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. in a lawyer discipline case Judge Brown, now removed, was presiding over a hearing about a lawyer accused of the supposedly heinous ethical violation of saying the words "Illegal immigrant." (IN re Barker) http://www.in.gov/judiciary/files/order-discipline-2013-55S00-1008-DI-429.pdf .... I wonder if when we compare the egregious violations of due process by Judge Brown, to her chiding of another lawyer for politically incorrectness, if there are any conclusions to be drawn about what kind of person, what kind of judge, what kind of apparatchik, is busy implementing the agenda of political correctness and making off-limits legit advocacy about an adverse party in a suit whose illegal alien status is relevant? I am just asking the question, the reader can make own conclsuion. Oh wait-- did I use the wrong adjective-- let me rephrase that, um undocumented alien?

  2. of course the bigger questions of whether or not the people want to pay for ANY bussing is off limits, due to the Supreme Court protecting the people from DEMOCRACY. Several decades hence from desegregation and bussing plans and we STILL need to be taking all this taxpayer money to combat mostly-imagined "discrimination" in the most obviously failed social program of the postwar period.

  3. You can put your photos anywhere you like... When someone steals it they know it doesn't belong to them. And, a man getting a divorce is automatically not a nice guy...? That's ridiculous. Since when is need of money a conflict of interest? That would mean that no one should have a job unless they are already financially solvent without a job... A photographer is also under no obligation to use a watermark (again, people know when a photo doesn't belong to them) or provide contact information. Hey, he didn't make it easy for me to pay him so I'll just take it! Well heck, might as well walk out of the grocery store with a cart full of food because the lines are too long and you don't find that convenient. "Only in Indiana." Oh, now you're passing judgement on an entire state... What state do you live in? I need to characterize everyone in your state as ignorant and opinionated. And the final bit of ignorance; assuming a photo anyone would want is lucky and then how much does your camera have to cost to make it a good photo, in your obviously relevant opinion?

  4. Seventh Circuit Court Judge Diane Wood has stated in “The Rule of Law in Times of Stress” (2003), “that neither laws nor the procedures used to create or implement them should be secret; and . . . the laws must not be arbitrary.” According to the American Bar Association, Wood’s quote drives home this point: The rule of law also requires that people can expect predictable results from the legal system; this is what Judge Wood implies when she says that “the laws must not be arbitrary.” Predictable results mean that people who act in the same way can expect the law to treat them in the same way. If similar actions do not produce similar legal outcomes, people cannot use the law to guide their actions, and a “rule of law” does not exist.

  5. Linda, I sure hope you are not seeking a law license, for such eighteenth century sentiments could result in your denial in some jurisdictions minting attorneys for our tolerant and inclusive profession.

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