In this consolidated appeal of orders resulting from a postdissolution modification action in which both former spouses sought modification of alimony, the Former Husband, Timothy Jon Eisemann, challenges the final judgments increasing his alimony payments to his Former Wife, Patti Ann Eisemann, and ordering that he pay her attorney’s fees. We reverse. 1
Background
After a twenty-one-year marriage, the parties were divorced in 2002. Prior to the dissolution, the parties entered into a Marital Property and Settlement Agreement. Its provisions included a requirement that the marital home be sold and that Mr. Eisemann pay Mrs. Eisemann $1900 a month in permanent alimony. This amount was based, in part, on his annual earnings at that time of between $85,000 and $89,000 and Mrs. Eisemann’s anticipated annual income of $18,000 from expected full-time employment. Mrs. Ei-semann testified in the modification proceedings that this was a “bare bones” estimate of her postdissolution needs and Mr. Eisemann’s ability to pay at that time because the parties had agreed that Mr. Eisemann solely would be responsible for the expenses of their daughter’s upcoming college education. Because of the settlement agreement, there was no evidence presented to the court of the parties’ actual expenses and ability to pay at the time of dissolution. The marital home was sold, and each party left the marriage free of debt and with an equitable distribution of $165,000.
Other circumstances found by the trial court to support the modification of alimony were the increase in Mrs. Eisemanris condominium assessment dues, including a large special assessment; increases in the cost of food, gas, and electricity; her diagnosis of breast cancer and the resulting treatment, including the expenses of three surgeries and ongoing medications; and the decrease in Mr. Eisemanris monthly expenses. The trial court concluded that Mrs. Eisemann had never been able to achieve the standard of living she enjoyed during the marriage and had been forced to live much more modestly since.
Analysis
A. The Change in Circumstances
“To justify a modification of alimony, the moving party must establish: ‘(1) a substantial change in circumstances; (2) that the change was not contemplated at the final judgment of dissolution; and (3) that the change is sufficient, material, permanent, and involuntary.’ ”
Antepenko v. Antepenko,
The trial court considered the financial impact Mrs. Eisemann experienced in the unexpected and significant expenses to her condominium residence manifested in the special assessment. It also considered the increased financial need that she experienced as a result of her medical issues. Because these changes meet the Pimm, Antepenko, and Rahn requirements for modification of alimony, the trial court did not err in factoring them into the equation for increasing her alimony.
B. The Marital Standard of Living
Next, the trial court focused upon Mrs. Eisemanris marital standard of living. In the modification judgment, the trial court found that her needs, as established by the marital standard of living, were not initially met in the dissolution judgment because Mr. Eisemann was unable at that time to fully meet those needs. But because his earnings have substantially increased subsequent to the dissolution and her needs continued to remain unmet, the trial court concluded that this circumstance justified an upward modification under
Bedell v. Bedell,
We begin by examining
Bedell’s
origins and its progress through the appellate system.
Bedell v. Bedell,
In the first issue, the district court discussed the criteria necessary to sustain a modification of alimony; the second issue related to the relatively rare exception to the general rule where a recipient spouse’s
In
Bedell,
Applying this rule to the demonstrated increased financial expenses of Mrs. Be-dell, including an increase in the mortgage and maintenance payments on her townhouse, the supreme court found that her needs had substantially increased and “coupled with the husband’s [stipulated] ability to pay, the failure to award the wife an increase in alimony was an abuse of discretion.” Id. at 1008. It is noteworthy that the originally unmet needs of the receiving spouse did not determine the supreme court’s holding. Although the supreme court reversed, it added, “We would reach this conclusion even under the rationale of the Third District Court of Appeal because the wife clearly demonstrated an increased need.” Id. at 1007-08. Thus, the supreme court’s holding in Bedell does not support the trial court’s ruling in this case that focused on the still unmet initial needs of the recipient spouse.
It is the second issue previously mentioned that is relevant to our analysis. There the district court discussed the exception to the rule requiring a substantial postdissolution increase in the recipient spouse’s needs as a prerequisite to an upward modification of alimony. It said:
This exception obtains in the relatively rare case where the recipient spouse’s needs, as established by the standard of living maintained during the marriage, were not, and could not be, initially met by the original final judgment of marriage dissolution due to the then-existing financial inability of the paying spouse to meet those needs, which needs continue to remain unmet at the time the modification is sought.
Bedell,
This court in
Schlesinger v. Emmons,
The trial judge provided for wife as well as could be done based upon husband’s available income and the remedies available to the court at this time. However, since wife’s demonstrated needs were unable to be adequately provided for in the final judgment, it was proper to consider, on wife’s petition for modification, husband’s then-vested inheritance resulting in a massive increase in his annual income.
Id. at 585.
In
Schlesinger,
the record of the initial proceeding and the trial court’s express findings then established the former wife’s entitlement to the exception. This is not the state of the record in the Eisemanns’ case. This case arises from a similar fact pattern as was presented to the Third District in
Bedell,
i.e., both began with a final judgment of dissolution of marriage that incorporated a prior marital settlement agreement. To be entitled to the exception, the recipient spouse must show that in the original judgment of dissolution, the trial court was
“legally required,
”
Bedell,
In Mrs. Eisemann’s case, the original award of alimony was based upon a contract — their settlement agreement — and not after a trial where the court made the requisite findings of one’s needs and the other’s demonstrated inability to pay the legally required amount. Based on the evidence presented, Mrs. Eisemann’s case does not come within the exception. Thus, the trial court erred, but only in using Bedell as a basis to modify the alimony award.
The final judgment modifying alimony must be reversed and remanded for reconsideration in light of Mrs. Eisemann’s current unmet needs that fulfill the criteria of substantial change that was not contemplated at the time of dissolution that are material, permanent, and involuntary — not because her needs at the time of the dissolution were unmet — and Mr. Eisemann’s current ability to pay.
See Bedell,
C. Attorney’s Fees
Finally, we address the award of attorney’s fees to Mrs. Eisemann. The central inquiry for such an award is the need of one spouse for the fees and the other’s ability to pay the fees. “If one party has no financial need for fees, the other party
Reversed and remanded for further proceedings.
Notes
. We find without merit Mr. Eisemann’s argument that the parties’ Marital Settlement Agreement incorporated into the final judgment of dissolution is nonmodifiable.
. The supreme court did not disapprove of the Third District's opinion regarding this exception; in fact, this exception was not mentioned by the supreme court. But given the supreme court's discussion, we believe the supreme court's own holding would encompass it.
