204 So. 3d 430
Ala. Civ. App.2016Background
- Parties divorced in 2008; divorce judgment (incorporating a settlement) awarded Mary Swindle 50% of Jeffery Swindle’s “disposable” military-retirement pay, calculated as of separation.
- In July 2012 the former husband was placed on the Temporary-Disability Retired List (TDRL) and received retirement pay computed based on years of service (Method B) through August 2014.
- In August–September 2014 the former husband was placed on the Permanent-Disability Retired List (PDRL) with an increased disability rating and thereafter received retirement pay computed based on his disability percentage (Method A).
- The former wife received none of the retirement payments and filed a contempt petition in 2014 seeking enforcement of the 50% award; trial court found the husband in contempt and awarded the wife $60,246.45 plus future relief.
- The husband appealed, arguing that pay computed under Chapter 61 (disability-based pay) is excluded from “disposable retired pay” under 10 U.S.C. § 1408(a)(4)(C) and thus not divisible.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether disability-based retirement pay (Chapter 61 Method A) is "disposable" and divisible | Swindle: 50% of all retirement pay (as awarded) is divisible; trial court awarded past and future shares | Husband: Pay received after placement on PDRL is computed by disability and excluded from “disposable” under §1408(a)(4)(C) | Pay received while on PDRL computed by disability is excluded and not divisible; reversal as to that portion |
| Whether TDRL/Method B pay is divisible | Wife: All amounts the husband received should be subject to the 50% award | Husband: Only non-disability (service-based) amounts are divisible; he conceded TDRL pay method | Court affirmed that TDRL/Method B pay (service-based) was disposable and divisible; contempt affirmed as to that period |
| Whether husband could unilaterally elect disability-based pay after divorce to defeat the award | Wife: Husband’s unilateral election improperly circumvented the award; she sought conversion/order to force method change | Husband: He had statutory right to elect method; divorce instrument lacked a prohibition on such an election | Court held husband was permitted to elect disability method absent a limiting provision in the divorce judgment; wife not entitled to amounts based on disability |
Key Cases Cited
- Ex parte Billeck, 777 So.2d 105 (Ala. 2000) (disposable military retirement pay under §1408 constitutes marital property subject to division)
- Ex parte Vaughn, 634 So.2d 533 (Ala. 1993) (discusses treatment of military retirement in marital property context)
- Stone v. Stone, 26 So.3d 1232 (Ala. Civ. App. 2009) (upholds use of a limiting provision in a divorce decree to prevent unilateral election to receive disability benefits in lieu of divisible retirement pay)
