Timothy James Silvester v. Susal Lee Silvester ( 1996 )


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  •                    COURT OF APPEALS OF VIRGINIA
    Present: Chief Judge Moon, Judges Elder and Bray
    Argued at Salem, Virginia
    TIMOTHY JAMES SILVESTER
    MEMORANDUM OPINION * BY
    v.   Record No. 0515-96-3           CHIEF JUDGE NORMAN K. MOON
    DECEMBER 31, 1996
    SUSAN LEE SILVESTER
    FROM THE CIRCUIT COURT OF BEDFORD COUNTY
    William W. Sweeney, Judge
    Edward D. Barnes (Charles E. Powers; Joseph
    E. Mayer; Edward D. Barnes & Associates,
    P.C., on brief), for appellant.
    John K. Taggart, III (Patricia D. McGraw;
    Tremblay & Smith, on brief), for appellee.
    Timothy James Silvester appeals the judgment of the circuit
    court deciding matters of spousal support, custody, and equitable
    distribution.   Appellant contends the circuit court erred in: (1)
    evaluating appellant's medical practice; (2) awarding forty
    percent of appellant's medical practice and office building to
    appellee; (3) awarding spousal support prior to issuing its
    ruling on equitable distribution; (4) awarding spousal support in
    an amount of $3,500 per month; (5) awarding spousal support based
    on a financial situation created by the recipient's spending
    habits; (6) refusing to impute income to appellee for purposes of
    determining spousal support; (7) refusing to impute income to
    appellee for purposes of calculating child support; (8)
    *
    Pursuant to Code § 17-116.010 this opinion is not
    designated for publication.
    calculating child support without including in the gross income
    of the party requesting child support the spousal support which
    was awarded her; and (9) awarding $8,000 in attorney's fees.     We
    affirm the judgment.
    The parties were married on December 27, 1969.    Four
    children were born to the marriage, the first in 1972 and the
    last and only minor in 1980.    They separated on June 20, 1993.     A
    divorce decree was granted to appellant on October 13, 1994, on
    the grounds that the parties had lived separate and apart for
    more than one year.
    When they married, appellant was in graduate school.      Six
    months later he completed graduate school and entered medical
    school.   He was in medical school for four years and subsequently
    pursued five additional years of residency and practice before
    moving to Lynchburg, Virginia.    During the nine years in which he
    was receiving his medical education, he borrowed money, worked as
    a resident, and for the summer held part-time jobs.   During this
    time, appellee worked for two periods earning between $250 and
    $300 a week in each position.
    Once they relocated to Lynchburg, appellant borrowed $60,000
    to $70,000 to begin his practice as a plastic surgeon.   The
    practice grew steadily and he added two partners.   In the 1980's
    one of the partners became sick and business problems developed.
    The practice incurred substantial debt during the 1990's.
    Appellee did not contribute to the practice or participate in
    appellant's activities to establish himself in the medical
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    community.
    During the course of the marriage appellee managed the home
    and tended to the day-to-day duties of raising the children.
    Appellant's annual income eventually reached approximately
    $175,000.    Appellee was not employed during this period.    Marital
    troubles developed regarding family finances.      Appellee concealed
    from appellant some of her debts.       She spent more than $75,000 on
    clothing and accessories.   She also borrowed without appellant's
    knowledge.
    In 1988, appellee inherited approximately $390,000 from her
    mother.   At separation her account balance was $269,000.     At the
    final hearing her account balance was $10,000.
    In the trial court's February 14, 1996 final decree, (1)
    custody of Chris, the only minor child, was awarded to appellee;
    (2) child support was based on the statutory guidelines without
    deviation; (3) spousal support was set at $3,500 with no income
    imputed to appellee; (4) appellant's share in his medical
    practice was valued at $70,000 and sixty percent was awarded to
    appellant and forty percent to appellee; (5) appellant's share in
    his office building was valued at $41,456 and sixty percent was
    awarded to appellant and forty percent to appellee; and (6)
    appellee was awarded $8,000 in attorney's fees and an additional
    sum not to exceed $1,000 in costs.
    Valuation of Medical Practice
    Appellant's expert valued appellant's interest in his
    medical practice at $65,275, and appellee's expert valued the
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    practice at $79,333.   However, appellant's expert admitted that
    had he been aware of certain other assets, he would have valued
    appellant's interest at $75,941.
    Where experts offer conflicting testimony it is within the
    purview of the trial court to determine credibility.     Reid v.
    Reid, 
    7 Va. App. 553
    , 563, 
    375 S.E.2d 533
    , 539 (1989).     Here, the
    court heard evidence by both parties' experts who offered their
    opinions on the value of the appellant's interest, valuations
    which included both experts' recognition of the buy-sell
    agreement controlling the stock.   Contrary to appellant's
    argument on brief, in Bosserman v. Bosserman, we did not uphold
    the trial court's use of a buy-sell agreement to value closely
    held stock.   
    9 Va. App. 1
    , 7, 
    384 S.E.2d 104
    , 108 (1989).   We
    held that such an agreement is a factor to be considered in
    valuing an asset, but it is not conclusive as to the value.        Id.
    The trial court was not plainly wrong in deciding the value
    of $70,000, and was not bound to select the specific value
    offered by either party's expert, regardless of their relative
    qualifications as experts.   See Zipf v. Zipf, 
    8 Va. App. 387
    ,
    394, 
    382 S.E.2d 263
    , 267 (1989).   We find there is sufficient
    evidence in the record to support the trial court's valuation.
    Award of Forty Percent of Practice and
    Office Building to Appellee
    The trial court's award is not to be disturbed on appeal
    unless plainly wrong or without evidence to support it.
    Bosserman, 9 Va. App. at 5, 384 S.E.2d at 107.   The trial court,
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    after noting its consideration of all the factors prescribed by
    Code § 20-107.3, awarded appellee forty percent of appellant's
    interest in his medical practice and in the office building.
    "The purpose of Code § 20-107.3 is to fairly divide the value of
    the marital assets acquired by the parties during marriage with
    due regard for both their monetary and nonmonetary contributions
    to the acquisition and maintenance of the property and to the
    marriage."    Bosserman, 9 Va. App. at 5, 384 S.E.2d at 107 (citing
    Robinette v. Robinette, 
    4 Va. App. 123
    , 130, 
    354 S.E.2d 808
    , 811
    (1987)).
    Here, the trial court determined that appellant's interest
    in his medical practice and the office building was marital
    property.    Appellant argues that the trial court erred because
    the court's award is not reconcilable with several of the factors
    prescribed in Code § 20-107.3.    Specifically, appellant argues
    that his contributions both to the overall marital estate, and to
    the practice and office building, vastly exceeded appellee's
    contributions to the same assets.
    While it is evident that appellant was almost entirely
    responsible for the development and success of his practice, the
    record also contains considerable evidence of appellee's
    nonmonetary and monetary contributions to the marital estate.
    Appellee and appellant were married for a period of twenty-five
    years and during that time appellee was almost solely responsible
    for the upkeep of the marital residence and the raising of the
    children.    In addition, appellee's parents contributed to the
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    parties' marital estate, purchasing automobiles for them and,
    until the death of appellee's mother, paying all of the private
    educational expenses of the children.   Appellee's inheritance,
    while used in part for appellee's extensive purchasing of clothes
    and accessories, was also contributed to the marital estate.
    Appellee's separate funds were used to pay for various trips for
    the family, for the purchase of household items, and for the
    support of the children.   Appellee used $139,000 to pay the
    children's educational expenses; $5,000 was used in the purchase
    of the office building.
    Appellee's maintenance of the family home, support of the
    parties' children, and use of a significant portion of her
    separate assets for these causes allowed appellant to devote his
    time and energies to the development of his practice.    The trial
    court was not plainly wrong in finding that the wife's
    nonmonetary and monetary contributions to the marriage were
    substantial.   Thus, we find there is evidence in the record of
    the trial court's consideration of the factors prescribed by Code
    § 20-107.3(E) and that the evidence was sufficient to support the
    findings of the trial court.
    Spousal Support
    Code § 20-107.1 delineates the specific factors to be
    considered by the trial court in determining spousal support.     In
    making a spousal support award, the trial court has broad
    discretion, and on appeal the award will not be reversed unless
    plainly wrong or without evidence to support it.   Gibson v.
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    Gibson, 
    5 Va. App. 426
    , 434, 
    364 S.E.2d 518
    , 523 (1988).     Here,
    the trial court's consideration of the statutory factors is
    evidenced by the court's statement that "[p]ursuant to § 20-107.1
    . . . spousal support is set at $3,500 per month."
    Appellant properly notes that mere recitation that the
    factors have been considered is insufficient.   Id. at 435, 364
    S.E.2d at 523.   "[W]e must examine the record to determine if the
    award is supported by evidence relevant to those factors."     Id.
    Provided the record indicates the court's consideration of the
    factors prescribed by Code § 20-107.1, the trial court need not
    disclose the totality of its considerations nor must the trial
    court address each factor point by point in its opinion.    Here,
    the record contains evidence relating to the statutory factors
    with which to make an award.   Accordingly, we hold that the
    record does not show that the trial court failed to consider the
    appropriate factors or to accord them proper weight within the
    bounds of his discretion.
    Imputation of Income
    Appellant argues that the trial court erred in not imputing
    income for purposes of determining spousal and child support
    because the record indicates that appellee is voluntarily
    underemployed.   Appellant also argues that the trial court erred
    by not considering income appellee receives from her personal
    assets and income that will be generated by appellee's portion of
    the equitable distribution award.
    A party seeking spousal support is obligated to earn as much
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    as they reasonably can in order to reduce the amount of support
    needed.   Srinivasan v. Srinivasan, 
    10 Va. App. 728
    , 734, 
    396 S.E.2d 675
    , 679 (1990).    In keeping with this principle a court
    may, under appropriate circumstances, impute income to a party
    who seeks spousal support.     Id.   However, we have also previously
    held that "the court, in setting support awards, must look to
    current circumstances and what the circumstances will be ``within
    the immediate or reasonably foreseeable future,' not to what may
    happen in the future.     Id. at 734-35, 396 S.E.2d at 679 (quoting
    Young v. Young, 
    3 Va. App. 80
    , 81-82, 
    348 S.E.2d 46
    , 47 (1986)).
    Here, appellee was forty-four years of age, possessed a
    two-year degree and had no appreciable work experience as she was
    a full-time mother and homemaker during the parties' twenty-five
    years of marriage.    Appellee is considerably less well suited for
    reentering the job market than was the wife in Srinivasan, where
    we concluded that despite the fact that the wife possessed a
    Ph.D. and had taught at George Mason University, the court
    improperly imputed income to her.        Id. at 735, 396 S.E.2d at
    679-80.   We found that "Mrs. Srinivasan, at the time of divorce,
    was leading the life style she was accustomed to during the
    marriage . . . [and] the evidence did not support a finding that
    she had unreasonably refused to accept employment as of the date
    of divorce and she was thus entitled to a reasonable time to
    secure employment."     Id. at 735, 396 S.E.2d at 679.     Such a
    finding is also appropriate here.        If, after a reasonable time,
    appellee unreasonably refuses to seek or accept employment, the
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    imputation of income may be justified.       Further, no evidence was
    presented as to the availability of a position for which appellee
    was qualified, or what the amount of income would be for such
    position.
    Appellant's arguments regarding the court's failure to
    consider the income wife could have earned or will earn from her
    separate assets and the assets obtained via the equitable
    distribution award are also unpersuasive.      Although appellee did
    receive substantial inheritance from her mother, evidence was
    presented that those funds have since been all but exhausted.      As
    noted, in making a support award and determining whether to
    impute income, the trial court must look at the present
    circumstances of the parties.     Id.    The record indicates that the
    trial court considered the assets to be awarded wife and those
    separate assets remaining to her in making its support award and
    refusing to impute income.    The wife had considerable debt
    including attorney's fees which she would be required to pay with
    her current assets.   Imputation of income is within the trial
    court's discretion.   Here, credible evidence supported the trial
    court's decision that imputation of income was not appropriate,
    and thus no abuse of discretion is proved.
    Child Support
    Appellant asserts that the trial court erred in calculating
    child support without including appellee's spousal support in her
    gross income.   We need not reach this issue as the question is
    moot because the dependent child for whom support was ordered now
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    lives with appellant.    Even assuming an error in the calculation
    of the amount of the child support, appellant is not entitled to
    restitution.   See Reid v. Reid, 
    245 Va. 409
    , 415, 
    429 S.E.2d 208
    ,
    211 (1993).
    Attorney's Fees
    The award of attorney's fees is a matter vested in the sound
    discretion of the trial court and is reviewable on appeal only
    for an abuse of discretion.     Alphin v. Alphin, 
    15 Va. App. 395
    ,
    
    425 S.E.2d 572
     (1992).   The trial court awarded appellee $8,000
    in attorney's fees and a sum not to exceed $1,000 for costs.    At
    trial appellee testified that she had incurred fees in excess of
    $30,000 and expenses in excess of $1,000.     The lengthy nature of
    the proceedings and the complexity of the deliberations are also
    apparent from the record.    We find that the trial court's award
    of attorney's fees was not excessive.
    Accordingly, we affirm the trial court's award.
    Affirmed.
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