Muraoka v. Muraoka

Decision Date13 June 1989
Docket NumberNo. 13371,13371
PartiesColleen C. MURAOKA, Plaintiff-Appellant, v. Chester K. MURAOKA, Defendant-Appellee.
CourtHawaii Court of Appeals

Syllabus by the Court

If the family court's division and distribution of the assets and debts of the parties is appealed and the appellant is dissatisfied because the family court's division and distribution materially differs from the Uniform Starting Point (USP), then the family court must specify the factual considerations upon which the difference is based. If the appellant is dissatisfied because the family court's division and distribution does not materially differ from the USP in the manner requested at the trial by the appellant, then the family court must specify the factual considerations upon which the denial of the requested difference is based.

Robert G. Hogan, A. Debbie Jew (Oliver, Lee, Lawhn, Ogawa & Lau, of counsel), on the briefs, Honolulu, for plaintiff-appellant.

Daniel S. Ukishima, on the brief, Honolulu, for defendant-appellee.

Before BURNS, C.J., and HEEN and TANAKA, JJ.

BURNS, Chief Judge.

Plaintiff Colleen C. Muraoka (Colleen) appeals the family court's September 6, 1988 Divorce Decree and the February 1, 1989 Order Denying Motion for Attorney's Fees and Costs on Appeal. With respect to the September 6, 1988 Divorce Decree, we affirm the denial of periodic alimony and attorney fees, costs, and expenses; affirm the award of $10,000 alimony in gross to Colleen; and vacate and remand for reconsideration the division and distribution of property. We affirm the February 1, 1989 Order Denying Motion for Attorney's Fees and Costs on Appeal.

On September 2, 1967 Colleen, born on July 1, 1948, and defendant Chester K. Muraoka (Chester), born on July 1, 1934, were married. Their daughter, Beth, was born on February 12, 1968.

At the time of their marriage, Colleen was a 19-year-old high school graduate. Chester was a 33-year-old University of Hawaii graduate and an electrical engineer employed by the United States Navy. Neither furthered his or her formal education during the marriage.

At the time of divorce, Chester continued to be an electrical engineer employed by the Navy ($4,678.26 per month) and Colleen was a part-time hourly wage employee for both the Schofield Post Exchange ($5.05 per hour for 20 to 24 hours per week) and United Air Lines ($6.03 per hour for 20 hours per week).

Beth has been a full-time student at the University of Hawaii since September 1986. The family court ordered Chester to pay "all of those funds which will reasonably be required for the support, maintenance and education of [Beth] up to the date on which she obtains her Bachelor of Arts degree in May 1990."

Chester may, but is not required to, retire in 1992 after 30 years of continuous service. The family court awarded Colleen one-half of a fraction of Chester's retirement benefits if, as and when received by him. The numerator of the fraction is the time between September 2, 1967 and June 22, 1986. The denominator is the total time of Chester's civil service employment.

I.

The family court denied Colleen's request for periodic alimony but awarded her $10,000 alimony in gross. It also denied Colleen's requests for orders requiring Chester to pay the attorney fees Colleen incurred in the family court and in this appeal. Upon a review of the record we conclude that in these respects the family court did not abuse its discretion.

II.

Excluding the unappraised items of personal property that the family court awarded to the possessor thereof and the two six-urn Valley of the Temple cemetery niches (estimated value $8,428) that the family court ordered sold and the proceeds divided equally, the uniform starting point (USP), see Malek v. Malek, 7 Haw.App. ---, 768 P.2d 243 (1989), for the distribution of the net market values in this case is as follows:

DISTRIBUTION UNDER THE UNIFORM STARTING POINT

1. The Mililani residence is a two-story residence: The first floor has a bathroom, a family room, and a bedroom. The second floor has three bedrooms, a bathroom, a kitchen, a dining room, and a living room. The record reflects that the owner may live on the first floor and rent the second floor.

                Item                        Category         Colleen              Chester
                Mililani (Puanani)         5                     57,071.50            57,071.50
                  Residence 1
                1. The Mililani residence is a two-story residence: The first floor has a
                bathroom, a family room, and a bedroom.  The second floor has three bedrooms
                a bathroom, a kitchen, a dining room, and a living room.  The record reflects
                that the owner may live on the first floor and rent the second floor
                Wahiawa (Karsten)          2                     33,820.75           101,462.25
                  Residence
                Autos                      5                      2,600.00             2,600.00
                Cash                       3                                           8,000.00
                Cash                       5                      2,000.00             2,000.00
                Chester's Life Insurance   5                      5,606.00             5,606.00
                Colleen's IRA              5                      1,076.00             1,076.00
                Chester's IRA              5                      4,014.50             4,014.50
                TOTAL                                           106,188.75           181,830.25
                

Colleen's November 13, 1987 position statement generally asked the family court to order the following distribution:

DISTRIBUTION UNDER COLLEEN'S APRIL 1988 POSITION STATEMENT

                          Item             Colleen     Chester
                Mililani Residence        114,143.00
                Wahiawa Residence                     135,283.00
                Autos                                   5,200.00
                Cash                       12,000.00
                Chester's Life Insurance               11,212.00
                Colleen's IRA               2,152.00
                Chester's IRA                           8,029.00
                Equalization Payment       15,714.50  (15,714.50  )
                TOTAL                     144,009.50  144,009.50
                

The family court's actual distribution of the net market values in this case is as follows:

DISTRIBUTION UNDER THE DIVORCE DECREE

                          Item             Colleen        Chester
                Mililani Residence        114,143.00
                Wahiawa Residence                        135,283.00
                Autos                                      5,200.00
                Cash                                      12,000.00
                Chester's Life Insurance                  11,212.00
                Adjustment                 (1,865.00  )    1,865.00
                IRA                         2,152.00       8,029.00
                TOTAL                     114,430.00     173,589.00
                

RECAPITULATION

                Item                     Colleen     Chester
                Uniform Starting Point  106,188.75  181,830.25
                Item                       Colleen     Chester
                Colleen's Position      144,009.50  144,009.50
                Decree                  114,430.00  173,589.00
                

In his May 26, 1988 oral decision, the family court judge decided that the value of the Wahiawa residence was $22,000.00 at the date of marriage and $144,000.00 at the time of divorce. Deducting the $6,717.00 mortgage indebtedness at the time of divorce the family court judge decided that the category 5 value of the Wahiawa residence was $115,283.00, of which 25 percent is $28,820.75. Then the family court judge stated:

The Court, using the starting point on the Karsten property, Wahiawa property, total one fou[r]th of the value previously recited was twenty-eight thousand eight hundred and twenty dollars.

And the Court rounded it off to thirty thousand dollars in view of the fact that there was some contribution by the wife because of living there for two years and she made some assistance so the Court increased it up to thirty thousand dollars.

Subsequently, Colleen's share was changed. Item 6(b) of the September 6, 1988 Divorce Decree states in part:

All of the interest of the parties in and to the improved parcel of real property located at 328-B Karsten Drive, Wahiawa, Oahu, Hawaii (Oahu Tax Map Key No. 7-5-16-11), having a net value of $135,283.00, which sum includes therein the Court's determined interest of Plaintiff therein ($20,000.00), is awarded to Defendant subject, however, to the obligation of Defendant to pay the balance due on the note secured by the first mortgage thereon in accordance with the terms thereof.

Thereafter, Colleen's share was changed again. Item 7.B. of the February 1, 1989 Findings of Fact states in part:

The Court finds that the Karsten property, as of the date of the trial, had a value of $144,000.00 with a mortgage balance of $6,717.00, leaving a net value as of the date of trial at $135,283.00. 2 The Court finds that Plaintiff's interest in said property is the sum of $35,000.00.

(Footnote added.)

In fact, $22,000.00 was the gross market value of the Wahiawa residence as of the date of marriage. The net market value at that time was no more than $2,000.00. Thus, the family court's decision was made when it thought it was dealing with a category 2 value of $115,283.00 and Colleen's 25 percent USP share thereof of $28,820.00. Later, in the September 6, 1988 Divorce Decree, the family court recognized that it was dealing with a $135,283.00 category 2 value. Later, in the February 1, 1989 Findings of Fact, the family court recognized that it was dealing with Colleen's 25 percent USP share of $33,820.75, which it rounded off to $35,000.00, presumably for the same reasons that it had previously rounded off her $28,820.00 share to $30,000.00.

In its May 26, 1988 oral decision the family court decided that it had awarded Colleen $6,865.00 more than her "marital estate" and ordered Colleen to pay that amount to Husband. Subsequently, that amount was reduced by $5,000.00. Item 12 of the September 6, 1988 Divorce Decree states in part:

DISPARATE SITUATION: The Court, has determined that after crediting to Defendant all of Plaintiff's court-awarded ...

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