Kacy DePriest v. Sidney Heath DePriest

CourtCourt of Appeals of Texas
DecidedJune 21, 2022
Docket14-20-00032-CV
StatusPublished

This text of Kacy DePriest v. Sidney Heath DePriest (Kacy DePriest v. Sidney Heath DePriest) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kacy DePriest v. Sidney Heath DePriest, (Tex. Ct. App. 2022).

Opinion

Affirmed as Modified and Memorandum Opinion filed June 21, 2022.

In The

Fourteenth Court of Appeals

NO. 14-20-00032-CV

KACEY DEPRIEST, Appellant

V. SIDNEY HEATH DEPRIEST, Appellee

On Appeal from the 328th District Court Fort Bend County, Texas Trial Court Cause No. 17-DCV-242033

MEMORANDUM OPINION

Appellant, Kacey DePriest, appeals the trial court’s final divorce decree. Appellant raises five issues on appeal. First, she argues that the trial court abused its discretion in denying her request for a jury trial. Second, she argues that the trial court erred in characterizing “stock units as the separate property” of appellee, Sidney Heath DePriest, because appellee judicially admitted that all property was community property. Third, she argues that the evidence is insufficient to characterize the stock units as appellee’s separate property. Fourth, she argues the trial court committed harmful error by “bifurcating the date of divorce from the . . . date used to determine the property.” Fifth, she argues that the trial court erred in ordering a mineral interest reserved to appellee on real property awarded to appellant—a point appellee concedes. We affirm as modified.

I. JURY DEMAND

Appellant complains the trial court committed reversible error when it denied her request for jury trial. Appellee argues the trial court did not abuse its discretion because there were no fact issues to be decided by the jury.

A. General Legal Principles

To be entitled to a jury trial, a party must make a jury request in writing filed with the trial court within a reasonable time before the trial setting. Tex. R. Civ. P. 216(a). A jury demand filed more than thirty days before the actual trial is presumed timely. See Crittenden v. Crittenden, 52 S.W.3d 768, 769 (Tex. App.— San Antonio 2001, pet. denied) (citing Halsell v. Dehoyos, 810 S.W.2d 371, 371 (Tex. 1991)). A party opposing the jury request “may rebut the presumption by showing a jury trial will: (1) injure the party, (2) disrupt the trial court’s docket, or (3) impede the ordinary handling of the court’s business.” Id. “A refusal to grant a jury trial is harmless error only if the record shows that no material issues of fact exist and an instructed verdict would have been justified.” Halsell, 810 S.W.2d at 372.

B. Background

The parties married in 1996. Appellant filed for divorce from appellee in May 2017. The parties agreed to wait to finalize the divorce until after their youngest child graduated from high school in June 2018. In May 2018, the parties began preparing for mediation and trial. Appellant filed a jury request on July 30,

2 2018. Appellee opposed the jury request and filed a motion to strike. Due to the request, the trial setting was postponed an additional month.

The trial court conducted a hearing on the motion to strike appellant’s jury request in late September 2018. At the hearing, appellee’s counsel represented that “[t]here is no issues (sic) of fact in this case. Everything is community property. The only thing to divide is two houses, retirement and personal property of the two parties.” At the conclusion of the hearing, the trial court took the matter under advisement noting that “I don’t intend to go forward with the jury. However, if we change our mind, then, it will definitely be next year before you can do a jury.” The trial court stated that a jury trial would not be conducted until March or April 2019. After the hearing, the trial court granted appellee’s motion to strike. There are no trial settings in the record.

The parties tried the case to the bench over two days, concluding the trial on February 5, 2019. At trial, appellant admitted multiple spreadsheets detailing the assets of the estate, including appellee’s employment benefits. The employment benefits included three different types of stock that appellee’s employer awarded him during the marriage: (1) stock options; (2) restricted stock units (RSU); and (3) performance stock units (PSU).1 It was undisputed that the benefits were awarded during the marriage for work done during the marriage. At the time of trial and the divorce decree many of the benefits remained unvested. At trial there was no dispute about the number of “units” awarded to appellee or the dates that the awards would fully vest.

Appellant’s exhibit A-7 indicated the dates each of the stock benefits was awarded with the corresponding date that each of the stock benefits would fully vest. This spreadsheet also included the “Total Grant Units” in one column and 1 We refer to the benefits in the same manner as the parties.

3 “Vested Units” in another. During appellee’s testimony, the trial court interjected some questions to “everybody” regarding the restricted stock units on this spreadsheet, stating:

We’re talking about this restricted stock. So I’m looking at this document right here so everybody can know — ... THE COURT: — which is Exhibit 51. Looking at the restricted stocks units. Let’s take a look at the stocks awarded 2-2 of 2016. [APPELLEE]: Those were the ones that just vested, and they are now in our . . . account. THE COURT: Right. There’s 1830 units. Those — I have that listed as those are being granted on February 2, 2019. And I show that because they have already vested, that the entire 1,830 shares would be community property. Does everybody — counsel do the two of you agree with me on that? [Both counsel agree] ... THE COURT: And it would be my inclination . . . I want to take another award from these [RSUs] I’m going to take the one with 644 units that was awarded on 2-6 of 2018. That does not vest until February 6, 2021. ... THE COURT: . . . [I]t appears that the community would only own about 214 of those shares, with 429 of those shares being the separate property of [appellee], due to the fact if we based the date of the divorce on February 6, 2019, that those shares have only . . . there’s another two years to go before they vest. . . . if they get divorced today, the community should get 214 and 2/3rds of those shares. Do you lawyers agree with me on that? ... [APPELLANT’S COUNSEL]: Maybe — I might be off a line here. . .. ...

4 THE COURT: . . . [T]hat portion of those 644 is going to be [appellee’s] separate property shares. I want to make certain, counsel, that we are all on the same page on that.

After more discussion on the record, the trial court concluded that “what I’m planning on doing is saying to [appellee’s employer] that [appellant] is awarded a percentage of the community shares of all of these stocks.” The trial court again asked whether appellant agreed and whether there were any objections regarding how the stock benefits would be split by the trial court. Appellant did not object, did not indicate that appellee had failed to disclose any separate property interest to be decided at trial, and did not bring up her jury request.

The parties agreed on the grant date, vest date, and the number of units awarded to appellee. The parties further agreed that it made sense to value the stocks as units instead of monetarily because the stock price fluctuated widely throughout any given day because they were publicly traded. In her exhibit A-1 admitted at trial, appellant proposed a split of the vested stock benefits, with sixty percent going to appellant and forty percent going to appellee. Appellant made no proposal for the split of the non-vested stock units.

At the conclusion of the trial, the trial court took the matter under advisement.

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Kacy DePriest v. Sidney Heath DePriest, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kacy-depriest-v-sidney-heath-depriest-texapp-2022.