John Tyler v. Melissa Tyler. ( 2023 )


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  • NOTICE: Summary decisions issued by the Appeals Court pursuant to M.A.C. Rule
    23.0, as appearing in 
    97 Mass. App. Ct. 1017
     (2020) (formerly known as rule 1:28,
    as amended by 
    73 Mass. App. Ct. 1001
     [2009]), are primarily directed to the parties
    and, therefore, may not fully address the facts of the case or the panel's
    decisional rationale. Moreover, such decisions are not circulated to the entire
    court and, therefore, represent only the views of the panel that decided the case.
    A summary decision pursuant to rule 23.0 or rule 1:28 issued after February 25,
    2008, may be cited for its persuasive value but, because of the limitations noted
    above, not as binding precedent. See Chace v. Curran, 
    71 Mass. App. Ct. 258
    , 260
    n.4 (2008).
    COMMONWEALTH OF MASSACHUSETTS
    APPEALS COURT
    22-P-536
    JOHN TYLER
    vs.
    MELISSA TYLER.
    MEMORANDUM AND ORDER PURSUANT TO RULE 23.0
    John Tyler (John) appeals the Probate and Family Court's
    order of partial judgment and judgment of divorce nisi
    incorporating that partial judgment.           He makes three arguments:
    (1) he was denied a trial; (2) the judge erred in his
    determination that Florida Law applied to the prenuptial
    agreement; and (3) res judicata prohibited the equal division of
    one of the marital assets, 154 Maverick LLC (the LLC).               For the
    following reasons, we affirm.
    Background.     In 2004, Melissa Tyler1 (Melissa) and John
    signed a prenuptial agreement in the State of Florida and were
    married in the Bahamas.        The prenuptial agreement stated that
    1 The appellee changed her name on June 8, 2021. As is our
    practice, we use the parties' names as they appeared in the
    complaint.
    the contract was to be governed by Florida law.   After the two
    moved to Boston, the marriage deteriorated, and John filed a
    complaint for divorce in November of 2016.
    The probate judge, at the request of the parties,
    bifurcated the case into two parts:   first, the issue of the
    validity and enforceability of the prenuptial agreement; and
    second, the division of marital assets.   After receiving
    submissions from the parties and holding a hearing on December
    3, 2018, the court ruled that it would apply Florida law when
    determining the validity and enforceability of the prenuptial
    agreement.   The court then, at the request of both parties,
    appointed a special master to "make findings regarding the
    validity and enforceability of the parties' prenuptial agreement
    under Florida law," preliminary to the special master's
    recommendations "on the divorce and counterclaim."   After
    receiving evidence from the parties,2 the special master made
    recommendations to the probate judge including that the
    prenuptial agreement was valid and that certain assets,
    including the LLC, be equally distributed between the parties in
    accordance with the parties' prenuptial agreement.   On April 15,
    2021, nunc pro tunc to March 6, 2020, the probate judge wholly
    2 Due to the COVID-19 pandemic, the parties, as the only
    witnesses in this case, presented their direct examination to
    the master by affidavits and exhibits and conducted cross-
    examination over Zoom.
    2
    adopted the findings of the special master.     On May 4, 2021, the
    Probate and Family Court issued a judgment of divorce nisi.
    At the same time the parties were involved in the divorce
    proceedings in the Probate and Family Court, the parties were
    also undergoing litigation in Superior Court to determine
    ownership and management of the LLC and the property located at
    154 Maverick Street in East Boston.3    On May 3, 2019, the
    Superior Court ruled that "John Tyler has the majority voting
    rights in and is the manager of 154 Maverick LLC."     The Superior
    Court also stated that "nothing in this Court's decision is
    meant to limit the Probate Court's authority to reach a
    different conclusion in equity when it divides the Tylers'
    marital assets upon finalization of their divorce."
    Discussion.   1.   Due process.   John's first argument is
    that he was denied his due process rights and his right to a
    fair trial because he did not receive a trial.     He also argues
    that the court's adoption of the special master's
    recommendations was in direct contradiction of the bifurcation
    the court previously ordered.   His final contention is that, on
    this record, he believes it is clear the parties and the court
    intended to go to trial and adopting the special master's
    3 The Probate and Family Court issued an order on December 11,
    2018, stating it would defer to the Superior Court on the issues
    of ownership and management of the LLC.
    3
    recommendations without a trial was fundamentally unfair.    To
    show that it was the court's intention that a trial occur after
    the special master's recommendations, John cites an email dated
    March 8, 2021, from a case manager of the Probate and Family
    Court, asking the parties for trial date availability.
    We note at the outset that the court's order appointing the
    special master was clear that the special master would both have
    the power to make recommendations regarding the "validity and
    enforceability of the parties' prenuptial agreement under
    Florida law," and regarding the "divorce and counterclaim."
    John does not challenge the appropriateness of that order on
    appeal.
    Here, where the order appointing the special master was
    clear, we see nothing on this record that shows John was
    deprived of his fundamental rights or that he was treated
    unfairly.   John having requested "an equitable division of the
    parties' marital estate" as part of a divorce, and Melissa
    having counterclaimed for divorce and enforcement of the
    prenuptial agreement, John was on notice from the court's order
    that the special master would be making recommendations on the
    issues of the agreement's validity and enforceability and the
    division of property.   John did not make any objection to the
    order granting the special master the authority to address the
    divorce and counterclaim until after the special master made his
    4
    recommendations to the probate court.    John had the opportunity
    to present the special master with evidence regarding the
    divorce and counterclaim.    He was able to present relevant
    evidence to the special master as shown by his affidavit and the
    fact that he submitted eighty-nine exhibits at the hearing
    before the special master.   Only then did the special master
    make his recommendations to the court.    Additionally, John made
    the court aware of the various areas in which he disagreed with
    the special master in his proposed amendments to the special
    master's draft report.    Only after hearing from both parties did
    the trial judge adopt the special master's recommendations.
    The case manager's email does not upset our conclusion that
    John was not deprived of his fundamental rights or treated
    unfairly.   The email asking for trial date availability makes
    clear the court's understanding, and by extension the parties'
    understanding, that a trial may occur, not that it was
    inevitable or required.
    We are also not persuaded that the special master's report
    of recommendations and the court's order adopting those
    recommendations inherently contradicted the order of
    bifurcation.   It is clear from the special master's report that
    he first considered the validity of the prenuptial agreement and
    the relevant law before making recommendations regarding the
    division of assets.   Bifurcation did not require separate
    5
    reports from the special master addressing the validity and
    enforceability of the prenuptial agreement and the divorce and
    counterclaim, as John's arguments seem to imply.
    2.   Florida law.   John next argues that the court erred in
    applying Florida law to interpret the prenuptial agreement.
    "Where the parties have expressed a specific intent as to
    the governing law, Massachusetts courts will uphold the parties'
    choice as long as the result is not contrary to public
    policy. . . and as long as the designated State has some
    substantial relation to the contract" (citation omitted).
    Steranko v. Inforex, Inc., 
    5 Mass. App. Ct. 253
    , 260 (1977).
    Although the prenuptial agreement clearly contains a paragraph
    that Florida law governs the agreement, John contends that
    Massachusetts law should apply to the interpretation of the
    agreement for public policy reasons.   His primary justification
    for this argument is that the parties resided in Massachusetts
    for most of their marriage.   John also argues that Massachusetts
    law should apply to the interpretation of the agreement because
    Florida does not have a substantial relation to the contract.
    Our review of whether the governing law provision of the
    agreement violates public policy is de novo.
    First, the result of enforcing this agreement is not
    contrary to public policy.    John argues that Florida law does
    not provide the protection provided by Massachusetts law to
    6
    prevent the enforcement of an "agreement that essentially strips
    the contesting spouse of substantially all of [his or her]
    marital interests."     Dematteo v. Dematteo, 
    436 Mass. 18
    , 37
    (2002).   This protection, however, only protects against the
    enforcement of an unconscionable contract.    John points to no
    evidence or findings that under Massachusetts law this contract
    would be unconscionable where under Florida law it is not.
    Therefore, we are not persuaded that enforcement of this
    contract is against public policy.    Additionally, we discern no
    other public policy concerns that would prohibit the application
    of Florida law in either the enforcement or the interpretation
    of this contract.
    Second, the special master was presented with evidence
    connecting the parties to Florida at the time when they signed
    the agreement, including Melissa's affidavit, which detailed
    numerous occasions when the parties resided in Florida.     The
    parties' history of residing in Florida at the time when they
    signed the agreement and their intent for the agreement to be
    governed by Florida laws is sufficient to show that Florida had
    a substantial relationship to the contract.
    For those reasons, the court was correct in ordering the
    special master to apply Florida law when interpreting the
    prenuptial agreement.
    7
    3.   Res judicata.   John's final argument is that the
    Probate and Family Court was barred from ordering the equal
    division of the LLC under the principle of res judicata.      Res
    judicata encompasses both the ideas of issue preclusion and
    claim preclusion.     See Santos v. U.S. Bank Nat'l Ass'n, 
    89 Mass. App. Ct. 687
    , 692 (2016).    After reviewing John's arguments, the
    only argument he has made in this appeal under the principle of
    res judicata that qualifies as an appellate argument is that of
    issue preclusion.4    See Mass. R. A. P. 16 (a) (9), as appearing
    in 
    481 Mass. 1628
     (2019).    Essentially, John argues that the
    Probate and Family Court could not divide the LLC as a marital
    asset because the Superior Court had already ruled that "John
    Tyler has the majority voting rights in and is the manager of
    154 Maverick LLC."    We review this claim de novo.
    Issue preclusion applies where (1) the earlier judgment is
    final and on the merits; (2) the current party was a party, or
    in privity with a party, in the previous case; (3) the past and
    present issues are identical; and (4) the issue was essential to
    the prior judgment.    See Kelso v. Kelso, 
    86 Mass. App. Ct. 226
    ,
    231 (2014).   John's argument fails because the issue before the
    Superior Court was determining who had ownership of the LLC
    4 We note that had John raised a valid argument of claim
    preclusion he likely would not have been successful because the
    Superior Court action was not based on the same underlying claim
    as this action for divorce.
    8
    prior to the divorce, which is not identical to the issue before
    the Probate and Family Court, which was who will have ownership
    after the divorce.     In cases like this, the Probate and Family
    Court has the power to "assign to either husband or wife all or
    any part of the estate of the other."      G. L. c. 208, § 34.    In
    order to make such allocations, the Probate and Family Court
    need not only decide ownership rights prior to the action, but
    also ownership rights after the action.        The Superior Court in
    this case assumed the role of deciding whether John was the
    owner of the LLC prior to a final judgement in the divorce
    action, not how the marital assets, including the LLC, should be
    divided.    For that reason, issue preclusion does not apply.
    Conclusion.   For all of the above reasons, we affirm the
    Probate and Family Court's order of partial judgment in this
    action, and the judgment of divorce nisi incorporating that
    partial judgment.
    Judgment affirmed.
    By the Court (Meade,
    Englander & Walsh, JJ.5),
    Clerk
    Entered:    May 23, 2023.
    5   The panelists are listed in order of seniority.
    9
    

Document Info

Docket Number: 22-P-0536

Filed Date: 5/23/2023

Precedential Status: Non-Precedential

Modified Date: 5/23/2023