Chlarson v. Chlarson, 2024 UT App 160

Justin and Jacqueline Chlarson were married from 2012 until their divorce after a 2021 bench trial; Justin served in the military throughout the marriage.
The divorce decree ordered equal division of the "marital portions" of retirement/pension benefits accrued during the marriage (2012–2021).
After the decree, Justin retired due to a 100% military disability and began receiving both VA disability compensation and Chapter 61 military disability retirement pay.
Justin refused to pay Jacqueline a share of his disability retirement pay, asserting it was not divisible.
Jacqueline sought enforcement; the district court, relying on a Defense Office of Hearings and Appeals (DOHA CAB) decision, ordered division of Justin’s disability retirement pay.
Justin appealed, arguing federal statutes prohibited dividing his disability retirement pay as marital property.

Issue	Chlarson (Justin, Appellant)	Chlarson (Jacqueline, Appellee)	Held
Is military disability retirement pay under Chapter 61 divisible as a marital asset in divorce?	Argued it is not divisible due to federal statutes; only disposable retired pay is divisible, and his isn't.	Argued that the pay, classified as CRDP (concurrent retired and disability pay), is divisible as marital property.	Court held Chapter 61 disability retirement pay is not divisible as a marital portion; reversed trial court.

McCarty v. McCarty, 453 U.S. 210 (U.S. 1981) (federal law precluded state division of military retired pay, prompting Congress to enact the USFSPA)
Guerrero v. Guerrero, 362 P.3d 432 (Alaska 2015) (held that neither Chapter 61 disability retirement nor VA disability payments are divisible in divorce)