Suzanne Elaine Crawley Cowan v. Robert Elmo Cowan, Jr.

CourtCourt of Appeals of Tennessee
DecidedApril 24, 2020
DocketW2019-00179-COA-R3-CV
StatusPublished

This text of Suzanne Elaine Crawley Cowan v. Robert Elmo Cowan, Jr. (Suzanne Elaine Crawley Cowan v. Robert Elmo Cowan, Jr.) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Suzanne Elaine Crawley Cowan v. Robert Elmo Cowan, Jr., (Tenn. Ct. App. 2020).

Opinion

IN THE COURT OF APPEALS OF TENNESSEE AT JACKSON February 11, 2020 Session

SUZANNE ELAINE CRAWLEY COWAN v. ROBERT ELMO COWAN, JR.

Appeal from the Circuit Court for Shelby County No. CT-000715-16 Mary L. Wagner, Judge ___________________________________

No. W2019-00179-COA-R3-CV – Filed April 24, 2020 ___________________________________

This appeal concerns a post-divorce proceeding for contempt. Wife filed a petition for scire facias and civil contempt, alleging Husband willfully disobeyed the terms of the parties’ marital dissolution agreement. The trial court granted Wife’s petition, awarding her one-half of Husband’s retirement bonus, and held Husband in civil contempt. The trial court granted Wife attorney’s fees for enforcing the parties’ marital dissolution agreement. For the reasons stated herein, we agree that Wife is entitled to one-half of Husband’s net retirement bonus, that Husband willfully violated the parties’ marital dissolution agreement and should be held in civil contempt for this violation, and that Wife should be awarded attorney’s fees for having to enforce the agreement. We therefore affirm the decision of the circuit court.

Tenn. R. App. 3 Appeal as of Right; Judgment of the Circuit Court Affirmed and Remanded.

CARMA DENNIS MCGEE, J., delivered the opinion of the court, in which J. STEVEN STAFFORD, P.J., W.S., and W. NEAL MCBRAYER, J., joined.

Rachael Emily Putnam and Hallie Goodman Flanagan, Memphis, Tennessee, for the appellant, Robert Elmo Cowan, Jr.

Vickie Hardy Jones, Memphis, Tennessee, for the appellee, Suzanne Elaine Crawley Cowan.

OPINION

I. FACTS & PROCEDURAL HISTORY

Robert Elmo Cowan, Jr. (“Husband”) and Suzanne Elaine Crawley Cowan (“Wife”) married in April 1986. Wife filed her complaint for divorce in February 2016. Husband filed his answer and counter-complaint for divorce in April 2016. On April 5, 2017, the trial court granted Wife an absolute divorce on the ground of irreconcilable differences and entered a final decree of divorce, which approved and incorporated therein the terms of the parties’ marital dissolution agreement (“MDA”).

The MDA was intended to be an “equitable settlement of all property rights between the parties.” Matters such as alimony payments to Wife, distribution of marital property, and sale of the marital residence were resolved in the MDA and are undisputed. Relevant to this appeal are paragraphs 7 and 23. Paragraph 23 states, in the event a “party has willfully breached any provision of this Agreement, then the breaching party shall pay to the other party all reasonable attorneys’ fees and costs incurred in the enforcement of any such provision or provisions . . . .” Paragraph 7 is the primary source of the parties’ contention. It reads:

If Husband receives a one-time lump sum payment in the nature of a bonus in connection with work performed after the execution of this Agreement, Husband shall receive said payment, even if paid to him at the time of his retirement. If, at or about the time of his retirement, Husband receives a one-time lump sum payment in connection with his retirement or his years of service, Husband shall pay to Wife a sum equal to one-half of the net amount that he receives upon his receipt of the same. . . . Said payment is made to effectuate an equitable division of the marital property and shall not be taxable to Wife or deductible by Husband. Husband shall provide to Wife all documentation necessary for her to verify that she received proper payment under this paragraph.

Husband worked as a pilot for Federal Express (“FedEx”) from December 1983 until his retirement on February 24, 2018. Based on his career as a pilot, upon satisfying the necessary criteria, Husband was entitled to an “End of Career Sick Leave/Advance Notice of Planned Retirement Bonus” (“the Bonus”). Amy Hutchinson, Senior Adviser in Labor Relations and Pilot Benefits at FedEx, testified to the eligibility requirements of the Bonus. The Bonus is governed under Section 28-F of the FedEx pilots’ collective bargaining agreement (“Section 28-F”). Section 28-F states several requirements that must be met to receive the Bonus. The pilot must: (1) retire at age 60 or older; (2) provide 12 months’ notice of his or her retirement; and (3) actually retire in the month the pilot turns 65 or on December 31 of the noted year.

Prior to the execution of the MDA, on February 7, 2017, Husband notified FedEx of his intent to retire on February 24, 2018. Husband reached the of age 65 in February 2018 and did in fact retire on February 24, 2018. As a result, Husband satisfied the eligibility requirements of the Bonus. On March 21, 2018, Husband received the Bonus in

-2- the gross amount of $59,250.82 ($44,026.18 net).1 The parties do not dispute how the Bonus was calculated. As Ms. Hutchinson explained, the total amount awarded is the sum of two amounts. The first amount is the lesser of three items: item one, “pay in excess of $520,000 over the last 24 months of a pilot’s career;” item two, “50 percent of the pilot’s disability/sick account balance times the last pay rate;” and item three, $110,000. For Husband, item two was the lesser of the three, equaling $19,205. The second piece of the Bonus calculation is a predetermined figure based on the pilot’s age and years of service at FedEx as of November 2, 2015. This figure is set under a payment chart in Section 28- F. The majority of Husband’s gross bonus was the result of the predetermined figure in the second piece of the calculation. Husband’s age and years of service listed this second figure at $40,000. Ms. Hutchinson explained, according to Section 28-F’s payment chart, Husband was required to accrue 23 years of vesting service at FedEx to receive the full $40,000 portion of the Bonus. Had Husband accrued less than 23 years of service as of November 2, 2015, the gross amount would have been reduced by $10,000.

Wife first made a demand for a one-half share of the Bonus in February 2018, before Husband received it. Throughout this dispute, Wife has asserted she is entitled to one-half of the Bonus under sentence two of paragraph 7 in the parties’ MDA. Again, sentence two states, “If, at or about the time of his retirement, Husband receives a one-time lump sum payment in connection with his retirement or his years of service, Husband shall pay to Wife a sum equal to one-half of the net amount that he receives upon his receipt of same.” Husband has denied Wife’s requests, asserting sentence one of paragraph 7 applies as payment for “work performed after the execution of [the MDA],” meaning he should receive 100% of the Bonus. Wife filed a Petition for Scire Facias and Citation for Civil Contempt and for Attorney Fees on May 3, 2018. In her petition Wife requested that half of the Bonus payment be made to her pursuant to paragraph 7 of the MDA, that Husband show cause as to why he should not be held in contempt, and that attorney fees under paragraph 23 of the MDA be awarded to her. Husband filed a response to Wife’s petition on October 16, 2018.

On October 22, 2018, the cause was heard before the trial court. At trial, the parties agreed the facts were not in dispute and that the only disagreement was over the interpretation of paragraph 7. Both parties stated paragraph 7 was unambiguous, but that they reached different interpretations of its wording. After testimony from Ms. Hutchinson and Husband, the court gave an oral ruling. The court relied on Ms.

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