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Rohling v. Rohling

Citation: 266 So. 3d 51Docket: 2160859; 2160860

Court: Court of Civil Appeals of Alabama; June 1, 2018; Alabama; State Appellate Court

Narrative Opinion Summary

In a consolidated appeal from the Lauderdale Circuit Court, the husband challenges various financial aspects of a divorce judgment, including alimony, child support, and expert witness fees related to the dissolution of his marriage. The court awarded the wife alimony in gross based on the valuation of the husband's business, Rohling Dental Laboratory, LLC, while maintaining joint legal custody of their children and assigning primary physical custody to the wife. The husband's annual income was calculated using historical earnings, leading to a child support obligation in accordance with Rule 32 guidelines. The trial court's decision to rely on a calculation engagement for business valuation, despite the husband's objections, was upheld. Additionally, the court's award of periodic alimony was based on the husband's earning capacity and the wife's need to maintain the marital standard of living. The appellate court reversed the trial court's imposition of expert witness fees, citing legal precedent, but affirmed other financial determinations, including the division of retirement accounts and the requirement for the husband to maintain life insurance. The case underscores the court's discretion in equitable distribution and financial orders in divorce proceedings, despite challenges based on procedural and evidentiary grounds.

Legal Issues Addressed

Alimony in Gross Calculation

Application: The trial court awarded alimony in gross based on the value of the husband's business, considering equitable division and the wife's contributions.

Reasoning: The alimony award is approximately one-third of the business’s estimated value of $509,000 as determined by Blackburn.

Child Support Determination under Rule 32

Application: The court adhered to Rule 32 guidelines, using historical income data for the husband, and did not deviate based on shared custody arguments.

Reasoning: Under Rule 32(A)(1) of the Alabama Rules of Judicial Administration, child support awards determined by the guidelines are presumed correct.

Division of Retirement Accounts

Application: The court awarded half of the husband's retirement accounts to the wife, with the husband contesting the inclusion of post-filing appreciation.

Reasoning: He also contended that the combined award of alimony in gross ($125,000) and retirement accounts was inequitable.

Expert Witness Fee Responsibility

Application: The trial court ordered the husband to pay for the wife's expert witness fees, which was partially reversed on appeal based on precedent.

Reasoning: The trial court's order requiring the husband or his attorneys to pay part or all of the wife's $7,000 expert-witness fee is reversed, based on the precedent set in Vardaman v. Vardaman.

Periodic Alimony Determination

Application: The court awarded periodic alimony based on the husband's earning capacity and the wife's financial need to maintain the marital standard of living.

Reasoning: The husband's financial obligations stemming from the divorce judgment total approximately $2,313 per month, which includes $125 in alimony.

Valuation of Business Assets

Application: The court accepted a business valuation based on a calculation engagement despite challenges to its comprehensiveness.

Reasoning: Blackburn’s methodology was undisputedly compliant with SSVS standards, making the accuracy of his cash flow calculation a factual matter for the trial court to assess.