard, although it may involve legal determinations to which this court applies its independent judgment. Wanberg v. Wanberg, 664 P.2d 568, 570 (Alaska 1983). The second step — placing a value on the property — is a factual determination that will be upset only if there is clear error. Alaska R.Civ.P. 52(a). Step three — allocating the property equitably — is reviewed purely under the abuse of discretion standard and “will not be disturbed unless it is clearly unjust.” Wanberg, 664 P.2d at 570.

This court will disturb the trial court’s valuation of marital property only if it is clearly unjust. Bousquet v. Bousquet, 731 P.2d 1211, 1213 (Alaska 1987).

Jay argues that the valuations of the parties’ retirement benefits are unjust because the court should have recognized the insufficiency of the evidence presented and required additional evidence before attempting to value these benefits. This argument is without merit.

The cases Jay cites involve situations in which neither party presented any evidence as to the value of the retirement benefits. 1 In contrast, Patricia presented *640

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Bluebook (online)
777 P.2d 636, 1989 Alas. LEXIS 77, 1989 WL 74519, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hartland-v-hartland-alaska-1989.