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Mitchell v. Mitchell
248 P.3d 65
Utah Ct. App.
2011
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Background

  • During marriage, FDIC obtained a judgment against Husband, later assigned to MDI Equity Partners, LLC.
  • Also during marriage, Husband and Wife jointly obtained the Collins judgment; Husband assigned his interest to MDI in exchange for MDI relinquishing the FDIC judgment.
  • The 2002 Divorce Decree awarded each party one-half of any proceeds from the Collins judgment.
  • First Collins payment (~$180,000) was split: attorney fees of 1/3; the remainder allocated as one-half to Husband (via MDI) and one-half to Wife, with Wife sharing a portion with Husband.
  • The second Collins payment (~$267,000) prompted Wife to withhold paying Husband his share; the trial court determined Wife was entitled to one-third of the total post-fee proceeds, but not net of Husband's obligation to MDI.
  • Husband appealed, arguing he is entitled to one-half of Wife's one-third share under the Decree; the court affirmed the trial court’s interpretation.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Husband is entitled to one-half of Wife's one-third share of Collins proceeds Husband, via the Decree, has a standing one-half interest in proceeds regardless of pre-divorce assignment Decree language assigns only Husband's interest as one-half of total Collins proceeds, not one-half of Wife's one-third; assignment pre-divorce extinguishes his further claim Decree's plain language controls; Husband not entitled to one-half of Wife's one-third share

Key Cases Cited

  • Moon v. Moon, 973 P.2d 431 (1999 UT App 12) (contract interpretation of divorce decrees)
  • Green River Canal Co. v. Thayn, 84 P.3d 1134 (2003 UT 50) (contract interpretation and correctness review)
  • Glenn v. Reese, 225 P.3d 185 (2009 UT 80) (unambiguous contract language governs meaning)
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Case Details

Case Name: Mitchell v. Mitchell
Court Name: Court of Appeals of Utah
Date Published: Feb 3, 2011
Citation: 248 P.3d 65
Docket Number: 20091027-CA
Court Abbreviation: Utah Ct. App.