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2012 IL App (1st) 110644
Ill. App. Ct.
2012
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Background

  • Petitioner Lauretta Kehoe, formerly Lauretta Farkas, sought dissolution of marriage with Frank Farkas after a 6-year marriage.
  • A 1988 dissolution judgment incorporated a marital settlement and a QDRO splitting Frank’s Schiller Park police pension, entitling Lauretta to half of the pension accrued before August 31, 1985.
  • The QDRO described a method to compute Lauretta’s share and directed the pension fund to pay Lauretta upon Frank’s retirement.
  • Frank retired in 2009; the pension fund advised Lauretta that the pension system requires a court-entered QILDRO post-amendments to the Pension Code.
  • Lauretta moved in 2010 for entry of a QILDRO and Frank’s consent; the court denied, and Lauretta sought reconsideration, which was also denied in 2011.
  • Appeal followed, with the appellate court affirming and remanding for entry of a proper QILDRO.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the trial court erred by denying a QILDRO and reconsideration Kehoe argues changes in pension law void the QDRO and require a QILDRO Farkas contends the QDRO was controlling and its terms restrict Lauretta’s share Yes; court affirmed denial and remanded for a proper QILDRO
Whether the QDRO's increased-benefits provision precludes Lauretta from post-dissolution increases Kehoe contends she is entitled to the marital portion as computed Farkas argues increases after dissolution are not part of the marital portion Increased benefits provision bars Lauretta from post-dissolution increases; calculation based on dissolution value
Whether Richardson reserved-jurisdiction approach applies given the QDRO was incorporated Kehoe urged use of Hunt/reserved jurisdiction as in Richardson Farkas relied on a fixed QDRO; not silent on method Richardson distinguished; not applicable because QDRO already set the method of apportionment
Whether the case complies with the Illinois Pension Code after the 1999 amendments Kehoe seeks a QILDRO to enforce the original agreement Farkas maintains the original QDRO, as incorporated, governs QILDRO required to implement the original agreement; remand to craft an appropriate order
Whether the savings clause permits重新 formulation of apportionment Kehoe relies on savings clause to amend to achieve greater share Savings clause does not allow broader apportionment beyond the QDRO Savings clause does not authorize expanding Lauretta’s share beyond original QDRO terms

Key Cases Cited

  • In re Marriage of Richardson, 381 Ill.App.3d 47 (2008) (judgment silent on method; reserved-jurisdiction method available)
  • In re Marriage of Wisniewski, 286 Ill.App.3d 236 (1997) (reserved-jurisdiction context discussed)
  • In re Marriage of Culp, 399 Ill.App.3d 542 (2010) (settlement lacked explicit apportionment language; not controlling here)
  • In re Marriage of Hunt, 78 Ill.App.3d 653 (1979) (reservoir of reserved-jurisdiction approach for pension division)
  • Blum v. Koster, 235 Ill.2d 21 (2009) (contracts-like interpretation of marital settlement agreements)
  • In re Marriage of Schurtz, 382 Ill.App.3d 1123 (2008) (emphasizes interpreting unambiguous settlement language)
Read the full case

Case Details

Case Name: In Re Marriage of Kehoe and Farkas
Court Name: Appellate Court of Illinois
Date Published: Mar 16, 2012
Citations: 2012 IL App (1st) 110644; 966 N.E.2d 1165; 359 Ill. Dec. 477; 1-11-0644
Docket Number: 1-11-0644
Court Abbreviation: Ill. App. Ct.
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    In Re Marriage of Kehoe and Farkas, 2012 IL App (1st) 110644