Marriage of Maranda v. Maranda

435 N.W.2d 621, 1989 WL 10404
CourtCourt of Appeals of Minnesota
DecidedFebruary 14, 1989
DocketNo. C3-88-1306
StatusPublished
Cited by2 cases

This text of 435 N.W.2d 621 (Marriage of Maranda v. Maranda) is published on Counsel Stack Legal Research, covering Court of Appeals of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Marriage of Maranda v. Maranda, 435 N.W.2d 621, 1989 WL 10404 (Mich. Ct. App. 1989).

Opinion

OPINION

DAVID R. LESLIE, Judge.

Appellant Edward Maranda appeals from an order which vacated the property distribution provisions of the 1979 judgment and decree dissolving the parties’ marriage. Appellant also appeals from a judgment for respondent based on the court’s valuation of the 1979 marital estate. We reverse.

FACTS

In 1979, Mary and Edward Maranda ended their marriage by dissolution pursuant to a stipulation. The dissolution decree awarded each party one half of assets valued at approximately $120,000. Mary Mar-anda was represented by counsel during the dissolution; Edward Maranda was not.

In December 1984, Mary brought a motion to vacate the property division portion of the decree and requested the court to make an equitable property division. Mary alleged that Edward fraudulently concealed marital assets at the time the stipulation was negotiated.

The trial court held hearings on the motion from December 22, 1986 — May 26, 1987. In a resulting order issued on September 2, 1987, the trial court found that [623]*623the information furnished by Edward to Mary at the time of the stipulation was incomplete and inaccurate. The court concluded that Mary had shown sufficient evidence of fraud to warrant vacating the property division provisions of the 1979 decree. The court set a hearing date for early January 1988 for further proceedings to determine the value of the 1979 marital estate. In the intervening time, Edward sought to appeal the denial of his motion for amended findings or a new trial. While the appeal to this court was pending, the trial court held a hearing on Mary’s motion for a supersedeas bond. On January 5, 1988, the trial court denied that motion, required filing of a cost bond, granted a request for filing of a notice of lis pendens and issued a restraining order preventing Edward’s sale or acquisition of real property without Mary’s consent. The court set a trial date for January 19, 1988.

On January 19, Edward’s attorney, who thought the trial would not proceed pending resolution of the appeal to this court, moved for a continuance. The motion was denied. Following testimony on January 19, Edward’s counsel again moved for a continuance, and sought a writ of prohibition in this court. Following consultation with this court, the trial court granted a continuance and the writ petition was denied.

On January 25, the scheduled trial date, Edward’s counsel was injured in an auto accident and could not proceed. The trial was rescheduled for February 8, 1988. Edward’s counsel had another trial scheduled for that date and believed the trial in this matter would not take place. Edward departed on a trip to Europe on February 6, shortly before his counsel learned that the trial would proceed as scheduled.

On February 8, 1988, Edward and his counsel did not appear for trial, but sought a writ of prohibition from this court. The writ was summarily denied. Edward’s attorney sought a continuance from the trial court, which was denied. Edward’s counsel stated that she could not proceed in the absence of her client. Counsel did not cross examine Mary’s expert witness.

The trial court entered judgment for Mary in the amount of $561,159 plus attorney fees, witness fees, and interest. Edward has appealed, claiming that the trial court improperly vacated the 1979 decree; that the trial court erred in failing to grant a continuance on February 8; that the judgment was based on speculative evidence; and that the trial court unreasonably imposed restraints on him. By motion dated November 2,1988, respondent moved this court for an award of attorney fees on appeal.

ISSUES

1. Did the trial court err in partially vacating the judgment and decree of dissolution?

2. Did the trial court abuse its discretion by failing to grant a continuance on February 8, 1988?

3. Did the trial court abuse its discretion in its valuation of the marital estate?

4. Is respondent entitled to attorney fees on appeal?

ANALYSIS

Vacation of the 1979 Judgment and Decree

Respondent initiated this action in 1985 with a motion under Minn.R.Civ.P. 60.02, subd. (3) and (6). In 1986, the Minnesota Supreme Court decided Lindsey v. Lindsey, 388 N.W.2d 713 (Minn.1986). The decision in Lindsey applies retroactively to cases filed prior to the decision. Merickel v. Merickel, 414 N.W.2d 208, 211 (Minn.Ct.App.1987). Under Lindsey, a property settlement may not be vacated pursuant to Minn.R.Civ.P. 60.02. Lindsey, 388 N.W.2d at 716. The trial court has inherent power to revoké a property settlement only when the circumstances surrounding entry of the judgment and decree amount to fraud upon the court and the administration of justice. Id.

The trial court found sufficient evidence of fraud to vacate the decree. We do not agree. Minnesota has not defined “fraud upon the court.” This court has [624]*624stated that it is fraud connected with the presentation of a case to the court, and differs from the “intrinsic or extrinsic” fraud envisioned by clause (3) of Minn.R.Civ.P. 60.02. Angier v. Angier, 415 N.W.2d 53, 56 (Minn.Ct.App.1987); see Kupferman v. Consolidated Research & Manufacturing Corp., 459 F.2d 1072, 1078 (2nd Cir.1972) (fraud upon the court cannot be read to embrace any conduct of which the court disapproves, but embraces only that species of fraud which does, or attempts to, defile the court itself, or is fraud perpetrated by officers of the court so that the judicial machinery cannot perform in the usual manner); Kerwit Medical Products, Inc. v. N & H Instruments, Inc., 616 F.2d 833, 836-37 (5th Cir.1980) (only a small number of acts that can be considered fraud amount to fraud upon the court).

The trial court based its order vacating the dissolution decree on findings that appellant failed to accurately disclose marital assets at the time of the stipulation. This court has held that failure by one party to disclose pertinent information to a proceeding is not fraud upon the court. Carlson v. Carlson, 371 N.W.2d 591, 595 (Minn.Ct.App.1985), pet. for rev. denied (Minn. Oct. 11, 1985). Neither nondisclosure nor concealment of marital assets constitutes fraud upon the court. Id.

The presence of extraordinary circumstances which preclude a party’s ability to fairly and reasonably understand the matters under consideration can justify vacation of a decree. Lindsey, 388 N.W.2d at 716. In this case, however, respondent did not demonstrate any such circumstances.

The judgment and decree in the present case incorporated the stipulation agreed to by the parties. Under such circumstances, we extend our review to the circumstances surrounding the stipulation. Kroeplin v. Haugen,

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Related

Marriage of Maranda v. Maranda
449 N.W.2d 158 (Supreme Court of Minnesota, 1989)

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435 N.W.2d 621, 1989 WL 10404, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marriage-of-maranda-v-maranda-minnctapp-1989.