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Richter v. Richter
330 P.3d 934
Alaska
2014
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Background

  • Matthew and Shelley Richter married in California in January 2010, separated October 2011, and Shelley filed for divorce; superior court entered divorce and property division after a three-day trial.
  • Matthew worked as a helicopter pilot and traveled frequently; he maintained ties to Idaho (owned house there) but bought a condo in Anchorage with Shelley and had an Alaska driver’s license and used an Alaska address on tax returns.
  • Patricia Richter (Matthew’s mother) obtained a ~$100,000 loan from a family trust at low interest and wired the funds to Matthew and Shelley’s joint account in June 2011; those funds were used to pay off Shelley’s high-interest student loans and repayments came from the joint account.
  • Matthew and Patricia testified the loan was solely between Patricia and Shelley; Shelley testified the loan was offered to the couple as an investment and they jointly decided to use it to pay student loans.
  • The superior court found (1) it had personal jurisdiction over Matthew because he resided in Alaska for at least six consecutive months during the marital relationship, and (2) the $100,000 loan was marital debt and split 50/50. Matthew appealed, raising jurisdiction, classification of the debt, and due process/notice arguments.

Issues

Issue Matthew’s Argument Shelley’s Argument Held
Personal jurisdiction under AS 09.05.015(a)(12) Matthew contends he was an Idaho resident and did not reside in Alaska for six consecutive months during the marriage Shelley points to joint condo, Matthew’s Alaska license, taxes, and testimony he lived in Alaska continuously for a period of the marriage Court: Personal jurisdiction proper — Matthew resided in Alaska for the required six consecutive months while in a marital relationship
Subject matter jurisdiction to grant divorce and divide property Matthew argued superior court lacked authority over personal claims (asserted lack of jurisdiction) Shelley’s complaint sought divorce and adjudication of property and debts under Alaska divorce statutes Court: Superior court had subject matter jurisdiction to grant divorce and divide property
Classification of $100,000 loan (marital vs separate) Matthew and Patricia: loan was to Shelley alone and nonmarital; Matthew had no role Shelley: loan offered to the couple for investment; they jointly decided to use it to pay student loans; funds and repayments flowed through joint account Court: Loan incurred during marriage and treated as presumptively marital; superior court’s factual finding that debt was marital was not clearly erroneous; split 50/50
Due process / notice of property division Matthew: he reasonably expected only rescission and lacked notice that equitable division would be sought, so he lacked opportunity to present evidence Shelley: complaint, answer, and trial briefs put property and the loan at issue; Matthew litigated the loan at trial Court: No due process violation — Matthew had adequate notice and opportunity to litigate the loan issue

Key Cases Cited

  • Beals v. Beals, 303 P.3d 453 (Alaska 2013) (principles governing characterization and equitable division of marital property)
  • Stanhope v. Stanhope, 306 P.3d 1282 (Alaska 2013) (presumption that assets acquired during marriage are marital and review of factual findings)
  • Ginn-Williams v. Williams, 143 P.3d 949 (Alaska 2006) (transmutation of nonmarital property and associated debts depends on intent and acceptance)
  • Rose v. Rose, 755 P.2d 1121 (Alaska 1988) (trial court may choose rescission remedy but equitable distribution is within discretion)
Read the full case

Case Details

Case Name: Richter v. Richter
Court Name: Alaska Supreme Court
Date Published: Aug 1, 2014
Citation: 330 P.3d 934
Docket Number: 6931 S-15088
Court Abbreviation: Alaska