Steffens v. Peterson, No. 17881

• Court: Supreme Court of South Dakota
• Writing for the Court: AMUNDSON; MILLER; SABERS; SABERS
• Citation: 503 N.W.2d 254
• Parties: Agnes S. STEFFENS, formerly Agnes S. Peterson, Plaintiff and Appellant, v. Kenneth B. PETERSON, Defendant and Appellee. . Considered on Briefs
• Docket Number: No. 17881
• Decision Date: 18 November 1992

Page 254

503 N.W.2d 254 Agnes S. STEFFENS, formerly Agnes S. Peterson, Plaintiff and Appellant,
v.
Kenneth B. PETERSON, Defendant and Appellee. No. 17881. Supreme Court of South Dakota. Considered on Briefs Nov. 18, 1992.
Decided July 7, 1993.

Karen L. Crew, Crew & Crew, Sioux Falls, for plaintiff and appellant.

Richard A. Johnson, Strange, Farrell, Johnson & Casey, Sioux Falls, for defendant and appellee.

AMUNDSON, Justice.

Agnes S. Steffens (Agnes) appeals from an order and judgment terminating her former husband's alimony obligation retroactively to the date of her remarriage, reducing his child support obligation, and allowing him to deduct $250.00 per month from his child support obligation for thirty months to recover alimony payments made after Agnes' remarriage. We affirm in part and reverse in part.

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FACTS

Kenneth B. Peterson (Kenneth) and Agnes were married on January 16, 1971 and divorced on May 18, 1989. During the course of their marriage, Kenneth and Agnes had five children. Four of the children were minors at the time of the divorce.

Kenneth and Agnes married while they were both juniors in high school, and both graduated the following year. Thereafter, Kenneth obtained both a college and a medical school education, completing his M.D. degree in 1980. Following graduation from medical school, Kenneth served six years as a doctor in the Army Medical Corps and then joined the Brown Clinic in Watertown, South Dakota, as a family practice doctor. Agnes did not pursue any education or training beyond her high school degree since she was performing the work of a mother and homemaker.

Both prior and subsequent to the filing of the divorce action, Kenneth and Agnes discussed the issues of the divorce. The discussions resulted in a Property and Marital Settlement Agreement (Agreement) which both parties signed and the trial court incorporated into the judgment and decree of divorce. The Agreement provided for division of personal property and debts, disposition of the marital home, child support and custody, and alimony payments.

Kenneth and Agnes agreed to joint legal custody of the four children who were minors at the time of the divorce. Agnes assumed physical custody of the two minor daughters, Abigail and Rebekka; Kenneth assumed physical custody of the two minor sons, Anders and Bradley. Abigail has since reached the age of majority.

Pursuant to the Agreement, Kenneth was required to pay Agnes $500.00 per month per child, not to exceed the sum of $1,000.00 per month, for the support and maintenance of the parties' minor children residing with Agnes from April 1, 1989 until and including June 1, 1991. Thereafter, from July 1, 1991 until and including June 1, 2000, Kenneth was required to pay $650.00 per month for the support and maintenance of Rebekka. Agnes was not required to contribute for the support of the two children in Kenneth's custody. Neither Kenneth nor Agnes relied on the South Dakota support guidelines in establishing the agreed upon support levels. Kenneth has remained current in his support payments to Agnes.

The Agreement also required Kenneth to pay alimony to Agnes. The payment of alimony as set out in Paragraph 16 of the Agreement reads:

16. Defendant agrees and shall pay to Plaintiff [for full and complete distribution and settlement of all equity assets and] as rehabilitation alimony, the sum of Seven Hundred and Fifty Dollars ($750.00) per month, commencing on the 1st day of April, 1989, and on the first day of each month thereafter up through and including June 1, 1991; the sum of Six Hundred Dollars ($600.00) per month commencing on the 1st day of July, 1991 and on the 1st day of each month thereafter up through and including June 1, 1994; and thereafter, Defendant agrees to pay to Plaintiff, as rehabilitation alimony only, the sum of Three Hundred and Fifty Dollars ($350.00) per month, commencing July 1, 1994, and on the first day of each month thereafter up through and including June 1, 2000. (Bracketed portion crossed out and initialed by the parties).

As noted, the parties crossed out and initialed the portion that reads, "for full and complete distribution and settlement of all equity assets and." The change was acknowledged by the parties on May 17, 1989, the day before the judgment and decree of divorce was issued.

Kenneth paid Agnes $750.00 per month in alimony through June 1, 1991, as required by the Agreement. Thereafter, pursuant to the Agreement, Kenneth paid Agnes $600.00 per month until November, 1991 when, without the benefit of an appropriate court order, he discontinued the payments as a result of Agnes' remarriage in December, 1990. All alimony payments made by Kenneth were treated as such by

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both Kenneth and Agnes on their tax returns.

On August 5, 1991, Kenneth, by affidavit and application for an order to show cause, sought termination of his alimony obligation and a reduction in his child support obligation. The trial court issued an order to show cause and a show cause hearing was held on November 12, 1991. The trial court entered its findings of fact and conclusions of law and an order and judgment on January 29, 1992. The order and judgement granted Kenneth's request to terminate alimony retroactively to the date of Agnes' remarriage, established Kenneth's child support obligation at $751.60 per month, and allowed Kenneth to reduce his monthly child support payments by $250.00 per month for thirty months in order to recover his overpayment of alimony. Agnes appeals.

ISSUES

1) Whether Kenneth B. Peterson's child support obligation should be reduced to $751.60 per month?

2) Whether Kenneth B. Peterson's alimony obligation is subject to termination?

3) Whether Kenneth B. Peterson's alimony obligation should be determined retroactively to the date of Agnes S. Steffens' remarriage?

4) Whether Kenneth B. Peterson should be allowed to reduce his child support payments by $250.00 per month for 30 months to recover overpayment of alimony as determined by the court?

5) Whether Agnes S. Steffens is entitled to recover her attorney fees and expenses in the trial court from Kenneth B. Peterson?

ANALYSIS

We will not disturb an award of alimony or child support, or a division of property, unless the trial court clearly abused its discretion. Peterson v. Peterson, 434 N.W.2d 732, 734 (S.D.1989). We do not determine whether we would have made an original like ruling, but whether " 'a judicial mind, in view of the law and the circumstances of the particular case, could reasonably have reached such a conclusion.' " Id. (quoting Havens v. Henning, 418 N.W.2d 311, 312 (S.D.1988)). We apply these standards in our analysis of the following issues.

1. Reduction of Child Support Award

Agnes first alleges that the trial court incorrectly calculated Kenneth's net monthly income thereby making his monthly child support obligation too small. However, while Agnes shows the court her own calculations of Kenneth's net monthly income, she fails to in any way explain why the trial court's calculations are in error.

Both Agnes and the trial court begin their calculations of Kenneth's net monthly income with the same gross monthly figure of $9,939.08....