Nancy Marguerite Maxwell v. Steven Joseph Maxwell

Texas Court of Appeals, 9th District (Beaumont)·Decided August 27, 2026·No. 09-24-00299-CV·Published

Opinion

In The

Court of Appeals

Ninth District of Texas at Beaumont

NO. 09-24-00299-CV

NANCY MARGUERITE MAXWELL, Appellant V.

STEVEN JOSEPH MAXWELL, Appellee

On Appeal from County Court at Law No. 3 Montgomery County, Texas

Trial Cause No. 06-07-07074-CV

MEMORANDUM OPINION

In one issue, Nancy Marguerite Maxwell challenges an order of the trial court that clarified a Qualified Domestic Relations Order (“QDRO”) with the exact amount that the Divorce Decree awarded her from her former husband, Steven Maxwell’s, retirement annuity. For the reasons stated in this opinion, we affirm the trial court’s order.

Background

Nancy and Steven married on September 16, 1984, and on November 6, 1984, Steven began working as an air traffic controller through the FAA where he participated in the Federal Employees Retirement System (FERS). They divorced on September 29, 2006, and Steven continued his employment with the FAA until his retirement in October 2021.

In the Agreed Final Decree of Divorce, Nancy was awarded fifty percent of Steven’s retirement benefits. The Decree stated:

W-6. A portion of Steven[]’s retirement benefits in FAA & H arising out of Steven[]’s employment with the FAA as of August 31, 2006, that portion being fifty (50%) percent of the community portion, together with any interest, dividends, gains, or losses on that amount arising since that date and more particularly defined in a Qualified Domestic Relations Order [(“QDRO”)] signed by the Court on the day this Agreed Final Decree of Divorce is signed.

On October 19, 2006, the trial judge signed the Domestic Relations Order, which stated:

[Steven] and [Nancy] were married on September 16, 1984 and divorced on September 29, 2006 (“Valuation Date”).

...

5. [Nancy] is entitled to FIFTY AND NO/100 PERCENT (50.00%) of [Steven’s] self-only monthly annuity under the FERS, calculated as of Valuation Date, unreduced for any option that may be selected by [Steven]. When cost-of-living allowances (COLAs) are applied to [Steven’s] retirement benefits, the same COLAs apply to [Nancy’s]

share.

Following his retirement, Steven began receiving his retirement annuity, and he received notice that Nancy was receiving a portion beyond what the QDRO awarded her. In his Petition to Enter Post-Divorce Amended Court Order Acceptable for Process (COAP) Federal Employees Retirement System (“Petition”), filed in September 2022, Steven stated that the FERS now requires that a QDRO be referred to as a COAP.1 He alleged that despite the language in the QDRO, Nancy was receiving a portion of his annuity earned after the Valuation Date. According to the Petition:

e. Upon [Steven]’s retirement and commencement of his pension, it was discovered that the interpretational guidelines of the FERS had been changed, such that an award of a percentage of a benefit, even if defined as of the certain Valuation Date, would still reflect compensation earned after such date, to the date of actual retirement, thereby establishing a benefit for Nancy [] that exceeded the FERS interest awarded by the Court.

Steven alleged that the correct calculation of Nancy’s monthly portion was $1,761.00, and he requested that the trial court approve and sign an amended order that specified the exact amount Nancy was entitled to receive. The amended order stated:

5. [Nancy] is entitled to an amount equal to One Thousand Seven Hundred Sixty One and 00/100ths Dollars ($1,761.00) of [Steven]’s self-only monthly annuity under the FERS, unreduced for any option that may be selected by [Steven]. When cost-of-living allowances

1 In this opinion, we will continue to refer to the document signed by the trial judge on October 19, 2006, as the QDRO, unless otherwise noted, as the title of the document is Domestic Relations Order.

(COLAs) are applied to [Steven]’s retirement benefits, the same COLAs apply to [Nancy]’s share.

Steven attached the proposed Amended Court Order Acceptable for Processing (COAP) Federal Employees Retirement System.

Nancy generally denied the allegations in Steven’s Petition, but later filed her First Amended Response, Special Exception, Affirmative Defense, and Plea in Abatement to Steven Maxwell’s Petition to Enter Post-Divorce COAP. According to Nancy, the Office of Personnel Management (OPM) approved the QDRO and scheduled the commencement of her monthly payments of $3,472.99, and a retroactive payment of $32,577.87 for benefits distributed to Steven from November 1, 2021, through November 31, 2022. She stated that the Agreed Final Decree of Divorce and the QDRO are final and that Steven’s collateral attack violates section 9.007 of the Texas Family Code because it would amend, modify, alter or change the division of property in the Final Decree and QDRO.

On February 21, 2024, Steven filed his First Amended Petition to Enter Post-

Divorce Amended Court Order Acceptable for Processing (COAP) Federal Employees Retirement System (FERS), Petition for Clarification of Property Division of Agreed Final Decree of Divorce, Petition for Clarification of Property Division of Domestic Relations Order; Petition for Claim of Unjust Enrichment and Restitution; and Petition for Money Had and Received. He alleged that under the FERS, Nancy should receive $1,761.00 monthly, calculated as 50% of the benefit to

the Valuation Date, and he requested the trial court sign the proposed order for submission to the FERS. Steven also requested clarifying orders regarding his retirement benefits and brought a claim of unjust enrichment and restitution for the overpayment that he alleged Nancy received from the FERS. He attached as exhibits the Agreed Final Decree of Divorce, Domestic Relations Order, and Amended Court Order Acceptable for Processing (COAP) Federal Employees Retirement System. He later filed a second amended petition with identical exhibits.

On March 18, 2024, a bench trial on the merits began. Counsel for Steven explained to the trial judge that the dispute involved the formula that OPM used to determine Nancy’s portion. Counsel stated that Nancy’s portion should be based on the value of Steven’s retirement on the Valuation Date, but Nancy’s portion includes his fifteen years of employment post-divorce. Counsel argued that Steven’s salary increased almost every year, and OPM’s formula resulted in Nancy receiving a portion of Steven’s post-divorce salary increases. At trial, Steven testified along with Richard Johnson, the owner and employee of QDRO Services. Nancy did not call any witnesses.

On March 22, 2024, the trial court issued its ruling and granted Steven’s request for an amended court order acceptable for processing that would reflect that Nancy’s portion was $1,767.00. The trial court denied the request for clarification of the property division in the Agreed Final Decree of Divorce, awarded Steven

$33,599.70 for the overpayments made to Nancy, and denied each party’s request for attorney’s fees.

On May 9, 2024, the trial court signed the Order Granting Petition to Enter Amended Court Order Acceptable for Processing (COAP) for Federal Employees Retirement System (FERS) that granted Steven’s request to clarify and amend the QDRO and stated that Nancy was entitled to $1,767.00 of Steven’s FERS annuity. The Order added that Nancy had been overpaid $33,599.70 of the FERS annuity by the OPM and it awarded the amount of the overpayment to Steven with 8.5% compounded annual interest. The trial court also executed an Amended Domestic Relations Order that stated that Nancy was entitled to $1,767.00 of Steven’s monthly FERS annuity and $586.00 of Steven’s Supplemental FERS annuity.

On September 10, 2024, the trial court issued its Findings of Fact and Conclusions of Law that included the following:

Findings of Fact

...

Free access — add to your briefcase to read the full text and ask questions with AI

Nancy Marguerite Maxwell v. Steven Joseph Maxwell, (Tex. Ct. App. 2026).

Nancy Marguerite Maxwell v. Steven Joseph Maxwell (Nancy Marguerite Maxwell v. Steven Joseph Maxwell) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Gainous v. Gainous
219 S.W.3d 97 (Court of Appeals of Texas, 2006)
Anderson v. City of Seven Points
806 S.W.2d 791 (Texas Supreme Court, 1991)
Carrasco v. Stewart
224 S.W.3d 363 (Court of Appeals of Texas, 2006)
Hollingsworth v. Hollingsworth
274 S.W.3d 811 (Court of Appeals of Texas, 2009)
Worford v. Stamper
801 S.W.2d 108 (Texas Supreme Court, 1991)
Shanks v. Treadway
110 S.W.3d 444 (Texas Supreme Court, 2003)
In Re the Marriage of McDonald
118 S.W.3d 829 (Court of Appeals of Texas, 2003)
Thompson & Knight LLP v. Patriot Exploration, LLC
444 S.W.3d 157 (Court of Appeals of Texas, 2014)