Montgomery, J. v. Montgomery, M.

Superior Court of Pennsylvania·Decided May 15, 2017·No. Montgomery, J. v. Montgomery, M. No. 880 WDA 2016·Unpublished

Opinion

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT I.O.P. 65.37

JILLIAN M. MONTGOMERY : IN THE SUPERIOR COURT OF : PENNSYLVANIA

Appellant :

:

v. :

:

MICHAEL R. MONTGOMERY :

:

Appellee : No. 880 WDA 2016

Appeal from the Order May 23, 2016 In the Court of Common Pleas of Mercer County Domestic Relations at No(s): 00181 DR 2015

BEFORE: GANTMAN, P.J., BENDER, P.J.E., and MOULTON, J. MEMORANDUM BY GANTMAN, P.J.: FILED MAY 15, 2017 Appellant, Jillian M. Montgomery (“Mother”), appeals from the order entered in the Mercer County Court of Common Pleas, which modified the child support obligations of Appellee, Michael R. Montgomery (“Father”). We vacate and remand for further proceedings.

The relevant facts and procedural history of this case are as follows.

The parties married in October 2005, and separated in April 2015. They have two minor daughters together, born in July 2006 and June 2008, respectively. Relevant to this appeal, Mother is the contingent beneficiary of a spendthrift trust. Mother filed a complaint for spousal and child support on April 21, 2015. On May 18, 2015, Father filed a complaint for divorce and equitable distribution. A Domestic Relations officer held an initial support conference on May 26, 2015. Following the conference, the Domestic Relations officer issued a report and recommendation, which the court

adopted and entered as an interim support order on June 3, 2015,1 requiring Father to pay spousal and child support in the combined amount of $3,095.79/month ($1,675.81 spousal; $709.99 per child), plus arrears.2 The order contained a “NOTICE OF RIGHT TO REQUEST A HEARING,” advising the parties they had until June 23, 2015 to request a de novo hearing before the trial court. Father timely requested a de novo hearing.

On June 30, 2015, the court scheduled the de novo hearing for August 5, 2015. Father filed a motion on July 21, 2015, for separate listing of the de novo hearing, alleging, inter alia, that Mother is the beneficiary of a sizeable trust, so there are complex issues with respect to Mother’s income. Father requested the matter to be listed separately for a two-hour hearing. The court granted Father’s request and rescheduled the de novo hearing for September 8, 2015.

1 The June 3, 2015 support order is marked a “final” order. Nevertheless, under Pa.R.C.P. 1910.11(f), the order is considered an interim order. See Pa.R.C.P. 1910.11(f) (stating if agreement for support is not reached at conference, court shall enter interim order calculated in accordance with guidelines and substantially in form set forth in Rule 1910.27(e); each party shall be provided, either in person at time of conference or by mail, with copy of interim order and written notice that any party may, within twenty days after date of receipt or date of mailing of interim order, whichever occurs first, file written demand with domestic relations section for hearing before court). 2 The court modified its support order on June 5, 2015, to remove a credit that had incorrectly been issued to Father. The modification order altered the amount of arrears Father owed but did not alter his monthly support obligations.

The parties subsequently engaged in discovery and the de novo hearing was continued due to disputes which arose during that process, particularly pertaining to matters concerning the trust. The court held the de novo hearings on December 15-16, 2015. Father testified at the hearings, inter alia, that he works for a mechanical contracting company called Power Piping, which installs piping and equipment for power plants, steel plants, and gas plants. The company hired Father at an annual salary of $150,000.00. On February 2, 2015, Father claimed his employer asked Father to take a pay reduction of approximately nine percent due to the company’s financial difficulties. Father accepted the pay reduction between February and August 2015, after which Father’s salary was reinstated to $150,000.00 annually. Father also enjoys certain employee perquisites such as a monthly car allowance, gas card, and cell phone bill payment. Father said his car allowance was terminated during the period of the pay reduction.

Mother testified, inter alia, that she is primarily a homemaker. She works part-time at Justice clothing store. Mother is also on the “call” list to be a substitute teacher’s aide; at the time of the December 2015 hearings, she had not been called to work. Additionally, Mother operates a spray tanning business out of her home called “Color Me Caramel.” The business is seasonal and not profitable. Mother explained she is one of several contingent beneficiaries of a spendthrift trust. Mother said she has no right

to distributions from the trust and any distributions from the trust are subject to the trustee’s sole discretion. Mother admitted she has requested distributions from the trust on several occasions, and the trustee granted each request. Mother claimed she has received no distributions from the trust since January 2015. Mother insisted she signed a promissory note on January 15, 2015, obligating her to repay the trust $8,000.00. At the time of the December 2015 hearings, Mother had not made payment on the note. Mother conceded she did not execute promissory notes in the past to repay the trust prior to execution of the January 2015 note. Mother also stated her parents provide financial assistance when she needs extra money for the children.

At the conclusion of the hearings, Mother’s counsel argued the court should calculate Father’s income at $150,000.00/year and take into account Father’s monthly car allowance, gas card, and cell phone payment in determining Father’s support obligation. Mother said Father should claim one of the parties’ children as a dependent and file his taxes as “head of household.” Mother insisted any trust distributions she received do not constitute “income” for purposes of support.

Father said he would not dispute using $150,000.00/year as his income for purposes of calculating support. Father suggested the court should not consider his vehicle and cell phone perquisites because his car requires a lot of maintenance as a result of his travel for work, so the car

allowance and gas card offset that burden. Father also said he uses his cell phone predominately for work so he should not be penalized for enjoying that perquisite. Father contested Mother’s position regarding the trust distributions. Following argument from the parties, the court stated it would take the matter under advisement. Mother submitted a supporting brief in favor of excluding the trust distributions from the calculation of her income for purposes of support.

The court issued a decision on December 21, 2015, concluding: (1)

Father’s perquisites should be added to his income for purposes of calculating support; and (2) any distributions Mother received from the trust should not be included in Mother’s monthly income. The court remanded the matter to the Domestic Relations office for recalculation of Father’s support obligation consistent with the court’s decision. On December 24, 2015, the Domestic Relations office issued a report and recommendation, which the court adopted as a final court order that day, calculating Father’s combined spousal and child support obligation at $4,530.67/month ($2,694.35 spousal; $918.16 per child), plus arrears. The Domestic Relations officer’s report and recommendation included Father’s car allowance in its calculation but inadvertently omitted Father’s other perquisites, such as his gas card and cell phone payment. The support order attached a “NOTICE OF RIGHT TO REQUEST A HEARING,” advising the parties they had until January 18, 2016 to request a de novo hearing. Father timely requested a de novo

hearing on January 15, 2016.

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