DEBORAH POSNER VS. DAVID ZIMAND (FM-02-1546-08, BERGEN COUNTY AND STATEWIDE) ( 2019 )


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  •                                 NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court." Although it is posted on the
    internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-4535-17T4
    DEBORAH POSNER,
    Plaintiff-Respondent,
    v.
    DAVID ZIMAND,
    Defendant-Appellant.
    ____________________________
    Argued September 25, 2019 — Decided October 21, 2019
    Before Judges Gooden Brown and Mawla.
    On appeal from the Superior Court of New Jersey,
    Chancery Division, Family Part, Bergen County,
    Docket No. FM-02-1546-08.
    Jasmine Ashley Seabrooks argued the cause for
    appellant (Epstein Ostrove LLC, attorneys; Daniel Neil
    Epstein and Jasmine Ashley Seabrooks, on the briefs).
    Joshua Peter Cohn argued the cause for respondent
    (Cohn Lifland Pearlman Herrmann & Knopf, attorneys;
    Joshua Peter Cohn, on the brief).
    PER CURIAM
    Defendant David Zimand appeals from post-judgment orders dated
    February 16, April 27, and May 18, 2018, collectively requiring him to pay
    counsel fees to plaintiff Deborah Posner and his share of tuition and healthcare
    costs for the parties' children. We affirm.
    We take the following facts from the record. The parties married in 2001,
    divorced in 2008, and memorialized their settlement in a comprehensive divorce
    settlement agreement (DSA). Two children were born of the marriage, now
    seventeen and fifteen years of age, respectively. Both parties are employed.
    According to the DSA, plaintiff's yearly salary was $60,000 and defendant, who
    is self-employed as a photographer/videographer, earned $40,000 per year.
    Pursuant to the DSA, the parties mutually waived alimony, agreed there
    were no assets subject to equitable distribution, and defendant would pay
    plaintiff $500 per month in child support. Relevant to the issues raised on this
    appeal, the DSA stated the following:
    3.1. The parties acknowledge that the children
    will be continuously enrolled in a Jewish Orthodox
    school and a Jewish Orthodox camp.
    3.2. Both children will initially be enrolled in Ben
    Porat Yosef [BPY].[1]
    1
    Ben Porat Yosef is an Orthodox yeshiva day school, which offers an early
    childhood, elementary, and middle school education. Mission Statement, Ben
    A-4535-17T4
    2
    3.3. If either party wishes to have the children
    change schools, that party will provide the other party
    with a specific brochure of the prospective school, the
    costs therefore, and the reason or reasons for the
    suggested change. The other party will then have
    [thirty] days to object. If she or he does not object, then
    the children may be enrolled in the new school. If she
    or he objects, the objecting parent must specifically set
    forth her or his reason or reasons therefore, which could
    include continuing the children's enrollment in the
    same school that they were then attending or, if she or
    he elects an alternate school other than the children's
    then present school or the school suggested by the other
    parent, the objecting parent will provide a specific
    brochure, the costs and the reason or reasons therefore.
    The other party will then have [fifteen] days to accept
    or reject the alternate choice. If that party rejects the
    choice, then either party may apply to court for
    appropriate relief. . . .
    3.4. The parties' respective rights to participate in
    the selection of a school are conditioned upon that party
    paying his or her proportionate share of the costs
    therefor. If a parent does not contribute to the school
    costs, then that parent will not be able to participate in
    the decision-making process.           For purposes of
    calculating the proportionate share, both parties will be
    deemed to have to contribute one-half of the cost. Both
    parties will then be credited with any financial aid they
    receive.
    [(emphasis added)].
    Porat      Yosef        (Sept.       30,       2019,     3:33     PM),
    https://www.benporatyosef.org/apps/pages/index.jsp?uREC_ID=1244092&typ
    e=d&pREC_ID=1471726.
    A-4535-17T4
    3
    Post-judgment, plaintiff filed a motion to compel defendant to pay various
    child-related expenses, including tuition costs. The parties entered into a 2012
    consent order requiring defendant to pay the tuition arrears at a rate of $500 per
    month and modifying article 3.4 of their DSA to allow each parent to pay his/her
    share of tuition expenses directly to BPY. The consent order maintained each
    party's responsibility to pay for fifty percent of the tuition.
    As the parties' children matriculated, defendant failed to pay both his share
    of tuition expenses at BPY and their tuition at SAR High School,2 where both
    children are now enrolled. Plaintiff paid her share of the BPY tuition and paid
    the full SAR tuition for both freshman and sophomore years for one of the
    children.
    Plaintiff filed a post-judgment motion in January 2018, seeking to compel
    defendant to: (1) pay his share of the outstanding BPY tuition; (2) reimburse
    plaintiff for his share of the SAR tuition; and (3) contribute to the children's
    future tuition obligations. The motion sought other relief relating to parenting
    time, summer camp, and counsel fees. The judge entered the February 16, 2018
    order requiring, in pertinent part, defendant to reimburse plaintiff for his share
    2
    "SAR High School is a Modern Orthodox co-educational community of
    learners[.]" Our Mission, SAR Academy High School (Oct. 2, 2019 9:47 AM),
    www.saracademy.org/the-sar-experience/our-mission.
    A-4535-17T4
    4
    of the SAR tuition and pay fifty percent of the children's future tuition expenses,
    referring issues relating to parenting time and summer camp payments to
    mediation, and reserving counsel fees for determination at a subsequent hearing.
    Defendant moved for reconsideration, arguing the judge should have held
    a plenary hearing to resolve material factual disputes relating to the
    interpretation of the DSA regarding tuition payments and an ability to pay
    hearing on the court's order to pay past, and future, tuition obligations. Plaintiff
    cross-moved for attorney's fees and costs related to both her initial enforcement
    motion and the fees incurred defending the motion for reconsideration.
    The parties entered into a partial consent order dated April 27, 2018,
    resolving parenting time issues. Relevant to this appeal, the consent order also
    stated:
    [The] February 16, 2018 [order] shall be amended such
    that any and all remaining financial obligation to . . .
    [BPY] . . . shall be the sole and exclusive responsibility
    of [d]efendant. . . . Defendant will remain current on
    his SAR (or other such school as the children may be
    attending) tuition reimbursement obligation to
    [p]laintiff before paying BPY.
    Thereafter, the motion judge entered a separate order on the same date
    adjudicating the issues the parties could not resolve.          The judge denied
    defendant's motion for reconsideration and request for a plenary hearing, and
    A-4535-17T4
    5
    granted plaintiff the right to seek counsel fees. At oral argument, the judge
    concluded there was no basis to grant reconsideration because it would be
    tantamount to re-writing the parties' DSA and subsequent consent orders
    wherein they agreed to share in the children's educational costs. The judge also
    found defendant could meet his financial obligation, but was voluntarily
    underemployed. She referred to the New Jersey Department of Labor and
    Workforce Development occupation wage statistics and imputed $75,080 as
    income for defendant based upon the ninetieth percentile of wage earners
    employed as photographers. According to the judge, this figure put defendant's
    income on par with plaintiff whose income was $70,000 at the time.
    On May 18, 2018, the court also entered an order granting plaintiff counsel
    fees and costs relating to her enforcement motion and defendant's motion for
    reconsideration. In her oral findings, the judge addressed each factor of Rule
    5:3-5(c), and pursuant to Rule 4:42-9(a)(1), every factor of RPC 1.5(a).
    The judge concluded plaintiff acted reasonably and in good faith in
    prosecuting her enforcement       motion and defending the motion for
    reconsideration. On the other hand, the judge concluded defendant's claim he
    could not meet his financial obligations was "disingenuous." The judge relied
    upon her earlier imputation of income to defendant for purposes of determining
    A-4535-17T4
    6
    his ability to pay fees. She found he acted unreasonably in failing to meet his
    financial obligations and noted "[e]ven in the midst of litigation, defendant
    continued to oppress [plaintiff] as she tried to deal in good faith."
    Regarding the motion for reconsideration, the motion judge said: "Again,
    . . . [defendant] had not been paying anything towards the children's expenses.
    So, the fact that [plaintiff] has not only had to cover all of their expenses, but
    pay more counsel fees to defend what I found to be a frivolous application really
    underscores the defendant's bad faith." The judge awarded plaintiff counsel fees
    and costs of $23,828.25.
    I.
    "The scope of appellate review of a trial court's fact-finding function is
    limited. The general rule is that findings by the trial court are binding on appeal
    when supported by adequate, substantial, credible evidence." Cesare v. Cesare,
    
    154 N.J. 394
    , 411-12 (1998) (citation omitted). The "'court must give due
    recognition to the wide discretion which our law rightly affords to the trial
    judges'" and disturb such determinations only where the court abused its
    discretion. Larbig v. Larbig, 
    384 N.J. Super. 17
    , 21, 23 (App. Div. 2006)
    (quoting Martindell v. Martindell, 
    21 N.J. 341
    , 355 (1956)). Appellate courts
    reverse only if there is "'a denial of justice' because the family court's
    A-4535-17T4
    7
    'conclusions are . . . "clearly mistaken" or "wide of the mark."'" Parish v. Parish,
    
    412 N.J. Super. 39
    , 48 (App. Div. 2010) (quoting N.J. Div. of Youth & Family
    Servs. v. E.P., 
    196 N.J. 88
    , 104 (2008)). "This court does not accord the same
    deference to a trial judge's legal determinations. . . . Rather, all legal issues are
    reviewed de novo." Ricci v. Ricci, 
    448 N.J. Super. 546
    , 565 (App. Div. 2017)
    (citation omitted).
    Furthermore, "where there is a denial of a motion for reconsideration
    [pursuant to Rule 4:49-2], the standard . . . is 'abuse of discretion.'" Cummings
    v. Bahr, 
    295 N.J. Super. 374
    , 389 (App. Div. 1996) (citation omitted). We
    review counsel fee determinations for an abuse of discretion as well. Barr v.
    Barr, 
    418 N.J. Super. 18
    , 46 (App. Div. 2011).
    On appeal, defendant challenges the February 2018 order directing him to
    pay his fifty percent share of tuition directly to BPY, reimburse plaintiff for the
    first two years of SAR tuition, and contribute half of the children's SAR tuition
    going forward. He challenges the April 2018 order denying his motion for
    reconsideration and request for a plenary hearing, and compelling him to pay
    one of the children's summer enrichment expenses. Defendant also contests the
    May 2018 order directing him to pay plaintiff's counsel fees.
    A-4535-17T4
    8
    A.
    Defendant argues the motion judge abused her discretion in failing to hold
    a plenary hearing after conflicting certifications from the parties revealed
    material facts in dispute surrounding the significance of articles 3.1 and 3.4 of
    the DSA. He argues the DSA "is at the very least ambiguous as to whether either
    party is required to contribute to school tuition where that party has not
    participated in the decision-making process," and by failing to conduct a plenary
    hearing, the court impermissibly "rewrote" the contract in favor of the pla intiff.
    While "trial judges cannot resolve material factual disputes upon
    conflicting affidavits and certifications," "not every factual dispute that arises
    in the context of matrimonial proceedings triggers the need for a plenary
    hearing." Harrington v. Harrington, 
    281 N.J. Super. 39
    , 47 (App. Div. 1995)
    (internal citations omitted). "Generally, the terms of an agreement are to be
    given their plain and ordinary meaning." M.J. Paquet, Inc. v. N.J. Dep't. of
    Transp., 
    171 N.J. 378
    , 396 (2002) (citing Nester v. O' Donnell, 
    301 N.J. Super. 198
    , 210 (App. Div. 1997)). "[W]here the terms of a contract are clear and
    unambiguous there is no room for interpretation or construction and the courts
    must enforce those terms as written." Karl's Sales & Serv., Inc. v. Gimbel Bros.,
    
    249 N.J. Super. 487
    , 493 (App. Div. 1991) (internal citations omitted); accord
    A-4535-17T4
    9
    Cty. of Morris v. Fauver, 
    153 N.J. 80
    , 103 (1998). "When seeking the parties'
    intent, agreement terms should be read in context to the whole rather than
    focusing on isolated phrases or paragraphs." Hoefers v. Jones, 
    288 N.J. Super. 590
    , 602 (Ch. Div. 1994), aff'd, 
    288 N.J. Super. 478
    (App. Div. 1996) (internal
    citation omitted). The court must "discern and implement the common intention
    of the parties," by "consider[ing] what is written in the context of the
    circumstances at the time of drafting" and "apply[ing] a rational meaning"
    consistent with the parties' "'expressed general purpose.'" Pacifico v. Pacifico,
    
    190 N.J. 258
    , 266 (2007) (internal citations omitted).
    We reject defendant's argument that the DSA was ambiguous. As the
    motion judge found, in paragraph 3.1 of the DSA, the parties agreed the children
    would "be continuously enrolled in a Jewish [o]rthodox school, and a Jewish
    [o]rthodox camp[.]" Paragraph 3.4 clearly states that for a parent to have a voice
    in selecting the children's school, the parent must have paid his or her share of
    the educational expenses. A plain reading of the language in the DSA does not
    support defendant's meritless argument that a parent may opt out of selecting a
    school and also neglect to pay the children's school expenses.          Moreover,
    defendant re-affirmed his understanding of the language in the DSA by signing
    the 2012 consent order, four years later, agreeing to pay his share of the expense.
    A-4535-17T4
    10
    The DSA's language is unambiguous and did not necessitate a plenary hearing
    to understand the parties' common intent.
    We also reject defendant's argument that a plenary hearing was necessary
    to determine whether he had the ability to pay. Paragraph 3.2 memorialized the
    fact that the children were already attending BPY when the DSA was signed.
    The DSA also memorialized defendant's income was $40,000 at the time he
    agreed to share in the cost. During the April 27, 2018 hearing, defendant's
    counsel conceded defendant's income nearest the date of the hearing averaged
    $37,795 for 2016 and 2017. Moreover, defendant filed a case information
    statement (CIS) and certified to a budget totaling $4779 per month or $57,348
    per year with no debt service expense. Therefore, the judge did not abuse her
    discretion when she found no prima facie change of circumstances to warrant a
    plenary hearing.
    B.
    Defendant argues the judge should not have imputed income of $75,080
    per year to him. He asserts plaintiff failed to make a proper showing of his
    voluntary underemployment or demonstrate defendant had the capacity to earn
    over $40,000 per year. He contends the orders requiring him to contribute to
    A-4535-17T4
    11
    the children's expenses and pay plaintiff's counsel fees were based on the
    erroneous imputation and should be reversed.
    "'"Imputation of income is a discretionary matter not capable of precise or
    exact determination[,] but rather require[s] a trial judge to realistically appraise
    capacity to earn and job availability."'" Elrom v. Elrom, 
    439 N.J. Super. 424
    ,
    434 (App. Div. 2015) (alterations in original) (citations and internal quotations
    omitted). In Elrom, we noted the authority to impute income
    is incorporated in the New Jersey Child Support
    Guidelines (Guidelines).     See R. 5:6A (adopting
    Guidelines set forth in Appendix IX-A to the Court
    Rules). The Guidelines state:
    [i]f the court finds that either parent is, without
    just cause, voluntarily underemployed or unemployed,
    it shall impute income to that parent according to the
    following priorities:
    a. impute income based on potential
    employment and earning capacity using the
    parent's work history, occupational
    [qualifications], educational background,
    and prevailing job opportunities in the
    region. The court may impute income
    based on the parent's former income at that
    person's usual or former occupation or the
    average earnings for that occupation as
    reported by the New Jersey Department of
    Labor (NJDOL);
    A-4535-17T4
    12
    
    [Elrom, 439 N.J. Super. at 435
    (alteration in original)
    (quoting Pressler & Verniero, Current N.J. Court Rules,
    cmt. 12 on Appendix IX-A to R. 5:6A at 2635 (2015)).]
    Additionally:
    In determining whether income should be
    imputed to a parent and the amount of such income, the
    court should consider: (1) what the employment status
    and earning capacity of that parent would have been if
    the family had remained intact or would have formed,
    (2) the reason and intent for the voluntary
    underemployment or unemployment, (3) the
    availability of other assets that may be used to pay
    support, and (4) the ages of any children in the parent's
    household and child-care alternatives. . . . When
    imputing income to a parent who is caring for young
    children, the parent's income share of child-care costs
    necessary to allow that person to work outside the home
    shall be deducted from the imputed income.
    [Id. at 439 (quoting Pressler & Verniero, Current N.J.
    Court Rules, cmt. 12 on Appendix IX-A to R. 5:6A at
    2635).]
    Defendant's claims he could not earn greater than $40,000 did not coincide
    with his CIS expenses, which were 150% greater than his alleged earnings, the
    sophistication of his web presence, or the well-to-do geographic location of his
    business and potential clientele. Moreover, as we have explained, according to
    the DSA and the subsequent consent order, defendant's obligation to contribute
    to the children's schooling and expenses was predicated upon his earnings of
    $40,000. Defendant failed to demonstrate a change in circumstances from the
    A-4535-17T4
    13
    time he entered into these agreements. Therefore, although the better practice
    would have been for the judge to address the aforementioned guidelines' factors
    in her imputation analysis, they would not have changed the outcome because
    the judge's findings were supported by the substantial, credible evidence in the
    record.
    Similarly, the imputation had little bearing on whether counsel fees were
    properly assessed against defendant because the judge determined he acted in
    bad faith. As a general proposition "where one party acts in bad faith, the
    relative economic position of the parties has little relevance." Kelly v. Kelly,
    
    262 N.J. Super. 303
    , 307 (Ch. Div. 1992).
    For these reasons, the income imputation is not a basis to reverse the
    counsel fee award. Defendant's remaining arguments regarding the counsel fee
    award, namely, the judge failed to properly apply the facts to Rule 5:3-5(c) and
    N.J.S.A. 2A:34-23, are without sufficient merit to warrant discussion in a
    written opinion. R. 2:11-3(e)(1)(E).
    Affirmed.
    A-4535-17T4
    14