No. 93-288
IN THE SUPRBMB COURT OF THE STATE OF MONTANA
1994
IN RE THE MARRIAGE OF
HELEN J. RADA,
Petitioner and Respondent,
and
FRED A. RADA,
Respondent and Appellant.
APPEAL FROM: District Court of the Eighth Judicial District,
In and for the County of Cascade,
The Honorable Joel G. Roth, Judge presiding.
COUNSEL OF RECORD:
For Appellant:
Patrick F. Flaherty, Esq., Great Falls, Montana
For Respondent:
Joan E. Cook, Esq., Great Falls, Montana
Submitted on Briefs: January 13, 1994
Decided: February 15, 1994
Filed:
Chief Justice J. A. Turnage delivered the Opinion of the Court.
Fred Rada appeals from a dissolution of marriage and property
distribution decree entered in the District Court for the Eighth
Judicial District, Cascade County. We affirm.
The issues are rephrased as follows:
1. Whether the District Court erred in dividing the marital
estate and in determining the values of marital estate property,
specifically the pieces of property referred to as the West Hill
house, the Tenth Avenue house, the Manchester house, the parties'
personal property, bank accounts and various loans.
2. Whether the court erred in denying the request for
sanctions against Helen Rada in the amount of $252.
Fred Rada (Fred) and Helen Rada (Helen) were married on
November 18, 1950, at Great Falls, Montana. Both brought assets
into the marriage, which lasted approximately forty-two years.
Together they had four children, all of whom were emancipated at
the time Helen filed the petition for dissolution of marriage. At
the time of dissolution, Helen worked as a bookkeeper for the
Catholic Diocese and at two additional part-time jobs. Fred was
self-employed with the Fred Rada Construction Company.
Several legal delays occurred in this case. After filing the
petition for dissolution of marriage in June 1988, Helen consecu-
tively employed three attorneys to represent her in the matter.
Fred consecutively employed two. Several motions to continue,
motions to compel discovery and motions for sanctions were filed by
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the parties. Three separate trial dates were set and vacated.
Trial was finally held in December 1992, approximately four and
one-half years after the petition was filed.
The court found the marital estate to be worth approximately
$308,000 and evenly divided it between the parties, with each
receiving approximately $154,000. The court valued some assets at
the time the parties separated, and some assets at the time of
dissolution. In its conclusions of law, the court noted:
The court makes these conclusions after considering the
relevant factors set out in Section 40-4-202, MCA. All
marital asset values are included in the estate as of the
date of dissolution, except for when such action would be
unconscionable. (In re the Marriaae of Waaner, 208 Mont.
369, 679 P.2d 753 (1984)). Soecificallv. Helen's IRA.
Fred's IRA, Fred Eada .donst&tion Checking Account;
Fred's First Bank West Bank Account, Helen's Traveler's
Pension and Fred's New York Life Annuity are valued at
their June 1988 principle balance with interest added to
date at a reasonable rate below or equal to the rates the
assets would have earned. [Fred] has agreed to this
approach (see [Fred's] Exhibit 16A). (In re the Marriaae
of Garst, 199 Mont. 393, 649 P.2d 450 (1982)). Although
Fred argues that he has only one checking account as of
this date, there is ample evidence that he had the
checking accounts this Court has included in the marital
estate at the time the parties separated. Fred admitted
that he has liquidated some banking accounts. This Court
finds it equitable for these funds to be included in the
marital estate. ([Section] 40-4-202, [MCA]; In re the
Marriaae of Merry, 213 Mont. 141, 689 P.2d 1250 (1984)).
Fred appeals, alleging that the court incorrectly valued the
marital property and therefore erroneously divided the marital
estate. Additionally, he claims that the court erred in denying
his request for sanctions against Helen in the amount of $252.
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ISSUE 1
Did the District Court err in dividing the marital estate and
in determining the values of marital estate property, specifically
the pieces of property referred to as the West Hill house, the
Tenth Avenue house, the Manchester house, the parties' personal
property, bank accounts and various loans?
On appeal, we review whether the District Court's findings of
fact are clearly erroneous and whether its conclusions of law are
correct. In re Marriage of Danelson (1992), 253 Mont. 310, 317,
833 P.2d 215, 219-20. When reviewing discretionary trial court
rulings, such as marital estate distributions and the valuations of
marital property during dissolution of marriage proceedings, we
determine whether the District Court abused its discretion.
Danelson, 833 P.2d at 220.
The factors to be considered in the division of the marital
estate are set forth at § 40-4-202, MCA, which states, inter alia,
that the court shall finally and equitably apportion the property
of the parties, however and whenever acquired. The statute vests
wide discretion in the district court. In re Marriage of Stewart
(1988), 233 Mont. 40, 757 P.2d 765. The court is free to adopt any
reasonable valuation of marital property which is supported by the
record. In re Marriage of Luisi (1988), 232 Mont. 243, 756 P.2d
456.
The trial court has discretion to make an equitable division
of the marital estate, using reasonable judgment and relying on
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common sense. Danelson, 833 P.2d at 220. An equitable distribu-
tion is not necessarily an equal distribution. In re Marriage of
Scott (1992), 254 Mont. 81, 835 P.2d 710.
Fred essentially argues questions of fact by contending that
the court failed to value the marital estate according to his
wishes. The court, however, was well within its discretion.
Moreover, after reviewing the record in the instant case, we hold
that this Court's reasoning in In re Marriage of Wagner (1984), 208
Mont. 369, 378, 679 P.2d 753, 757-58, is applicable here:
[t]o include in the valuation of the marital estate any
accumulation of financial wealth, or, conversely, the
increase in financial liabilities of either spouse
subsequent to the termination of the "marital relation-
ship" may effectuate an injustice and frustrate the
intended purpose of division of marital property.
Because of the circumstances of this case, inherent time delays and
the parties' accumulation of assets and liabilities during the
interim, we conclude that the District Court did not err in
determining appropriate values for the marital estate property: we
also conclude that the court did not err in dividing the marital
estate.
ISSUE 2
Did the court err in denying appellant's request for sanctions
against Helen in the amount of $252?
Fred alleges the court erred in denying him $252 in sanctions
which he requested against Helen for her refusal to answer his
discovery requests. Helen asserts that the court found there were
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excusable time delays (such as her changes of counsel) which kept
Helen from answering Fred's discovery requests, and that the court
did not abuse its discretion. We agree with Helen. This Court
will reverse a trial court's refusal to invoke Rule 37, M.R.Civ.P.,
sanctions only when the court's judgment materially affected the
substantial rights of the parties or allowed a possible miscarriage
of justice. See Wolf v. Northern Pac. Ry. Co. (1966), 147 Mont.
29, 409 P.2d 528.
Affirmed.
We concur:
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