ILNews

Court rules on marital estate divisions

Michael W. Hoskins
January 1, 2008
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A trial court should assume that when a divorcing couple divides part of their marital assets on its own, that division is done justly and reasonably and the court should divvy up the remainder of their estate as the entire balance.

The Indiana Court of Appeals made that holding in today's ruling on Thelma M. Nornes v. Raymond M. Nornes, No. 46A03-0712-CV-564, a divorce case out of LaPorte County. The two were married in 1998 and started the dissolution process in 2006.

Prior to the final hearing, the Norneses decided to divide all of the marital estate except for Raymond's $43,159 in pension accounts and Thelma's $46,000 in student loans incurred from getting her degree in 2005.

At the hearing, they agreed to split the value of his pension accounts in half, but the loans remained the only outstanding liability at issue. He argued she should be responsible for them all because she reaped the benefits of the degree. The trial court ordered that Thelma was responsible for all of her loans and that Raymond was harmless for the entire amount.

"This case presents a recurring problem for trial and appellate courts, namely, what should be the decisional standard for dividing a part of the marital estate when the parties by agreement have divided the balance," Judge James S. Kirsch wrote for the unanimous panel.

Judge Kirsch pointed out a number of questions arose from this case and situation, such as how a court divides the balance, how it knows if the previous division was fair and reasonable, and if it should try to equalize the remaining assets' division if that previous agreement was unfair.

"We hold that, in the absence of an agreement of the parties to the contrary, where the parties divide between themselves a part of the marital estate and leave the division of the balance to the discretion of the trial court, the trial court should assume that the property that the parties have already divided was divided justly and reasonably and shall divide the remainder ... as if they were the entirety of the marital estate," Judge Kirsch wrote.

The court should determine if the 50/50 presumption under state law should apply, and if so then it should divide the assets and liabilities equally. By doing that, the parties can maximize the value of their settlement and the trial court has the basis for its property division that conforms with state law, the judge wrote.

In the instant case, the trial court erred by assigning the student loans to Thelma on the basis that she has the degree and should now pay for it. Those loans were marital obligations, Judge Kirsch wrote, and the decision was vacated for the lower court to determine whether the student debt should be divided in half or another way.
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  1. Good riddance to this dangerous activist judge

  2. What is the one thing the Hoosier legal status quo hates more than a whistleblower? A lawyer whistleblower taking on the system man to man. That must never be rewarded, must always, always, always be punished, lest the whole rotten tree be felled.

  3. I want to post this to keep this tread alive and hope more of David's former clients might come forward. In my case, this coward of a man represented me from June 2014 for a couple of months before I fired him. I knew something was wrong when he blatantly lied about what he had advised me in my contentious and unfortunate divorce trial. His impact on the proceedings cast a very long shadow and continues to impact me after a lengthy 19 month divorce. I would join a class action suit.

  4. The dispute in LB Indiana regarding lake front property rights is typical of most beach communities along our Great Lakes. Simply put, communication to non owners when visiting the lakefront would be beneficial. The Great Lakes are designated navigational waters (including shorelines). The high-water mark signifies the area one is able to navigate. This means you can walk, run, skip, etc. along the shores. You can't however loiter, camp, sunbath in front of someones property. Informational signs may be helpful to owners and visitors. Our Great Lakes are a treasure that should be enjoyed by all. PS We should all be concerned that the Long Beach, Indiana community is on septic systems.

  5. Dear Fan, let me help you correct the title to your post. "ACLU is [Left] most of the time" will render it accurate. Just google it if you doubt that I am, err, "right" about this: "By the mid-1930s, Roger Nash Baldwin had carved out a well-established reputation as America’s foremost civil libertarian. He was, at the same time, one of the nation’s leading figures in left-of-center circles. Founder and long time director of the American Civil Liberties Union, Baldwin was a firm Popular Fronter who believed that forces on the left side of the political spectrum should unite to ward off the threat posed by right-wing aggressors and to advance progressive causes. Baldwin’s expansive civil liberties perspective, coupled with his determined belief in the need for sweeping socioeconomic change, sometimes resulted in contradictory and controversial pronouncements. That made him something of a lightning rod for those who painted the ACLU with a red brush." http://www.harvardsquarelibrary.org/biographies/roger-baldwin-2/ "[George Soros underwrites the ACLU' which It supports open borders, has rushed to the defense of suspected terrorists and their abettors, and appointed former New Left terrorist Bernardine Dohrn to its Advisory Board." http://www.discoverthenetworks.org/viewSubCategory.asp?id=1237 "The creation of non-profit law firms ushered in an era of progressive public interest firms modeled after already established like the National Association for the Advancement of Colored People ("NAACP") and the American Civil Liberties Union ("ACLU") to advance progressive causes from the environmental protection to consumer advocacy." https://en.wikipedia.org/wiki/Cause_lawyering

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