Sorah v. Sorah (In re Sorah)

203 B.R. 620, 1996 Bankr. LEXIS 1646
CourtUnited States Bankruptcy Court, E.D. Kentucky
DecidedDecember 27, 1996
DocketBankruptcy No. 93-60212; Adv. No. 94-6009
StatusPublished

This text of 203 B.R. 620 (Sorah v. Sorah (In re Sorah)) is published on Counsel Stack Legal Research, covering United States Bankruptcy Court, E.D. Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sorah v. Sorah (In re Sorah), 203 B.R. 620, 1996 Bankr. LEXIS 1646 (Ky. 1996).

Opinion

MEMORANDUM OPINION

WILLIAM S. HOWARD, Bankruptcy Judge.

This matter is before the Court pursuant to an Agreed Order of Submission entered herein on September 11, 1996. The parties have submitted Joint Stipulations and have briefed their respective positions. This Court has jurisdiction of this matter pursuant to 28 U.S.C. § 1334(b); it is a core proceeding pursuant to 28 U.S.C. § 157(b)(2)®.

This matter was initiated by the filing of the plaintiffs Complaint on May 12, 1994. Therein the plaintiff sought a judgment that his obligation to pay “maintenance” to the defendant under a decree of dissolution of marriage entered in the Bell Circuit Court on November 24, 1993, is dischargeable pursuant to 11 U.S.C. § 523(a)(5). The defendant filed her Answer on June 7, 1994. This matter was first set for trial on December 8, 1994. The trial was continued, however, pending resolution of Appeal No. 94-CI-000199 wherein the Kentucky Court of Appeals reviewed the award of “maintenance” under the Decree of Dissolution.

On September 29,1995, the defendant filed a Motion to Dismiss, stating that the Kentucky Court of Appeals had upheld the award of maintenance on June 23,1995. The plaintiff filed his Response to Defendant’s Motion to Dismiss on November 22, 1995. The defendant filed her Reply to Plaintiffs Response on December 5, 1995. The plaintiff filed a Supplemental Response to Defendant’s Motion to Dismiss on December 8, 1995. This Court entered an Order overruling the defendant’s Motion to Dismiss on December 22,1995.

The trial of this matter was rescheduled for April 5, 1996. On March 1, 1996, the parties filed a joint Motion to Submit, asking that the matter be submitted on the record. An Agreed Order was entered on April 1, 1996. providing that the matter would be submitted on the record. The parties were directed to tender an order providing a briefing schedule, a Joint Stipulation of Facts, a Joint Designation and Stipulation of the Record and Admissibility of Documents, and an Order of Submission. The Scheduling Order was entered on May 2, 1996. The Joint Stipulation of Facts and Designation and Stipulation of the Record and Admissibility of Documents was entered on July 9, 1996.

The Joint Stipulation of Facts provides as follows:

“1. Plaintiff and defendant were married on October 19, 1973, and separated on January 3, 1992, living apart continuously since that time. No children were bom of the marriage. The Final Decree dissolving the marriage was entered on November 24,1993.

2. Plaintiff was born on September 13, 1951, and was forty-two (42) years old when the Decree was entered. Plaintiff had completed high school and two (2) years of technical training as an x-ray technician. Plaintiff resided in Middlesboro, Kentucky in a rental house and was employed as a radiolog[622]*622ic technologist at Downtown Radiology, Inc., and Lakeway Regional Hospital. Defendant contended that Plaintiff had unreported income from photography, wood working, framing, and leather enterprises, but these contentions were denied by Plaintiff.

8. Plaintiff was generally in good health and had no special medical needs, but was diagnosed with an osteoarthritic condition of the right shoulder which precludes strenuous work and restricts Plaintiffs mobility and the type of job activities available to him (see Page 7 and Exhibit 8 to Plaintiffs deposition, dated September 21,1993).

4. Defendant was born on November 22, 1943, and was forty-nine years of age when the Decree was entered. Defendant had a high school education, resided in the parties’ marital residence in Middlesboro, Kentucky, and was employed as a teacher’s aid in Mid-dlesboro during the school year. Plaintiff contended that Defendant had unreported income from real properties owned by Defendant, but these contentions were denied by Defendant.

5. Defendant was generally in good health and had no special medical needs, but was diagnosed with varicose veins and thrombophlebitis of the left leg that may get worse and could be a limiting factor in the type of work and length of time she may be able to work (see Page 28 and Exhibit M to Defendant’s deposition, dated June 24, 1993).

6. During the marriage of Plaintiff and Defendant, Defendant received by gift or inheritance from her mother, free of any mortgage debt, the following real property:

—Lot used for marital residence, Happy Hollow, Middlesboro, Kentucky (gift in 1974);
—Twenty-nine (29) acres, Happy Hollow, Middlesboro, Kentucky (inherited in 1986);
—Lots 27, 28 and additional lots in block 23, section S.E., Middlesboro, Kentucky (inherited in 1986);

7. Pursuant to the Decree, Defendant retained in her possession, subject to the mortgage indebtedness incurred during the marriage, all of the pre-marital real property referenced in Paragraph 6 and all of the improvements made thereon during the marriage, including the marital residence and pool constructed during the marriage. Plaintiff was not awarded any marital interest in said real properties or in any of the improvements made during the marriage.

8.At the time of their separation, Plaintiff and Defendant divided their personal property acquired during the marriage, and the Trial Court left undisturbed their division of personal property.

The issue before this Court is whether the payments designated as “maintenance” by the Bell Circuit Court are nondischargeable pursuant to 11 U.S.C. § 523(a)(5). That section provides, inter alia, that a discharge under 11 U.S.C. § 727 does not discharge a debtor from a debt to a former spouse for maintenance in connection with a divorce decree, but not to the extent that “such debt includes a liability designated as alimony, maintenance, or support, unless such liability is actually in the nature of alimony, maintenance, or support.”

What constitutes alimony, maintenance, or support is a question of federal law. In re Spong, 661 F.2d 6 (2nd Cir.1981). The defendant has consistently argued that In re Fitzgerald, 9 F.3d 517 (6th Cir.1993), is controlling in this case because the Bell Circuit Court denominated its award to the defendant as “maintenance.” This Court has already ruled in its Order of December 22, 1995, overruling the defendant’s Motion to Dismiss that Fitzgerald is not determinative because the fact that the payment in Fitzgerald was maintenance was undisputed. This Court farther noted that pursuant to 523(a)(5)(B), the label placed on the liability by the parties or the court is not determinative of the issue.

As set out in In re Calhoun, 715 F.2d 1103

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
203 B.R. 620, 1996 Bankr. LEXIS 1646, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sorah-v-sorah-in-re-sorah-kyeb-1996.