Vacheresse v. Paulchel , 2023 Ohio 3226 ( 2023 )


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  • [Cite as Vacheresse v. Paulchel, 
    2023-Ohio-3226
    .]
    IN THE COURT OF APPEALS OF OHIO
    TENTH APPELLATE DISTRICT
    Theresa L. Vacheresse,                              :
    Plaintiff-Appellant,                :
    No. 22AP-583
    v.                                        :          (C.P.C. No. 20DR-0244)
    Ronnie A. Paulchel,                                 :        (REGULAR CALENDAR)
    Defendant-Appellee.                 :
    D E C I S I O N
    Rendered on September 12, 2023
    On brief: Smith, Meier & Webb, LPA, and Mark D. Webb for
    appellant. Argued: Mark D. Webb.
    On brief: Mary C. Ansbro for appellee. Argued: Mary C.
    Ansbro.
    APPEAL from the Franklin County Court of Common Pleas
    Division of Domestic Relations
    EDELSTEIN, J.
    {¶ 1} Plaintiff-appellant, Theresa L. Vacheresse, appeals from the August 31, 2022
    judgment entry and final divorce decree of the Franklin County Court of Common Pleas,
    Division of Domestic Relations. On appeal, Ms. Vacheresse takes issue with the trial court’s
    division of marital assets and valuation of marital real estate. For the following reasons, we
    affirm.
    I. FACTS AND PROCEDURAL OVERVIEW
    {¶ 2} Ms. Vacheresse and defendant-appellee, Ronnie A. Paulchel, were married in
    2002. No children were born or adopted as issue of the marriage. Because they were
    married later in life, the parties brought established careers, assets, and debts to the
    No. 22AP-583                                                                                2
    marriage. During their marriage, the parties also accumulated significant assets, including
    three residences, two businesses, several motor vehicles, bank accounts, and airline miles.
    {¶ 3} Prior to and during their marriage, Ms. Vacheresse worked for Mr. Paulchel
    at the Good Feet franchise store (LivWell LLC) he owned before they were wed. During
    their marriage, the parties created two new business entities together, LivWell II, LLC and
    LivWell III, LLC, whose sole assets are likewise franchises of Good Feet stores. Although
    Ms. Vacheresse had a doctorate of podiatric medicine, she was not working in that capacity
    during the parties’ relationship and marriage.
    {¶ 4} In 2020, Ms. Vacheresse filed a complaint for divorce. Two weeks later, Mr.
    Paulchel filed his answer and counterclaim. Although many contested matters arose during
    the pendency of litigation in the court below, most are not relevant to our determination of
    the issues before us. Suffice it to say the divorce proceedings were heavily litigated and not
    particularly amicable.
    {¶ 5} The trial court held a five-day divorce trial in November/December 2021. As
    part of that trial, the parties filed joint stipulations on November 17, 2021, which were
    accepted by the trial court and admitted into the record. Among other things, the parties
    agreed on the values of many assets and the division of some assets. At trial, both parties
    testified extensively about their various assets and debts. Mr. Paulchel also presented
    testimony from Kathee Ingram, his business accountant, and Michael Crolius, his business
    organizer and friend. After the trial concluded, the parties submitted written closing
    arguments and proposed decrees of divorce.
    {¶ 6} On August 31, 2022, the trial court issued a decision with findings of fact and
    conclusions of law on the various issues contested by the parties. In relevant part, the trial
    court ordered that Mr. Paulchel retain his brokerage accounts and IRA accounts—valued at
    approximately $1,434,136—and Ms. Vacheresse retain her IRA account of $26,014. (Aug.
    31, 2022 Divorce Decree at 7-8, 18.)
    {¶ 7} The trial court also ordered the real estate located at 855 W. Coshocton Street
    in Johnstown, Ohio be sold and the parties equally divide the net proceeds of its sale.
    (Divorce Decree at 17.) In the alternative, the trial court afforded Mr. Paulchel the option
    to refinance the home and buy out Ms. Vacheresse’s portion of her equity in the home.
    (Divorce Decree at 17.) At trial, the parties disagreed on the value of this asset, with each
    No. 22AP-583                                                                                                   3
    testifying as to their own estimations of its value.1 (Divorce Decree at 4.) Ms. Vacheresse
    opined its value was $1,000,000 at the time of trial (Nov. 18, 2021 Trial Tr. Vol. II at 94;
    Nov. 30, 2021 Trial Tr. Vol. III at 191-93), while Mr. Paulchel approximated its value was
    $420,000 (see Dec. 1, 2021 Trial Tr. Vol. IV at 370-84).
    {¶ 8} Of note, the parties had the Johnstown home appraised prior to trial. (Tr.
    Vol. II at 187-89; Tr. Vol. III at 381-82.) Although Mr. Paulchel paid for the appraisal, he
    permitted Ms. Vacheresse’s counsel to select the appraiser. (See Tr. Vol. II at 187-89; Tr.
    Vol. III at 381-82.) Her attorney chose Samuel D. Koon & Associates, who appraised the
    Johnstown home at $575,000. (See Trial Ex. B.) Ms. Vacheresse testified she did not agree
    with that appraised value, but conceded she did not have a realtor’s license, real estate
    appraisal certificate, real estate sales experience in the area, or a substantive basis for
    challenging the qualifications of the appraiser selected by her attorney. (See Tr. Vol. III at
    188-93.)     Although Mr. Paulchel believed the appraiser overvalued the property, he
    nonetheless indicated his amenability to the appraiser’s $575,000 valuation. (Tr. Vol. IV
    at 370-71. See Tr. Vol. III at 189; Trial Ex. B.) Neither party called the appraiser as a witness
    at trial, but the appraisal report was admitted into evidence at the close of trial, without
    objection from Ms. Vacheresse’s trial counsel. (Dec. 2, 2021 Trial Tr. Vol. V at 593-96. See
    Trial Ex. B.)
    {¶ 9} Ultimately, the trial court found that Ms. Vacheresse’s assessment of the
    Johnstown property’s value was not “of sufficient credibility to overrule by almost doubling
    a professional appraiser’s valuation.” (Divorce Decree at 4.) In accepting the appraised
    value of $575,000, the trial court “note[d] the extensive appraisal report, its meticulous
    cataloguing of methodology, sources, and extensive supporting materials to justify its
    valuation.” (Divorce Decree at 4.) On appeal, Ms. Vacheresse asserts in her second
    assignment of error that the trial court erred in admitting and relying on the appraisal’s
    valuation of the Johnstown home.
    1 The parties also disagreed on whether it was an entirely marital asset (Ms. Vacheresse’s position) or if it had
    some separate property contained within its equity (Mr. Paulchel’s position). (Divorce Decree at 4.) The trial
    court found Mr. Paulchel failed to prove the separate nature of any part of the home by a preponderance of
    the evidence. (Divorce Decree at 4.) Mr. Paulchel did not cross-appeal, so the propriety of that finding is not
    before us.
    No. 22AP-583                                                                                 4
    {¶ 10} After all allocations were ordered, the trial court recognized its distribution
    of the marital assets—which totaled $7,359,385—was not entirely equal. (Divorce Decree
    at 20.) Nonetheless, the court declined to order an equalization payment, thus leaving Ms.
    Vacheresse with a net marital asset distribution of 45.10 percent and Mr. Paulchel with
    54.90 percent of the total marital assets. (Divorce Decree at 21.) In her first assignment of
    error, Ms. Vacheresse challenges the trial court’s failure to equalize the marital assets.
    {¶ 11} Ms. Vacheresse timely appealed from the trial court’s August 31, 2022
    judgment and asserts two assignments of error for our review:
    [I.] THE COURT ABUSED ITS DISCRETION AND DID NOT MAKE
    AN EQUITABLE DIVISION OF PROPERTY IN FAILING TO
    EQUALIZE THE MARITAL ASSETS OF THE PARTIES.
    [II.] THE TRIAL COURT ABUSED ITS DISCRETION IN RELYING
    UPON AND ADMITTING INAPPROPRIATE EVIDENCE AND IN
    THE VALUATION AND DISPOSITION OF THE MARITAL REAL
    ESTATE LOCATED AT 855 W. COSHOCTON, JOHNSTOWN, OHIO.
    II. ANALYSIS
    {¶ 12} Ms. Vacheresse’s first and second assignments of error relate to the trial
    court’s division of marital property and valuation of the Johnstown residence, respectively.
    Because a trial court’s valuation determinations precede its equitable division analysis, we
    address her two assignments of error in reverse order.
    A. Law and Standards of Review
    {¶ 13} In divorce proceedings, the trial court is required to determine what
    constitutes marital property and what constitutes separate property. R.C. 3105.171(B).
    Upon making such determinations, the trial court must divide the marital and separate
    property equitably, between the spouses, in accordance with R.C. 3105.171.
    R.C. 3105.171(B).
    {¶ 14} R.C. 3105.171(C)(1) generally provides that marital property shall be divided
    equally, unless an equal division would be inequitable, in which case the property shall be
    divided in the manner the trial court determines equitable. To do this, the trial court must
    value the marital property to determine an appropriate division.            See Raymond v.
    Raymond, 10th Dist. No. 11AP-363, 
    2011-Ohio-6173
    , ¶ 22.
    No. 22AP-583                                                                               5
    {¶ 15} A domestic relations court enjoys broad discretion in valuing and fashioning
    a division of marital property. See, e.g., Fernando v. Fernando, 10th Dist. No. 16AP-788,
    
    2017-Ohio-9323
    , ¶ 25-26; Kaechele v. Kaechele, 
    35 Ohio St.3d 93
    , 95 (1988); Sangeri v.
    Yerra, 10th Dist. No. 19AP-675, 
    2020-Ohio-5520
    , ¶ 25. Thus, we generally review the
    overall appropriateness of a trial court’s determination of marital property division in
    divorce proceedings under an abuse-of-discretion standard. See, e.g., Teeter v. Teeter, 
    18 Ohio St.3d 76
     (1985), citing Cherry v. Cherry, 
    66 Ohio St.2d 348
    , 355 (1981).
    {¶ 16} “[A]buse of discretion connotes that the court’s attitude is unreasonable,
    arbitrary, or unconscionable.” (Internal quotations omitted.) State v. Weaver, ___ Ohio
    St.3d ___, 
    2022-Ohio-4371
    , ¶ 24, quoting State v. Gondor, 
    112 Ohio St.3d 377
    , 2006-Ohio-
    6679, ¶ 60, quoting State v. Adams, 
    62 Ohio St.2d 151
    , 157 (1980). “A decision is
    unreasonable if there is no sound reasoning process that would support the decision.”
    (Internal quotations omitted.) Fernando at ¶ 7, quoting AAAA Ents., Inc. v. River Place
    Community Urban Redevelopment Corp., 
    50 Ohio St.3d 157
    , 161 (1990). A decision is
    arbitrary if it is made “without consideration of or regard for facts [or] circumstances.”
    (Internal quotations omitted.) State v. Hill, ___ Ohio St.3d ___, 
    2022-Ohio-4544
    , ¶ 9,
    quoting State v. Beasley, 
    152 Ohio St.3d 470
    , 
    2018-Ohio-16
    , ¶ 12, quoting Black’s Law
    Dictionary 125 (10th Ed.2014). A decision may also be arbitrary if it lacks any adequate
    determining principle and is not governed by any fixed rules or standards. See Beasley at
    ¶ 12, citing Dayton ex rel. Scandrick v. McGee, 
    67 Ohio St.2d 356
    , 359 (1981), citing Black’s
    Law Dictionary 96 (5th Ed.1979). See also State v. Hackett, 
    164 Ohio St.3d 74
    , 2020-Ohio-
    6699, ¶ 19. A decision is unconscionable if it “affronts the sense of justice, decency, or
    reasonableness.” Fernando at ¶ 7, citing Porter, Wright, Morris & Arthur, LLP v. Frutta
    Del Mondo, Ltd., 10th Dist. No. 08AP-69, 
    2008-Ohio-3567
    , ¶ 11.
    {¶ 17} An abuse of discretion may also be found where a trial court “applies the
    wrong legal standard, misapplies the correct legal standard, or relies on clearly erroneous
    findings of fact.” Thomas v. Cleveland, 
    176 Ohio App.3d 401
    , 
    2008-Ohio-1720
    , ¶ 15 (8th
    Dist.). See also New Asian Super Mkt. v. Jiahe Weng, 10th Dist. No. 17AP-207, 2018-Ohio-
    1248, ¶ 16.
    No. 22AP-583                                                                                  6
    B. Second Assignment of Error
    {¶ 18} Ms. Vacheresse’s second assignment of error relates to the trial court’s
    valuation of the Johnstown property. Ms. Vacheresse testified she believed it was worth
    approximately $1,000,000 (Tr. Vol. II at 94), whereas Mr. Paulchel estimated its value at
    $420,000 (Tr. Vol. IV at 370). At trial, Mr. Paulchel also produced an appraisal report—
    from an appraiser selected by Ms. Vacheresse’s trial counsel—which valued the Johnstown
    property at $575,000. (See Tr. Vol. III at 188-94; Tr. Vol. IV at 370-87; Trial Ex. B.)
    Although the trial court sustained objections to trial counsel’s attempt to question Ms.
    Vacheresse about this report (Tr. Vol. III at 190-91, 260-63), the appraisal report was
    nonetheless admitted as evidence without objection at the close of trial (Tr. Vol. V at 593-
    96). Neither party called its authors to testify at trial, and Ms. Vacheresse did not present
    any expert evidence—e.g., a report from another appraiser or testimony from a qualified
    realtor—concerning the value of the Johnstown property at trial.
    {¶ 19} On appeal, Ms. Vacheresse asserts the trial court erred and abused its
    discretion by admitting and relying on the appraisal report to determine the value for the
    Johnstown residence. For the following reasons, we disagree.
    1. Legal Standards
    {¶ 20} “R.C. 3105.171 expresses no specific way for the trial court to determine
    valuation.” Banchefsky v. Banchefsky, 10th Dist. No. 09AP-1011, 
    2010-Ohio-4267
    , ¶ 43,
    citing Focke v. Focke, 
    83 Ohio App.3d 552
    , 554 (10th Dist.1992). Furthermore, “ ‘Ohio
    courts have not specified that only one method of valuation is appropriate when dividing
    marital property.’ ” Kuper v. Halbach, 10th Dist. No. 09AP-899, 
    2010-Ohio-3020
    , ¶ 12,
    quoting Herrmann v. Herrmann, 12th Dist. No. CA99-01-006, 
    2000 Ohio App. LEXIS 5146
    , *14 (Nov. 6, 2000). Accordingly, “[w]hen determining the value of marital assets, a
    trial court is not confined to the use of a particular valuation method, but can make its own
    determination as to valuation based on the evidence presented.” Day v. Day, 10th Dist.
    No. 08AP-440, 
    2009-Ohio-638
    , ¶ 10, citing James v. James, 
    101 Ohio App.3d 668
    , 681 (2d
    Dist.1995). See also Smoyer v. Smoyer, 10th Dist. No. 18AP-365, 
    2019-Ohio-3461
    , ¶ 40.
    {¶ 21} It is well-established, then, that a trial court generally has broad discretion to
    develop some measure of value. See, e.g., Berish v. Berish, 
    69 Ohio St.2d 318
     (1982);
    Sangeri, 
    2020-Ohio-5520
     at ¶ 25. Thus, the “valuation of marital assets is typically a
    No. 22AP-583                                                                                  7
    factual issue that is left to the discretion of the trial court.” Roberts v. Roberts, 10th Dist.
    No. 08AP-27, 
    2008-Ohio-6121
    , ¶ 18, citing Berish at 319. See also Raymond, 2011-Ohio-
    6173 at ¶ 22; Day at ¶ 11.
    {¶ 22} “ ‘Although a trial court enjoys broad discretion in determining the value of a
    marital asset, such discretion is not without limit.’ ” Fernando, 
    2017-Ohio-9323
     at ¶ 26,
    quoting Apps v. Apps, 10th Dist. No. 02AP-1072, 
    2003-Ohio-7154
    , ¶ 38. “A trial court’s
    assignment of an asset’s value must be based upon competent, credible evidence,” meaning
    “evidence that is both competent, credible evidence of value and a rational basis upon which
    to establish the value.” Warren v. Warren, 10th Dist. No 09AP-101, 
    2009-Ohio-6567
    , ¶ 15.
    That is to say, “[a] trial court must have a rational evidentiary basis for assigning value to
    marital property.” Fernando at ¶ 26. See also Dach v. Homewood, 10th Dist. No. 14AP-
    502, 
    2015-Ohio-4191
    , ¶ 36.
    {¶ 23} “ ‘An appellate court’s duty is not to require the adoption of any particular
    method of valuation, but to determine whether, based upon all the relevant facts and
    circumstances, the court abused its discretion in arriving at a value.’ ” Fernando at ¶ 26,
    quoting Apps at ¶ 38. Because this court is not a trier of fact, our role is to determine
    whether there is relevant, competent, and credible evidence upon which the fact finder
    could base his or her judgment. See, e.g., Miller v. Miller, 10th Dist. No. 18AP-877, 2021-
    Ohio-4573, ¶ 15; Tennant v. Martin-Auer, 
    188 Ohio App.3d 768
    , 
    2010-Ohio-3489
    , ¶ 16 (5th
    Dist.). We must uphold “ ‘a trial court’s determination of valuation which is based upon
    competent, credible evidence absent a showing of an abuse of discretion.’ ” Banchefsky at
    ¶ 43, quoting Moro v. Moro, 
    68 Ohio App.3d 630
    , 637 (8th Dist.1990).
    2. Analysis
    {¶ 24} On appeal, Ms. Vacheresse contends the trial court erred when it admitted
    the appraisal report as evidence of the Johnstown property’s value because neither of its
    authors—Brian J. Sapp and Samuel D. Koon of Samuel D. Koon & Associates—appeared as
    a witness to testify and be subject to cross-examination about it. She also argues the trial
    court abused its discretion in relying on this report to value the Johnstown property.
    {¶ 25} “ ‘Ordinarily, a trial court is vested with broad discretion in determining the
    admissibility of evidence in any particular case, so long as such discretion is exercised in
    line with the rules of procedure and evidence.’ ” State v. L.E.F., 10th Dist. No. 13AP-1042,
    No. 22AP-583                                                                                  8
    
    2014-Ohio-4585
    , ¶ 4, quoting Rigby v. Lake Cty., 
    58 Ohio St.3d 269
    , 271 (1991).
    Accordingly, an appellate court generally limits its review of a trial court’s admission or
    exclusion of evidence to whether the trial court abused its discretion. 
    Id.,
     citing Reinoehl
    v. Trinity Universal Ins. Co., 
    130 Ohio App.3d 186
    , 195 (10th Dist.1998).
    {¶ 26} Ms. Vacheresse concedes, however, that her trial counsel did not object to the
    admission of the appraisal report that she now alleges was erroneously admitted by the trial
    court. (Appellant’s Brief at 22.) But, she nonetheless “asserts that plain error is not
    appropriate” because her trial counsel objected to the report when she was questioned
    about it on cross-examination. (Appellant’s Brief at 23.) That argument is not well-taken.
    {¶ 27} It is well-established that “[g]enerally, when a party fails to renew an
    objection at the time exhibits are admitted into evidence, that party waives the ability to
    raise the admission as error on appeal, unless plain error is shown.” Odita v. Phillips, 10th
    Dist. No. 09AP-1172, 
    2010-Ohio-4321
    , ¶ 56, citing Nicula v. Nicula, 8th Dist. No. 84049,
    
    2009-Ohio-2114
    . See also State v. Smith, 
    80 Ohio St.3d 89
    , 107 (1997). Because Ms.
    Vacheresse’s trial counsel failed to object to the admission of the appraisal report as an
    exhibit at the time Mr. Paulchel’s counsel moved to admit it into evidence, we limit our
    review to whether the alleged error rises to the level of plain error. Evid.R. 103(A)(1), (D).
    {¶ 28} “In civil cases, courts apply the doctrine of plain error ‘with the utmost
    caution.’ ” Marshall v. Marshall, 10th Dist. No. 18AP-543, 
    2019-Ohio-684
    , ¶ 8, quoting
    Goldfuss v. Davidson, 
    79 Ohio St.3d 116
    , 121 (1997). Courts find plain error “ ‘only in the
    extremely rare case involving exceptional circumstances where error * * * seriously affects
    the basic fairness, integrity, or public reputation of the judicial process, thereby challenging
    the legitimacy of the underlying judicial process itself.’ ” 
    Id.,
     quoting Goldfuss at syllabus.
    {¶ 29} Ms. Vacheresse has not presented this court with any argument explaining
    how the trial court’s alleged error in admitting the appraisal report for the Johnstown home
    undermined the legitimacy of the judicial process in this case. Instead, she generally claims
    “the admission of and reliance upon [the] valuation [contained in that report] did seriously
    affect the process and [her] substantial rights[,]” without explaining why she believes that
    is so. (See Appellant’s Brief at 23.) Ms. Vacheresse cites to the “amount of discrepancy at
    issue” and her “failure to confront” the appraiser about the valuation as issues that bore out
    from the erroneous admission of the report. (See Appellant’s Brief at 23.) But even
    No. 22AP-583                                                                                 9
    assuming the admission of this appraisal report was erroneous, we do not find its admission
    undermined the legitimacy of the judicial process given the facts and circumstances of this
    case. Thus, we decline to address whether the trial court plainly erred in admitting the
    appraisal report because we find that, even if it did, Ms. Vacheresse does not sufficiently
    establish she was prejudiced by its admission, for the reasons that follow.
    {¶ 30} Ms. Vacheresse’s trial counsel selected the appraiser for the Johnstown
    property. (See Tr. Vol. III at 188-89; Tr. Vol. IV at 381-82.) Evidence in the record suggests
    a copy of the report was sent to Ms. Vacheresse’s trial counsel on April 19, 2021. (See Trial
    Ex. B.) At trial, Ms. Vacheresse’s attorney did not contest the qualifications of the appraiser
    she selected. Nor did Ms. Vacheresse’s trial counsel claim the report relied on inaccurate
    information or unaccepted methods of valuation. And although neither party agreed with
    the appraiser’s valuation of the Johnstown property, only Mr. Paulchel indicated a
    willingness to accept it. (See Tr. Vol. IV at 370-87.)
    {¶ 31} Neither party called the appraiser to testify about the report at trial. And,
    other than offering their own lay opinions about the value of the property, neither party
    presented alternative expert evidence concerning the value of the Johnstown property.
    While there is no general burden of proof with respect to the division of property, “ ‘[e]ach
    side has the burden of going forward with evidence as to any [R.C. 3105.18(C)(1)] factor
    which it wants considered, bringing forth facts tending to prove its version of the manner
    in which such factors should be applied.’ ” Banchefsky v. Banchefsky, 10th Dist. No. 13AP-
    300, 
    2014-Ohio-899
    , ¶ 28, quoting Barrientos v. Barrientos, 3d Dist. No. 5-12-13, 2013-
    Ohio-424, ¶ 37, citing Stetler v. Stetler, 
    6 Ohio App.3d 29
     (3d Dist.1983). See also Reichert
    v. Reichert, 3d Dist. No. 8-90-21, 
    1992 Ohio App. LEXIS 294
    , *4-5 (Jan. 17, 1992).
    {¶ 32} Because her trial counsel received the report months before the divorce trial
    commenced (see Trial Ex. B), Ms. Vacheresse had ample time to seek an alternative expert
    opinion that was more in-line with the valuation she felt was appropriate. Yet, Ms.
    Vacheresse presented no such expert opinion at trial. She did not offer her own appraisals
    into evidence or call any qualified experts to testify about their assessment of the Johnstown
    property’s value. Thus, Ms. Vacheresse submitted no evidence to establish, or support
    No. 22AP-583                                                                                                 10
    her testimony, that the Johnstown property should be valued at $1,000,000.2
    {¶ 33} In contrast, Mr. Paulchel presented an appraisal report from an appraiser Ms.
    Vacheresse’s trial counsel selected. Although the trial court sustained objections concerning
    trial counsel’s questioning of Ms. Vacheresse about the report on the third day of trial (Tr.
    Vol. III at 190-91, 260-63), Mr. Paulchel was permitted to testify about that appraisal on
    the fourth day (see Tr. Vol. IV at 370-87). And, most critically, when Mr. Paulchel’s trial
    counsel moved to admit the appraisal report as evidence on the fifth day, Ms. Vacheresse’s
    attorney did not object to its admission. (Tr. Vol. V at 593-96.)
    {¶ 34} In supplemental briefing ordered by this court, the parties agree the trial
    court’s valuation of the Johnstown property had virtually no impact on the trial court’s
    equitable division analysis. (Aug. 21, 2023 Appellant’s Supp. Brief at 1; Aug. 21, 2023
    Appellee’s Supp. Brief at 4. See Divorce Decree at 4.) Indeed, this is because the trial court
    ordered the parties to sell all three marital properties and equally divide the net proceeds
    of those sales. (Divorce Decree at 16-17.) The trial court also gave Mr. Paulchel the option
    to refinance the Johnstown property and equally divide the equity in this home with Ms.
    Vacheresse. (Divorce Decree at 17.) The same option was extended to Ms. Vacheresse with
    respect to the Springboro property. (Id.) Furthermore, while the trial court relied on the
    admitted appraisal reports for both the Johnstown and Springboro properties to calculate
    each property’s marital value3 (Divorce Decree at 4-5), the parties acknowledge those
    values were not included in the trial court’s marital asset distribution analysis (see
    Appellant’s Supp. Brief at 1; Appellee’s Supp. Brief at 4).
    2 We note that while Mr. Paulchel sought to retain the Johnstown property as his residence (Dec. 23, 2021
    Def.’s Proposed Jgmt. Entry at 12-13), Ms. Vacheresse wanted the trial court to order the parties to sell it and
    divide the proceeds (Dec. 23, 2023 Pl.’s Proposed Findings of Fact/ Conclusion of Law at 5). We also note that
    Ms. Vacheresse requested to retain the Springboro residence, another contested marital asset, if the trial court
    did not order the parties to “sell everything and fairly divide it” (Tr. Vol. II at 99), and Mr. Paulchel was
    agreeable to Ms. Vacheresse retaining the Springboro residence if she bought him out of the equity on that
    house (Tr. Vol. III at 384-85). At trial, Ms. Vacheresse contested one appraiser’s valuation of the Johnstown
    property, but agreed with another appraiser’s valuation of the Springboro property. (See Tr. Vol. III at 193-
    94, 260-63.) She conceded, however, she was not aware of any difference in the qualifications, degrees,
    education, or knowledge between the two appraisers. (Tr. Vol. III at 193-94.)
    3 The trial court calculated the “marital value” of each property by determining the principal balance of the
    mortgage on the property and subtracting that number from the valuation set forth in the corresponding
    expert appraisal report. (See Divorce Decree at 4-5.)
    No. 22AP-583                                                                                  11
    {¶ 35} Based on the foregoing, we find the facts and circumstances of this case are
    not exceptional and do not give rise to plain error. We likewise find the trial court did not
    abuse its discretion in relying on the appraisal report, as described below.
    {¶ 36} In determining the value of the Johnstown property, the trial court noted that
    Ms. Vacheresse testified she believed it was worth $1,000,000 and Mr. Paulchel asserted
    its value was approximately $420,000 but would be willing to agree to the $575,000
    appraisal. (Divorce Decree at 4.) Ultimately, the trial court opined that Ms. Vacheresse’s
    assessment of its valuation was not credible, “[o]r rather, of sufficient credibility to overrule
    by almost doubling a professional appraiser’s valuation.” (Id.) It also noted “the extensive
    appraisal report, its meticulous cataloguing of methodology, sources, and extensive
    supporting materials to justify its valuation.” (Id.)
    {¶ 37} Although Ms. Vacheresse attributes error to the trial court’s admission and
    reliance on the appraisal report for the Johnstown property in her second assignment of
    error, the arguments she makes in support relate almost exclusively to the report’s
    admission. To support her contention that the trial court abused its discretion in relying
    on this report when it valued the Johnstown property, Ms. Vacheresse essentially presumes
    its admission was error. That is to say, she has not presented this court with any substantive
    arguments explaining how or why the trial court’s reliance on an exhibit admitted into
    evidence without objection from either party to determine the value of the Johnstown
    property constituted an abuse of discretion. Ms. Vacheresse does not argue, for instance,
    that the appraisal report itself was so inadequate or ineptly prepared, or relied on clearly
    improper facts, sources, and/or methodology, such that the trial court’s reliance on this
    admitted trial exhibit was unreasonable, arbitrary, or unconscionable. And, again, we
    emphasize that Ms. Vacheresse did not present any competing expert evidence regarding
    the value of that property.
    {¶ 38} Having already found the trial court’s admission of the appraisal report did
    not constitute plain error, we thus find the trial court’s determination that the Johnstown
    property’s value is $575,000 is supported by some competent, credible evidence in the
    record. We further find the trial court did not err, plainly or otherwise, in finding Ms.
    Vacheresse’s valuation assessment was not sufficiently credible to counter the professional
    appraiser’s valuation where, as was the case here, the credentials of that appraiser were
    No. 22AP-583                                                                                12
    never in dispute and Ms. Vacheresse had no expert credentials herself. Thus, the trial court
    did not err in basing the value of the Johnstown property on the only expert appraisal report
    admitted into evidence for that property.
    {¶ 39} For these reasons, Ms. Vacheresse’s second assignment of error is overruled.
    C. First Assignment of Error
    {¶ 40} In her first assignment of error, Ms. Vacheresse asserts the trial court erred
    and abused its discretion when it found that an equalization payment of $360,875 from Mr.
    Paulchel to Ms. Vacheresse would be inequitable in this case.                Because of this
    determination, the net marital assets were not equitably distributed; Ms. Vacheresse
    received 45.10 percent ($3,318,817.50) and Mr. Paulchel received 54.90 percent
    ($4,040,567.50) of the $7,359,385 total marital assets. Based on the record before us,
    however, we cannot say this constituted an abuse of discretion.
    1. Legal Standards
    {¶ 41} After determining what constitutes marital property and what constitutes
    separate property, a trial court is generally required to divide the marital and separate
    property equitably. R.C. 3105.171(B). With respect to marital property, R.C. 3105.171(C)(1)
    provides:
    Except as provided in this division or division (E) of this
    section, the division of marital property shall be equal. If an
    equal division of marital property would be inequitable, the
    court shall not divide the marital property equally but instead
    shall divide it between the spouses in the manner the court
    determines equitable. In making a division of marital property,
    the court shall consider all relevant factors, including those set
    forth in division (F) of this section.
    {¶ 42} Thus, although a trial court has broad discretion in determining property
    division, an equal distribution should be the starting point of the analysis. Goebel v. Goebel,
    10th Dist. No. 15AP-61, 
    2015-Ohio-5547
    , ¶ 7, citing Cherry, 66 Ohio St.2d at 353.
    {¶ 43} In making a division of marital property and in determining whether to make
    and the amount of any distributive award under this section to ensure equalization of the
    marital assets, a trial court considers the following factors:
    1. The duration of the marriage;
    No. 22AP-583                                                                                 13
    2. The assets and liabilities of the spouses;
    3. The desirability of awarding the family home, or the right
    to reside in the family home for reasonable periods of time,
    to the spouse with custody of the children of the marriage;
    4. The liquidity of the property to be distributed;
    5. The economic desirability of retaining intact an asset or an
    interest in an asset;
    6. The tax consequences of the property division upon the
    respective awards to be made to each spouse;
    7. The costs of sale, if it is necessary that an asset be sold to
    effectuate an equitable distribution of property;
    8. Any division or disbursement of property made in a
    separation agreement that was voluntarily entered into by
    the spouses;
    9. Any retirement benefits of the spouses, excluding the
    social security benefits of a spouse except as may be
    relevant for purposes of dividing a public pension;
    10. Any other factor that the court expressly finds to be
    relevant and equitable.
    R.C. 3105.171(F). A trial court must evaluate all relevant facts in determining an equitable
    division. Caleshu v. Caleshu, 10th Dist. No. 19AP-742, 
    2020-Ohio-4075
    , ¶ 8, citing Cherry
    at 355.
    {¶ 44} Because we review a trial court’s division of property for an abuse of
    discretion, our job “is not to reweigh the evidence but to determine whether competent,
    credible evidence in the record supports the trial court’s findings.” Caleshu at ¶ 9, quoting
    Hood v. Hood, 10th Dist. 10AP-999, 
    2011-Ohio-3704
    , ¶ 14, citing Dunham v. Dunham, 
    171 Ohio App.3d 147
    , 
    2007-Ohio-1167
    , ¶ 27 (10th Dist.), and Taub v. Taub, 10th Dist. No.
    08AP-750, 
    2009-Ohio-2762
    , ¶ 15.
    {¶ 45} “ ‘The mere fact that a property division is unequal, does not, standing alone,
    amount to an abuse of discretion.’ ” Martin v. Martin, 
    18 Ohio St.3d 292
    , 294 (1985),
    quoting Cherry at paragraph two of the syllabus.
    2. Analysis
    {¶ 46} In finding an equitable distribution payment of $360,875 would be
    inequitable in this case, the trial court stated the following:
    No. 22AP-583                                                                              14
    First and foremost, the primary assets driving the difference in
    distribution are [Mr. Paulchel’s] investment accounts. The gap
    between [Mr. Paulchel] and [Ms. Vacheresse] can almost
    entirely be made up from [Mr. Paulchel’s] accounts. But the
    [c]ourt notes [Mr. Paulchel] is older than [Ms. Vacheresse] and
    thus will likely be out of his prime earning years if not upon
    completion of this case[,] then shortly thereafter. [Ms.
    Vacheresse] will, with the acquisition of the Cincinnati and
    Dayton Good Feet stores have considerable income as well as
    time to make good any difference in this distribution. Further,
    both parties will likely see significant infusions of liquid capital
    via the sale of their personal real estate. If they do not, it will be
    because they desired to secure those pieces of property by
    buying the other out. In short, the parties have many options
    for securing their financial futures in a way that is not overly
    burdensome to the other. In the interest of fairness and equity,
    the [c]ourt therefore declines to order an equalization payment
    in this case.
    (Aug. 31, 2022 Divorce Decree at 21.)
    {¶ 47} Relatedly, we note that Mr. Paulchel was permitted to retain the Columbus
    Good Feet franchise (stipulated value $2,175,000) he owned before the marriage, which
    comprises of two brick-and-mortar stores. (Divorce Decree at 19. See also Nov. 17, 2021
    Joint Stipulations at No. 9a; Tr. Vol. II at 35-36.) Ms. Vacheresse was awarded the
    Cincinnati and Dayton Good Feet franchises (stipulated values $1,174,000 and $1,512,000,
    respectively), which the parties acquired together during their marriage. (Divorce Decree
    at 19. See also Joint Stipulations at No. 9; Tr. Vol. II at 35-36.) At the time of trial, the
    Cincinnati and Dayton franchises each only had one existing store in their respective
    market areas. (See Tr. Vol. II at 35-36.)
    {¶ 48} The trial court found this division of the parties’ net marital assets—45.10
    percent to Ms. Vacheresse and 54.90 percent to Mr. Paulchel—to be equitable for the
    following reasons:
    [T]he long duration of the marriage, the nature of the assets
    and liabilities of the parties, the liquidity of the property to be
    distributed, [Ms. Vacheresse’s] current and future income, the
    economic desirability of retaining their respective business
    interests intact, both parties[’] desire to retain their respective
    business interests, and the opportunities this distribution
    provides both parties.
    (Divorce Decree at 21.)
    No. 22AP-583                                                                               15
    {¶ 49} Despite acknowledging a trial court has broad discretion in determining the
    equitable division of marital property (Appellant’s Brief at 26) and that “an equitable
    division [does] not [necessarily] mean equal” (Appellant’s Brief at 10), Ms. Vacheresse
    nonetheless argues in her first assignment of error that the trial court abused its discretion
    in failing to order an equalization payment to her, and claims the trial court’s distribution
    of marital property was inequitable. In support of that contention, Ms. Vacheresse does not
    allege the trial court failed to consider the appropriate statutory factors in reaching its
    decision on the equitable division of property. Nor does she contend the trial court failed
    to consider other relevant facts presented at trial.
    {¶ 50} Instead, Ms. Vacheresse disagrees with the conclusions the trial court
    reached after considering those factors and relevant trial testimony. (See Appellant’s Brief
    at 11-17.) More precisely, Ms. Vacheresse takes issue with the trial court’s decision not to
    equally divide Mr. Paulchel’s brokerage accounts totaling $1,233,389 and the parties’ IRA
    accounts—Mr. Paulchel’s valued at $200,747 and Ms. Vacheresse’s valued at $26,014—
    between the parties. (Appellant’s Brief at 11.)
    {¶ 51} Having reviewed the record, we find the trial court appropriately considered
    multiple relevant statutory factors in R.C. 3105.171(F) and the relevant facts presented at
    trial. Furthermore, we find competent, credible evidence in the record supports the trial
    court’s equitable division findings, including its determination that ordering an
    equalization payment would be inequitable in this case. Particularly significant to this
    determination, we believe, is the testimony presented at trial regarding the growth potential
    of the Cincinnati and Dayton Good Feet franchise “designated media areas” or “DMAs” (see
    Tr. Vol. II at 55) awarded to Ms. Vacheresse.
    {¶ 52} Mr. Paulchel testified that he did not believe the Cincinnati DMA had been
    managed to its maximum potential because the franchise agreement expressly provides for
    two more stores to be opened in the Cincinnati area. (Tr. Vol. III at 298-300.) Thus, he
    opined that, if the trial court awarded that franchise to Ms. Vacheresse—which it ultimately
    did—Ms. Vacheresse would receive “more money than the appraised value” for that store
    because of the market value associated with the additional stores provided for in the
    Cincinnati’s DMA franchise agreement. (See Tr. Vol. III 299-300; Tr. Vol. IV at 437-43.)
    Further, as to the Dayton DMA franchise, Mr. Paulchel testified that, although he stipulated
    No. 22AP-583                                                                                 16
    to its appraised value, he did not fully agree with it. (Tr. Vol. III at 304-05.) He claimed
    Dayton had the “best market” “[b]ecause there is always money in [its business] account,
    and it is the highest profit margin.” (Tr. Vol. III at 304-06; Tr. Vol. IV at 439-41, 458.) He
    also indicated an opportunity existed to open another store in the Dayton DMA under its
    franchise agreement. (Tr. Vol. IV at 463-64.)
    {¶ 53} Mr. Paulchel opined that both the Cincinnati and Dayton stores had a
    significant potential for increased sales. (Tr. Vol. III at 297-98, 304-06; Tr. Vol. IV at 437-
    43.) He also testified that he believed the Cincinnati DMA was “way undervalued compared
    to Columbus.” (Tr. Vol. IV at 359-60.) And, of note, Ms. Vacheresse herself recognized the
    Dayton and Cincinnati stores were “a whole lot more profitable” than the two Columbus
    stores. (Tr. Vol. III at 270.)
    {¶ 54} While it is true, as Ms. Vacheresse points out (see Appellant’s Brief at 15-16),
    the trial court found Mr. Paulchel lacked credibility in several areas (Divorce Decree at 3),
    nothing in the record refutes or otherwise suggests his testimony about the profitability of
    and growth potential for the Cincinnati and Dayton DMAs was not credible. Indeed, his
    testimony on this matter is bolstered by virtue of the fact that both parties requested to be
    awarded the Cincinnati DMA. (Tr. Vol. III at 214-20, 270; Tr. Vol. IV at 342-43, 359-60.)
    {¶ 55} Moreover, although only Mr. Paulchel was named in the three Good Feet
    franchise agreements for the contested Columbus, Cincinnati, and Dayton DMAs, Ms.
    Vacheresse testified extensively about her involvement in the stores and good relationship
    with Good Feet’s corporate team and her employees at the Cincinnati and Dayton stores.
    (See, e.g., Tr. Vol. II 52-85; Tr. Vol. III at 173-75, 214-23, 270. Compare Tr. Vol. III at 296-
    307; Tr. Vol. IV at 356-60.) She recounted how her previous training in podiatric medicine
    has “immensely” contributed to her success in running these Good Feet stores (Tr. Vol. II
    at 68-69), and repeatedly expressed that, although both were opened during the parties’
    marriage, the Cincinnati and Dayton locations had always been “[her] stores” (see, e.g., Tr.
    Vol. II at 77, 132, 135, 141, 172, 211, 214-15, 217-19, 270, 277, 280). (Compare Tr. Vol. IV at
    356-60.) Ms. Vacheresse testified that Good Feet corporate “loved” the podiatry knowledge
    she brought to the stores and, at one point, made her the “trainer for pathology” for persons
    trying to become “pedorthists.” (Tr. Vol. II at 68-69.) Suffice it to say that there is nothing
    in the record to suggest Good Feet corporate would not be amenable to Ms. Vacheresse
    No. 22AP-583                                                                                 17
    taking over and expanding the Cincinnati and Dayton Good Feet DMAs independent of Mr.
    Paulchel.
    {¶ 56} Ms. Vacheresse indicated she intended, if awarded both the Cincinnati and
    Dayton DMAs, to continue working. (Tr. Vol. II at 82-85.) In light of Mr. Paulchel’s
    unchallenged testimony about the growth potential of both the Cincinnati and Dayton
    DMAs, we thus find the trial court’s determination that the difference in the distribution of
    marital assets would, in time, be offset by the considerable income earned from the
    Cincinnati and Dayton DMAs that were awarded to Ms. Vacheresse to be supported by
    competent, credible evidence. (See Divorce Decree at 21.)
    {¶ 57} Ms. Vacheresse also contends the trial court’s second reason for finding an
    equalization payment would be inappropriate in this case—potential for significant
    infusions of cash from the real estate being sold—is not supported by the trial court’s
    decision. (Appellant’s Brief at 14-15.) We disagree.
    {¶ 58} Prior to trial, the parties stipulated to the sale-and-split of the Cincinnati
    marital property, but they reached no agreement regarding the Johnstown and Springboro
    properties. (See Divorce Decree at 3-5.) Ultimately, the trial court ordered the parties to sell
    all three real estate assets in the marital estate and equally split the proceeds therefrom.
    (Divorce Decree at 16-17.) However, the trial court also awarded Mr. Paulchel the option
    to purchase the Johnstown property (marital value of $260,904.53) and Ms. Vacheresse
    the option to purchase the Springboro property (marital value of $98,353.26). (Divorce
    Decree at 17.)
    {¶ 59} On appeal, Ms. Vacheresse suggests she would not see a significant infusion
    of cash “if the real estate is retained[]” because the marital value of the Johnstown property
    “is worth nearly three times” that of the Springboro property. (Appellant’s Brief at 14. See
    Divorce Decree at 21.) We note, however, that the divorce decree did not merely award Mr.
    Paulchel one property and Ms. Vacheresse the other. To the contrary, the trial court
    ordered a sale-and-split arrangement for both properties but gave each party the “option to
    refinance the home and buyout [the other party’s] portion of [their] equity in [each] home.”
    (Divorce Decree at 17.) If Mr. Paulchel decides to exercise this option and keep the
    Johnstown property, he is ordered to pay Ms. Vacheresse “50% of the value of the property,
    minus the refinanced debt[.]” (Divorce Decree at 17.) Ms. Vacheresse was given the same
    No. 22AP-583                                                                            18
    option, conditioned upon the same requirement if exercised, as to the Springboro
    residence. (Id.) In light of these terms, then, Ms. Vacheresse’s contention that the trial
    court’s decision does not support the trial court’s reasoning is not well-taken. If Mr.
    Paulchel exercises his option and retains the Johnstown property, Ms. Vacheresse will still
    receive “50% of the value of the property, minus the refinanced debt[.]” (Divorce Decree at
    17.) In such event, Ms. Vacheresse would be expected to “see [a] significant infusion[] of
    liquid capital[.]” (See Divorce Decree at 21.)
    {¶ 60} For these reasons, and based on our review of the record, we conclude the
    trial court did not abuse its discretion by finding it would be inequitable in this case to
    require Mr. Paulchel to make a $360,875 equalization payment to Ms. Vacheresse.
    Accordingly, Ms. Vacheresse’s first assignment of error is overruled.
    III. CONCLUSION
    {¶ 61} Having overruled Ms. Vacheresse’s two assignments of error, we affirm the
    judgment of the Franklin County Court of Common Pleas, Division of Domestic Relations.
    Judgment affirmed.
    LUPER SCHUSTER and MENTEL, JJ., concur.
    

Document Info

Docket Number: 22AP-583

Citation Numbers: 2023 Ohio 3226

Judges: Edelstein

Filed Date: 9/12/2023

Precedential Status: Precedential

Modified Date: 10/5/2023