Stine v. Stine
| Decision Date | 23 August 1994 |
| Docket Number | CA-CV,No. 1,1 |
| Citation | 179 Ariz. 385,880 P.2d 142 |
| Parties | In re the Marriage of Anne M. STINE, Petitioner-Appellant, v. Douglas R. STINE, Respondent-Appellee. 92-0522. |
| Court | Arizona Court of Appeals |
This decision is published as an opinion primarily because it deals with a contractual provision in a domestic relations judgment dealing with retirement benefits, which may be in widespread use in Arizona.
This appeal concerns the distribution of the retirement benefits of Douglas R. Stine ("Doug") to his former wife, Anne M. Stine ("Anne"). The trial court determined that the benefits had been distributed as required by the parties' divorce decree. The court subsequently denied Anne's motion for a new trial, rejecting her arguments that a new trial was mandated either by an accident or surprise that could not have been prevented by ordinary prudence, or by a decision that was contrary to law. Anne appeals from the trial court's denial of her motion for a new trial. We affirm.
Anne and Doug were divorced on November 20, 1989. At the time their decree of dissolution was entered, Doug had been employed by the Arizona Department of Public Safety ("DPS") for 19 years and 4 months, a total of 232 months. He would become eligible to retire and receive benefits from the Public Safety Retirement System (the "Retirement System") on July 1, 1990, after 20 years, or 240 months, of service with DPS. The parties had been married for 150 months of that service.
The parties reached agreement on all issues before their divorce decree was entered. The decree provided for the division of the retirement benefits as follows:
13. The Court will enter a QUADRO [Qualified Domestic Relations Order] for the retirement benefit with the Public Safety Retirement System; Petitioner is to receive one half of 150/240 share of the benefits to be payable monthly starting July 1, 1990; Respondent will keep Petitioner on his life insurance until she starts receiving the retirement, or he is disabled, quits or is fired; Petitioner will receive one half of 150/240 of the benefits of the life insurance. In the event that Respondent should quit, be fired or is disabled and then later is rehired by the State of Arizona and elects to redeposit the amount of the accumulated contributions that he had received at the time of this separation from service and his benefits are reinstated according to A.R.S. § 38-781.15B, the Petitioner will have the same option to reinstate her benefits in the same proportion as stated above.
As the above language indicates, a qualified domestic relations order [QUADRO] was to be obtained, which would instruct the Retirement System to pay Anne directly. However, the Retirement System advised Anne that it was exempt from the statutory QUADRO provisions pursuant to A.R.S. § 38-850(C), and could not pay her a share of the retirement benefits until Doug's right to such benefits vested, that is, until Doug actually retired and applied for retirement benefits.
Anne sought to amend the decree to require Doug to pay her one half of 150/240 1 share of the retirement benefits to her directly until such time as Doug actually retired and she could receive her payments directly from the Retirement System. Doug objected to this request, arguing that Anne was not entitled to receive any payment of benefits until he actually chose to retire.
The trial court ruled in Anne's favor and entered an amended decree on October 25, 1990. 2 It stated in pertinent part:
13. Petitioner will receive one half of 150/240 share of the benefits of the Arizona Public Retirement System that will be due to Douglas R. Stine, ... on July 1, 1990. Douglas R. Stine is to pay the share due to Anne Stine beginning July 1, 1990. At such time as Douglas R. Stine applies for and starts to receive benefits from the Retirement System, it is hereby ordered that the Arizona Public Retirement System pays such benefits directly to Anne Stine.... Respondent will keep Petitioner on his life insurance until she starts receiving the retirement, or is disabled, quits or is fired; Petitioner will receive one half of 150/240 share of the benefits of the life insurance. In the event that Respondent should quit, be fired or is disabled and then later is rehired by the State of Arizona and elects to redeposit the amount of the accumulated contributions that he had received at the time of his separation from service and his benefits are reinstated according to A.R.S. Sect. 38-781.15B, the Petitioner will have the same option to reinstate her benefits in the same proportion as stated above.
(Emphasis added.)
On November 10, 1990, Doug quit his job with DPS. He received reimbursement of his retirement plan contributions, which totaled approximately $36,000. 3 Doug paid Anne one half of 150/240 share, or 31.25% of these employee contributions--a lump sum distribution of approximately $10,000. He used the remainder to pay off approximately $20,000 in personal debt.
Although Doug was eligible for retirement at the time that he quit, he testified that he could not afford to retire and still meet his financial obligations and maintain a decent standard of living. If he had retired, his share of the monthly retirement benefit would have been about $1,200. He owed Anne child support of $725 per month, plus an additional $50 per month for the children's clothing. He also had to pay off the above-mentioned debts. Moreover, had he retired, he would not have remained employable as a law enforcement officer. Accordingly, Doug quit rather than retire, so he could receive reimbursement of his retirement plan contributions, pay Anne her share, pay off his debts, and remain employable as a law enforcement officer.
On January 14, 1991, Doug was rehired by DPS. His understanding was that, to be reinstated in the retirement plan, he would have had to repay all of the contributions disbursed upon his termination. He could not afford to do so, and he elected not to redeposit his share of the retirement into the Retirement System. As a result, Anne could not elect to redeposit her funds into the Retirement System. 4
Anne filed a petition for order to show cause, requesting enforcement of the amended decree regarding retirement benefits. Anne argued that Doug was not entitled to quit once he became eligible for retirement on July 1, 1990. She claimed that on that date, her rights to receive monthly retirement payments of $592.81 from either Doug or the Retirement System became fixed, and that Doug could not thereafter unilaterally elect to quit and deprive her of her right to receive these payments. In response, Doug argued that the amended decree in no way limited his ability to quit and required only that he provide Anne with her one half of 150/240 share of any monies he received. He claimed that he had given her all that she was entitled to with the lump sum payment.
The trial court ruled in favor of Doug, finding that the amended decree clearly provided that he could quit as long as he divided the monies received and paid Anne her share. Accordingly, the court found that Doug was not in violation of the terms of the amended decree.
Anne sought a new trial under both Rule 59(a)(3), Arizona Rules of Civil Procedure, due to an accident or surprise which could not have been prevented by ordinary prudence, and Rule 59(a)(8), arguing that the court's decision was contrary to law. The trial court denied this motion. Anne timely appeals from the court's denial of her motion for a new trial. The only issue presented is whether the trial court abused its discretion in denying the motion for a new trial.
Anne's notice of appeal is limited to the order denying her motion for a new trial. Thus, review here is solely to determine whether the trial court abused its discretion in denying that motion. DeMontiney v. Desert Manor Convalescent Center, Inc., 144 Ariz. 21, 29, 695 P.2d 270, 278 (App.1984) (), approved in part, vacated in part on other grounds, 144 Ariz. 6, 695 P.2d 255 (1985).
Anne's original petition sought an order directing Doug either to elect reinstatement in the retirement plan, or to pay Anne $592.81 per month as if he had elected reinstatement in the plan. The trial court denied that relief. Subsequently, the trial court denied Anne's motion for a new trial.
In her briefs to this court, Anne does not argue that she was entitled to a new trial based on accident or surprise. Instead, she focuses solely on her contention that the trial court's decision on the petition to show cause was contrary to the law. Accordingly, this court must determine if the trial court erred in refusing to grant a new trial on that basis alone.
The first issue before the trial court on the petition for order to show cause was whether Doug was entitled to quit his job and forego reinstatement of his benefits when he was rehired. The trial court found that he was entitled to do so under the amended decree.
The meaning of a decree is to be determined from the language used. The language of a judgment or decree is to be construed like a contract or other written instrument. Lopez v. Lopez, 125 Ariz. 309, 310, 609 P.2d 579, 580 (App.1980). A meaning should not be assigned to part of the language which would render another part meaningless, nor remake the language to alter the existing rights or obligations. Id.; see also Tyson v. Tyson, 61 Ariz. 329, 339, ...
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