Sarah Diane Kraemer v. Benjamin Dean TraunSarah Diane Kraemer v. Benjamin Dean Traun
COURT OF APPEALS DECISION DATED AND FILED December 5, 2024
Samuel A. Christensen Clerk of Court of Appeals
NOTICE
This opinion is subject to further editing. If published, the official version will appear in the bound volume of the Official Reports.
A party may file with the Supreme Court a petition to review an adverse decision by the Court of Appeals. See
Before Kloppenburg, P.J., Blanchard, and Graham, JJ.
¶1 GRAHAM, J. Benjamin Traun, who was married to Sarah Kraemer, challenges several determinations that the circuit court made in the parties’ judgment of divorce and in the order that granted in part and denied in part Traun‘s motion for reconsideration. We ordered the parties to address two questions that pertain to our appellate jurisdiction: whether Traun‘s notice of appeal was timely as to the divorce judgment under
¶2 We conclude that we lack appellate jurisdiction over the divorce judgment because, applying
BACKGROUND
¶3 The circuit court divorce proceedings were fact-intensive, and we limit our focus here to those facts that are pertinent to the parties’ arguments on appeal. We provide an overview in this background section, and additional detail as needed in the discussion section below.
¶4 Traun and Kraemer were married in 2015, and Kraemer initiated divorce proceedings in 2022. Following a trial in which Traun proceeded without the assistance of counsel, the circuit court entered the divorce judgment, which was a final judgment for purposes of appeal. In that judgment, the court adopted a number of Kraemer‘s proposals for dividing the marital estate and determining child support. As pertinent to this appeal, the court calculated Kraemer‘s income based solely on the income listed on her W-2 (the “income calculation” determination); it made Traun solely responsible for his premarital student loan debt (the “student debt” determination);
¶5 The divorce judgment was entered on April 24, 2023, and Traun filed a timely motion for reconsideration pursuant to
¶6
¶7 The circuit court entered an order deciding Traun‘s motion (the “reconsideration decision“) on December 4, 2023. In its decision the court granted reconsideration of its prior determination regarding Traun‘s student debt, but declined to reconsider the remaining issues that Traun raised in his reconsideration motion.3 With respect to the student debt determination, the court explained that it was granting reconsideration because it had not expressly considered the factors identified in
¶8 Traun filed a pro se notice of appeal on January 18, 2024.4 His appellant‘s brief challenges the circuit court determinations on the four subjects that are mentioned above. After we concluded that our appellate jurisdiction might be in question, we ordered the parties to address the timeliness of Traun‘s appeal as to the divorce judgment, as well as our ability to consider Traun‘s appeal of the reconsideration decision.
¶9 In addition to her respondent‘s brief, Kraemer filed a separate motion asking this court to award her the costs and
DISCUSSION
¶10 We begin our analysis by considering the threshold issues related to our jurisdiction. After concluding that we have appellate jurisdiction to address just one of the four circuit court determinations that Traun challenges on appeal, we address the merits of Traun‘s challenge to that determination. Finally, we address Kraemer‘s motion for costs and attorney fees.
I. Jurisdiction
¶11 We begin by summarizing some of the legal principles that are pertinent to the jurisdictional issues here. The filing of a timely notice of appeal is necessary to give this court jurisdiction to review any judgment or order that was entered in a circuit court case.
¶12 However, there is another statutory provision,
the text of
¶13 Additionally, there is a separate jurisdictional rule established by Wisconsin case law that specifically pertains to orders that resolve a motion to reconsider a previously entered final judgment. Ver Hagen, 55 Wis. 2d at 26; Silverton, 143 Wis. 2d 661; see also Marsh v. City of Milwaukee, 104 Wis. 2d 44, 45, 310 N.W.2d 615 (1981). The rule is that, if a party failed to timely appeal the judgment, the party cannot revive its expired deadline by appealing an order that denied a motion for reconsideration that presented the same issues as those determined in the judgment sought to be reconsidered. Silverton, 143 Wis. 2d at 665.
¶14 We now consider how these jurisdictional principles play out here. As stated,
A. The April 24, 2023 Divorce Judgment
¶15 Traun argues that the circuit court erred when, for purposes of determining child support, the court excluded Kraemer‘s investment income and calculated Kraemer‘s income based on her W-2 alone.7 As mentioned, our ability to review alleged errors related to this determination turns on whether we have jurisdiction to consider a challenge to the divorce judgment, which was a final judgment for purposes of appeal. This is because the income calculation was
included in the divorce judgment, and Traun did not raise any argument about that calculation in his reconsideration motion. Therefore, to review any errors the court made regarding Kraemer‘s income, we would have to have jurisdiction over an appeal of the divorce judgment itself.
¶16 Resolution of that issue turns on the interpretation and application of
¶17 As noted, in a civil case such as this in which no notice of entry of judgment was filed, Traun would typically have 90 days from the entry of the divorce judgment to file his notice of appeal pursuant to
¶18
¶19 As pertinent to this appeal, a timely motion under
If the court amends the judgment, the time for initiating an appeal commences upon entry of the amended judgment. If the court denies a motion ..., the time for initiating an appeal from the judgment commences when the court denies the motion on the record or when an order denying the motion is entered, whichever occurs first. If within 90 days after entry of judgment the court does not decide a motion filed under this subsection ... the motion is considered denied and the time for initiating an appeal from the judgment commences 90 days after entry of judgment.
¶20 Thus,
entering an order); or 90 days after the entry of judgment if the court has not decided the
¶21 We acknowledge that, if we were to read the first two sentences of the above-quoted statutory text in isolation, we might conclude that the appeal timeline is delayed until after the circuit court decides the motion, as Traun contends.10 However, statutory language should not be read in isolation, and the final sentence of
¶22 That is how we applied
interpreting the statute.“) In Wainwright, we determined that a husband‘s notice of appeal of the final divorce judgment was not timely under
¶23 Our interpretation finds further support in the drafting history of
¶24 The amendments that are pertinent to our analysis were made by our supreme court in 1991, consistent with a proposal that was drafted by the Wisconsin Judicial
¶25 To address that issue, the judicial council discussed ways to improve the reconsideration procedure. Specifically, the council predicted that “the number of appeals might be reduced” if “arguments which are now made for the first time in the [c]ourt of [a]ppeals” were heard “in the trial courts instead.” Id. To that end, the council initially proposed delaying the appeal deadline until the court “disposed” of the reconsideration motion. Id. That way, a party could file a motion asking the court to reconsider its findings and conclusions without fear that the time to appeal might expire while the motion was pending, and the party could hold off on filing an appeal until it knew that “an appeal [would] be necessary.” Id.
¶26 At the same time, some members of the judicial council appeared to be concerned that, if a motion for reconsideration could delay the commencement of the appeal period indefinitely while the court considered the motion, there might be “an undesirable delay into the appellate process.” Letter from the Honorable William Eich, Chief Judge of the Wisconsin Court of Appeals and Member of the Wisconsin Judicial Council, to Professor Eva M. Soeka, Member of the Wisconsin Judicial Council (Jan. 23, 1990). Specifically, the council was aware of “the propensity of busy trial lawyers ... and ... busy trial judges” to “maximize[e] time limits,” and was concerned about the delay that might result if the commencement of the appellate process rested solely on the action or inaction of the court in resolving reconsideration motions. Id.; see also Minutes of the Meeting of the Wisconsin Judicial Council (Sept. 15, 1989).
¶27 These drafting files suggest that the version that was finally proposed, and eventually adopted by our supreme court, sought to balance these competing concerns. Delaying the commencement of the appeal timeline for a period of time will, in many cases, allow reconsideration motions to be resolved before the time to appeal expires. At the same time, delaying the commencement of the appeal deadline for 90 days at most prevents reconsideration motions from causing undue delay of the appeal.
¶28 Having concluded that
¶29 We acknowledge that
B. The December 4, 2023 Reconsideration Decision
¶30 We now consider our jurisdiction over the remaining three determinations that Traun challenges on appeal. As discussed above, the circuit court originally made these determinations in the divorce judgment, and it addressed them again in its order deciding the motion for reconsideration. Given our conclusion that we do not have jurisdiction over the divorce judgment, our ability to review Traun‘s challenges to these determinations turns on whether we have jurisdiction over his appeal of the reconsideration decision.
¶31 There is no dispute that Traun‘s appeal of the reconsideration decision was timely under
1. Competency
¶32 Kraemer‘s competency argument is based on
¶34 We begin by noting that Kraemer does not identify anything in the text of
¶35 Nor does Kraemer‘s argument find support in the case law she cites. That is, Kraemer does not point to any case that has interpreted
or that it had lost competency to issue its decision more than five months after it entered the final judgment. Id. at 249-50. Likewise, in a subsequent unpublished opinion that may be cited as persuasive authority, we rejected an argument that the circuit court‘s reconsideration decision, which was made more than 90 days after the final judgment, was “void” for lack of competency. See Koch v. Koch, No. 2011AP1186, unpublished slip op. ¶¶7, 13 (WI App Feb. 6, 2014).12
deprived the trial court of competency to exercise its jurisdiction to decide the motions after the verdict.” Id. at 37.
¶37 We have no reason to question the Schmorrow court‘s interpretation of the motion-after-verdict statute, which has been reaffirmed in subsequent decisions.14 But we conclude that Kraemer‘s reliance on Schmorrow as a basis for interpreting
¶38 First, as we have mentioned, the Schmorrow court was interpreting the motion-after-verdict statute, rather than
¶39 Second, there are good reasons to interpret
¶40 By contrast,
¶41 For all these reasons, we conclude that Kraemer‘s reliance on Schmorrow is inapt. We further conclude that the circuit court had not lost competency to decide Traun‘s reconsideration motion at the time it issued the December 4, 2023 order.
2. The Ver Hagen/Silverton Rule
¶42 Our jurisdiction over Traun‘s appeal of the reconsideration decision is instead governed by Ver Hagen, 55 Wis. 2d 21, and Silverton, 143 Wis. 2d 661. The rule from those cases is that “[n]o right of appeal exists from an order denying a motion to reconsider which presents the same issues as those determined in the ... judgment sought to be reconsidered.” Silverton, 143 Wis. 2d at 665. The policy underlying the rule is to prevent a party from reviving an expired appeal deadline by filing a motion for reconsideration that raises the same issues that were decided in a final judgment or order. See Ver Hagen, 55 Wis. 2d at 26.
¶43 We pause to emphasize an important point. There would be no need for this court to address whether the reconsideration decision is appealable under the Ver Hagen/Silverton rule if Traun had timely appealed the divorce judgment, which was a final judgment for purposes of appeal. See Silverton, 143 Wis. 2d at 665 (the rule is animated by the concern “that a motion for reconsideration should not be used as a ploy to extend the time to appeal from [a final] order or judgment when the time to appeal [that order or judgment] had expired“). Had Traun timely appealed the divorce judgment and the reconsideration decision alike, there would be no barrier to our appellate jurisdiction, and we would generally review the merits of any challenged determination in either decision based on the applicable legal standards.15 Here, however, because Traun did not timely appeal the divorce judgment, we must apply the rule from Ver Hagen and Silverton to resolve the threshold question of whether we have appellate jurisdiction to review the merits of any issues that the circuit court addressed in its reconsideration decision.
¶44 By its terms, the Ver Hagen/Silverton rule pertains to issues for which the circuit court denied reconsideration. Id. Here, however, the court indicated that it was granting reconsideration of its prior determination about the student debt, and the court issued a new decision that provided additional analysis
supporting its determination of that issue. Therefore, by its terms, the rule does not prevent us from considering the portion of the reconsideration decision that addressed Traun‘s student debt. And, apart from the competency argument that we have rejected,
¶45 We now turn to the determinations that the circuit court declined to reconsider (the investment accounts and the stock sale), and we address whether our jurisdiction is precluded by Ver Hagen and Silverton. Our case law directs us to apply the “new issues test,” which requires us to compare the issues Traun raised in the motion for reconsideration with the issues the court disposed of in the divorce judgment. Harris v. Reivitz, 142 Wis. 2d 82, 87-88, 417 N.W.2d 50 (Ct. App. 1987) (citing Ver Hagen, 55 Wis. 2d at 25). We do not have jurisdiction over the appeal of any issues raised in the reconsideration decision that were disposed of in the divorce judgment. See id. Applying the “new issues” test, we conclude that we lack appellate jurisdiction to review either determination.
¶46 With respect to the investment accounts, Traun‘s reconsideration motion argued that the circuit court erred when it found that his use of the accounts constituted marital waste. Traun argued that the trial evidence showed that the accounts were “depleted solely [due] to market forces, not due to [his] intentionally squandering ... marital property,” and he further argued that the court should have valued the accounts based on screenshots he provided that purported to show the account balances as of the day of trial.
¶47 Based on our review of the record, it is evident that the circuit court disposed of those issues in the final judgment. At trial, the court considered whether Traun committed marital waste with his investment accounts, and it determined that the evidence showed that Traun had “emptied out” the accounts over the past year and “has not adequately accounted for what happened to reduce those accounts.” The court likewise considered whether it should use the screenshots that Traun provided at trial to value those accounts; however, because the evidence showed that Traun “drained all of the accounts in his control,” the court determined that the evidence he provided regarding the account balances was not reliable. Thus, Traun‘s motion for reconsideration did not present any new issues regarding the investment accounts that the court had not already addressed.
¶48 We reach the same conclusion with respect to the stock sale. In his reconsideration motion, Traun took the position that Kraemer sold stock during the pendency of the divorce, and he argued that the circuit court should have included the proceeds from that sale in the marital estate, given that a temporary order that was in place at that time provided that “[t]he parties shall equally share any proceeds from the sale of [Kraemer‘s] vested stock units.” Again, the court disposed of this issue in the divorce judgment—Traun raised this issue several times during the trial, and the court ultimately declined to include the stock sale in the marital estate. We therefore conclude that Traun‘s motion for reconsideration did not present any new issues regarding the stock sale that the court had not already addressed.
¶49 In sum, we have appellate jurisdiction to review the portion of the reconsideration decision in which the circuit court reconsidered its prior determination about the student debt because the Ver Hagen/Silverton rule does not prevent us from reviewing issues for which the circuit court granted reconsideration, but we lack appellate jurisdiction to review the two
II. Traun‘s Student Debt
¶50 We now consider the merits of Traun‘s challenge to the determination that the circuit court made in its reconsideration decision about his student debt. The division of property in a divorce is a decision “entrusted to the discretion of the circuit court,” and will not be disturbed on review unless there has been an erroneous exercise of discretion. LeMere v. LeMere, 2003 WI 67, ¶13, 262 Wis. 2d 426, 663 N.W.2d 789. We will affirm a court‘s exercise of discretion as long as the court “examined the relevant facts, applied a proper standard of law, and, using a demonstrated rational process, reached a conclusion that a reasonable judge could reach.” Id. (citations omitted).
¶51 As mentioned, Traun argues that the circuit court erroneously exercised its discretion when it excluded the premarital portion of Traun‘s student debt from the marital estate. Specifically, he argues that the court did not consider all the statutory factors as required by
¶52 Traun is correct that
¶53 To the extent that Traun takes issue with the circuit court‘s analysis under
III. Kraemer‘s Motion for Costs and Attorney Fees
¶54 We now address Kraemer‘s motion for costs and attorney fees. Kraemer argues
¶55 Whether an appeal is frivolous is a question of law. Howell v. Denomie, 2005 WI 81, ¶9, 282 Wis. 2d 130, 698 N.W.2d 621. Sanctions for a frivolous appeal will be imposed if the court concludes that the party “knew, or should have known, that the appeal ... [had no] reasonable basis in law or equity and could not be supported by a good faith argument for an extension, modification, or reversal of existing law.” Id. (citing
¶56 Importantly, to award costs and attorney fees, we “must conclude that the entire appeal is frivolous.” Howell, 282 Wis. 2d 130, ¶9. In deciding whether an appeal is frivolous under
¶57 Admittedly, Traun‘s arguments on appeal are weak. We have concluded that we lack appellate jurisdiction over the majority of issues that Traun raised in his appeal, and on the one issue that is the proper subject of appeal, he has not persuaded us that the circuit court erred. However, we cannot conclude that Traun‘s entire appeal lacks any “reasonable basis in law or equity.” See Howell, 282 Wis. 2d 130, ¶9 (quoting
¶58 We now address Kraemer‘s alternative argument that we should impose costs based on Traun engaging in “overtrial.” We reject this argument for two reasons.
¶59 First, the argument is insufficiently developed. Although Kraemer asserts that she is the “victim of overtrial,” she does not develop an argument to support her assertion that Traun “unreasonably [engaged in] excessive litigation ... resulting in overtrial.” Zhang v. Yu, 2001 WI App 267, ¶11, 248 Wis. 2d 913, 673 N.W.2d 754.
¶60 Second, Kraemer does not identify any authority to support the position that an appellate court may independently determine that a party has engaged in overtrial and impose sanctions on that basis. The court of appeals is not a fact-finding court, Lange v. LIRC, 215 Wis. 2d 561, 572, 573 N.W.2d 856 (Ct. App. 1997), and our review of the case law suggests that a determination about overtrial rests with the circuit court. See Zhang, 248 Wis. 2d 913, ¶11 (“Whether excessive litigation occurred is a question of historic fact to be determined by the circuit court.“); Ondrasek v. Ondrasek, 126 Wis. 2d 469, 483, 377 N.W.2d 190 (Ct. App. 1985) (“The award of contribution to attorney fees rests within the discretion of the
CONCLUSION
¶61 For the reasons explained above, we conclude that we lack appellate jurisdiction over the divorce judgment. Regarding the reconsideration decision, we conclude that we have appellate jurisdiction to review the portion of the decision in which the circuit court granted reconsideration of its prior determination about Traun‘s student debt; however, we lack jurisdiction to review the remaining determinations, which the court declined to reconsider. Regarding the merits of the circuit court‘s determination about his student debt, we reject Traun‘s arguments and affirm the reconsideration decision. Separately, we deny Kraemer‘s motion for costs and attorney fees for this appeal.
By the Court.—Order affirmed.
Recommended for publication in the official reports.
Notes
First, in addition to arguing that the circuit court erred in its final judgment, Traun appears to be arguing that a court commissioner erred with respect to temporary orders that preceded the final judgment and a decision on contempt that was issued after this appeal was filed. To the extent that Traun is attempting to appeal decisions made by the court commissioner, these decisions are not appealable; they must be reviewed in a de novo hearing before the circuit court before they can be appealed to this court. See State v. Trongeau, 135 Wis. 2d 188, 191-92, 400 N.W.2d 12 (Ct. App. 1986) (decisions of court commissioners are not appealable);
Second, Traun argues that Kraemer misrepresented her income to the circuit court throughout the divorce proceedings, and therefore, we should find her “in contempt of court pursuant to [
We cite Marcott and two other authored, unpublished decisions in our opinion for persuasive authority pursuant to