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In Re the Marriage of Richard C. Mauer and Carol K. Mauer, Upon the Petition of Richard C. Mauer
2016 Iowa Sup. LEXIS 12
| Iowa | 2016
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Background

  • Richard and Carol Mauer married in 1985; marriage lasted 28 years; at trial Carol was 56 and Richard 55 and two children remained minors.
  • Richard, a successful ophthalmologist, owned several medical businesses; Carol was a homemaker for most of the marriage and later practiced part-time as a massage therapist with limited earnings history.
  • District court divided substantial marital assets (Carol received ~ $1.76M property settlement and ~ $800,000 in investable pre-retirement assets) and awarded spousal support initially at $18,000/month, later reduced to $9,100/month, with scheduled reductions at retirement ages; child support and property division were also ordered.
  • Court of appeals affirmed property and child-support rulings but increased spousal support to $25,000/month (lifetime), citing AAML guidelines; it refused to require life insurance to secure support.
  • Iowa Supreme Court granted further review limited to spousal support (affirming other aspects) and conducted de novo review under Iowa Code § 598.21A(1).
  • Supreme Court held the court of appeals' $25,000 award excessive, calculated Carol’s post-divorce pre-retirement needs at ~$156,000/year, found she could generate ~$57,000/year, and set spousal support at $12,600/month (with reductions to $6,500/month at Carol’s retirement age and $5,000/month at Richard’s retirement), awarding lifetime support subject to remarriage or death; it affirmed refusal to require life insurance.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Proper amount of spousal support Carol: $25,000/month needed to maintain marital standard of living Richard: $25,000 is excessive; district court's lower award was appropriate Iowa Supreme Court: $12,600/month pre-retirement (then reduced at retirement ages); court of appeals' $25,000 reversed as unsupported by §598.21A(1) analysis
Duration of spousal support Carol: lifetime support appropriate Richard: contest duration (sought less or limited term) Court: lifetime support awarded, but reduced on parties' retirements; terminates on remarriage or death
Use of AAML guidelines Court of appeals relied on AAML to justify $25,000 Richard argued AAML inapplicable and nonbinding Court: AAML may be a "reality check" but is not law; statutory factors control; AAML inapplicable where combined income > $1M and factors justify departure
Requirement of life insurance to secure support Carol: spousal award should be secured by Richard's life insurance Richard: life insurance not required Court: refusal to require life insurance affirmed

Key Cases Cited

  • In re Marriage of Gust, 858 N.W.2d 402 (Iowa 2015) (discusses statutory multifactor spousal-support framework and role of guidelines)
  • In re Marriage of Schenkelberg, 824 N.W.2d 481 (Iowa 2012) (de novo review and equitable relief principles in dissolution proceedings)
  • In re Marriage of Anliker, 694 N.W.2d 535 (Iowa 2005) (appellate restraint: disturb equitable division only for failure to do equity)
Read the full case

Case Details

Case Name: In Re the Marriage of Richard C. Mauer and Carol K. Mauer, Upon the Petition of Richard C. Mauer
Court Name: Supreme Court of Iowa
Date Published: Jan 29, 2016
Citation: 2016 Iowa Sup. LEXIS 12
Docket Number: 14–0317
Court Abbreviation: Iowa