26 Yr Marriage | Wife’s Workers Compensation Money is Marital Property
Tennessee law case summary on marital property law and classification in Tennessee divorce and family law from the Tennessee Court of Appeals.
Linda Haun Scarbrough v Gary Lynn Scarbrough – Tennessee Property Division Law – Classification as Marital or Separate Property
Gary Scarbroagh, Husband, and Linda Scarbrough, Wife, marred in 1985 in Tennessee prior to moving to Florida where the Husband eventually became a police officer. Five to six years after this, the Wife became employed as a police officer. In 1996, the Wife was involved in a work-related accident leaving her physically and psychologically unable to work. The Wife began receiving a pension and workers compensation at that time. The Husband retired in order to care for the Wife.
They returned to Tennessee in 1998. In June of 2010, the 59-year old Wife filed for divorce from the 61-year old Husband. The Husband answered and counter complained seeking spousal support based on the disparity between the parties’ income. The divorce occurred in June of 2011, ending their 26-year marriage.
The Trial court noted that both receive comparable pensions and Social Security. The Wife also receives $1,830 in workers compensation and $3,640 to be used for attendant care. Both parties made the choice for the Husband to leave employment to care for the Wife, which reduced his ability to have a larger pension and Social Security benefits. It awarded $335 in separate property and $45,080 in marital property to the Husband. It awarded $1,010 in separate property and $7,010 marital property. It awarded the Husband transitional spousal support of $1000 per month for 60 months as well noting the Husband’s demonstrated need and the Wife’s ability to pay.
The Wife filed a motion to amend the judgment and sought relief. On July of 2011, the trial court entered an Order overruling the Wife’s motion for a new trial but did reduce the spousal support to $700 per month. The Wife appealed.
The Wife argued that the trial court erred in classifying the $60,180 she received during the parties’ separation from workers compensation as marital property. This included workers compensation benefits, attendant care benefits, pension payments and Social Security. Rather, she believed that only the amount she had not spent, about $7,000, was marital property.
Under Tennessee law, any property received by one of the spouses during a marriage is considered marital property. The Wife claimed the attendant care benefits received during this time were not marital property because they were to be used to care for her rather than a form of lost income. However, the Husband retired from his position to provide that care.
The Wife argued that if the court considered these funds income, it should also consider paying for 24-hour care as an expense to the Wife. While the court agreed, it also noted that the Wife did not demonstrate how much she actually spends towards this care. She stated she lives with her son who provides this care to her. She pays her son. The Wife is able to care for herself including to groom, fix light meals, walk, drive for short periods and garden and paint. The son, who has no medical training, has not left his employment to care for the Wife. The appeals ruled that, as such, it affirmed the decision of the lower court in considering the funds as marital property.
In the division of property, the Wife believes the Husband’s income was less but his expenses were less than hers were. The Husband’s total income is $1,675 and his expenses were $2,229. The Husband’s spousal support of $700 was added and gave him a surplus of $146. The Wife’s monthly income totals $6,656.85 and her expenses, including the spousal support total $3,047.75 leaving her a surplus of $3,609.10. The appeals court ruled there is no support for the Wife’s argument that the trial court erred.
No. E2011-01854-COA-R3-CV-FILED-JUNE 4, 2012.
See original opinion for exact language. Legal citations omitted.
Memphis divorce lawyer, Miles Mason, Sr., JD, CPA practices family law exclusively and is founder of the Miles Mason Family Law Group, PLC, which handles Tennessee family law matters including divorce, child support, alimony, prenuptial agreements, child custody, parental relocation, child support modification, alimony modification, and divorces including business valuation and forensic accounting issues.
