Fitzgerald v. Fitzgerald

Decision Date30 November 2006
Docket NumberNo. 33043.,33043.
Citation639 S.E.2d 866
CourtWest Virginia Supreme Court
PartiesPatricia E. FITZGERALD, Petitioner Below, Respondent, v. Earl L. FITZGERALD, Respondent Below, Petitioner.
Concurring Opinion of Justice Benjamin January 4, 2007.
Syllabus by the Court

1. "The appellate standard of review of questions of law answered and certified by a circuit court is de novo." Syllabus point 1, Gallapoo v. Wal-Mart Stores, Inc., 197 W.Va. 172, 475 S.E.2d 172 (1996).

2. "`W. Va.Code, 48-2-1(e)(1) (1986) [W. Va.Code § 48-1-233 (2001) (Repl.Vol. 2004)], defining all property acquired during the marriage as marital property except for certain limited categories of property which are considered separate or nonmarital, expresses a marked preference for characterizing the property of the parties to a divorce action as marital property.' Syl. pt. 3, Whiting v. Whiting, 183 W.Va. 451, 396 S.E.2d 413 (1990)." Syllabus point 2, Staton v. Staton, 218 W.Va. 201, 624 S.E.2d 548 (2005).

3. A workers' compensation permanent total disability award is considered to be wage replacement for the wages the injured employee would have earned but for his/her work-related injury and is not considered to be an award for the injured employee's pain and suffering resulting from such work-related injury.

4. "The primary object in construing a statute is to ascertain and give effect to the intent of the Legislature." Syllabus point 1, Smith v. State Workmen's Compensation Commissioner, 159 W.Va. 108, 219 S.E.2d 361 (1975).

5. In a divorce proceeding, that portion of a lump sum workers' compensation permanent total disability award that represents wages the injured spouse would have earned, but for his/her work-related injury, while the parties were married and cohabiting constitutes marital property subject to equitable distribution pursuant to W. Va.Code § 48-7-101, et seq.

Shawn D. Bayliss, Bayliss & Phalen, PLLC, Charleston, for the Petitioner, Earl L. Fitzgerald.

Beverly S. Selby, Charleston, for the Respondent, Patricia Fitzgerald.

DAVIS, Chief Justice:

This case comes before the Court upon questions certified by the Circuit Court of Putnam County inquiring whether a spouse's workers' compensation permanent total disability benefits constitute marital property or separate property for purposes of equitable distribution, and, based upon the classification of such benefits, how they should then be distributed to the parties. Upon a review of the parties' arguments, the record of the proceedings below, and the pertinent authorities, we answer the certified questions and remand this matter for further proceedings consistent with this opinion.

I. FACTUAL AND PROCEDURAL HISTORY

The facts of this matter are not disputed by the parties. Patricia Fitzgerald (hereinafter "Mrs. Fitzgerald") and Earl L. Fitzgerald (hereinafter "Mr. Fitzgerald") were married on May 28, 1989. Thereafter, on June 20, 1990, Mr. Fitzgerald sustained debilitating injuries in the course of and as a result of his employment. During the parties' marriage, Mr. Fitzgerald received workers' compensation benefits of approximately $90,654.27. The parties separated on January 4, 2002.

Subsequently, on October 25, 2002, the Workers' Compensation Division entered a final decision and awarded Mr. Fitzgerald permanent total disability benefits, retroactive to December 1, 1992, the date upon which he was determined to be permanently and totally disabled by a decision of the Social Security Administration. As a result of this ruling, Mr. Fitzgerald received additional workers' compensation benefits in the amount of $106,406.62 as a lump sum back award to compensate him for the period from December 1, 1992, through October 24, 2001, during which period the parties were still married and living together as husband and wife. Mr. Fitzgerald's actual receipt of this lump sum payment, however, occurred during the parties' separation.

On about January 10, 2002, Mrs. Fitzgerald filed a petition for divorce in the Family Court of Putnam County. The family court bifurcated the proceedings and granted the parties a divorce by order entered December 31, 2002.1 Deciding the appropriate disposition of Mr. Fitzgerald's workers' compensation benefits, the family court, by order entered April 7, 2004, determined that both of the aforementioned sums of workers' compensation benefits constituted marital property subject to equitable distribution. In short, the family court ruled that the first amount of such benefits in the amount of $90,654.27 was marital property because it was received during the parties' marriage. The family court further concluded that Mr. Fitzgerald's subsequent lump sum award of $106,406.62, though received after the parties had separated, nevertheless was also marital property because it constituted retroactive workers' compensation benefits payments for a period of time during which the parties were still married and cohabiting. As for the proper distribution of such benefits, the family court determined that Mr. Fitzgerald was entitled to claim twenty-five percent of such benefits as his separate property as compensation for the pain and suffering he endured as a result of his disabling injury. The family court then distributed the remaining benefits, which constituted marital property, equally between the parties.

To arrive at the precise amounts attributable to each party, the family court added together the two benefits amounts ($90,654.27 + $106,402.62 = $197,056.89); calculated Mr. Fitzgerald's twenty-five percent separate property for pain and suffering based upon the total of these two awards (25% × $197,056.89 = $49,264.22); deducted Mr. Fitzgerald's portion for pain and suffering from only his lump sum award ($106,402.62—$49,264.22 = $57,138.40); and awarded one-half of the remaining amount of the lump sum award to each party as marital property ($57,138.30/2 = $28,569.20).2

From this ruling, Mrs. Fitzgerald filed a motion to reconsider, complaining that the family court should have deducted Mr. Fitzgerald's twenty-five percent pain and suffering separate property from each of his two benefits payments rather than subtracting the amounts attributable to each award all from his $106,406.62 lump sum award. The family court denied Mrs. Fitzgerald's motion to reconsider.

Both parties then appealed the family court's ruling to the circuit court, with Mr. Fitzgerald asserting that the entire amount of the $106,406.62 lump sum award should be declared his separate property and Mrs. Fitzgerald arguing that the entire amount of the $106,406.62 lump sum award should be designated marital property subject to equitable distribution. Determining that the question of the proper distribution of an award of workers' compensation benefits was a matter of first impression in West Virginia, the circuit court, by order entered April 28, 2005, certified the following questions of law to this Court:

QUESTION NO. 1: What portion, if any, of a lump sum Workers' Compensation permanent total disability award is considered a marital asset?

COURT'S RESPONSE: The Court FINDS that any portion of a lump sum Workers' Compensation permanent total disability award that represents payments that should have been received during the period of the parties' marriage are [sic] considered a marital asset.

QUESTION NO. 2: If so, what portion, if any, of a lump sum Workers' Compensation permanent total disability award should be considered an award for pain and suffering?

COURT'S RESPONSE: The Circuit Court adopts the analysis of the Family Court and FINDS that the 25% of the Workers' Compensation award for pain and suffering is the injured spouse's separate property.

QUESTION NO. 3: How should the family court, and upon review the circuit court, distribute that portion, if any, of a lump sum Workers' Compensation permanent total disability award that is considered marital property?

COURT'S RESPONSE: The Court FINDS that the remaining lump sum Workers' Compensation permanent total disability award would then be subject to equitable distribution as any other marital asset.

QUESTION NO. 4: Is the injured spouse entitled to any reimbursement of part of a lump sum Workers' Compensation permanent total disability award that was received prior to the parties' separation?

COURT'S RESPONSE: The Court FINDS that the injured spouse is not entitled to any reimbursement unless there is a showing that this lump sum payment has been kept in some segregated account and was not consumed during the marriage. The Court FINDS that the portion of a Workers' Compensation permanent total disability award that was received prior to the parties' separation would have been consumed by the parties during the marriage and the injured spouse is not entitled to be reimbursed his 25% by the non-injured spouse.

By order entered March 2, 2006, this Court accepted these certified questions for review.

II. STANDARD OF REVIEW

The issues presented by the instant proceeding involve questions of law certified to this Court for resolution. We previously have held that "[t]he appellate standard of review of questions of law answered and certified by a circuit court is de novo." Syl. pt. 1, Gallapoo v. Wal-Mart Stores, Inc., 197 W.Va. 172, 475 S.E.2d 172 (1996). See also Syl. pt. 1, Bower v. Westinghouse Elec. Corp., 206 W.Va. 133, 522 S.E.2d 424 (1999) ("This Court undertakes plenary review of legal issues presented by certified question from a federal district or appellate court."); Syl. pt. 1, Light v. Allstate Ins. Co., 203 W.Va. 27, 506 S.E.2d 64 (1998) ("A de novo standard is applied by this Court in addressing the legal issues presented by a certified question from a federal district or appellate court."). Mindful of this standard, we proceed to consider the questions presented for our determination.

III. DISCUS...

To continue reading

Request your trial
4 cases
  • Worley v. Beckley Mechanical, Inc.
    • United States
    • West Virginia Supreme Court
    • May 17, 2007
    ...(1996)." Keatley v. Mercer County Bd. of Educ., 200 W.Va. 487, 492 n. 7, 490 S.E.2d 306, 311 n. 7 (1997). Fitzgerald v. Fitzgerald, 219 W.Va. 774, ___, 639 S.E.2d 866, 876 (2006). After carefully weighing the policy of W.Va.Code § 55-2-15 in conjunction with a literal application of its lan......
  • Crawford v. W. Va. Dep't of Corrections-Work Release
    • United States
    • West Virginia Supreme Court
    • June 8, 2017
    ...ex rel. Boan v. Richardson, 198 W.Va. 545, 482 S.E.2d 162 (1996), modified on other grounds as recognized by Fitzgerald v. Fitzgerald, 219 W.Va. 774, 783, 639 S.E.2d 866, 875 (2006).13 We recognize that there are disability benefits provided under workers' compensation in addition to medica......
  • Grose v. Grose
    • United States
    • West Virginia Supreme Court
    • November 6, 2008
    ...as marital property and the disability component as separate property. 218 W.Va. at 202, 624 S.E.2d at 549. Cf. Fitzgerald v. Fitzgerald, 219 W.Va. 774, 639 S.E.2d 866 (2006). The reason underlying the payment of benefits is not necessarily unchanging. Such was the case in Staton, where the......
  • Miller v. Wilson
    • United States
    • West Virginia Supreme Court
    • June 16, 2017
    ...a divorce action as marital property." Syl. pt. 3, Whiting v. Whiting, 183 W.Va. 451, 396 S.E.2d 413 (1990).Fitzgerald v. Fitzgerald, 219 W. Va. 774, 780, 639 S.E.2d 866, 872 (2006). Petitioner also argues that reallocation of cash deposited into marital accounts from the two projects prior......

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT