2017 Ohio 8974
Ohio Ct. App.2017Background
- Parties married in 1982; Susan Jennings filed for divorce in November 2014. The parties executed a settlement memorandum resolving property division; it expressly left VA disability benefits to Joseph Jennings.
- Parties could not agree on spousal support, attorney fees, court costs, and “expense money”; those issues went to trial in 2016 and the trial court entered a decree on September 23, 2016.
- The trial court considered all sources of income under R.C. 3105.18(C)(1)(a), including Joseph’s non‑taxable VA disability benefits, and awarded permanent spousal support ($1,000/month from April 2015, reduced to $750/month from June 2016).
- The court found Joseph received a spouse‑dependent allowance component of $145/month and had retained $4,350 of that allowance since separation; the court treated VA benefits as part of the income stream for spousal support.
- The court awarded Susan $9,000 in trial‑related attorney fees, $683 expenses, and all court costs, citing Joseph’s refusal to accept that VA benefits must be included as income and his prolonging the litigation.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether federal law (USFSPA/38 U.S.C.) preempts state courts from considering VA disability benefits when awarding spousal support | Jennings (plaintiff) argued the court properly considered all income, including non‑taxable VA benefits, under R.C. 3105.18 | Joseph (defendant) argued federal statutes and Supreme Court precedent bar using VA disability benefits in divorce‑related monetary awards (relying on USFSPA, 38 U.S.C. §5301, Mansell, Howell) | Court held federal preemption prevents dividing VA benefits as property but does not bar considering VA disability benefits as income for spousal support; trial court acted properly to include them |
| Whether the trial court abused its discretion in awarding attorney fees and costs based on defendant’s stance about VA benefits | Jennings argued fees were equitable given defendant’s conduct and prolonging litigation | Joseph contended he was correct on the law and thus fees were improper | Court held defendant was incorrect as to the law and the fee award was within the trial court’s discretion under R.C. 3105.73 |
Key Cases Cited
- Mansell v. Mansell, 490 U.S. 581 (state courts may not treat military retirement waived for VA disability as divisible property)
- Howell v. Howell, 137 S. Ct. 1400 (2017) (applies Mansell to post‑divorce waivers; courts may account for waiver contingencies when setting support)
- Rose v. Rose, 481 U.S. 619 (family courts may consider asset contingencies when calculating support)
