Monya Jill Rayanne Roberts v. James Kevin Roberts

CourtCourt of Appeals of Tennessee
DecidedNovember 29, 2010
DocketE2009-02350-COA-R3-CV
StatusPublished

This text of Monya Jill Rayanne Roberts v. James Kevin Roberts (Monya Jill Rayanne Roberts v. James Kevin Roberts) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Monya Jill Rayanne Roberts v. James Kevin Roberts, (Tenn. Ct. App. 2010).

Opinion

IN THE COURT OF APPEALS OF TENNESSEE AT KNOXVILLE October 6, 2010 Session

MONYA JILL RAYANNE ROBERTS v. JAMES KEVIN ROBERTS

Appeal from the Circuit Court for Sevier County Nos. 2006-OP-74, 2006-0205-III, 2006-0211-IV Rex Henry Ogle, Judge

No. E2009-02350-COA-R3-CV - FILED NOVEMBER 29, 2010

On appeal, James Kevin Roberts (“Husband”) challenges the trial court’s refusal to grant a continuance to allow his fifth attorney time to prepare for trial, the trial court’s refusal to exclude an expert witness called by Monya Jill Rayanne Roberts (“Wife”), the division of the marital estate, the amount of child support and the award of discretionary costs to Wife. Wife challenges the trial court’s denial of her request for “supplemental” attorney’s fees. We affirm.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Circuit Court Affirmed; Case Remanded

C HARLES D. S USANO, J R., delivered the opinion of the Court, in which D. M ICHAEL S WINEY and J OHN W. M CC LARTY, JJ., joined.

Sarah C. Easter,1 Knoxville, Tennessee, for the appellant, James Kevin Roberts.

Richard T. Wallace, Sevierville, Tennessee, for the appellee, Monya Jill Rayanne Roberts.

OPINION

I.

Husband and Wife were married in 1996 and separated in March 2006. One child, Jordan, was born to their union. On or about March 24, 2006, Husband became extremely paranoid during a drug-induced episode and ran through the house waving a gun. Wife filed

1 Counsel was granted permission to withdraw before oral argument, and did not appear for argument nor did Husband. Wife’s counsel appeared and argued. a petition for an order of protection. Wife later filed a complaint for divorce.2 Husband eventually admitted an addiction to cocaine and methamphetamine. Numerous trial exhibits portrayed serious skin lesions from the use of methamphetamines. It took the case three years to come to trial after which the court awarded Wife a divorce on the ground of inappropriate marital conduct. Husband does not challenge the granting of the divorce to Wife but does challenge almost all the monetary aspects of the judgment.

When the parties married in 1996, Wife was employed by the Tennessee Valley Authority where she earned approximately $35,000 per year. When Wife became pregnant, she and Husband agreed she would stay home with the child and assist Husband in their business enterprises. By the time of the separation, the parties were co-owners of four limited liability companies; there were also two businesses that operated as sole proprietorships. Direct Marketing Services, LLC, was the entity used by Husband for the marketing of time-share vacation properties. There is no dispute that when Husband is in control of his drug problems he is very talented at marketing time-shares and has the ability to generate upwards of $1,500,000 a year in gross revenues in a highly profitable enterprise. Another marital asset was a business entity called Monya Roberts Enterprises, LLC, established to arrange travel related to the various business enterprises. Typically, Wife would arrange the travel and charge the expense to a credit card. Direct Marketing would reimburse Monya Roberts Enterprises its expenses plus a weekly payment of $800 for bookkeeping and management. When the marriage fell apart, Direct Marketing left unpaid a credit card bill of $32,970.32 unpaid and stopped paying the weekly management and bookkeeping fee.

During the marriage, Husband established a mysterious “business relationship” in the Dominican Republic. Between March 1, 2006 and the end of May 2006, Husband transferred $171,282.92 in marital assets to the Dominican “business relationship.” One transfer was a brokerage account with a balance of $106,252.92 and another was a bank account with a balance of $65,031.

In an agreed order entered May 24, 2006, the parties stipulated that effective April 2006 and pending the divorce, Wife would receive temporary spousal support of $800 per month to be paid “by direct deposit from Direct Marketing, LLC,” and Husband would pay pendent lite child support of $2,100 per month.

Husband then formed a new entity called Titan Development Group, LLC, into which he transferred the leases and accounts of Direct Marketing in an attempt to circumvent the

2 Husband also filed a separate complaint for divorce. The two divorce cases were consolidated with the order of protection case.

-2- court order. The parties, the court and the witnesses referred to the two entities collectively as “the Business.” We will continue with that reference. Wife filed a motion asking the trial court to appoint a receiver to prevent Husband from pirating away the assets of the Business pending the divorce. The court allowed Husband to continue in control of the Business but ordered Husband to provide monthly accountings of the Business’s activities. The Husband did not comply with this order, but similar financial information was made available at trial through CPA James Lloyd who was retained by Husband as an expert.

The financial records show that for years 2003 through 2005 Direct Marketing had total gross receipts of $5,269,041. Direct Marketing and Titan had combined receipts in 2006 of $1,585,080. Titan grossed $1,869,815 in 2007 and $1,786,292 in 2008. The child support and spousal support that Husband paid pending the divorce, came from the Business. According to Wife’s expert, Tarwater, Husband derived a direct personal economic benefit from Titan of $323,122 in 2007 and $354,189 in 2008. There were other personal expenses, such as Husband’s attorney fees, that were not included in the expert’s calculations.

Husband filed a joint tax return for 2005 without Wife’s permission. The filing resulted in a tax lien being filed and recorded against the parties and their properties in the amount of $49,402.36.

Mr. Lloyd, although hired by Husband’s attorney, considered himself to a neutral witness. He assigned a “conservative” value of $767,000 to the Business. Wife, as co- owner, concurred in Mr. Lloyd’s valuation.

During the marriage, the parties acquired several pieces of real property. One was the home where they lived at the time of their separation. Husband was ordered to pay the mortgage but did not, with the result that the mortgage was foreclosed upon and the home sold in 2010. The parties were left with a deficiency judgment of approximately $30,000. The other properties were without encumbrance, other than the tax lien, and had a combined value of approximately $411,000.

In March 2009, Husband was held in contempt and jailed for a period of time for his willful failure to pay child support. The court released Husband despite his failure to pay the support on his argument that he needed to tend to the Business for the good of all concerned. Husband had not paid any support since being released from jail.

-3- On June 30, 2009, Husband’s trial counsel filed a notice of appearance. This was the fifth attorney3 who had appeared on his behalf. The first four attorneys withdrew. The fourth cited “irreconcilable differences” with Husband as the ground for withdrawal. Husband’s last counsel also filed a motion to continue the trial set for July 13, 2009, giving as her reason the “need [for] additional time to fully investigate and prepare for trial.” The order disposing of that motion is not in the record, but the trial went forward on July 13, 2009. There is no transcript in the record of the hearing on the motion to continue.

During the trial, Husband objected to Wife’s CPA expert on the ground that his counsel did not receive 30-days notice of the expert’s testimony. The court asked Husband’s counsel how she would have received notice since she had not been in the case for 30 days. Wife’s counsel also pointed out that Mr. Tarwater was on Wife’s witness list.

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