HOFSTAD v. CHRISTIE, S-09-0246.

• Decision Date: 07 October 2010
• Docket Number: No. S-09-0246.,S-09-0246.
• Citation: 2010 WY 134,240 P.3d 816
• Parties: Jerald Korwin HOFSTAD, Appellant (Respondent), v. Cathryn Anne CHRISTIE, Appellee (Petitioner).
• Court: Wyoming Supreme Court

240 P.3d 816

2010 WY 134

Jerald Korwin HOFSTAD, Appellant (Respondent),

v.Cathryn Anne CHRISTIE, Appellee (Petitioner).

No. S-09-0246.

Supreme Court of Wyoming.

Oct. 7, 2010.

Representing Appellant: Keith R. Nachbar, Casper, WY.

Representing Appellee: Harry G. Bondi, Casper, WY.

Before KITE, C.J., and GOLDEN, HILL, VOIGT ^* , and BURKE, JJ.

HILL, Justice.

[¶ 1] Appellant Jerald Korwin Hofstad challenges the district court's judgment equally partitioning a home owned by him and Appellee Cathryn Anne Christie as tenants in common. We affirm.

ISSUES

[¶ 2] Mr. Hofstad lists four issues:

1. Did the district court below commit reversible error when it applied Alaska and Montana law and treated an unmarried couple as family members for purposes of dividing real property owned jointly as tenants in common?

2. Did the district court below commit reversible error when it found unequal contributions toward the purchase price of the property, there was no specific evidence of a gift, and yet the district court presumed that a gift of the excess contribution was intended?

3. Did the district court below improperly assign the burden of proof to the donor to prove the negative-that no gift was made?

4. Where there was no family relationship, and no specific evidence of any intended gift, should the property be divided according to the proven unequal contributions of the parties?

FACTS

[¶ 3] From February of 1996 to July of 2007, Mr. Hofstad and Ms. Christie were involved in a relationship and lived together for extended periods of time, but never married. However, their relationship produced twin boys born in 1996. The couple and their children, including five children from Mr. Hofstad's prior relationship, lived together in Casper from 1998 to 2005. Their home, located on Monument Road, was owned alone by Mr. Hofstad.

[¶ 4] In 2005, Hofstad decided to purchase a new home in Casper located at 1120 Donegal Street. At the time he entered into the contract on the Donegal home, he and Ms. Christie were separated. However, in April of 2005, the parties reconciled, and the warranty deed of the Donegal home conveyed the property to “Jerald K. Hofstad and Cathryn Anne Christie, grantee(s).” Mr. Hofstad paid the down payment, the closing costs, and entered into the loan obligation for the Donegal home. He used $124,053.15 from the sale of the Monument Road home, which was sold in May of 2005, to pay down the mortgage on the Donegal home.

[¶ 5] From May of 2005 until July of 2007, the parties and their children lived in the Donegal home. Mr. Hofstad paid all mortgage payments and utilities. Christie contributed to various improvements and was the homemaker of the home. In July of 2007, Christie moved out of the Donegal home.

[¶ 6] In December of 2007, Christie filed suit seeking partition of the Donegal home. After a bench trial, the court ruled that the home should be partitioned equally. The court reasoned that although Mr. Hofstad and Christie contributed unequal monetary amounts to the Donegal home, with Mr. Hofstad contributing substantially more money than Ms. Christie, Mr. Hofstad nevertheless failed to prove that there was not a family relationship or donative intent. Ms. Christie was awarded $70,767.40, one-half of the home's equity. Mr. Hofstad appealed that decision.

STANDARD OF REVIEW

[¶ 7] When a matter is tried to the district court sitting without a jury, our standard of review is as follows:

Following a bench trial, this court reviews a district court's findings and conclusions using a clearly erroneous standard for the factual findings and a de novo standard for the conclusions of law. Piroschak v. Whelan, 2005 WY 26, ¶ 7, 106 P.3d 887, 890 (Wyo.2005) (citing Hansuld v. Lariat Diesel Corp., 2003 WY 165, ¶ 13, 81 P.3d 215, 218 (Wyo.2003) and Rennard v. Vollmar, 977 P.2d 1277, 1279 (Wyo.1999)).

The factual findings of a judge are not entitled to the limited review afforded a jury verdict. While the findings are presumptively correct, the appellate court may examine all of the properly admissible evidence in the record. Due regard is given to the opportunity of the trial judge to assess the credibility of the witnesses, and our review does not entail re-weighing disputed evidence. Findings of fact will not be set aside unless they are clearly erroneous. A finding is clearly erroneous when, although there is evidence to support it, the reviewing court on the entire evidence is left with the definite and firm conviction that a mistake has been committed.

Piroschak, ¶ 7, 106 P.3d at 890. Findings may not be set aside because we would have reached a different result. Harber v. Jensen, 2004 WY 104, ¶ 7, 97 P.3d 57, 60 (Wyo.2004). Further,

we assume that the evidence of the prevailing party below is true and give that party every reasonable inference that can fairly and reasonably be drawn from it. We do not substitute ourselves for the trial court as a finder of facts; instead, we defer to those findings unless they are unsupported by the record or erroneous as a matter of law.

Id. (quotation marks omitted).

Belden v. Thorkildsen, 2007 WY 68, ¶ 11, 156 P.3d 320, 323 (Wyo.2007).

Garwood v. Garwood, 2008 WY 129, ¶ 16, 194 P.3d 319, 325 (Wyo.2008).

DISCUSSION

[¶ 8] It is widely accepted that, “if the instrument does not specify the shares of each co-tenant, it will be presumed that they take equal, undivided interests.” Bixler v. Oro Management, 2004 WY 29, ¶ 19, 86 P.3d 843, 850 (Wyo.2004); see also 20 Am.Jur.2d Cotenancy and Joint Ownership § 121 (1995). However, this presumption may be rebutted by parol evidence, such as proof that the co-tenants contributed unequal amounts toward the purchase price of the property, and there is neither a family relationship among the co-tenants nor any evidence of donative intent on the part of those who contributed more than their pro rata amounts toward the purchase price. Bixler, ¶ 19, 86 P.3d at 850 (citations omitted); see also D.M. v. D.A., 885 P.2d 94, 96 (Alaska 1994). See Lawrence v. Harvey, 186 Mont. 314, 607 P.2d 551, 556-57 (1980).

[¶ 9] In the instant case, both parties agree that the Donegal property is held by them as tenants in common, inasmuch as the warranty deed did not specify a joint tenancy. Also, both parties agree with the district court's assessment that Mr. Hofstad contributed a substantially greater financial amount. Having established that the parties are tenants in common, but that Mr. Hofstad contributed substantially more money than Ms. Christie towards the property, we are faced with considering whether there is either evidence of a family relationship or evidence of donative intent on the part of Mr. Hofstad, or lack thereof.

[¶ 10] First, we consider the more difficult of the two questions: whether there is evidence of the existence of a family relationship. Mr. Hofstad argues that the district court improperly applied a family presumption to himself and Ms. Christie as an “unmarried couple.” Mr. Hofstad insists that there is absolutely no family relationship between himself and Ms. Christie because they are not related and they are unmarried. ¹ This is a matter of first impression in Wyoming, so we therefore look to other jurisdictions for guidance. A Missouri court stated as follows:

The record is clear that for several years prior to his death Phillips and Margaret conducted their joint household in the same manner as if they were married. Such a relationship, even in the absence of sexual relations, gave rise to a “family relation” between Margaret and Phillips. Wells v. Goff, 239 S.W.2d 301 (Mo.1951); Manning v. Driscoll's Estate, 174 S.W.2d 921 (Mo.App.1943). In each of those cases a woman filed a claim against the estate of a male decedent for general housework performed for him during his lifetime. In each case, a “family relation” was found to exist.

Johnston v. Estate of Phillips, 706 S.W.2d 554, 556 (Mo.Ct.App.1986). Similarly, an Oregon court stated:

[T]he legislature expressly defined “members of the same family” to mean “persons who are members of a family as parents, stepparents, grandparents, spouses, sons-in-law, daughters-in-law, brothers, sisters, children, stepchildren, adopted children or grandchildren.” The definition expressly requires a family relationship between “persons.” In particular, those persons must be members of a family “as” parents, stepparents, and so on. As the department correctly observes, a person cannot be a parent to himself, a spouse to himself, his own child, his own in-law, or have any of the other relationships specified in the statute. In keeping with that understanding of the legislature's intended meaning, the statute consistently uses plural rather than singular references ( e.g., corporate “officers,” corporate “directors,” and family “members”). See Schuette v. Dept. of Revenue, 326 Or. 213, 217-18, 951 P.2d 690 (1997) (the repeated use of a singular or plural noun form provides some indication of the legislature's intent). [Emphasis in original.]

Finally, as the department correctly argues, even apart from the definition provided by the legislature, the term “family” is a “quintessential example” of a collective noun- i.e., a noun that most naturally refers to a collection of things or persons as a unit. See Webster's Third New Int'l Dictionary 444 (unabridged ed. 2002) (defining “collective”: “1 a of a word or term: indicating a number of persons or things considered as constituting one group or aggregate family and flock are collective words> b of a noun or pronoun: singular in form but sometimes or always plural in construction family in ‘the family were proud’ is a collective word>”). Various dictionary definitions of the word “family” similarly denote a group of individuals with a common affiliation or ancestry.

Empl. Dep't v. Stock Secrets, Inc., 210 Or.App. 426, 150 P.3d 1090, 1092 (2007).

[¶ 11] Our own statute defines “family members” as follows:

(x) “Member of the...