In this domestic case, appellant (Husband) appeals three family court orders regarding contempt, equitable division, and divorce on the ground of adultery. We affirm.
FACTS
Husband was born in the Czech Republic, which was formerly part of Czechoslovakia, and came to this country as a political refugee. He holds dual U.S. and Czech citizenship. Husband and respondent (Wife) met while both were business graduate students at Dartmouth College. They married after graduation in 1990 while living in New York City.
After marrying, the parties moved to London and then Prague where they both worked. Wife quit working sometime before the birth of their son in 1994. When Czechoslovakia was divided in the early 1990’s, Husband co-founded the first full-service investment bank in-the Czech Republic, Patria Finance, and was very successful. He also invested in several restaurants through his investment company, Hartig Company. According to Wife, during this time, the parties “traveled a lot and lived very, very well.” They renovated a four-story house in one of Prague’s most fashionable neighborhoods. Husband’s average yearly income was $536,817.
In November 1996, Wife confronted Husband with information that he was having an affair. After a physical altercation, Wife left the marital residence. Twо weeks later, she and Husband divided their savings account and, with $198,000, Wife moved back to the U.S. where she eventually settled in Beaufort County.
On May 1, 1998, while Husband was visiting from Prague, Wife had him personally served with a summons and complaint seeking a divorce on the ground of adultery or physical cruelty, custody of the parties’ minor son, child support, alimony, and equitable division of the marital estate.
On May 7, Wife filed a motion for temporary relief. A hearing was held June 3, 1998, at which both parties and their attorneys appeared. Husband agreed to submit himself to the jurisdiction of the Beaufort County Family Court on all issues. Fоllowing this hearing, as part of its temporary order, the
Husband answered and counterclaimed on the merits of Wife’s action. He alleged that on the day of the temporary hearing, he had learned that Wife was engaged in an adulterous relationship and accordingly he was entitled to a divorce on the ground of her adultery. In Wife’s reply, she admitted she was currently engaged in a relationship that began in June 1997 after the parties had separated. Wife subsequently withdrew her request for alimony.
Meanwhile, Husband returned to Prague while the litigation continued. On June 3,1999, a pre-trial conference was held at which Husband’s counsel appeared. A trial date was set for November 1, 1999. Effective August 13, 1999, counsel was relieved at Husband’s request and Husband was ordered to appoint an agent for service or he would be served by mail in the Czeсh Republic.
The final hearing in the case was held as scheduled on November 1, 1999. Husband did not appear. By order dated December 21, 1999, the family court found Husband in contempt of the 1998 temporary order, ordered child support, equitably divided the marital estate 50/50, and awarded attorney’s fees and costs. By order dated December 22,1999, Wife was granted a divorce on the ground of adultery. These appeals followed.
ISSUES
1. Is the family court’s order dividing the marital estate reversible because of an ex parte communication?
2. Were Husband’s due process rights violated?
3. Did service in Prague violate international law?
4. Was the valuation of the marital estate proper?
5. Did the family court retain jurisdiction to determine the validity of the bench warrant?
6. Did the deposit of funds with the court purge Husband of contempt?
7. Was the award of attorney’s fees excessive?
8. Should the family court have sua sponte dismissed Wife’s complaint on the ground of recrimination?
DISCUSSION
1. Ex parte communication
Husband complains the family court relied on an ex parte communication in valuing the marital estate. He claims he was unfairly prejudiced because the evidence does not otherwise support the family court’s findings.
As found in the 1998 temporary order, at the time of filing Husband held a 34.5% interest in Patria Finance, the investment bank he co-founded in Prague, and had pending contracts to sell some of his shares. As required by the temporary order, Husband made an initial escrow deposit of $500,000 and made a second deposit of $83,333 in December 1998. He did not make the June 1999 payment. At the time of the final hearing on November 1, 1999, Husband owed two payments of $83,333 each, for a total of $166,666.
The record indicates Husband received a total of $3,049,475 for the sale of a 14.5% interest in Patria; he retained a 20% interest valued at $3,000,000. The total value of the Patria stock in the marital estate is therefore $6,049,475.
After the final hearing on November 1, 1999, the family court faxed to Wife’s counsel a hand-written list dividing the marital assets and requеsted counsel to call the judge. There is no evidence Husband was informed of this fax.
In response to the family court’s fax, Wife’s counsel forwarded a letter from her financial expert explaining that the court had omitted $2,265,809 from the marital estate. The explanation notes that in dividing the Patria stock, the family court considered only the escrow amounts previously ordered to be paid to Wife under the temporary order and the value of the 20% interest still held by Husband. This division did not take into account the evidence that Husband actually received a total of $3,049,475 from the sale of the Patria stock, or
The family court’s final order conforms to the calculation faxed by Wife’s counsel to the family court. The family court ordered Husband to transfer to Wife 10,909 shares from his remaining 20% interest in Patria or pay her $1,636,404, to complete Wife’s 50% share of the total Patria asset.
Husband contends the only support for the family court’s final order is the calculation by Wife’s expert faxed to the family court after the final hearing. He contends this letter was an impropеr ex parte communication that prejudiced him. He asserts by affidavit that he had no knowledge of the communication between Wife’s counsel and the family court until this appeal was filed. 1
Generally, one who has notice and fails to appear cannot complain of an ex parte proceeding.
See People v. Klovstad,
Further, although ex parte contacts are strongly disfavored, prejudice must be shown to obtain a reversal on this ground.
Ellis v. Proctor and Gamble Distrib. Co.,
The family court valued the marital residence at $1.5 million based on Wife’s testimony and her request for admissions which Husband was deemed to admit by his failure to respond, rather than the $1 million valuation in exhibit 36. Further, the family court included in its calculation of the marital estate a credit of $198,000 to each party for the savings account they divided when they first separated. This credit was not calculated in Wife’s exhibit 36 which accounts for only $74,037 from the parties’ savings account. These differences in the valuation of the marital home and the savings account explain the difference between exhibit 36 and the ordеr in the total marital estate.
In the family court’s final order, neither the valuation of the house nor the $198,000 credit to each party is changed from the judge’s hand-written note which issued before the ex parte communication from Wife’s counsel. Further, these amounts are supported by the record. The division of the Patria stock, the only asset recalculated based on Wife’s expert’s letter, is also supported by the record. Accordingly, Husband cannot show prejudice from the ex parte communication between the family court and Wife’s counsel.
In conclusion, we find Husband waived his оbjection to the ex parte communication between the judge and Wife’s counsel and, further, that he has failed to show prejudice.
2. Due process
Husband claims his procedural due process rights were violated by Wife’s mailing of various notices 3 pursuant to the family court’s order allowing Husband to be served by mail in Prague.
Husband complains service by mail violated his procedural due process rights because he did not have timely notice of the order that he appoint an agent for service. As indicated in the record, mail to the Czech Republic takes ten to fourteen days. Further, the date for appointment of an agent (August 13) was before the order itself was filed (August 19).
We find Husband waived any objection to the family court’s August 19 order allowing service by mail. Although, as Husband correctly points out, it would have been impossible for him to comply with the directive that he appoint an agent for service by August 13, there is no indication Husband
ever
attempted to appoint such an agent. Husband did not appeal the August 19 order, nor does he claim the directive to appoint an agent violated his due process rights. Husband never raised any due process issue to the family court, an issue which could have been raised by a Rule 59(e) motion. A due process claim raised for the first time on appeal is not preserved.
Grant v. South Carolina Coastal Council,
Further, the record indicates Wife’s сounsel both faxed and mailed to Husband every document served subsequent to the August 19 order. Evidence of mailing establishes a rebuttable presumption of receipt. Weir
v. Citicorp Nat’l Servs. Inc.,
Finally, there is no evidence Husband was prejudiced by the evidence procured as a result of the discovery notices mailed to him in Prague. The evidence obtained was merely cumulative to other evidence or was not prejudicial in light of the
3. International law
Husband contends that service abroad of the various notices mailed after August 19 and service of the Rule to Show Cause underlying the contempt finding violated international law.
a. Notices
Husband claims service of the various notices by mail to Prague pursuant to the August 19 order violated the Hague Convention on the Service Abroad of Judicial and Extra-Judicial Documents in Civil and Commercial Matters (Hague Service Convention).
The Hague Service Convention is an international treaty that pre-empts inconsistent methods of service prescribed by state law in all cases where service abroad is required.
Volkswagenwerk v. Schlunk,
Provided the State of destination does not object, the present Convention shall not interfere with—
(a) the freedom to send judicial documents, by postal channels, directly to persons abroad....
According to our Department of State, the Czech Republic bound itself to the Hague Service Convention as of January 1, 1993, but objected to Article 10(a).
If, as some courts have found, the Hague Service Convention applies only to service of process, it is not applicable here. Original service of process in this case was accomplished in South Carolina by personal service and there is no challenge to its validity. Accordingly, the mailing of subsequent documents to Husband in Prague would not violate the Hague Service Convention.
On the other hand, if the Hague Service Convention applies and Article 10(a) allows only subsequent documents to be served by mail, a receiving country’s decision to opt out of Article 10(a) amounts to a decision to forbid the use of the mails entirely.
See Randolph v. Hendry,
There is no definitive precedent on the merits of this issue and we need not resolve the issue here. Like Husband’s due process argument discussed above, the issue of service in compliance with the Hague Service Convention was never raised to the family court. Accordingly, we decline to address it.
Smith v. Smith,
Similarly, Husband raises for the first time on appeal a violation of the Hague Convention on the Taking of Evidence
Unlike the Hague Service Convention, the Hague Evidence Convention is not mandatory. It essentially allows discovery abroad through Letters of Request executed by a central authority designated by the signatory country. Arts. 1-3. This procedure is not mandatory and simply provides a method of seeking evidence that a court may
elect
to employ.
Societe Nationale Industrielle Aerospatiale v. United States District Court for the Southern District of Iowa,
b. Rule to Show Cause '
Husband complains he was not properly served the Rule to Show Cause heard by the family court as part of the final hearing on November 1, 1999, and upon which Husband was found in contempt for failure to make the June 1999 $83,333 payment from the proceeds of the sale of Patria stock. Husband contends service was invalid under the Hague Service Convention and therefore the family court had no jurisdiction to find him in contempt.
The record includes an affidavit of personal service of the Rule to Show Cause in Prague, signed by Wife’s private investigator and notarized, indicating Husband saw the documents as they were being handed to him on the street and he refused to take them. The investigator picked up the documents from the ground and “desisted from further attempts to deliver the papers.”
The Hague Service Convention clearly applies to the service of process.
Volkswagenwerk, supra.
A contempt proceeding regarding contemptuous conduct outside the presence of the court, as here, must be commenced by service of process, which includes a rule to show cause.
State v. John
When service is challenged, the record must affirmatively show that service of process was correctly made.
Jensen v. Doe,
Husband never raised this issue, however, which, assuming he never received notice of the contempt charge until entry of the final order, he could have raised by post-trial motion. Service of process under the Hague Service Convention relates to personal jurisdiction. Objections to personal jurisdiction, unlike subject matter jurisdiction, are waived unless raised.
Shinn v. Kreul,
We note the better practice here would have been for the family court to appoint an agent for service when Husband’s counsel was relieved.
See
Rule 4(e), SCRCP (“Whenever ... an order of court provides for service of a summons and complaint or of a notice, or аn order upon a party not an inhabitant of or found within the State, service shall be made under the circumstances and in the manner prescribed by the ... order”). In the alternative, counsel should comply with
h. Valuation of marital property
Husband complains the family court valuation of the Hartig stock at $300,000 was without evidentiary support. We disagree.
The Hartig company invested in several Prague restaurants. The $300,000 valuation for Husband’s Hartig stock is supported by Wife’s testimony based on her opinion as follows:
A: Because the business owns this set of restaurants and basically if I were a buyer coming in and I wanted to buy them what would be attractive to me is that they have the sites. I don’t have to go out and find them and set them up. They have the employees and staff and they have the franchise, the name or brand awareness and anything else. So I just cannot imagine that somebody most likely would either be a wealthy Czech investor or a foreign investor would come in and buy seven restaurants in, you know, choice areas of Prague for less than say a million dollars or so and probably more than that. Um, these are somewhat the femoral (sic) values аs any pricing is but I just, um— given my knowledge of turnover in these types of areas and that — that’s the assessment I would make.
Her testimony further indicates she was familiar with Prague real estate generally and the Hartig restaurants in particular.
Opinion testimony of a nonexpert who has sufficient knowledge of the value of the property in question or who has ample opportunity for forming a correct opinion of it is admissible. Whether a witness is properly qualified is a question primarily addressed to the sound discretion of the trial judge.
Newton v. Boggs,
Further, Husband did not respond to Wife’s request to admit that his interest in Hartig had a value of $300,000 and this fact is therefore deemed admitted under Rule 36(a), SCRCP. Although Husband complains this request to admit was not properly served in compliance with the Hague Evi
In conclusion, the family court’s valuation of Husband’s interest in Hartig is supported by the record.
5. Bench warrant
As part of the final December 21,1999, order, the family court found Husbаnd in contempt for failure to make the June 1999 payment of $83,333 as required by the 1998 temporary order. In the December 21 order, the family court sentenced Husband to four months unless he purged himself by making the payment directly to Wife. As discussed above, Husband appealed this contempt finding on the ground service of the Rule to Show Cause was improper. That appeal was filed January 28, 2000.
Meanwhile, on January 26, 2000, a bench warrant was filed pursuant to the December 21 order. Husband subsequently obtained an order signed by Judge Smoak authorizing him to deposit $166,666 with the court in an interest-bearing account. This amount would cover two $83,333 payments — the June 1999 payment for which Husband was held in contempt, and the December 1999 payment which by then had become due.
Husband then moved before Judge Segars-Andrews to quash the bench warrant based on his deposit of funds with the court. By order filed November 27, 2000, Judge SegarsAndrews denied the motion finding the family court lacked jurisdiction since the contempt finding was on appeal. Husband moved for the same relief before Judge Armstrong. By order filed March 19, 2001, Judge Armstrong denied the motion to quash for the same reason given by Judge SegarsAndrews.
Husband contends Judge Armstrong erred in finding the family cоurt had no jurisdiction to quash the bench warrant because of the pending appeal. We agree but find the motion to quash was properly denied.
An order of civil contempt is not automatically stayed on appeal.
In re Decker,
In this case, however, Judge Armstrong could not overrule the prior order of Judge Segars-Andrews.
Charleston County Dept. of Soc. Servs. v. Father,
6. Deposit of funds as purging contempt
Husband contends his deposit of funds with the family court amounted to a рurge of his contempt and therefore the bench warrant should have been quashed. We disagree.
First, the December 21 order specifically directed Husband to pay the outstanding $83,333 directly to Wife. Judge Smoak’s order allowing the deposit of funds did not, and in fact could not, alter Judge Armstrong’s prior order requiring that Husband pay Wife directly in order to purge himself of contempt.
Further, Rule 67 may not be used as a means of altering the legal duties of the parties.
Renaissance Enterprises, Inc. v. Ocean Resorts, Inc.,
In conclusion, we find Husband did not purge himself of contempt by depositing the funds with the court and the motion to quash was properly denied. Further, in light of our affirmance of the contempt finding as discussed in Issue 3b above, we order the funds dispersed to Wife and, upon payment to Wife, the bench warrant shall be quashed.
7. Attorney’s fees
In conjunction with his order denying Husband’s motion to quash the bench warrant, by order filed April 30, 2001, Judge Armstrong awarded Wife’s counsel attorneys’ fees and costs — to Mr. Rosen, $2,500, and to Ms. Varner, $7,500. Husband contends these amounts are excessive and the judge failed to consider whether Wife could pay her own fees.
In support of the request for attorney’s fees and costs, Mr. Rosen submitted an affidavit of $2,970 in fees and costs for defending Husband’s motion to quash. Ms. Varner submitted an affidavit of $8,065.85. These amounts exceed the amounts awarded. There is no basis to find the fees awarded excessive as a matter of law.
Further, in awarding these fees, Judge Armstrong considered the factors set forth in
Glasscock v. Glasscock,
In conclusion, the amount of fees and costs awarded is supported by the record and Judge Armstrong did not abuse
8. Recrimination
The divorce decree was issued on December 22, 1999, granting Wife a divorce on the ground of Husband’s adultery. One year later, on December 22, 2000, Husband filed a motion to vacate the decree under Rule 60(b), SCRCP, on the ground the evidence of Husband’s adultery was fraudulent and Husband lacked notice of the November 1, 1999, hearing. 6 By order dated April 19, 2001, the family court denied the motion. Husband appeals that denial.
Husband contends the family court should have sua sponte dismissed Wife’s complaint seeking a divorce on the ground of Husband’s adultery because Wife’s own admitted adultery amounted to recrimination. Recrimination is a defense to an action for divorce if the acts of recrimination charged constitute in themselves a ground for divorce.
Jeffords v. Jeffords,
Husband raised the defense of reсrimination in his answer. The fact that recrimination was pled, however, does not affect the family court’s subject matter jurisdiction to enter a divorce decree.
See Dove v. Gold Kist, Inc.,
CONCLUSION
We conclude Husband’s appeals are without merit. His decision to forego participation in the family court proceedings inevitably resulted in his failure to properly preserve for appeal any complaint regarding those proceedings. The orders of the family court are
AFFIRMED.
Notes
. Husband’s affidavit was submitted in response to Wife’s motion to dismiss this appeal which was denied by the Court of Appeals. Our analysis assumes Husband had no notice of the ex parte communication until this appeal was pending.
Cf. Ray v. State, 527
So.2d 166 (Ala.Crim.App.1988);
Sottile v. Carney,
. As noted above, Husband still had retained counsel when the trial date was set and counsel was informed of this date.
. The documents mailed after August 13 were: Requests for Admission; Motion to Allow Plaintiff's Appraiser Access to the Marital Home; Motion to Compel Discovery; Motion to Lift Restraining Order; Motion for Emergency Relief; and Notice of Deposition of Marlene Arbess.
. For instance, Husband complains that the deposition of Marlene Arbess provided evidence of his fault. This evidence had no impact on the equal division of marital assets.
. Husband’s contention that he deposited the funds under Rule 67 to preserve his appeal of the contempt finding is unpersuasive. Husband could have sought a stay of that order to preserve his appeal.
. As discussed above, Husband was represented by counsel when this trial date was set. His claim of lack of notice is without merit.
. The grounds for Husband's Rule 60(b) motion do not include recrimination and the order on appeal denying this motion does not address it. Further, Husband never presented evidence of Wife's admitted adultery at the final hearing.
