Taylor Brocato (now Dunn) v. Kyle Young

CourtCourt of Appeals of Tennessee
DecidedJanuary 2, 2024
DocketM2023-00222-COA-R3-CV
StatusPublished

This text of Taylor Brocato (now Dunn) v. Kyle Young (Taylor Brocato (now Dunn) v. Kyle Young) 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
Taylor Brocato (now Dunn) v. Kyle Young, (Tenn. Ct. App. 2024).

Opinion

01/02/2024 IN THE COURT OF APPEALS OF TENNESSEE AT NASHVILLE November 7, 2023 Session

TAYLOR BROCATO (NOW DUNN) V. KYLE YOUNG

Appeal from the Chancery Court for Montgomery County No. MCCHCVRE21-28 Adrienne G. Fry, Judge

No. M2023-00222-COA-R3-CV

This is a post-divorce partition action in which the ex-wife asked the trial court to order the sale of the former marital residence and to award her, as specified in the parties’ marital dissolution agreement (“the MDA”), half of the equity resulting from the sale. The ex-wife relied on the provision in the MDA, which provides that she is entitled to fifty percent of any equity in the former marital residence “when the house sells.” The ex-husband opposed the partition action, arguing that he was awarded the former marital residence pursuant to the MDA and that the ex-wife was only entitled to half of the equity valued as of the date of their divorce in 2019. The ex-husband also contended that the ex-wife’s claims were barred under the doctrine of equitable estoppel because he had remitted $6,600.00 in monthly payments toward the ex-wife’s equity pursuant to an oral agreement that set her equity interest at $9,750.00. The court granted the partition petition and ordered that the property be sold. The court also found that the MDA was a contract in contemplation of divorce; therefore, acting pursuant to Tennessee Code Annotated § 36-4-121(b)(2)(A) (“the Distribution of Marital Property Statute”), the court valued the ex-wife’s equity in the former marital residence based on an appraisal near the date of the final divorce decree. The trial court refused to credit the ex-husband for the payments he made to the ex-wife according to their alleged oral agreement, finding that to do so would be a violation of the statute of frauds. Both parties appeal. For the reasons explained below, the judgment of the trial court is reversed, and this matter is remanded for further proceedings consistent with this opinion.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Chancery Court Reversed

FRANK G. CLEMENT JR., P.J., M.S., delivered the opinion of the Court, in which ANDY D. BENNETT and W. NEAL MCBRAYER, JJ., joined.

Taylor R. Dahl and Taylor V. Hutson, Clarksville, Tennessee, for the appellant, Taylor Brocato (now Dunn). Steven C. Girsky, Clarksville, Tennessee, for the appellee, Kyle Young.

MEMORANDUM OPINION1

Taylor Brocato (now Dunn) (“Wife”) and Kyle Young (“Husband”) were divorced by entry of final decree of divorce (“final decree”) in the Circuit Court for Montgomery County on August 16, 2019, which incorporated a Marital Dissolution Agreement (“MDA”) dated June 7, 2019. Both parties were pro se throughout the divorce proceedings, and they crafted the MDA without the assistance of counsel, using a boilerplate form that they obtained from a source not revealed in this record.

The MDA addressed issues relating to the parties’ marital residence along with their debts and other assets. The provision regarding their marital residence reads as follows:

The following real estate owned by one or both or the parties is located at 801 Alton Drive in Clarksville, Tennessee 37043. . . . Upon the entry of the Final Decree, the real estate shall be vested solely in the ☐wife ☐husband, and the other spouse will thereby be divested of all right, title and interest in it. They are satisfied that a fair division has been made of it.

When the parties executed the MDA, they failed to check either box to indicate to whom the property would be awarded after the divorce. Nevertheless, the MDA indicates that “when the house sells,” Wife shall receive “half of what is made.” More specifically, the provision reads: “the husband shall pay for the debt set forth below: $1,000 for a credit card, and when the house sells, half of what is made.”

On the day of their divorce, both parties appeared pro se before the Honorable Kathryn W. Olita, Judge of the Circuit Court for Montgomery County, at which time the court asked for clarification as to the division of the equity in the marital residence. Wife testified, “[Husband] is going to just pay me equity. We’ve agreed on that.” The court then inquired about the ownership of the house, and asked Wife, “So- - so it’s going to be the husband’s property?” Wife replied, “Yes, Your Honor.” The court then—sua sponte— checked the box next to “husband” in the MDA provision regarding the marital residence. However, the court admonished both parties, informing them that they would maintain an

1 Rule 10 of the Rules of the Court of Appeals of Tennessee states as follows:

This Court, with the concurrence of all judges participating in the case, may affirm, reverse or modify the actions of the trial court by memorandum opinion when a formal opinion would have no precedential value. When a case is decided by memorandum opinion it shall be designated “MEMORANDUM OPINION”, shall not be published, and shall not be cited or relied on for any reason in any unrelated case.

-2- equal interest in the former marital residence until a deed was prepared. Specifically, Judge Olita stated as follows:

[W]hat I’m signing today . . . has no effect on the transfer of that piece of property solely into your name. You will need to hire an attorney probably to help you with the preparation of a deed. . . . Until that happens Kyle, she is still an owner of the house. . . . [U]ntil you get that deed done, she still has a right to it. And this Order that I’m signing doesn’t do that for you. . . . [T]hat’s something you’ll have to do separately. I just want to make sure, on the record today, that you all understand that.

The final decree was then approved by Judge Olita and entered on August 16, 2019, after which Husband took no action to “get that deed done.”2

Two years later, in September of 2021, Wife commenced this action in Chancery Court by filing a petition for division or partition of real property, asserting that she and Husband owned the former marital residence as cotenants, that it should be sold, and that she was entitled to fifty percent of any equity in the property when it was sold. More specifically, she asserted that, according to the MDA, her equity interest in the property was to be determined “when the house sells.”

Husband filed an answer opposing the sale of the property. He contended that the MDA expressly provided that the property would become his as of the date of the divorce, and that the parties had orally agreed that Wife’s one-half interest in the property would be valued at $9,750.00. Moreover, Husband noted that Wife had already accepted $6,600.00 from him toward her equity in the property pursuant to the parties’ oral agreement. 3 Thus, he contended that the doctrine of equitable estoppel precluded Wife’s claims.

The partition petition came on for hearing on November 28, 2022, during which both parties testified and the court heard arguments from counsel. Pursuant to an order entered on December 15, 2022, the court granted the petition for sale, ruling that, because the former marital residence was a single-family home on an individual lot, it was not suitable for partition. Therefore, the court ordered that it be sold pursuant to Tennessee Code Annotated § 29-27-201. The court also found that the MDA was a contract in contemplation of divorce which had been incorporated into the final decree; therefore, under the Distribution of Marital Property Statute, the value of the former marital residence should be determined as near as possible to the date of the final decree.

2 Husband testified at the partition hearing that a deed had not been prepared since the divorce.

3 Wife accepted twenty-two consecutive monthly payments of $300.00 from Husband beginning in September 2019 and ending upon the filing of this partition action in July 2021.

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Bluebook (online)
Taylor Brocato (now Dunn) v. Kyle Young, Counsel Stack Legal Research, https://law.counselstack.com/opinion/taylor-brocato-now-dunn-v-kyle-young-tennctapp-2024.