Erickson v. Erickson
Citation2023 S.D. 70
Date Filed2023-12-28
Docket30011
JudgeMark E. Salter
Cited0 times
StatusPublished
Full Opinion (html_with_citations)
#30011-aff in pt & rev in pt-MES2023 S.D. 70
IN THE SUPREME COURT
OF THE
STATE OF SOUTH DAKOTA
****
MICHAEL R. ERICKSON, Plaintiff and Appellant,
v.
TARA J. ERICKSON, Defendant and Appellee.
****
APPEAL FROM THE CIRCUIT COURT OF
THE SECOND JUDICIAL CIRCUIT
MINNEHAHA COUNTY, SOUTH DAKOTA
****
THE HONORABLE DOUGLAS E. HOFFMAN
Judge
****
TRESSA ZAHRBOCK KOOL of
Lockwood & Zahrbock Kool Law Office
Sioux Falls, South Dakota Attorneys for plaintiff and
appellant.
THOMAS H. FRIEBERG
AUSTIN J. FELTS of
Frieberg, Nelson & Ask
Beresford, South Dakota Attorneys for defendant
and appellee.
****
CONSIDERED ON BRIEFS
FEBRUARY 15, 2023
OPINION FILED 12/28/23
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SALTER, Justice
[¶1.] Former spouses, Michael Erickson and Tara Erickson, executed a
Stipulation and Agreement (the Agreement) in 2020 to settle issues associated with
their divorce action. The circuit court accepted the Agreement and incorporated it
into a judgment and decree of divorce. Believing the Agreement authorized it, Tara
has claimed the partiesâ two minor children as dependents when filing her federal
income tax returns since 2018. However, in 2022, Michael cited what he believed to
be contrary language in the Agreement and asserted for the first time that he was
entitled to claim the children as dependents. He moved to enforce the Agreement
and hold Tara in contempt. Tara subsequently moved to âmodifyâ the divorce
decree and Agreement, asserting the language Michael identified contained a
mistake. She also sought an award of attorney fees.
[¶2.] The circuit court determined that the provision of the partiesâ
Agreement upon which Michael was relying was the result of a drafting error.
Consequently, the court denied Michaelâs requests for relief and granted Taraâs
motion to revise the text of the Agreement and for attorney fees. We affirm in part,
reverse in part, and remand for further proceedings.
Factual and Procedural History
[¶3.] Michael originally commenced this divorce action as a pro se plaintiff
in June 2018. Both parties ultimately engaged counsel to assist them. Sioux Falls
attorneys James Billion and Nichole Carper assisted Michael and Tara,
respectively. The parties undertook negotiations and a mediation session in an
attempt to resolve issues relating to property division and the custody of their two
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minor children. Michael and Tara eventually executed the Agreement, with the
stated purpose of settling âthe issues of custody, child support, division of property,
assumption of financial obligations, and alimony . . . .â The Agreement was
incorporated into the circuit courtâs judgment and decree of divorce, which was filed
in April 2020.
[¶4.] A single provision in the Agreement is at the center of this appeal.
Paragraph 2.g. reads, âFor tax year 2018 and each year after that, Plaintiff shall be
entitled to claim [the two minor children] as dependents and head of household for
Federal, State, or Local tax purposes.â (Emphasis added.) As indicated, Michael
was the plaintiff in the divorce action, and Tara was the defendant. But
notwithstanding paragraph 2.g., Tara claimed both of the children as dependents in
the 2018, 2019, and 2020 tax years, all without any objection from Michael.
[¶5.] However, in February 2022, Michael filed a motion through different
counsel to enforce paragraph 2.g. of the Agreement and to find Tara in contempt for
violating the circuit courtâs judgment and decree of divorce. Tara, also represented
by a new attorney, responded and filed a motion to amend the judgment and decree
of divorce âto clarify that . . . Tara Erickson[ ] is entitled to claim the minor children
as dependents for purposes of tax filing.â Taraâs supporting brief invoked the circuit
courtâs authority to grant relief from judgments contained in SDCL 15-6-60(a) (Rule
60(a)) and SDCL 15-6-60(b) (Rule 60(b)). Tara also requested an award of attorney
fees.
[¶6.] In Taraâs view, her claiming the children as dependents reflected the
actual intent and understanding of the parties at the time the Agreement was
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executed. She offered several arguments that the Agreement itself, when read as a
whole, revealed that the use of the word âPlaintiffâ was a âmistake[.]â
[¶7.] First, she argued that paragraph 2.g. reflected a legal impossibility
because it also purported to grant head of household status to Michaelâsomething
Tara asserted is contrary to federal tax law which, she claimed, does not allow a
ânon-custodial parent to claim head of household filing status[.]â Second, she
argued that the designations of Plaintiff and Defendant only appear in paragraph
2.g. while the Agreement otherwise refers to the parties as Father and Mother,
supporting the conclusion that Taraâs counsel at the time âfailed to catch the
inadvertent reference to Plaintiff[.]â Finally, Tara pointed to a notation in an
attached joint property exhibit stating, âcredit card debt 2018 taxes; Tara had the
children more than 50% of the time during 2018, she is entitled to claim the
children on her tax return.â
[¶8.] At the subsequent motions hearing, Tara also offered extrinsic
evidence regarding the partiesâ discussions and negotiations leading up to the
execution of the Agreement. For instance, the court found that emails between the
original attorneys revealed that Taraâs lawyer insisted that her client should either
be able to claim the children as dependents or be âmade wholeâ in the event Michael
was to claim the children because he could make greater use of claiming the
children as dependents given his higher income. 1
1. The parties exchanged a draft of the Agreement that included a provision
stating Michael, designated as the âPlaintiff,â could claim the children as
dependents and file for head of household, subject to certain requirements.
In essence, Michael could pay for tax preparation services for himself as well
(continued . . .)
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[¶9.] Recalling her representation of Tara during these discussions, Nichole
Carper testified that âhonestly, [ ] from my understanding of everything and the
way we proceeded through everything mother would claim the kids. There was
never any issue on that.â Regarding the language to the contrary in paragraph 2.g.,
Carper stated, â[I]tâs so easy to make that mistake, and unfortunately that language
just didnât get caught.â 2
[¶10.] In addition, Tara offered evidence of the partiesâ conduct in the years
following the execution of the Agreement and divorce. This included the fact that
Tara claimed the children as dependents in 2018, 2019, and 2020 with no objection
from Michael. Tara also introduced evidence of unrelated parenting disputes
between the parties and characterized Michaelâs motion as âretaliationâ for these
disagreements, stating, âApparently, he had not reviewed the provision until our
recent disputes.â
________________________
(. . . continued)
as Tara in order to demonstrate the relative value of claiming the children as
dependents based on each partyâs respective income. Using this information,
Michael could then claim the children as dependents if he paid Tara for the
value she would have received by claiming them. However, the designations
for the parties varied within the draft provision, and, critically, it was not
fully incorporated into the Agreement. The part of this draft language
designating âthe Plaintiffâ as entitled to claim the children as dependents
was incorporated into paragraph 2.g., but the balance of the draft provision
containing the âtax benefit maximizingâ language, which referred to the
parties as âMotherâ and âFather,â was not.
2. Carper explained that the misstep was likely due to the fact that she
represents many mothers who are plaintiffs in divorce actions and that her
office used a stipulation and agreement from a different divorce as a template
when drafting the Agreement.
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[¶11.] As it related to Michaelâs motion for contempt, Tara denied that she
âwillfully ignored the courtâs order by filing your tax return in 2018, â19 and â20
claiming the children and head of household status[.]â Tara further offered that she
âwas told over, and over, and over by Nicholeâ that she could claim the children as
dependents.
[¶12.] For his part, Michael asserted that the Agreement unambiguously
granted him the right to claim the children as dependents and file as head of
household. Based on his view that the Agreement lacked ambiguity, he argued that
no extrinsic evidence should be considered to determine the partiesâ intent behind
the Agreement.
[¶13.] Notwithstanding this position, Michaelâs prior attorney, James Billion,
testified about his recollection of the partiesâ negotiations. According to Billion,
which party would claim the children as dependents âwas always an issue from the
outset . . . .â Billion recalled the discussions with Carper, but he was unsure about
the accuracy of paragraph 2.g. stating, âI canât speak with a hundred percent
certainty that the exemption issue at hand is, is not a clerical error, although I do
know with a hundred percent certainty that throughout the course of the
proceedings and the negotiations that the item was addressed at various times.â
[¶14.] Responding to Taraâs argument that he took no action to enforce his
view of the Agreement in the 2018, 2019, and 2020 tax years, Michael explained
that he was attempting to not ârock the boatâ with Tara in light of their other
ongoing disagreements. He maintained that he always understood that the
Agreement entitled him to claim the children as dependents.
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[¶15.] As for his contempt motion, Michael did not offer evidence other than
the fact that Tara had claimed the children as dependents. He offered a related
argument claiming that Tara was further acting in defiance of the divorce decree by
not cooperating with his demand to file the necessary paperwork to enable him to
claim the children as dependents. 3 In closing remarks, Michaelâs current attorney
argued that Tara âneeds to be held to this agreement.â
[¶16.] At the conclusion of the hearing, the circuit court ruled in Taraâs favor
on each of the motions before it. Starting with the motion to clarify the decree and
the corresponding Agreement, the court determined that the âevidence is crystal
clear, and beyond clear and convincing that [the disputed provision] was a mistake.â
The court further ruled that âall the surrounding circumstances, all of the exhibits,
all of the evidence and testimony, establishes really beyond any reasonable doubt
that there is a typo in the stipulation and in paragraph 2.g. The word plaintiff was
supposed to be defendant, and [ ] everybody overlooked it, and missed it because it
wasnât even ever really a debatable issue.â 4
3. Because Tara has the children more than 50% of the time, she is considered
the custodial parent and would have to complete an IRS Form 8332 in order
to allow Michael to claim the children as dependents. See Armstrong v.
Commâr, 745 F.3d 890, 892 (8th Cir. 2014); see also 26 U.S.C. 152(e)
(describing procedure for custodial parent releasing claim to dependent
exemption).
4. As part of its determination that paragraph 2.g. contained a mistake, the
circuit court noted that the additional authority for the âPlaintiffâ to file a tax
return as the head of household reflected a legal impossibility because
Michael could not, in any event, claim head of household status under federal
law. Michael has not challenged the courtâs determination in this regard.
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[¶17.] The circuit court continued, âIt was intended by all parties . . . that
mother was going to retain her right to claim the children under federal law, and
when her lawyer goofed up and didnât correct that error in the final draft, [Michael]
figured, [â]well, Iâm not going to tell anybody about this.[â] And [ ] [â]I may use it to
my advantage someday.[â]â As part of this analysis, the court discounted Michaelâs
contrary evidence and found that his testimony was not credible.
[¶18.] The court then explained its procedural path for correcting the
Agreement:
[W]eâre operating under Rule 60(b). If we were going under
60(b)(1), we would be limited to one year [ ] and I think that if
we have to go under 60(b)(1), I think that fatherâs delay in
raising the issue tolls the running of that statute of repose until
the mistake was discovered by the party that was prejudiced by
that, which was discovered by her when brought to her attention
by the father . . . and, otherwise, I still believe that we are
operating under 60(b)(6).
[¶19.] Consistent with the circuit courtâs reasoning on the motion to amend
the Agreement, the court denied Michaelâs motion for contempt, describing the
motion as âessentially frivolousâ and finding that Tara âdid not make any willful or
contumacious decision to disobey the judgment and decree of divorce. She was
doing in good faith [what] she understood the agreement to be.â
[¶20.] Finally, the circuit court granted Taraâs motion for attorney fees. The
court reasoned that â[w]e shouldnât be here, and she shouldnât have to pay for it.
[Michael] tried to take advantage of the situation, and he should have to pay for it.â
In its order approving the final attorney fees amount, the court described the fee
request of $4,803.43 as reasonable and incorporated Taraâs attorneyâs affidavit,
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which also summarily described the fees as âreasonable.â There were no additional
findings regarding the reasonableness of the attorney fees.
[¶21.] Michael appeals, asserting several issues for review, restated as
follows:
1. Whether it was necessary for the circuit court to rely upon
Rule 60(b) in order to interpret and clarify the divorce
decree.
2. Whether the circuit court erred when it concluded that
the partiesâ Agreement was ambiguous.
3. Whether the circuit court clearly erred when it found that
the parties intended in their Agreement to allow Tara to
claim the children as dependents for tax purposes.
4. Whether the circuit court abused its discretion when it
granted Taraâs request for attorney fees.
Analysis and Decision
Application of Rule 60(b)
[¶22.] The circuit court invoked Rule 60(b) as the means of considering the
partiesâ conflicting claims about the meaning of paragraph 2.g. The partiesâ
arguments on appeal similarly treat the Rule 60(b) issue as a necessary predicate to
reaching the textual interpretation issue. 5 But we are reluctant to simply accept
that premise and condition our ability to reach the merits of this appeal upon the
outcome of a Rule 60(b) analysis.
5. In addition to Rule 60(b), Taraâs arguments before the circuit court cited Rule
60(a), which allows relief from judgments containing clerical mistakes. The
circuit court relied upon Rule 60(b) only, and Tara has not argued on appeal
that the court erred by not using Rule 60(a) as a basis for its decision.
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[¶23.] We have not previously confronted the question whether a basis for
relief from an order or judgment under Rule 60(b) is necessary for a circuit court to
clarify a divorce decree based upon a stipulation between the parties. In Divich v.
Divich, we referenced Rule 60(b) principles, as the parties had, and held that the
circuit court abused its discretion by concluding the partiesâ divorce stipulation was
ambiguous, but our analysis turned on contract principles, not an application of
Rule 60(b). 2002 S.D. 24, ¶¶ 8â11,640 N.W.2d 758
, 760â62. We applied the same essential contract rules in Roseth v. Roseth to interpret a stipulation incorporated into the partiesâ divorce decree regarding funding for their childrenâs education, without any reference to Rule 60(b).2013 S.D. 27
, ¶¶ 13â17,829 N.W.2d 136
, 142â 43. [¶24.] We begin our inquiry into the courtâs authority by noting the importance of an orderâs clarity. In addition to setting out the terms under which the parties to litigation must abide, an orderâs ultimate utility depends upon its enforceability. As we have often held, a court may not use its civil contempt power to enforce an order or judgment unless the âorder . . . state[s] the details of compliance in such clear, specific and unambiguous terms that the person to whom it is directed will know exactly what duties or obligations are imposed upon her.â Evens v. Evens,2020 S.D. 62, ¶ 47
,951 N.W.2d 268
, 283 (quoting Keller v. Keller,2003 S.D. 36
, ¶ 9,660 N.W.2d 619, 623
).
[¶25.] Consequently, it is natural that courts would, from time to time, find it
necessary to clarify the meaning of their orders or judgments, whether these are the
product of a courtâs own deliberative effort or an agreement of the parties that the
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court incorporates. But there is a distinction between this sort of clarification and a
modification of the order from its intended meaning to something new and different:
A âmotion for clarificationâ is just what the name implies: a
request for an explanation from the trial court as to the meaning
of a prior, allegedly unclear, order. A âmotion for clarificationâ
does not seek to persuade the trial court that a prior judgment
should be changed, modified, or invalidated. If it does seek to do
any of those things, then it is not a âmotion to clarifyâ a
judgment, but a motion to alter, amend, or vacate a judgment
....
Muellen v. Ritter, 96 So. 3d 863, 868 (Ala. Civ. App. 2012) (citations omitted).
[¶26.] Here, the parties did not seek relief from the divorce decree by
changing or modifying it; they sought clarification regarding its meaning. 6 And for
this reason, we hold that the circuit court was authorized to interpret and clarify
the decree, which incorporated the Agreement, without the need to invoke Rule
60(b). 7 The Supreme Judicial Court of Maine has stated a practical set of rules that
we find particularly instructive here:
When a settlement agreement is incorporated into a divorce
judgment, the settlement agreement becomes part of the
judgment of the divorce court. If the divorce judgment is
ambiguous, the court has the inherent and continuing authority
to construe and clarify its judgment, but it cannot under the
guise of a clarification order make any material change that will
modify the property division provided by the original
judgment. . . . When we review an order purporting to clarify a
6. Though styled a motion to âmodify,â Taraâs actual arguments make clear that
she was seeking to clarifyânot substantively changeâthe original
stipulation which the circuit court incorporated into the decree.
7. Though state courts lack authority under federal law to âaward dependent
exemptions . . ., once the parties have stipulated to a [dependent tax
exemption] provision and incorporated it into their divorce agreement, the
court has authority to approve or reject the agreement.â Jacobson v.
Jacobson, 2000 S.D. 60, ¶ 13,611 N.W.2d 210
, 214â15.
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divorce judgment, we will affirm that order if the courtâs prior
judgment was ambiguous as a matter of law . . . and . . . the
courtâs construction of its prior judgment is consistent with its
language read as a whole and is objectively supported by the
record.
Greenwood v. Greenwood, 746 A.2d 358, 360â61 (Me. 2000) (cleaned up). 8 [¶27.] In this case, then, our first task is to consider whether the partiesâ Agreement contains an ambiguity. If it does not, there is no need for construction, and we must simply apply the text. Coffey v. Coffey,2016 S.D. 96
, ¶ 9,888 N.W.2d 805, 809
(citing Pesicka v. Pesicka,2000 S.D. 137
, ¶ 6,618 N.W.2d 725, 726
). However, if the Agreement is ambiguous, we must use our well-settled rules of construction to determine its meaning.Id.
Our test for ambiguity is more than a
function of the partiesâ disagreement:
A contract is not rendered ambiguous simply because the parties
do not agree on its proper construction or their intent upon
executing the contract. Rather, a contract is ambiguous only
when it is capable of more than one meaning when viewed
objectively by a reasonably intelligent person who has examined
the context of the entire integrated agreement.
Id.(quoting Dowling Fam. Pâship v. Midland Farms,2015 S.D. 50
, ¶ 13,865 N.W.2d 854, 860
). Ambiguity within the Agreement [¶28.] âContractual stipulations in divorce proceedings are governed by the law of contracts[.]â Roseth,2013 S.D. 27, ¶ 13
,829 N.W.2d at 142
(quoting Duran v. Duran,2003 S.D. 15
, ¶ 7,657 N.W.2d 692, 696
). Generally, â[t]he âexistence of a
8. The Greenwood court also held that the âintent of the divorce courtâ controls
in the effort to resolve an ambiguity âin a divorce judgment,â though âthe
intent of the partiesâ is relevant in determining the courtâs intent. 746 A.2d
at 361 n.4.
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valid contract is a question of law[,]â which is reviewed de novo.â Koopman v. City of
Edgemont, 2020 S.D. 37, ¶ 14,945 N.W.2d 923
, 927â28 (quoting Behrens v. Wedmore,2005 S.D. 79
, ¶ 20,698 N.W.2d 555, 566
). [¶29.] âIf in dispute, however, the existence and terms of a contract are questions for the fact finder.âId.
(quoting Behrens,2005 S.D. 79
, ¶ 20,698 N.W.2d at 566
). âWe review the circuit courtâs findings of fact under the clearly erroneous standard of review.â Wiseman v. Wiseman,2015 S.D. 23, ¶ 6
,863 N.W.2d 243, 245
. In reviewing factual determinations for clear error, we will only set the circuit courtâs factual determination aside âif we are left with a definite and firm conviction that a mistake has been made.â In re Estate of Eichstadt,2022 S.D. 78, ¶ 19
,983 N.W.2d 572
, 580 (quoting Action Mech., Inc. v. Deadwood Hist. Pres. Commân,2002 S.D. 121
, ¶ 12,652 N.W.2d 742, 748
). [¶30.] Whether this case involves a purely legal determination of the existence of a contract or a factual question relating to disputed contract terms turns largely upon what evidence the court could consider. Ordinarily, we would read the text of an agreement as a whole and give effect to its terms as a matter of law. Coffey,2016 S.D. 96
, ¶ 8,888 N.W.2d at 809
. However, where the text reveals an ambiguity, courts may consider extraneous, or parol, evidence âto show what the parties meant by what they said but not to show that they meant something other than what they said.â Roseth,2013 S.D. 27, ¶ 15
, 829 N.W.2d at 142â43 (quoting Arrowhead Ridge I, LLC v. Cold Stone Creamery, Inc.,2011 S.D. 38, ¶ 13
,800 N.W.2d 730, 734
).
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[¶31.] Here, the Agreement contained a conspicuous ambiguity. Though
paragraph 2.g. purported to allow Michael as âthe Plaintiffâ to claim the children as
dependents and file as head of household â[f]or tax year 2018 and each year
thereafter,â other text contained in the partiesâ joint property exhibit expressed a
different intent. The joint property exhibit was incorporated as part of the
Agreement and included an entry that stated Tara âis entitled to claim the children
on her tax returnâ in 2018âthe same year identified in paragraph 2.g. as the
commencement for claiming the children as dependents. This conflict results in a
genuine ambiguity concerning which party was entitled to claim the children as
dependents.
[¶32.] Reading the exhibitâs âmore than 50% of the timeâ rationale together
with the âCustodyâ section of the Agreementâproviding that Tara would continue
to have the children more than 50% of the timeâfurther reveals the ambiguity. A
reasonable interpretation of the notation on the schedule of the Agreement is that
having the children more than 50% of the time entitles that parent to claim the
children as dependents in each successive year, 9 creating tension with paragraph
2.g. 10
9. This view corresponds with federal law. See 26 U.S.C. § 152(e)(B) (providing
that if, among other things, a âchild is in the custody of 1 or both of the childâs
parents for more than one-half of the calendar year, such child shall be
treated as being the qualifying childâ for dependent exemption purposes).
10. The Agreementâs use of âPlaintiffâ in paragraph 2.g. and âMotherâ and
âFatherâ elsewhere does not, itself, constitute an ambiguity, but it could be
relevant to whether paragraph 2.g. accurately reflected the partiesâ intent.
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Factual inquiry into the partiesâ intent
[¶33.] With an ambiguity established, the circuit court was authorized to
consider parol evidence in order to determine whether the parties intended that
Tara would claim the children as dependents. The courtâs corresponding analysis
focused upon the testimony and the evidence the parties presented. As a result, we
will apply our deferential clear error standard of review and âgive due regard to the
[trial] courtâs opportunity to observe the witnessesâ and determine â[t]he credibility
of the witnesses.â Stockwell v. Stockwell, 2010 S.D. 79, ¶ 24,790 N.W.2d 52, 61
(first alteration in original) (citation omitted); see also Peterson v. Issenhuth,2014 S.D. 1
, ¶ 15,842 N.W.2d 351, 355
(âOn review, this Court defers to the circuit court, as fact finder, to determine the credibility of witnesses and the weight to be given to their testimony.â (quoting Hubbard v. City of Pierre,2010 S.D. 55
, ¶ 26,784 N.W.2d 499, 511
)).
[¶34.] Performing its quintessential fact-finding role, the court weighed the
conflicting parol evidence concerning the partiesâ intent and found:
The actions of the parties, the credible testimony of Tara and
the certainty with which Carper acknowledged that a mistake
was made in the drafting of paragraph 2.g. of the Stipulation
and Agreement are all consistent with the parties believing and
intending that Tara would be entitled to claim the minor
children as dependents and file with head of household status.
[¶35.] The circuit court expressly rejected Michaelâs contrary factual
assertions and made an adverse credibility determination:
Michael testified that he knew that the Stipulation and
Agreement allowed him to claim the minor children as
dependents and for head of household filing purposes but did not
mention it in 2018, 2019 or 2020 because he did not want to
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ârock the boat[.]â[ ] Michaelâs testimony in this regard is not
credible.
[¶36.] This finding takes on additional significance when considered with the
operative text of paragraph 2.g., which pairs the claiming of the children as
dependents with the federal income tax head of household status:
For tax year 2018 and each year after that Plaintiff shall be
entitled to claim [the two minor children] as dependents and
head of household for Federal, State, or Local tax purposes.
(Emphasis added.)
[¶37.] This provision can only be interpreted as an acknowledgement that the
same person was âentitled to claimâ the children as dependents and the head of
household designation. But, as Tara alleges and Michael does not dispute, Michael
is ineligible to claim head of household status, supporting the circuit courtâs view
that he was also not the person entitled to claim the children as dependents. See 26
U.S.C. § 2(b) (definition of head of household). [¶38.] Under the circumstances presented here, the circuit courtâs finding that the parties intended the Agreement to allow Tara to claim the children as dependents was not clearly erroneous. And though the parties and the court relied upon Rule 60(b), rather than simply interpreting its own judgment, any error was not consequential because it did not prevent the court from undertaking the correct inquiry regarding the Agreement. See Bunkers v. Jacobson,2002 S.D. 135
, ¶ 23,653 N.W.2d 732, 739
(âWhere a judgment is correct, this court will not reverse although it was based on incorrect reasons or erroneous conclusions.â (quoting Poindexter v. Hand Cnty.,1997 S.D. 71
, ¶ 16,565 N.W.2d 86, 91
)).
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Motion for Contempt
[¶39.] âThe purpose of the civil contempt power is to force a party to comply
with orders and decrees issued by a court in a civil action.â Metzger v. Metzger,
2021 S.D. 23, ¶ 13,958 N.W.2d 715
, 718 (citation omitted). âFor this reason, civil contempt is coercive in natureâ and âseeks to compel the person to act in accordance with the courtâs order, rather than to punish for past conduct.â Hiller v. Hiller,2018 S.D. 74
, ¶ 20,919 N.W.2d 548, 554
(cleaned up). âThe required elements for . . . civil contempt are (1) the existence of an order; (2) knowledge of the order; (3) ability to comply with the order; and (4) willful or contumacious disobedience of the order.â Taylor v. Taylor,2019 S.D. 27, ¶ 39
,928 N.W.2d 458, 471
(alteration in original) (quoting Keller,2003 S.D. 36
, ¶ 9,660 N.W.2d at 622
). The circuit courtâs findings regarding civil contempt are reviewed for clear error. Metzger,2021 S.D. 23, ¶ 13
, 958 N.W.2d at 719. [¶40.] The circuit court determined, and we have now agreed, that the Agreement was ambiguous, and it was not clear as to who should be able to claim the children as dependents for tax purposes. This determination alone is sufficient to support the circuit courtâs finding that Tara did not willfully disobey the order. See Keller,2003 S.D. 36
, ¶ 10,660 N.W.2d at 622
(holding that an order must be âclear, specific and unambiguousâ to support a finding of contempt). Motion for Attorney Fees [¶41.] âThe circuit courtâs allowance or disallowance of attorneyâs fees is reviewed for abuse of discretion.â Nickles v. Nickles,2015 S.D. 40
, ¶ 34,865 N.W.2d 142, 154
. âThe court, if appropriate, in the interests of justice, may award payment
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of attorneysâ fees in all cases of divorce, annulment of marriage, determination of
paternity, custody, visitation, separate maintenance, support, or alimony.â SDCL
15-17-38.
[¶42.] âA two-step process is typically usedâ when awarding attorney fees in
divorce, support, or alimony cases, which reflects the courtâs obligation to first
âdetermine what constitutes a reasonable attorney feeâ and then âdetermine the
necessity for such a fee.â Nickles, 2015 S.D. 40, ¶ 34,865 N.W.2d at 154
(quoting Huffaker v. Huffaker,2012 S.D. 81, ¶ 32
,823 N.W.2d 787, 794
). The first step, regarding the reasonableness of the fee award, considers â(1) the amount and value of the property involved, (2) the intricacy and importance of the litigation, (3) the labor and time involved, (4) the skill required to draw the pleadings and try the case, (5) the discovery utilized, (6) whether there were complicated legal problems, (7) the time required for the trial, and (8) whether briefs were required.âId.
The second step has its own unique considerations apart from the reasonableness of the award and considers the necessity of the award by examining âthe partiesâ relative worth, income, liquidity, and whether either party unreasonably increased the time spent on the case.âId.
[¶43.] Regarding these factors, â[t]he trial court is required to make specific findings . . . .â Smetana v. Smetana,2007 S.D. 5
, ¶ 20,726 N.W.2d 887, 895
(quoting Crisman v. Determan Chiropractic, Inc.,2004 S.D. 103
, ¶ 30,687 N.W.2d 507, 514
). Here, the circuit court made sufficient factual findings to support the
determination that the award of attorney fees was necessary. However, the court
made no findings regarding the factors relating to the reasonableness of the
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attorney fees aside from describing the fees as modest. Therefore, we vacate the
award of attorney fees and remand for further proceedings. 11
Conclusion
[¶44.] Though the case did not implicate Rule 60(b), the circuit court,
nevertheless, possessed authority to clarify its own judgment. Because the
Agreement was ambiguous, the court could properly consider parol evidence, and its
factual determination that the parties intended to allow Tara to claim the children
as dependents was not clearly erroneous; nor was its related conclusion that the
Agreement should have been written to allow Tara to claim the children as
dependents. As a result, the courtâs determination that Tara did not deliberately
violate the courtâs order was equally supportable. However, the court did not make
the required findings of fact to support its award of attorney fees. Therefore, we
affirm in part, reverse in part, and remand for further proceedings.
[¶45.] JENSEN, Chief Justice, and KERN, DEVANEY, and MYREN,
Justices, concur.
11. Tara also requests an award of appellate attorney fees, which we decline in
the exercise of our discretion.
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