William Cyree v. Kimberley Kay Cyree
Date Filed2022-12-22
Docket03-21-00319-CV
Cited0 times
StatusPublished
Full Opinion (html_with_citations)
TEXAS COURT OF APPEALS, THIRD DISTRICT, AT AUSTIN
NO. 03-21-00319-CV
William Cyree, Appellant
v.
Kimberley Kay Cyree, Appellee
FROM THE COUNTY COURT AT LAW NO. 3 OF WILLIAMSON COUNTY
NO. 20-0658-FC3, THE HONORABLE DOUG ARNOLD, JUDGE PRESIDING
MEMORANDUM OPINION
William Cyree appeals the trial courtâs final decree of divorce dissolving his
marriage with Kimberley Kay Cyree. 1 In four issues, 2 William complains about the trial courtâs
disproportionate division of the community assets and debts in favor of Kimberley. For the
following reasons, we affirm the trial courtâs final decree.
BACKGROUND
The parties married in 1994 and had three children during their 27-year marriage.
Around November 2, 2019, William admitted to Kimberley that he was having an extramarital
relationship with one of her friends. The parties separated, and William moved from the marital
home to the friendâs home.
1 Because the parties have the same last name, we refer to them by their first names.
2 William refers to his four issues with the letters A, B, C, and D.
In February 2020, William petitioned for divorce on the ground of
insupportability, and in March 2020, Kimberley counterpetitioned for divorce on the grounds of
insupportability, cruelty, and adultery. See Tex. Fam. Code §§ 6.001â.007. She sought a
disproportionate share of the partiesâ community estate for the following reasons: (a) Williamâs
fault in the marriageâs breakup; (b) benefits she, as the innocent spouse, may have derived from
the continuation of their marriage; (c) their disparity of earning power and ability to support
themselves; (d) their education and future employability; (e) âcommunity indebtedness and
liabilitiesâ; (f) their âearning power, business opportunities, capacities, and abilitiesâ; (g) their
needs for future support; (h) the nature of their community property; (i) Williamâs âwasting of
community assetsâ; (j) their gifts during the marriage; and (k) attorneyâs fees paid. See Murff
v. Murff, 615 S.W.2d 696, 698â99 (Tex. 1981). Kimberley also sought post-divorce spousal
maintenance for a reasonable time. See Tex. Fam. Code §§ 8.051â.062.
The case proceeded to a final hearing in October 2020. The witnesses were
William and Kimberley. At that time, the partiesâ three children were adults, with the youngest
living with Kimberley in the marital home while William was living with the friend. The main
issues before the trial court were the value of the marital home, Kimberleyâs request for post-
divorce spousal maintenance, the allocation of debt, and the partiesâ dog Luke. The exhibits at
trial included proposed divisions of the partiesâ estate, proposed support decisions, and credit
card statements for two credit cards in Williamâs name. The evidence showed that the aggregate
balance on the two credit cards was about $25,000. As to the partiesâ other credit cards, each
had one with a balance of about $1,500, and there was a contingent debt of approximately
$14,000 for their childrenâs student loans.
2
Kimberley testified that the marriage deteriorated when William âstarted a
relationship with her friendâ; that on November 2, 2019, William admitted to the relationship
when Kimberley confronted him about it; and that he âmoved out shortly after that.â In his
testimony, William admitted to the extramarital relationship with Kimberleyâs friend, but he
testified that he had not dated the friend for an extended time. When he moved out of the marital
home, he moved in with the friend. He did not take their dog Luke with him, but on the day that
he filed for divorce in February 2020 and without notice to Kimberley, he picked up Luke and
other items from the marital home while she was at work. He also cancelled Kimberleyâs mobile
phone plan and removed her as an authorized user on his credit cards.
Concerning the partiesâ current income, education, and living expenses, William
testified that he worked as an âaudio, video design engineer,â earning approximately $85,000
annually and taking home approximately $5,585 per month after withholding, and that he had an
associate degree âas a computer technician.â After the partiesâ separation, the evidence showed
that William charged more than $5,000 per month on the two credit cards. William testified that
the charges were for living expenses, such as insurance costs, gym memberships, food, and
recurring bills. 3 He testified that he had not paid rent since moving into the friendâs home but
that beginning in April 2020, he was under âa promissory noteâ to pay $1,000 per month for rent.
3 During cross-examination, William was asked about his monthly charges after the
partiesâ separation on the two credit cards:
Q. Okay. So between those two credit cards, youâre charging almost $6,000 a month
for living expenses, allegedly?
A. Yeah. It sounds a little more than I think it is. I donât know why.
In its findings of fact, the trial court found that Williamâs monthly living expenses were roughly
equal to his monthly income.
3
Kimberley testified that she was working as a service cashier, earning $14 per
hour, which was approximately $30,000 annually. She was taking college classes through a
program that her employer offered, and if she maintained her current course load, she would
obtain her degree in three years. She had obtained her real estate license in 2014, earning
approximately $15,350 in 2016 and $5,209 in 2017 but losing $2,718 in 2018, explaining that
âfees for real estate are quite steep.â She testified that after the partiesâ separation, she was not
making enough money to meet her daily needs and had decreased her spending, including not
going out or buying clothes. The evidence showed that her credit card, which had an outstanding
balance of around $1,500, had a credit limit of $3,750.
The partiesâ primary asset was the marital home. The home had two mortgages
totally approximately $180,000. After the partiesâ separation, William had been making the
monthly mortgage payment. As to the homeâs value, William testified that it was âa little bit of a
fixer upperâ with repairs needed, including to the roof and windows, and âa good paint job.â He
testified that if the home was âin good condition and sold at high market value,â it would be
worth $285,000, but he agreed that its fair market value was $240,000 less transaction costs and
fix-up costs. 4 Kimberley, who testified after William, testified that the valuation of the home
âthat was put forth earlier was pretty true and correct except for the repairs that need to be done.â
She testified that in addition to the repairs that William testified about, there were projects that
had been started but not completed, including a balcony âthat was torn down and not replacedâ
4
The trial court questioned William about the value of the marital home as follows:
[William]: Thatâs the value Iâm claiming, is about $240â
The Court: So youâd agree with that, thoughâ$240â?
[William]: I do, sir.
The Court: Okay. Minus transaction costs and fix-up costs.
[William]: Right. Correct.
4
and âdoors that open onto a drop-off, which is a health and safety concern.â She testified that it
would cost âprobably about $15,000â to repair the home to make it marketable and that if all the
repairs on the home were made and it was sold, after closing costs, there was not going to be
much left over. She hoped to continue living in the marital home and requested that the trial
court award it to her in its property division.
In the final decree of divorce, the trial court did not award Kimberley post-divorce
spousal maintenance but awarded her a disproportionate share of the community estate.
Kimberley was awarded the marital home and assigned its corresponding debt. William was
awarded their dog Luke and $12,500, ârepresenting 50 percent of the equity in the marital
residence,â payable to him from Kimberley and secured by an owelty lien on the marital home.
Kimberley was ordered to refinance the mortgages before May 31, 2021, or if she was unable to
refinance, to list the home for sale on or before July 1, 2021. William was assigned the debt on
the two credit cards and the contingent debt of their childrenâs student loans, and each party was
assigned the debt on their respective cards with balances of approximately $1,500. The trial
court also entered findings of fact and conclusions of law. This appeal followed.
ANALYSIS
In four issues, William challenges the disproportionate division of the community
estate, raising arguments based on no-fault divorce, spousal maintenance, the equity in the
marital home, and the meaning of âjust and rightâ or âequitableâ property division.
Standard of Review and Applicable Law
We review a trial courtâs division of the marital estate for abuse of discretion, and
the trial court has broad discretion in making this division. See Penick v. Penick, 783 S.W.2d 194,
5
198 (Tex. 1988); OâCarolan v. Hopper, 71 S.W.3d 529, 532(Tex. App.âAustin 2002, no pet.) (OâCarolan I). âTo constitute an abuse of discretion, the property division must be manifestly unfair.â OâCarolan I,71 S.W.3d at 532
(citing Mann v. Mann,607 S.W.2d 243, 245
(Tex. 1980)). âOn appeal, we presume that the trial court exercised this discretion properly and will reverse the cause only where there is a clear abuse of discretion.â Ashraf v. Ashraf, No. 03-11-00467-CV,2012 Tex. App. LEXIS 4345
, *21 (Tex. App.âAustin May 24, 2012, no pet.) (mem. op.) (citing Bell v. Bell,513 S.W.2d 20, 22
(Tex. 1974)). â[T]he appellant bears the burden to show from the record that the division was so disproportionate, and thus unfair, that it constitutes an abuse of discretion.â OâCarolan v. Hopper,414 S.W.3d 288, 311
(Tex. App.â Austin 2013, no pet.) (OâCarolan II); see Murff,615 S.W.2d at 700
(observing that
â[m]athematical precision in dividing property in a divorce is usually not possibleâ and that
â[w]ide latitude and discretion rests in these trial courts and that discretion should only be
disturbed in the case of clear abuseâ).
âUnder the abuse of discretion standard, a lack of legally or factually sufficient
evidence does not constitute an independent ground for asserting error; instead, it is a relevant
factor in determining whether the trial court abused its discretion.â Mathis v. Mathis,
No. 01-17-00449-CV, 2018 Tex. App. LEXIS 10432, *7 (Tex. App.âHouston [1st Dist.] Dec. 18, 2018, no pet.) (mem. op.) (citing Pickens v. Pickens,62 S.W.3d 212, 214
(Tex. App.â Dallas 2001, pet. denied)); accord OâCarolan I,71 S.W.3d at 532
. âWhen a sufficiency review overlaps the abuse-of-discretion standard, we engage in a two-pronged inquiry: (1) whether the trial court had sufficient information to exercise its discretion and (2) whether the trial court erred in its application of discretion.â Mathis,2018 Tex. App. LEXIS 10432
, at *7 (citing
6
Sandone v. Miller-Sandone, 116 S.W.3d 204, 206(Tex. App.âEl Paso 2003, no pet.)). âThe traditional sufficiency review comes into play under the first prong.âId.
In a divorce decree, a trial court must âorder a division of the estate of the
parties in a manner that the court deems just and right, having due regard for the rights of each
party and any children of the marriage.â Tex. Fam. Code § 7.001; see Bradshaw v. Bradshaw,
555 S.W.3d 539, 543(Tex. 2018) (defining âjust,â âright,â and âdue regardâ and describing abuse of discretion standard for reviewing trial courtâs division of marital estate). The division must be equitable, but the trial court does not have to divide the marital estate equally. Murff, 615 S.W.2d at 698â99. If there is a reasonable basis for an unequal division of the property in the record, the trial court has not abused its discretion. See id.; OâCarolan I,71 S.W.3d at 532
(explaining that trial courtâs discretion is not unlimited and that there must be a reasonable basis for division). In exercising its discretion, the trial court âis empowered to use its legal knowledge and its human understanding and experienceâ and âhas the opportunity to observe the parties on the witness stand, determine their credibility, [and] evaluate their needs and potentials, both social and economic.â Murff, 615 S.W.2d at 698â99. The trial court may consider many factors including the spousesâ earning capacities, disparity of income and abilities, education, business opportunities, relative physical condition, relative financial condition, disparity of ages, size of separate estates, nature of the property, and the benefits that the spouse who did not cause the breakup of the marriage would have enjoyed had the marriage continued.Id.
âThe circumstances of each marriage dictate what factors should be considered in division of the marital estate.â Roberts v. Roberts,531 S.W.3d 224, 232
(Tex. App.âSan Antonio 2017, pet. denied) (citing Young v. Young,609 S.W.2d 758, 761
(Tex. 1980)).
7
No-fault Divorce
In his first issue, William argues that because the trial court granted the divorce
without fault and refused to hear Williamâs evidence about fault, the trial court could not rely on
fault to support the disproportionate division of the marital estate. As part of this issue, he
challenges the trial courtâs Finding of Fact No. 24 and Conclusion of Law No. 3:
Finding of Fact No. 24. As an additional consideration, the trial court awarded
[Kimberley] a disproportionate share of the marital estate due to [Williamâs]
extramarital relationship with one of [Kimberleyâs] friends.
Conclusion of Law No. 3. The trial court properly considered [Williamâs]
extramarital relationship with [Kimberleyâs] friend, and the disparate earning
capacities of the parties, in awarding a disproportionate share of the marital estate.
He also expressly challenges as irrelevant the trial courtâs identical Findings of Fact Nos. 15 and
19 that â[t]he separation of the parties occurred shortly after [Kimberley] learned [William] was
having an extramarital relationship with one of her friends.â William argues: (i) â[i]t was an
abuse of discretion to find fault on Williamâs part after refusing to hear his evidence, assuring
him the court would not find fault, and granting the divorce without fault,â and (ii) the trial court
âeffectively prevented William from protesting or making an offer of proof on Kimberleyâs fault
and Williamâs rebuttal evidence to his fault because William trusted the Courtâs word that fault
would not factor into the division.â William relies on the trial courtâs statements concerning a
chambers conference that occurred prior to the final hearing that they were not doing fault
âbecause we agreed to go forward today.â 5
5 William initially sought divorce on the ground of insupportability, but he amended his
petition shortly before the final hearing to include adultery as an alternative ground for divorce.
Although Kimberley also filed a first amended counterpetition for divorce shortly before the
final hearing, Kimberley sought divorce based on adultery, cruelty, and insupportability in her
original counterpetition. William filed an objection to her amended counterpetition, and
8
That the trial court granted the parties a no-fault divorce, however, is not
inconsistent with and did not preclude it from considering Williamâs admitted extramarital affair
in its division of the marital estate. See Tex. Fam. Code § 6.001 (providing that trial court âmay
grant a divorce without regard to fault if the marriage has become insupportableâ); Mohindra
v. Mohindra, No. 14-06-00056-CV, 2007 Tex. App. LEXIS 8351, at *7 (Tex. App.âHouston [14th Dist.] Oct. 23, 2007, no pet.) (mem. op.) (âCourts, including this one, have acknowledged that fault may be considered [as factor in dividing marital estate] even in the context of a no-fault divorce.â); In re Brown,187 S.W.3d 143
, 145â46 (Tex. App.âWaco 2006, no pet.) (concluding that trial court has discretion to consider âproven faultâ in division of property regardless of basis for granting divorce (citing Phillips v. Phillips,75 S.W.3d 564
, 575â76 (Tex. App.âBeaumont 2002, no pet.) (Gaultney, J., concurring))); Goodfellow v. Goodfellow, No. 03-01-00633-CV,2002 Tex. App. LEXIS 8809
, at *14 (Tex. App.âAustin Dec. 12, 2002, no pet.) (mem. op.) (stating that âfault may be considered by a court in making a property divisionâ); but see Phillips,75 S.W.3d at 572
(concluding in plurality opinion that trial court may not consider fault
in division of marital estate when âdissolution of marriage is sought solely on the ground
of insupportabilityâ).
What is âjust and rightâ in dividing the partiesâ estate is a separate determination
from the ground for dissolving the marriage. See Tex. Fam. Code §§ 6.001â.007 (listing
available grounds that court âmay grant a divorceâ), 7.001; In re Mozley, No. 06-16-00004-CV,
2016 Tex. App. LEXIS 8767, at *6â7 (Tex. App.âTexarkana Aug. 12, 2016, no pet.) (mem.
Kimberley filed a motion to strike his amended pleading to the extent he sought divorce based on
adultery and a disproportionate division of the partiesâ estate, and she sought a motion for
continuance based on Williamâs amended pleading with âfour novel claims less than four days
prior to the Final Trial.â It is in this context that the trial court referenced that they were not
doing fault because they had agreed to proceed with the trial.
9
op.) (discussing grounds for dissolution and explaining that court does not abuse its discretion by
granting no-fault divorce when there is evidence of âboth insupportability and adulteryâ).
As to Williamâs argument that the trial court prevented him from cross examining
Kimberley about her role in breaking up the marriage, âher extramarital affairs,â and the partiesâ
alleged agreement to date people outside the marriage, he did not make an offer of proof that
would allow this Court to assess whether the exclusion of this evidence was erroneous and
harmful. See Tex. R. App. P. 33.1(a) (stating prerequisites for preserving appellate complaints);
Tex. R. Evid. 103(a) (generally requiring party, when trial courtâs ruling excludes evidence, to
inform court of substance of excluded evidence by offer of proof); In re Rangel, 580 S.W.3d 675, 680 (Tex. App.âHouston [14th Dist.] 2019, no pet.) (explaining that offer of proof âmust include âthe meat of the actual evidenceâ rather than a general, cursory summary, so that the appellate court can meaningfully assess whether the exclusion of the evidence was erroneous and harmfulâ); Triesch v. Triesch, No. 03-15-00102-CV,2016 Tex. App. LEXIS 2365
, at *17 (Tex. App.âAustin Mar. 8, 2016, no pet.) (mem. op.) (concluding that appellant failed to preserve error because there was no evidence in record âto establish the content of the excluded statementsâ). We cannot presume that Kimberleyâs answers to questions about an extramarital affair or an agreement to date other people would have been favorable to William. 6 See Vautrain v. Vautrain,646 S.W.2d 309, 312
(Tex. App.âFort Worth 1983, writ dismâd) (concluding that
court cannot presume that evidence of fault would have entitled party to greater portion of
6 In his reply brief, William argues that the trial courtâs action of ruling before trial that
there would be no fault and then considering fault in dividing the partiesâ estate is âakin to a
procedural due process violationâ and that the trial court unfairly denied him the right to
introduce evidence on fault. But William did not raise this due process argument with the trial
court, see Tex. R. App. P. 33.1(a) (stating prerequisites for preserving appellate complaints), and
he could have made an offer of proof, see id.; Tex. R. Evid. 103(a), but did not do so.
10
community property because there was no âbill of exceptions made with respect to any evidence
of fault excluded by the courts which appellant claims harmed her and perhaps affected the
division of the partiesâ community estateâ).
As support for his position that the trial court abused its discretion, William relies
on Kaftousian v. Rezaeipanah, 511 S.W.3d 618(Tex. App.âEl Paso 2015, no pet.). In that case, our sister court reversed the trial courtâs disproportionate division of the marital estate, concluding that the trial court had abused its discretion because the division was âso unjust and unfair.âId.
at 623â24. Like the parties here, the spousesâ main asset in that case was their marital home, they were both living paycheck to paycheck, and the court granted a no-fault divorce.Id.
at 622â23. But â[t]he circumstances of each marriage dictate what factors should be considered in division of the marital estate,â Roberts,531 S.W.3d at 232
, and it is the role of the trial court, as the factfinder, to evaluate the particular circumstances of a marriage and the partiesâ âneeds and potentials,â see Murff,615 S.W.2d at 700
(noting that trial court, as
factfinder, observes parties, determines credibility, and evaluates their âneeds and potentialsâ).
In Kaftousian, the party who was awarded the equity in the marital home earned more than the
other spouse, and there was no evidence of fault before the trial court. 511 S.W.3d at 622â23. In
contrast, William admitted to the extramarital affair and the evidence showed that although the
parties were living paycheck to paycheck, William earned significantly more than Kimberley.
Because we cannot conclude that the trial court abused its discretion in
considering fault in its division of the marital estate, we overrule Williamâs first issue.
11
Post-Divorce Spousal Maintenance
In his second issue, William argues that the trial court could not grant post-
divorce spousal maintenance in the form of a disproportionate division of the marital estate
because it did not make the necessary findings to satisfy the statutory elements or to rebut the
presumption against maintenance in the Texas Family Code and that it was an abuse of
discretion to award spousal maintenance âin any form.â See Tex. Fam. Code §§ 8.051(2)(b)
(providing that trial court may award post-divorce spousal maintenance if duration of marriage
was ten years or longer and spouse seeking maintenance lacks ability to earn sufficient income to
provide for minimum reasonable needs), .053 (stating that it is rebuttable presumption that
maintenance under section 8.051(2)(b) âis not warranted unless the spouse seeking maintenance
has exercised diligenceâ in earning sufficient income to meet âminimum reasonable needsâ or
developing necessary skills to provide for âminimum reasonable needs during a period of
separation and during the time the suit for dissolution of the marriage is pendingâ).
As part of this issue, William challenges Conclusion of Law No. 3, which is
recited above, as well as Finding of Fact No. 23 and Conclusion of Law No. 2:
Finding of Fact No. 23. The trial court did not award [Kimberley] post-divorce
maintenance. The trial court found that [William] did not have sufficient cash
flow, especially in light of debt he was receiving, to support an award of spousal
maintenance. Instead, the trial court incorporated [Kimberleyâs] claim for spousal
maintenance in the division of the community assets and debts, awarding
[Kimberley] a disproportionate share of the marital estate. In furtherance of that
objective, the trial court awarded [Kimberley] the marital residence and assigned
[William] the majority of the debt.
Conclusions of Law No. 2. The trial courtâs decision to deny [Kimberleyâs]
request for post-divorce maintenance and award [her] a disproportionate share of
the marital estate was within the courtâs discretion.
12
William contends that âthere is insufficient evidence and no finding that Kimberley lacked the
ability to provide for her minimum reasonable needs,â that the evidence showed that both parties
were living paycheck to paycheck, and that â[i]t does not make sense to award a disproportionate
division based on one partyâs lack of earning ability when she is earning just fine and they
actually both live paycheck to paycheck.â
The trial court, however, expressly found that it was not awarding spousal
maintenance and did not order William to make payments to Kimberley going forward. See Tex.
Fam. Code §§ 8.052, .054, .055. Further, the factors that a trial court may consider in its division
of the marital estate include the partiesâ disparity of income and abilities, education, and relative
financial condition. See Murff, 615 S.W.2d at 698â99; see id. (noting that trial court as
factfinder evaluates partiesâ âneeds and potentialsâ). William was an âaudio, video design
engineerâ and had an associate degree âas a computer technician,â earning approximately
$85,000 annually, and Kimberley was approximately three years away from completing the
course work for a college degree through a program with her employer and was earning
approximately $30,000 annually. The trial court also assigned her the approximate $180,000 of
debt on the home, increasing her monthly out-of-pocket expenses going forward. On this record,
we cannot conclude that the trial court abused its discretion in denying Kimberleyâs request for
post-divorce spousal maintenance but awarding a disproportionate division of the partiesâ estate
to her. We overrule Williamâs second issue.
Disproportionate Division of Marital Estate
In his third and fourth issues, William argues that the property division was âso
grossly disproportionate as to be inequitable and constitute an abuse of discretionâ; that the
13
divorce decree âgives no reason for a disproportionate division of assets, but in it, the court gave
[Kimberley] at least $11,000 in assets and [William] $28,000 in debtsâ; and that it is an abuse of
discretion to award a disproportionate share of the marital estate âwithout cause.â He further
contends that the trial court âbased its numbers in part on unsubstantiated sua sponte speculations
that the equity [in the marital home] should be discounted for commissionsâ and that
â[r]emoving the $20,000 the court subtracted for speculations, Kimberley actually received at
least $31,000 to Williamâs $-28,000.â 7 During the final hearing, the trial court initially advised
the parties that it âwas going to find thereâs approximately $35,000 in liquid equityâ in the
marital home but after Kimberleyâs testimony about necessary repairs, advised them that it had
reduced the value to $25,000.
As part of these issues, William challenges the trial courtâs Finding of Fact No. 9
and its Conclusion of Law No. 1:
Finding of Fact No. 9. Based on the agreed market value, the balance on the
mortgage, the amount and description of needed repairs, and the anticipated
transaction costs related to any potential sale of the house, the trial court
determined that there was $25,000 in equity in the marital residence. [William]
agreed with discounting the amount of equity based on the needed repairs and
potential transaction costs associated with any future sale.
Conclusion of Law No. 1. Based on the evidence and testimony at the final
hearing, the trial courtâs division of the community assets and debts in the partiesâ
marital estate was just and right.
See Tex. Fam. Code § 7.001; Bradshaw, 555 S.W.3d at 543 (defining âjust,â âright,â and âdue
regardâ in context of division of marital estate). William argues that Finding of Fact No. 9 is
âunsupported by the evidenceâ and that â[t]here was no evidence that would uphold such a gross
7 William arrives at $20,000 by deducting $180,000 (the amount of debt), $25,000 (the
amount of equity), and $15,000 (the cost of repairs) from $240,000 (the homeâs market value).
14
disproportionate division of the marital estateâ in that Kimberley âreceived a net asset of
between $32,000 and $12,000 (in the light most favorable to the verdict) while William received
a net debt of $28,000.â 8 William also challenges the trial courtâs Finding of Fact No. 22 to the
extent it states that $12,500 represents fifty percent of the equity in the marital home. 9
As support for his calculations, William argues that the trial court valued the
equity in the marital home incorrectly because the âmaximum number in evidence for repairs
was $15,000â and â[t]here was no evidence of commissions, if any, or their cost.â He also
argues that the trial court reduced the equity in the marital home by $35,000 based in part on the
courtâs âpersonal guess at how much commissions would cost.â Although he agreed with the
trial court during trial that the value of the home was $240,000 minus transaction and fix-up
costs, see Berlet v. Berlet, No. 11-14-00079-CV, 2016 Tex. App. LEXIS 3358, at *11 (Tex.
App.âEastland Mar. 31, 2016, no pet.) (mem. op.) (explaining that â[a]s a general rule, the
value to be accorded community property that is to be divided in a divorce proceeding is market
valueâ and defining fair market value), he argues that â[t]his does not show [his] agreement to
8 The trial court assigned $26,500 in credit card debt and $14,000 in contingent student
loan debt to William.
9 The trial courtâs other findings of fact as to the marital home, which William does not
challenge, were:
Finding of Fact No. 6. At the time of the final hearing, the marital residence was
in need of significant repairs. The roof needed repairing, the windows were not
working properly, the house needed painting, there were various repair projects
unfinished, the balcony was in a state of disrepair, and there was a hazardous drop
off outside one of the doors.
Finding of Fact No. 7. The tax assessed value of the residence was $240,000.
The parties agreed the market value of the residence was $240,000.
Finding of Fact No. 8. At the time of the final hearing, approximately $180,000
was owed on the house.
15
the courtâs speculation as to what those costs might be, much less that the transaction costs
would somehow add up to $20,000 when the seller [Kimberley] is a realtor.â
We agree with William that the parties did not present evidence that quantified
the amount of potential real estate commissions or closing costs and that Kimberley estimated
that it would cost around $15,000 to repair the home to make it marketable. The trial court,
however, reasonably could have inferred that these costs would have been significant from
Kimberleyâs testimony that if the necessary repairs were made to the home and it was sold, there
was not going to be much left over after closing costs. Further, even if the trial court improperly
reduced the value of the marital home by too large an amount for potential commissions and
transaction costs, we cannot conclude that this reduction had a material effect on the trial courtâs
division of the marital estate as a whole. See Tex. Fam. Code § 7.001; Murff, 615 S.W.2d at
698â98 (looking to division of marital estate as whole and observing that mathematical
precision is usually not possible); In re OâBrien, 436 S.W.3d 78, 83(Tex. App.âHouston [14th Dist.] 2014, no pet.) (noting that appellate court looks to division of marital estate as âwholeâ to determine whether division was equitable, just, and right); see also In re McFarland,176 S.W.3d 650
, 660 & n.8 (Tex. App.âTexarkana 2005, no pet.) (concluding that trial court
did not abuse its discretion in awarding proceeds of home to wife and explaining that trial court
arrived at estimated amount of proceeds âby assuming the residence would sell at the appraised
value, then the court deducted what it believed would be a realtorâs standard commission from
the equity balanceâ). Because Kimberley was obligated to either refinance or sell the home, she
was going to incur some transaction costs as well as repair costs on the home. As the trial court
explained to the parties during the hearing, assessing the value of a home is ânot a precise
science,â homes are not liquid assets, and âif you do sell a home, you have to do some things,
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typically, and thereâs real estate commissions, typically.â See Murff, 615 S.W.2d at 698â700
(observing that â[m]athematical precision in dividing property in a divorce is usually not
possibleâ; that trial court, as factfinder, âis empowered to use its legal knowledge and its human
understanding and experienceâ; and that trial court may consider nature of marital property as
factor in dividing marital estate). And although William agreed that there would be some
amount of âtransaction costs,â he did not provide evidence of what those costs would be. See,
e.g., Deltuva v. Deltuva, 113 S.W.3d 882, 887 (Tex. App.âDallas 2003, no pet.) (noting that
generally party who does not provide trial court with value of property cannot complain on
appeal about trial courtâs lack of information to properly divide property).
We observe that the trial court concluded that it had cause for its divisionâ
Williamâs extramarital relationship and the partiesâ disparate earning capacitiesâand based on
the evidence before it, it reasonably could have found significant the disparity of the partiesâ
earning capacities and their financial condition. William earned approximately $85,000
annually, which was significantly more than what Kimberley made; he no longer would be
paying the mortgage on the marital home after the divorce; and although he testified that he
would be paying rent in the amount of $1,000 going forward, he had not made any rent payments
during the partiesâ separation. See Goodfellow, 2002 Tex. App. LEXIS 8809, at *14 (stating that âdisparity in the financial condition and earning capacities of the parties is an important factor in dividing their estateâ (citing Murff,615 S.W.2d at 699
)). Further, in addition to the $12,500 that
the trial court awarded to him, William was awarded the partiesâ dog Luke. 10 See Murff,
615 S.W.2d at 698â99 (allowing court to consider nature of property in property division); see,
10 William was also awarded other tangible personal property including two vehicles,
tools, his bank account with a balance of around $1,000, a concrete mixer, and a welder.
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e.g., Strickland v. Medlen, 397 S.W.3d 184, 185 (Tex. 2013) (acknowledging that âTexans love
their dogsâ and that âcanine companions are treatedâand treasuredânot as mere personal
property but as beloved friends and confidants, even family membersâ).
The evidence further showed that: (i) Kimberley had limited credit; (ii) the home
needed immediate repairs for âhealth and safetyâ reasons whether it was sold or not 11; (iii) she
was assigned and required to refinance approximately $180,000 of debt on the marital home or to
sell it; and (iv) although she was pursuing a degree through her employer, she had several more
years to complete her degreeâs requirements. See Goodfellow, 2002 Tex. App. LEXIS 8809, at
*14 (noting that âone spouseâs future need for further support may be considered in the
divisionâ). As to the debt that the trial court assigned to William, in addition to the disparity in
the partiesâ earning capabilities, the trial court reasonably could have discounted the student loan
debt because it was a contingent liability. William will be required to pay that debt only if his
children default on their loans.
Reviewing the trial courtâs division of the marital estate as a whole, we cannot
conclude that any error by the trial court in discounting the equity in the marital home for
potential real estate commissions, closing costs, or transaction costs had a material effect on the
trial courtâs just and right division of the marital estate that would warrant reversal. See Richard
v. Towery, No. 01-11-00132-CV, 2013 Tex. App. LEXIS 4813, at *33 (Tex. App.âHouston [1st
Dist.] Apr. 18, 2013, no pet.) (mem. op.) (noting that âthe percentages calculated by trial court
need not be perfectâminor variances in the math, if any, do not amount to reversible error as
long as they are not material in light of the community estate as wholeâ). Further, we cannot
11 As to necessary repairs for the marital home to address health and safety concerns,
Kimberley testified that they âwould 100 percent have to be addressed before the home would be
sold because nobody would be able to get a loan with it in that condition.â
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conclude that the property division was âso grossly disproportionate as to be inequitable and
constitute an abuse of discretion.â See OâCarolan I, 71 S.W.3d at 532 (stating that property
division must be manifestly unfair to constitute abuse of discretion). Thus, we cannot conclude
that the trial court abused its discretion in its division of the marital estate in favor of Kimberley
and overrule Williamâs third and fourth issues.
CONCLUSION
Having overruled Williamâs issues, we affirm the trial courtâs final decree
of termination.
__________________________________________
Melissa Goodwin, Justice
Before Justices Goodwin, Baker, and Triana
Affirmed
Filed: December 22, 2022
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