Kalbaugh v. KalbaughKalbaugh v. Kalbaugh
Dated: July 29, 2020
CALLAHAN, Presiding Judge.
{1} Appellant, William H. Kalbaugh, appeals various orders related to the division of his pension benefits.
I.
{2} Mr. Kalbaugh (“Husband“) and Deborah Kalbaugh (“Wife“) divorced in 1995. Their divorce decree addressed the division of Husband‘s pension as follows:
[Husband] has a pension plan with the Police and Fireman‘s Disability and Pension Fund of Ohio with a value of [$68,496.38]. [Wife] has a Social Security Old Age Benefit Plan with a value of [$10,798.31]. The parties agree to offset the [Wife‘s] Social Security Old Age Benefit Plan from the [Husband‘s] Police and Fireman‘s Disability and Pension Fund of Ohio to obtain a value of [$57,698.07] which is subject to equitable distribution between the parties. [Husband] also has a Defined Contribution Plan, the value of which is subject to equitable distribution between the parties in the amount of [$10,041.84]. These plans shall be divided equally between the [Wife] and [Husband], by Qualified Domestic Relations Orders. The parties agree to divide equally the costs of hiring an outside firm to prepare the Qualified Domestic Relations Orders.
[I]n the event that [Husband‘s] retirement benefits become subject to direct assignment via a [QDRO] (or the equivalent thereof) at a future date, the parties hereby agree to submit to the administrator of the Pension Fund, a [QDRO], as set forth in Attachment “A“, which is incorporated herein by reference and made a part of this Order, in order to effectuate the direct distribution of a portion of [Husband‘s] retirement benefits under the Pension Fund to [Wife].2
(Emphasis omitted.) Although it recognized that Ohio public pension benefits could not be assigned by a QDRO at the time, the 1996 Pension Order set forth information related to the division of Husband‘s pension that functioned as a precursor to the QDRO anticipated therein.3 The order provided that Wife would receive fifty percent of the marital portion of Husband‘s pension, as determined using a coverture fraction, and explained that Wife‘s payments would reflect a pro rata share of any post-retirement cost of living adjustments. Although the 1996 Pension Order refers to “the original intent of the parties as stipulated herein[,]” the order did not,
{3} Almost eighteen years later, on April 1, 2014, the trial court journalized another QDRO relating to Husband‘s deferred compensation plan. That QDRO “assign[ed] to [Wife] $33,869.95 of [Husband‘s] Total Account Balance accumulated under the Plan as of November 16, 1995, plus any interest and investment earnings or losses attributable thereon subsequent to the date of acknowledged receipt of this order by OPEDCP, until the date of total distribution.” A copy of this order bearing a notation indicating that it was paid was docketed on April 29, 2014.
{4} On June 15, 2015, Wife moved to enforce the divorce decree with respect to Husband‘s pension. In her motion, Wife noted the 1996 Pension Order and stated that “OPF will not recognize it as a proper method to allocate the parties’ interest * * * because it is not the official Division of Property (DOPO) required under
{5} The trial court overruled Husband‘s objections, concluding, in pertinent part:
- Pursuant to the parties’ decree, [Husband‘s] OPF was to be equally divided by a Qualified Domestic Relations Order (QDRO) after offsetting [Wife‘s] Social Security Contribution as determined by Pension Evaluators.
- Further, the decree provided that [Husband‘s] Ohio Deferred Compensation Plan was to be equally divided by a QDRO.
- The OPF fund cannot be divided by a QDRO, and was therefore never divided as ordered in the parties’ decree.
- The proper method to allocate the parties’ interest in the fund is through a Division of Property Order (DOPO), as required under
ORC § 3105.82 . - On April 1, 2014, [Husband‘s] Ohio Deferred Compensation Plan was divided.
- Plaintiff has received her share of [Husband‘s] Ohio Deferred Compensation Plan.
- Plaintiff is entitled to 50% of the marital portion of the [Husband‘s] accrued benefit under the OPF as of the [Husband‘s] commencement date.
Husband appealed the trial court‘s decision, arguing that the trial court erred because its ruling was based on the 1996 Pension Order, which was void because it impermissibly modified the terms of the property division. Kalbaugh v. Kalbaugh, 9th Dist. Summit No. 28282, 2017-Ohio-4272, ¶ 4 (“Kalbaugh I“). This Court affirmed without addressing the merits of husband‘s argument, concluding that the 1996 Pension Order was voidable, not void, and consequently, that Husband should have made his arguments in a timely appeal from that order. Id. at ¶ 10, 12.
{6} After this Court‘s decision was released, Husband moved the trial court for a full evidentiary hearing on a proposed DOPO. In his motion, Husband noted that Wife‘s proposed DOPO referenced not only the division of his pension, but also the division of funds contained in his Deferred Retirement Option Plan account (“DROP“). The trial court denied Husband‘s motion
{7} On October 17, 2018, while those appeals were pending, OPF filed a notice in the trial court that it had rejected the September 25, 2018, DOPO because the section entitled “Method of Payment Percentage” had not been completed. One week later, the trial court entered a second DOPO, which also provided that Wife was entitled to receive a portion of Husband‘s age and service retirement and his DROP. Again, Husband‘s attorney noted that the DOPO was rejected as far as Husband was concerned because it was inconsistent with the divorce decree. Husband appealed the second DOPO in C.A. No. 29219.
{8} On February 18, 2019, Husband filed instructions for service of the 1996 Pension Order and, ten days later, his attorney filed an affidavit from a representative of the Clerk of Courts averring that service of the 1996 Pension Order in compliance with
II.
C.A. Nos. 29184, 29185, and 29219
{9} In C.A. No. 29184, Husband appealed the DOPO entered by the trial court on September 25, 2018, and in C.A. No. 29185, Husband appealed the trial court‘s order that denied his motion for an evidentiary hearing in connection with that DOPO. In C.A. No. 29219, Husband appealed the DOPO entered by the trial court on October 25, 2018. Husband has assigned five errors in these consolidated appeals. His assignments of error are rearranged for purposes of disposition.
ASSIGNMENT OF ERROR NO. 3
THE TRIAL COURT ERRED IN ENTERING AN AMENDED DIVISION OF PROPERTY ORDER ON OCTOBER 25, 2018 AFTER APPELLANT HAD FILED AND PERFECTED AN APPEAL OF THE ORIGINAL DIVISION OF PROPERTY ORDER THAT THE COURT ISSUED ON SEPTEMBER 25, 2018 BECAUSE APPELLANT‘S NOTICE OF APPEAL DEPRIVED THE TRIAL COURT OF JURISDICTION TO AMEND THE ORIGINAL DIVISION OF PROPERTY ORDER, RENDERING THE AMENDED ORDER VOID AB INITIO.
{10} In his third assignment of error, Husband argues that the October 25, 1998, DOPO is void because the trial court lacked jurisdiction to enter it while his previous appeal was pending. This Court agrees.
{11} Once a case has been appealed, the trial court loses jurisdiction except to take action in aid of the appeal. In re S.J., 106 Ohio St.3d 11, 2005-Ohio-3215, at ¶ 9, citing State ex rel. Special Prosecutors v. Judges, Court of Common Pleas, 55 Ohio St.2d 94, 97. On the other hand, a trial court “retains jurisdiction over issues not inconsistent with the appellate court‘s jurisdiction
{12} The Supreme Court of Ohio applied these principles to facts similar to those in this case in State ex rel. Sullivan v. Ramsey, 124 Ohio St.3d 355, 2010-Ohio-252. In that case, the husband appealed from a QDRO but, while the appeal was pending, the trial court entered an amended QDRO that differed from the original in several respects. Id. at ¶ 10-11. The husband filed a complaint for a writ of prohibition, arguing that the trial court lacked jurisdiction to enter the amended QDRO while the appeal was pending. Id. at ¶ 12. The court of appeals issued the requested writ, and the respondent-judge appealed. Id. at ¶ 13. The Supreme Court noted that under certain circumstances, a trial court retains jurisdiction to issue a QDRO while an appeal from a divorce decree is pending. Id. at ¶ 19. Nonetheless, the Supreme Court held that once the original QDRO was appealed, the trial court lacked jurisdiction to modify it. Id. at ¶ 20, 25.
{13} The parties do not dispute that Sullivan appears to control this case on its face. Wife, however, maintains that because OPF rejected the September 25, 2018, DOPO, it became moot and, therefore, not appealable. Consequently, she argues, the trial court could continue to exercise jurisdiction regardless of a pending appeal. This Court does not agree. Wife‘s argument
{14} The October 25, 2018, DOPO was similar to the DOPO that Husband appealed in C.A. No. 29184, but the latter contained additional information related to the calculation of payments to Wife, the alternate payee. Consistent with Sullivan, the trial court lacked jurisdiction to enter an amended DOPO while Husband‘s appeal from the September 25, 2018, DOPO was pending in this Court. The October 25, 2018, DOPO is therefore void and must be vacated.
{15} Husband‘s third assignment of error is sustained.
ASSIGNMENT OF ERROR NO. 4
THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION BY ENTERING AN AMENDED DIVISION OF PROPERTY ORDER ON OCTOBER 25, 2018 WITHOUT GIVING APPELLANT PRIOR NOTICE THEREOF AND AN OPPORTUNITY TO BE HEARD, IN VIOLATION OF APPELLANT‘S CONSTITUTIONAL RIGHT TO DUE PROCESS.
ASSIGNMENT OF ERROR NO. 5
THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION BY ITS OCTOBER 25, 2018 APPROVAL OF AN AMENDED DIVISION OF PROPERTY ORDER THAT WAS INCONGRUOUS WITH THE TERMS AND CONDITIONS OF THE PARTIES’ DECREE OF DIVORCE.
{16} Husband‘s fourth and fifth assignments of error challenge the October 25, 2018, DOPO on substantive grounds. In light of this Court‘s resolution of Husband‘s third assignment of error, these assignments of error are moot. See
ASSIGNMENT OF ERROR NO. 2
THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION BY DENYING APPELLANT‘S MOTION FOR AN EVIDENTIARY HEARING BEFORE ENTERING A DIVISION OF PROPERTY ORDER, DENYING APPELLANT
THE OPPORTUNITY TO PRESENT HIS CASE THAT THE DIVISION OF PROPERTY ORDER WAS OUT OF SQUARE WITH THE TERMS AND CONDITIONS OF THE PARTIES’ DECREE OF DIVORCE, VIOLATING APPELLANT‘S CONSTITUTIONAL RIGHT TO DUE PROCESS.
{17} In his second assignment of error, Husband has argued that the trial court abused its discretion by denying his motion for an evidentiary hearing before entering the September 25, 2018, DOPO.
{18} Wife has raised two threshold issues that must be addressed by this Court before we reach the merits of this assignment of error. First, in her appellate brief, Wife has argued that because Husband appealed the denial of his motion for an evidentiary hearing separately in C.A. No. 29185, that appeal must be dismissed because an order that denies an evidentiary hearing is not a final appealable order. This Court agrees. As relevant to this appeal,
{19} That is not to say, however, that Husband‘s second assignment of error must also be disregarded by this Court. The trial court‘s order that denied the evidentiary hearing was an interlocutory order that merged into the final order that Husband also appealed—the September
{20} The mootness doctrine prevents courts from deciding cases in which no controversy remains. In re A.G., 139 Ohio St.3d 572, 2014-Ohio-2597, ¶ 37. Consequently, this Court can only “decide actual controversies by a judgment which can be carried into effect” and cannot ““give opinions upon moot questions or abstract propositions, or * * * declare principles or rules of law which cannot affect the matter in issue in the case before it.“” Miner v. Witt, 82 Ohio St. 237, 238 (1910), quoting Mills v. Green, 159 U.S. 651, 633 (1895). This determination focuses on the relief that the appellant seeks from the Court and whether the subject matter of the case remains subject to the Court‘s control. See, e.g., Akron Dev. Fund I, Ltd. v. Advanced Coatings Internatl., Inc., 9th Dist. Summit No. 25375, 2011-Ohio-3277, ¶ 22-29.
{21} In order for payments to Wife from payout of Husband‘s OPF pension and DROP to commence, OPF must accept a DOPO. Nonetheless, a DOPO remains an order of the trial court, and a DOPO can be reviewed on appeal when a party alleges that it modified the terms of a divorce decree. See Miller v. Miller, 9th Dist. Medina No. 07CA0068-M, 2008-Ohio-2106, ¶ 15. See also Cameron v. Cameron, 10th Dist. Franklin No. 12AP-349, 2012-Ohio-6258, ¶ 13 (noting that without an express reservation of jurisdiction or consent of the parties, a trial court cannot enter a DOPO that is inconsistent with the division of property set forth in the decree). This Court‘s ability to consider the merits of Husband‘s appeal from the September 25, 2018, DOPO is independent from the issue of whether that DOPO has been rejected or accepted by OPF.
{23} In support of his second assignment of error, Husband has argued that the trial court‘s decision to deny his motion for an evidentiary hearing violated his right to due process. We agree that the trial court erred, but on non-constitutional grounds. Accordingly, we need not reach his due process argument.
{24} Under
{26} The trial court abused its discretion by denying Husband‘s motion for an evidentiary hearing. His second assignment of error is sustained.
ASSIGNMENT OF ERROR NO. 1
THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION BY ITS SEPTEMBER 25, 2018 APPROVAL OF A DIVISION OF PROPERTY ORDER THAT WAS INCONGRUOUS WITH THE TERMS AND CONDITIONS OF THE PARTIES’ DECREE OF DIVORCE.
{27} Husband‘s first assignment of error is that the trial court abused its discretion by entering the September 25, 2018, DOPO when the substance of that order was inconsistent with the divorce decree. Because this Court has concluded that the trial court erred by denying Husband‘s motion for an evidentiary hearing before entering the September 25, 2018, DOPO, Husband‘s first assignment of error is moot. See
C.A. No. 29328
ASSIGNMENT OF ERROR
THE TRIAL COURT ERRED AND COMMITTED PLAIN ERROR BY EXCEEDING ITS JURISDICTION WITH THE FILING OF A “JUDGMENT ENTRY (POLICE AND FIREMEN‘S DISABILITY AND PENSION FUND)”
THAT MATERIALLY MODIFIED AND WAS INCONSISTENT WITH THE PARTIES’ UNAMBIGUOUS AGREEMENT AS REFLECTED IN THEIR ATTEST[AT]IONS IN OPEN COURT AND THE RESULTING DECREE OF DIVORCE.
{28} In his sole assignment of error arising from C.A. No. 29328, Husband has argued that the trial court abused its discretion by entering the 1996 Pension Order because it is contrary to the parties’ intentions, as expressed in the divorce decree.
{29} In Kalbaugh I, this Court concluded that instead of appealing the trial court‘s January 19, 2016, entry that ordered the preparation of a DOPO and the subsequent order that overruled Husband‘s objections to that order, Husband should have appealed the 1996 Pension Order. In reaching this conclusion, it was not apparent to this Court that neither the 1996 Pension Order nor the divorce decree had been served upon the parties in compliance with
{30} This Court has concluded that the trial court abused its discretion by denying Husband‘s motion for an evidentiary hearing before entering a DOPO. In light of that result, this Court also concludes that the arguments that Husband has made in support of his assignment of error in C.A. 29328 would be more appropriately raised during the evidentiary hearing and ultimately in an appeal, if any, from the trial court‘s decision upon the remand of C.A. 29184. For
III.
{31} The trial court did not have jurisdiction to enter the October 25, 2018, DOPO. Consequently, Husband‘s third assignment of error in the consolidated appeals is sustained, and the judgment in C.A. No. 29219 is vacated. His fourth and fifth assignments of error in the consolidated appeals are moot. Husband‘s appeal in C.A. 29185 is dismissed because the order that he attempted to appeal is not a final appealable order. Husband‘s second assignment of error in the consolidated appeals is sustained, and this matter is remanded for an evidentiary hearing. Husband‘s first assignment of error in the consolidated appeals is moot. His assignment of error in C.A. No. 29328 is premature.
Judgment reversed in part,
vacated in part,
and cause remanded.
There were reasonable grounds for this appeal.
We order that a special mandate issue out of this Court, directing the Court of Common Pleas, County of Summit, State of Ohio, to carry this judgment into execution. A certified copy of this journal entry shall constitute the mandate, pursuant to
Immediately upon the filing hereof, this document shall constitute the journal entry of judgment, and it shall be file stamped by the Clerk of the Court of Appeals at which time the period for review shall begin to run.
LYNNE S. CALLAHAN
FOR THE COURT
CARR, J.
TEODOSIO, J.
CONCUR.
APPEARANCES:
J. ANTHONY TERILLA, Attorney at Law, for Appellant.
MELISSA GRAHAM-HURD, Attorney at Law, for Appellee.