Tenn. Dad Entitled to Lower Child Support Due to Business Losing Money
Tennessee child support law case law summary on child support modification from the Court of Appeals.
Tammy Milam v. James Milam – Tennessee divorce child support modification.
The mother and father of three minor children were divorced in 2007. The mother was named the primary residential parent and was given 247 days of parenting time per year. The father received 118 days. At the time of the divorce, the father’s income as a builder and contractor was $52,000 per year. The mother worked for a medical supply company and had an income of $82,000 per year. The parties agreed to child support of $1200 per month, which was a substantial upward deviation from the guidelines.
In 2011, the father filed a petition to reduce his child support obligation, citing financial difficulties. The father still had a salary of $1,000 per week, but was not paid in times when the company was unprofitable. He had liquidated all of his assets, and was borrowing money from his mother.
Based upon the evidence presented, the trial court calculated the father’s child support obligation at $358 per month. Since the father was willing, the court allowed an upward deviation to $600 per month, plus $210 per month for health insurance. Dissatisfied with this outcome, the mother appealed to the Tennessee Court of Appeals.
On appeal, the mother argued that the earlier upward deviation was voluntary, and that it should therefore be enforced as a contractual agreement. She also argued that the trial court should have imputed greater income to the father and that the trial court had made calculation errors.
The trial court agreed that the parties can agree to an upward deviation in child support, as long as it meets or exceeds the amount called for by the guidelines. However, once such an agreement becomes part of the divorce decree, it loses its contractual nature and can be modified in the same manner as any other divorce decree. Therefore, it rejected this argument.
As to the father’s income, the mother argued that he had additional undisclosed income. However, she presented no persuasive proof of that income. Both the father and his employer testified, and the court credited that testimony as being credible.
The Court of Appeals also examined the trial court’s calculations of the amount of support and concluded that there had been no error. It also looked at whether additional support was needed and concluded that it was not. For those reasons, it affirmed the trial court’s judgment.
The Court of Appeals also noted that the father prevailed on all issues on appeal, and awarded the father his attorney fees. It remanded the case for the trial court to determine the amount of those fees. It also assessed the costs of the appeal against the mother.
No. M2012-01659-COA-R3-CV (Tenn. Ct. App. Sept. 19, 2013).
See original opinion for exact language. Legal citations omitted.
For more information, see Tennessee Child Support Answers to FAQ’s. For legal updates, news, analysis, and commentary, visit our Tennessee Family Law Blog and its Child Support category. A Memphis child support attorney from the Miles Mason Family Law Group can help you with setting or modifying child support. To schedule your confidential consultation about Tennessee child support, call us today at (901) 683-1850.
