930 N.W.2d 626
N.D.2019Background
- Parents: Alaina Minyard (nurse) and Matthew Lindseth (self-employed farmer) have two children; dispute over primary residential responsibility and child support.
- District court initially issued interim child support orders ($353 then $1,050 then $850 monthly) while reserving permanent child support for later determination.
- Lindseth’s 2012–2016 tax returns showed average annual income of $10,034; Lindseth also produced yearly balance sheets showing net worth increasing from $591,857 (2012) to $952,234 (2017).
- At trial a CPA testified tax returns did not reflect Lindseth’s living income and that balance-sheet/net-worth increases better represented his income; Lindseth provided only a 2016 profit-and-loss statement, not for 2012–2015.
- The district court found Lindseth’s average annual income was $72,075 based on the CPA testimony and net-worth increases, calculated monthly net income of $4,277, and set child support at $1,216/month (with adjusted amounts for shared-residence periods).
- Lindseth appealed, arguing the income finding, retroactive application of support, and failure to account for health-insurance premium in net income.
Issues
| Issue | Plaintiff's Argument (Minyard) | Defendant's Argument (Lindseth) | Held |
|---|---|---|---|
| Proper measure of Lindseth’s income for child support | Court should use evidence reflecting true income (balance sheets/net-worth and CPA testimony) | Court erred; should use tax returns/profit-and-loss statements and Lindseth’s lower tax-reported income | Held: Court did not err—tax returns were unreliable; court permissibly used other information (balance sheets and CPA testimony) to determine income under guidelines |
| Use of five-year average for self-employment income | Guidelines allow five-year average or other reliable data; court applied multi-year net-worth increase | Lindseth argued guideline methods (profit/loss average) weren’t followed because P&L statements were missing for several years | Held: Court complied with N.D. Admin. Code § 75-02-04.1 by using other available reliable information when returns/P&Ls were inadequate |
| Retroactive modification of interim support amounts | Minyard maintained interim payments were insufficient under final guideline-based income | Lindseth argued final support was improperly applied retroactively supplanting interim orders | Held: Court properly modified interim orders when final findings showed earlier payments were incorrect under the guidelines |
| Health-insurance premium credit in net income | Minyard paid premiums; court ordered Lindseth to reimburse half and to produce annual documentation | Lindseth argued court failed to deduct his obligation for premiums when calculating net income | Held: Issue not considered on appeal because amended judgment is silent on premium amount and Lindseth did not point to record evidence of reimbursements |
Key Cases Cited
- Thompson v. Johnson, 912 N.W.2d 315 (N.D. 2018) (child support determinations: standards of review and necessity of correct net-income finding under guidelines)
- Howard v. State, 863 N.W.2d 203 (N.D. 2015) (appellate courts will not search the record for evidence a party fails to identify)