Robert Gene Hitt II v. Kimberly Fae Seabolt (Judge White, concurring in part and dissenting in part)

CourtIntermediate Court of Appeals of West Virginia
DecidedApril 29, 2026
Docket25-ICA-220
StatusUnpublished

This text of Robert Gene Hitt II v. Kimberly Fae Seabolt (Judge White, concurring in part and dissenting in part) (Robert Gene Hitt II v. Kimberly Fae Seabolt (Judge White, concurring in part and dissenting in part)) is published on Counsel Stack Legal Research, covering Intermediate Court of Appeals of West Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Robert Gene Hitt II v. Kimberly Fae Seabolt (Judge White, concurring in part and dissenting in part), (W. Va. Ct. App. 2026).

Opinion

IN THE INTERMEDIATE COURT OF APPEALS OF WEST VIRGINIA

ROBERT GENE HITT II, Petitioner Below, Petitioner

v.) No. 25-ICA-220 (Fam. Ct. Nicholas Cnty. Case No. FC-34-2023-D-160) FILED KIMBERLY FAE SEABOLT, Respondent Below, Respondent April 29, 2026 released at 3:00 p.m. ASHLEY N. DEEM, CHIEF DEPUTY CLERK INTERMEDIATE COURT OF APPEALS OF WEST VIRGINIA

MEMORANDUM DECISION

Petitioner Robert Gene Hitt II (“Husband”) appeals a May 2, 2025, final divorce order entered by the Family Court of Nicholas County holding that Husband’s separate funds deposited into a new, jointly titled bank account (“account 6921”) constituted marital property to be divided equally between the parties. Kimberly Fae Seabolt (“Wife”) responded in support of the family court’s decision. Husband did not file a reply.1

This Court has jurisdiction over this appeal pursuant to West Virginia Code § 51- 11-4 (2024). After considering the parties’ oral and written arguments, the record on appeal, and the applicable law, this Court finds that there is error in the family court’s decision but no substantial question of law. For the reasons set forth below, a memorandum decision affirming, in part, and vacating, in part, the family court’s order and remanding the matter for further proceedings consistent with this decision is appropriate under Rule 21 of the West Virginia Rules of Appellate Procedure.

Husband and Wife were married on August 4, 2022, and separated on October 15, 2023. Husband is sixty-one years old, and Wife is sixty years old. Prior to the marriage, Husband started a business operating as Metal Craft, Inc. (“Metal Craft”). Husband was the president and sole shareholder of Metal Craft, which was classified by the family court as separate property.2 In 2023, Wife became vice president and secretary of Metal Craft.3

1 Husband is represented by Tim C. Carrico, Esq. Wife is represented by Amber R. Hinkle, Esq. 2 Husband started Metal Craft in 1999 and sold the business operations to his daughter pursuant to an August 1, 2023, agreement. 3 By email dated May 31, 2023, to Husband’s attorney, Wife submitted her resignation as Metal Craft’s vice president and secretary, but she continued to perform business related duties until sometime in October of 2023.

1 On September 22, 2023, Husband transferred $400,000 from a Metal Craft business account to account 6921, a newly opened personal bank account titled in Husband’s name with Wife named as the payable on death (“POD”) beneficiary. On September 27, 2023, Husband changed the ownership designation on account 6921 by adding Wife as a joint owner with the right of survivorship. On October 4, 2023, Husband wired an additional $662,306.35 into account 6921, which were proceeds from the auction liquidating Metal Craft’s equipment, making the balance on account 6921 of $1,062,306.35 at the time.

On October 15, 2023, after an argument with Husband, Wife stayed overnight in a hotel and did not return to the marital home. On October 16, 2023, and October 20, 2023, without informing Husband, Wife transferred a total of $641,900 from account 6921 to three of her separately owned bank accounts. Wife spent the money transferred from account 6921 in various ways. For example, Wife purchased a home (titled solely in Wife’s name) in Nicholas County, West Virginia, paid off the remaining mortgage debt on her separately titled South Carolina townhouse, and added money to a separate money market account.

Husband filed a petition for divorce on November 16, 2023, and Wife filed her answer on November 30, 2023. Wife did not disclose the money she withdrew from account 6921 in her financial statement. The family court held a temporary hearing on January 8, 2024, at which Husband argued that the money Wife withdrew from account 6921 on October 16, 2023, and October 20, 2023, was a Metal Craft asset, not a marital asset. Wife countered that the account funds were marital property, and that she took the one-half share to which she was entitled. Further, the parties disputed the date of separation. Husband asserted that the date of separation was October 15, 2023, and Wife argued it was October 16, 2023.

After the temporary hearing, the family court ordered the parties to open a new Metal Craft account and ordered Wife to deposit $550,000 of the $641,900 into the newly opened account pending the final order. However, Wife had not disclosed to the family court that she had spent much of the money she had withdrawn and that it would not be possible for her to deposit $550,000 into this newly opened account.

On January 12, 2024, Husband filed a motion for an expedited status hearing. Thereafter, the family court held a status hearing on January 22, 2024, during which Wife informed the court that she had spent over $500,000 of the $641,900. As such, Wife asserted that she could not deposit $550,000 into the new Metal Craft bank account as previously ordered. As reflected in the court’s January 26, 2024, temporary order, the court ordered Wife to deposit $100,000 into a new Metal Craft account which was to serve as an escrow account.

The family court conducted the final hearing over three days, hearing the testimony of the parties and other duly called witnesses, admitting documentary evidence from both

2 parties, and hearing arguments of counsel. Husband argued that account 6921 was a business account and that he had opened it for the benefit of Metal Craft, to receive and to hold Metal Craft funds to protect them from his daughter, son-in-law, and creditors during the pendency of the sale of the business. Husband continued to argue that the $641,900 was his separate property because it was a Metal Craft asset. Husband asserted that Wife’s transfers from account 6921 to her separate bank accounts constituted embezzlement of Metal Craft’s funds and that Wife had committed fraud and breached her fiduciary duties as an officer of Metal Craft. Wife stated that she believed that Metal Craft was being liquidated for their retirement and that Metal Craft’s business operations were “winding down.” Thus, she argued that the funds in account 6921 constituted marital property. Husband argued that he was not winding down the business and that he intended to open a new business with the proceeds.

In its final order entered May 2, 2025, the family court determined that the parties’ date of separation was October 15, 2023, and found that Husband failed to rebut the presumption that he had gifted the funds to the marriage; therefore, account 6921 was marital property subject to equitable distribution. Relying on West Virginia Code § 31A-4- 33, Smith v. Smith, 187 W. Va. 645, 420 S.E.2d 916 (1992), and Whiting v. Whiting, 183 W. Va. 451, 396 S.E.2d 413 (1990), the court specifically found that Husband made account 6921 marital property when he retitled the account as a joint account adding Wife as a joint owner.

As to Husband’s argument that he opened account 6921 as a Metal Craft account for the sole benefit of Metal Craft, the court found that Husband “fails to recognize the overwhelming evidence otherwise.” Further, the court found based upon the evidence presented, specifically the testimony of Husband’s tax attorney, that despite Husband’s assertions to the contrary, Metal Craft was winding down, and the auction was part of that process. Accordingly, the court found that “[a] winding up supports a finding that the Husband intended to accumulate the corporate assets liquidated to cash by the auction into cash held in Husband’s personal name. It is reasonable to find that [Husband] willingly shared the liquidated assets with the Wife.”

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Robert Gene Hitt II v. Kimberly Fae Seabolt (Judge White, concurring in part and dissenting in part), Counsel Stack Legal Research, https://law.counselstack.com/opinion/robert-gene-hitt-ii-v-kimberly-fae-seabolt-judge-white-concurring-in-wvactapp-2026.