Kirtz v. Kirtz

421 N.E.2d 1270, 12 Mass. App. Ct. 141, 1981 Mass. App. LEXIS 1126
CourtMassachusetts Appeals Court
DecidedJune 24, 1981
StatusPublished
Cited by12 cases

This text of 421 N.E.2d 1270 (Kirtz v. Kirtz) is published on Counsel Stack Legal Research, covering Massachusetts Appeals Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kirtz v. Kirtz, 421 N.E.2d 1270, 12 Mass. App. Ct. 141, 1981 Mass. App. LEXIS 1126 (Mass. Ct. App. 1981).

Opinion

Cutter, J.

The plaintiff (the wife) and the defendant (the husband) have three children aged fourteen, twelve, and ten. The parents were granted on April 2, 1976, a decree nisi of divorce as of October 7, 1975, which became absolute by the terms of a judgment entered on April 8, 1976.

Prior to the divorce, a master was appointed to consider the issues of support and custody. He recommended that the wife have custody of the children under arrangements no longer in dispute. The master also recommended the husband’s transfer to the wife of (a) the equity (about $43,500) in the marital domicil in Marblehead, and (b) listed stock worth about $14,850. The known value (apart from Ohio family interests mentioned below) of the husband’s assets, at the time of this first master’s report, was about $120,000 plus one-half of the equity in the marital domicile. In addition, the husband owned, together with other members of his family, interests in Ohio real estate and enterprises then listed as having an “uncertain” value. The husband, prior to the divorce, had assigned to the wife, his interest in household furnishings and antiques appraised at $10,705. The master recommended that the husband pay to the wife $260 a month for her support while she remained unmarried, and $440 a month for the support of the children. These recommendations of the master were essentially adopted by the probate judge by a judgment of April 2, 1976. He also awarded the wife $5,000 for the services and disbursements of her present counsel. Following the judgment, the docket shows that an appeal was waived.

*143 The master’s report disclosed that, prior to the divorce, the Kirtz family for a time had lived in Europe where the husband was employed as a journalist. After 1968, the husband had conducted a seriously unprofitable newspaper business, possible only because of support from the husband’s father (a resident of Ohio) amounting to about $300,000 for the son, his family, and the losing venture. The report also disclosed that, beginning in 1969, the son and his family “lived on a rather expensive scale,” obviously made possible only by the husband’s father, at a time when the husband received $18,500 a year as a university teacher plus some income from “free lance writing.”

On October 6, 1976, the wife filed a complaint, later amended on October 14,1977, seeking (a) an increase in the amount allowed to her “for her support and the support of the children including the assignment to her of a portion of” the husband’s estate, (b) “a provision that payments increase with increases of cost of living,” and (c) for her costs and attorneys’ fees. The case was referred to the same master who had made the pre-divorce report.

The master reviewed at length the property transfers and support payments originally ordered, and the wife’s further needs for support. He found that the then existing support orders of $700 per month in the aggregate were not adequate and that the payments should be increased if the husband’s resources “have increased sufficiently to justify” an increase. He also found that the husband’s teaching salary had been increased in a modest amount since the earlier report. A listed stock had nearly doubled in value and had been sold for the husband at a substantial profit. Real estate in Marblehead, the only remaining asset of the husband’s unsuccessful newspaper venture, had been sold at “a gain of $23,000 over its [earlier] estimated value.” One of the Ohio businesses (regarded as of “uncertain” value in the earlier report) had been sold for about $77,000. The proceeds of the sales had largely been placed in the hands of the husband’s father under highly confusing and ambiguous arrangements. From these, some securities had been pur *144 chased for the husband. Irrevocable trusts of about $25,000 each had been established for each of the couple’s three children, under which income and principal were payable to the child in the sole discretion of the husband’s brother who is trustee. The master wisely concluded that the husband’s “financial situation [should] be treated as if the trust funds were under his control,” because, so the master concluded, the husband “has only to ask his brother to use the trust funds for the children and it will be done.” The master recommended denial of any further transfer of capital from the husband to the wife under G. L. c. 208, § 34, as then in effect, on the ground that the assignment of assets in the original divorce judgment precluded any further assignment.

The master’s report (based on the hearings concluded on December 8, 1977) was filed on March 21, 1978. The report was adopted and objections to it were waived by both parties. Further hearings were held in 1979 before the probate judge who filed his findings on July 24, 1979. He concluded, after reviewing the wife’s budget, that she then needed $740 each month for child support and $475 each month for her support, and that the husband’s assets had risen sufficiently to justify a reasonable increase in the support order. He decided that the husband exercised “some indirect control in how . . . payments [from the trusts for the children] will be made.” In view of the “extensive assignments of property by the” husband to the wife in the original divorce proceeding, he concluded that there was no basis for modifying the earlier property division awards. He expressly found that “[a]ll assets owned by the . . . [husband] were disclosed ... in the original divorce proceeding. While some of the assets were later found to be worth more,” he wrote, “I find no evidence of fraud or misrepresentation by the” husband.

The judge made note that the wife had “suffered a constant erosion of her support funds by inflation.” To “help correct this harsh inequity,” he directed the inclusion of a *145 cost of living clause in the modified judgment, limited as stated below.

A revised judgment, dated November 1, 1979, continued in effect the provisions of the judgment of April 2, 1976, with respect to the decree nisi, custody of the children, and visitation rights, except that the payment by the husband to the wife for child support was to be reduced by $175 while the children were with the husband for a month in the summer. Portions of the 1976 judgment with respect to transfers of property and counsel fees in the original divorce proceeding were stated to have “been fully satisfied.” The support provisions were modified as already indicated, and there was inserted a cost of living provision, based upon changes in the Bureau of Labor Statistics Consumer Price Index and increases in the husband’s taxable income, “whichever is the lesser.” The husband was directed to pay to the wife $1,000 toward the compensation of her attorneys. From the revised judgment, both parties have appealed.

1. Counsel for the wife contends in effect that the husband’s failure to disclose the value of his various Ohio assets and of the remaining property of his newspaper business caused her to refrain from pressing in the original proceeding for a more substantial allocation to her of property under G. L. c. 208, § 34. As to this, she must overcome the specific finding by the probate judge on the master’s second report (and such other evidence as the probate judge received) that there was no evidence of the husband’s fraud or misrepresentation and that “ [a]ll assets . . . were disclosed ... in the original . . .

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Bluebook (online)
421 N.E.2d 1270, 12 Mass. App. Ct. 141, 1981 Mass. App. LEXIS 1126, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kirtz-v-kirtz-massappct-1981.