S.B. v. J.R.

43 Misc. 3d 171, 977 N.Y.S.2d 591
CourtNew York Supreme Court
DecidedNovember 19, 2013
StatusPublished
Cited by2 cases

This text of 43 Misc. 3d 171 (S.B. v. J.R.) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
S.B. v. J.R., 43 Misc. 3d 171, 977 N.Y.S.2d 591 (N.Y. Super. Ct. 2013).

Opinion

OPINION OF THE COURT

Richard A. Dollinger, J.

In this matter, a couple, who punted the issue of financing their child’s college to a “day in the future” in their separation stipulation, have now arrived at “the day of reckoning” and, because they can not now agree on even “the time of day,” the court must decide how to allocate the costs of their son’s college education.

The stipulation provided that the parents would “each pay and contribute to the best of their then ability.” They also agreed that “the parents[’] maximum contribution for both of them shall be the published cost of SUNY education cost for each college year.” They agreed that the term “cost” would include “transportation, tuition, students[’] fees, room and board, books and supplies, personal and transportation, sharing the costs of pre-college examinations and applications.” The parents’ obligation would be “net of any financial aid of any [173]*173kind or nature that the children may receive.” They agreed that the financial aid package would include “grants” or “whatever financial aid each child may receive.” If they could not work out the contributions, it was agreed that they could ask this court to do so.

The complication arose in this case because of an unusual benefit obtained by the husband’s second wife. The second wife works for an academic institution. As part of her benefits, she elected to have her husband’s son, who resided with his father, covered by a benefit plan that included a tuition-free college education. When the couple attempted to calculate their contributions under the stipulation, the husband argued that the tuition-free benefit, derived solely because of his then wife’s employment, should be credited as his contribution to the child’s college education. Because the cost savings from the tuition benefit exceeded the husband’s otherwise calculated share under what is commonly known as the “SUNY cap,” the husband argued that the remaining costs—room and board, books and fees—were not his obligation to pay; if his former wife paid these expenses, she did so without a right of contribution from him. The couple failed to work out this conundrum, and now ask this court to decide how to allocate the costs under their stipulation.

Before resolving the legal issues, the question of the husband’s child support needs resolution. The parties’ second son has lived with his father since August 2011, even though the husband has been paying child support for him. The wife concedes that the husband/father should not be paying support for this child. The husband’s application to terminate support for this child is granted, effective on the date of the filing of this motion. Any overpayments made since the date of the filing may be credited against any liabilities set forth as a result of this decision. In addition, the support should be recalculated, with the mother having primary residence of two children and the husband having primary residence of one. These calculations and the offsets should be forwarded to the court within five days of this decision.

In considering the broader question of the parents’ liability for college expenses, the first step is easily advanced: this court is bound by the couple’s stipulation. Under the standard contract interpretation rubric, if the stipulation is unambiguous on its face, it must be enforced according to its terms. (Matter of Korosh v Korosh, 99 AD3d 909 [2d Dept 2012] [marital settle[174]*174ment is a contract subject to principles of contract interpretation and the court should interpret the contract in accordance with its plain and ordinary meaning]; Ackermann v Ackermann, 82 AD3d 1020 [2d Dept 2011] [where an agreement is clear and unambiguous on its face, the intent of the parties must be gleaned from the four corners of the instrument, and not from extrinsic evidence]; Rosenberger v Rosenberger, 63 AD3d 898 [2d Dept 2009].) In applying this principle, several terms are significant. The first is that the couple agreed to contribute to the “best of their then ability.” This court has previously reviewed similar common language terms to determine parents’ contributions to college education. (L.L. v R.L., 36 Misc 3d 777 [Sup Ct, Monroe County 2012] [discussing what “respective means” means when considering the parental obligation to finance college education].) Importantly, in this case, the couple did not choose the word “income” in their stipulation, a word that would suggest the ability to pay would be based solely on the individual parent’s income, such as might be revealed in a parent’s separately filed income tax return. The use of the phrase “ability” implies that other assets—available bank accounts, available home equity lines of credit, retirement accounts with available loans, parental resources or income from other family members (including a new spouse), could be considered by the court before determining a parent’s “then ability to pay.” The word “ability” also implies that the parent’s ability to pay college education costs could be based on some combination of their entire household income and, thus, the court should consider the demands of their entire household, the lifestyle of the household and other factors, including the obligation to support other children. Finally, the parents in the stipulation clearly intended that their children apply for any “financial aid package” and agreed that it would include “non-subsidized or subsidized loans, grants etcetera; whatever financial aid the child might receive.” This broad language evinces a parental decision to apply all types of financial aid against the college costs before the parents determine “their respective contributions to the net college cost.”

Before exploring what the parents might have to pay, this court must determine, under the unique circumstances of this case, whether either parent has any obligation to pay any costs after application of the tuition benefit. The husband, in reading the stipulation, argues that the tuition-free benefit, valued at approximately $40,000, has the practical effect of meeting both [175]*175parents’ obligation to finance college education and removes from either parent any obligation to contribute further. Under this argument, the value of the tuition benefit exceeds the “SUNY cap,” and hence, extinguishes any further parental support obligation. In the alternative, he argues that the tuition benefit, derived solely from his second wife’s employment, should be credited solely against his financial contribution and, therefore, while there may be additional out-of-pocket expenses, these should be paid by his former wife up to the amount of her share of the SUNY cap.

However, these arguments are inconsistent with the terms of the stipulation and New York public policy. First, the husband describes the tuition benefit as “neither fish nor fowl,”1 suggesting that this benefit is neither a loan nor a grant as those terms are used in the stipulation. In reaching this conclusion, the husband fails to read that portion of the stipulation which states that the parents’ obligation is “net of any financial aid of any kind or nature that the children may receive.” The stipulation lists a series of expected “financial aid” sources—“non-subsidized or subsidized loans, grants, etcetera,” but then adds the catch-all phrase “whatever financial aid the child might receive.” The parents clearly intended to garner every possible source of assistance in paying for college. The stipulation, for example, required the mother to file a financial aid form.2

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Cite This Page — Counsel Stack

Bluebook (online)
43 Misc. 3d 171, 977 N.Y.S.2d 591, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sb-v-jr-nysupct-2013.