Reyes v. Reyes

Superior Court of Guam·Decided June 28, 2012·No. DM0468-07·Unknown

Opinion

IN THE SUPERIOR COURT OF GUAM ) 2 ) VICTOR M. REYES, DOMESTIC CASE NO.e~:',l DMll4.68-07 ) Ik\ v'j'-" Ie 3 ) Plaintiff, ) f~"'",;-. "

4 ) FINDING'SOFcFACT AND vs. ) CONCLUSIONS OF LAW 5 ) AND INTERLOCUTORY JUDGMENT ) OF DIVORCE 6 DIANA M. REYES, ) ) 7 Defendant. ) ) 8 ) ) 9 --------------------------~) 10 This matter carne before the HONORABLE VERNON P. PEREZ on October 19 and 24 11 2011 at bench triaL Attorney Leilani V. Lujan represented Defendant, who was present. 12 Attorney Joaquin C. Arriola Jr. represented Plaintiff, who was present. After having heard th 13 Parties' arguments, considering the Parties' pleadings and the record, the Court now issues th 14 following Findings of Fact and Conclusions of Law. 15 FINDINGS OF FACT 16 1. Any finding of fact is also a conclusion of law. Any conclusion of law is also a 17 finding of fact. 18 2. This matter arises out of a dissolved marriage between Plaintiff Victor M. Reyes 19 (hereinafter "Plaintiff') and Defendant Diana M. Reyes (hereinafter "Defendant"). 20 3. The Parties were married on November 26, 1993 in Saipan, CNMI. Defendant's 21 Exhibit A. 22 4. The Parties have no children. 23 5. The date of separation was sometime in 2005. Although Plaintiff stopped living with 24 Defendant sometime in 2002, the Parties formally separated with the intent to 25 permanently end the marriage in 2005. Plaintiffs Testimony. Some testimony has 26 been submitted to suggest the date of separation was near the end of 2007 when 27 parties last had intercourse in the Philippines. Plaintiffs Testimony. Yet, the Court 28

Victor M. Reyes v. Diana M. Reyes, Findings of Fact and Conclusions of Law Domestic Case No. DM0468-07 - Page I of 16- finds that parties intended to pennanently end the marriage in 2005, the exact date of 2 which is not ascertainable. 3 6. The Parties met in 1992 when Plaintiff submitted his taxes to the Department of 4 Revenue and Taxation, where Defendant worked. The Parties lived together at 5 Apugan Villa Estates before being married. Plaintiff acquired Unit A-4 on November 6 5, 1993, but lived at the townhouse for more than a year before purchasing it. To 7 purchase Unit A-4, Plaintiff paid $20,000.00 down of his own personal funds and 8 secured the remaining costs through a mortgage from Bank of Guam. Plaintiff s Exh. 9 7. Although Defendant has remained in Unit A-4 beyond the date of separation, 10 Plaintiff has consistently paid the mortgage payments and common area fees. Many 11 of the monthly payments were made during the time of the marriage in which 12 payments where made with community income. 13 7. Plaintiff and Defendant created HELI-GUAM, INC., a Guam corporation (hereinafter 14 "Heli-Guam") in May 1994. Plaintiff owns 500 shares and Defendant owns 499 with 15 a single share going to William Joseph Cunningham. Both Parties worked for Heli- 16 Guam from 1994-2000. Heli-Guam obtained a loan from GEDA in the amount of 17 $184,400.24 in March of 1998. Defendant's Exhibit C; See Defendant's Testimony 18 Defendant owns an 49.9 (49911000) percent interest in Heli-Guam, its property and 19 liabilities while Plaintiff owns a 50 (50011000) percent share. Plaintiffs Exh. 9. 20 8. The Parties purchased a vacant lot in Talofofo for $45,000.00 which both Parties 21 agreed thereafter to deed to Plaintiffs father. 22 9. During a majority of the marriage, Plaintiff was away on fishing vessels. 23 10. Currently, Plaintiff works at PESKA HELICOPTERS, INC. (hereinafter "Peska") out 24 of Pohnpei, Federated State of Micronesia and he has worked there since 2009. 25 Plaintiffs Testimony. 26 11. Currently, Defendant works for the Department of Revenue and Taxation and has 27 worked there since 2004. Defendant's Testimony. 28

Victor M. Reyes v. Diana M. Reyes, Findings of Fact and Conclusions of Law Domestic Case No. DM0468-07 - Page 2 of 16- CONCLUSIONS OF LAW 2 12. Plaintiff and Defendant have been residents of Guam for more than ninety (90) days 3 in satisfaction of 19 GCA § 8318(a). This Court has jurisdiction pursuant to 7 GCA § 4 3105 and § 4101 and 19 GCA Ch. 8. 5 13. The Divorce is granted to Plaintiff on the basis of irreconcilable differences. Based 6 on the evidence and record, Defendant is also granted Divorce based on willful 7 desertion and willful neglect. Adultery and cruel mistreatment and other grounds for 8 divorce were not present in the record or from the evidence presented by either Party. 9 14. The standard and law governing divorce is discussed in the section below. Separate 10 property means property acquired by either spouse before marriage or after entry of a 11 decree of dissolution of marriage or earnings of a spouse while living separate. 19 12 GCA § 6101. Property is classified as separate or community based upon when it is 13 acquired. Id.; In re Marriage of Moore, 28 Cal.3d 366, 370 (Sup.Ct.Ca1.l980); 14 Fisher v. Fisher, 383 P.2d 840, 842-43 (Id.Sup.Ct.1963); Hollingsworth v. Hicks, 258 15 P.2d 724, 729-30 (N.M.Sup.Ct.1953); Lawson v. Ridgeway, 233 P.2d 459, 464 16 (Ariz.Sup.Ct.1951); Smith v. Smith, 685 So.2d 649, 651-52 (La.Ct.App.lst Cir.1996); 17 In re Marriage of Harrington, 935 P.2d 1357, 1365 (Wash.App.Div.l 1997); and 18 Scott v. Estate of Scott, 973 S.W.2d 694, 695-96 (Tex.App.EI Paso 1998). Pursuant 19 to the Guam Supreme Court's ruling in Rinehart v. Rinehart, enhancement to separate 20 property or debt will allow the community to seek reimbursement for community 21 funds contributed during the marriage towards that asset. Rinehart v. Rinehart, 2000 22 Guam 14, ~~19-21 (Sup.Ct.Guam 2000). The Supreme Court of Guam has extended 23 the Rinehart ruling to apply to both assets and debt in Navarro v. Navarro, again 24 holding that "absent proof of the enhancement of a spouse's separate property, there 25 should be no reimbursement to the community." Navarro v. Navarro, 2000 Guam 26 31, ~16 (Sup. Ct. Guam 2000). The formula used by the Supreme Court of California 27 grants the non-owning spouse a pro tanto community share in the equity or capital 28 appreciation of the home as enhanced by community payments made to the principal

Victor M. Reyes v. Diana M. Reyes, Findings of Fact and Conclusions of Law Domestic Case No. DM0468-07 - Page 3 of 16- owed on the mortgage, based on the real property's appraised value. In re Marriage 2 ofMoore, 28 Ca1.3d 366,370-71,373-74 (Sup.Ct.Ca1.1980). 3 The formula used to compute the community pro tanto share in the 4 Moore case is called the Lucas/Aufmuth formula and requires the court to first 5 determine the separate property percentage interest by crediting the separate property 6 with the down payment and full amount of the loan or the original value of the 7 contributed separate property, minus the amount by which the community payments 8 reduced the principal balance of the loan. Under Guam law, community property is 9 different than community debt. Compare 19 GCA § 6101 with 19 GCA § 6102. 10 Loans acquired during a marriage constitute community debt. 19 GCA § 6102 states: 11 "(b) Community debt means a debt contracted or incurred by either or both spouses 12 which is not separate debt." The Supreme Court of Guam has determined that it is 13 not the burden of the trial court to find or show valuation, that burden lies with the 14 parties. Navarro v. Navarro, 2000 Guam 31, ,9 (Sup.Ct.Guam 2000).

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