In the Matter of the Marriage of: Hec Daniel Selvidge & Rebecca Lynn Selvidge ( 2020 )


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  •                                                                            FILED
    APRIL 23, 2020
    In the Office of the Clerk of Court
    WA State Court of Appeals, Division III
    IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON
    DIVISION THREE
    In the Matter of the Marriage of:             )           No. 36767-3-III
    )
    HEC DANIEL SELVIDGE,                          )
    )
    Appellant,               )
    )
    and                            )           UNPUBLISHED OPINION
    )
    REBECCA LYNN SELVIDGE,                        )
    )
    Respondent.              )
    LAWRENCE-BERREY, J. — Hec Selvidge appeals the trial court’s property award to
    Rebecca Selvidge. We affirm.
    FACTS
    Hec1 raises three issues on appeal. We organize the facts based on those issues.
    1.      Hec’s claim for a separate property lien
    Hec and Rebecca began living together in late 1997. She brought with her a horse
    trailer, a pickup, and about $20,000 in cash. In November 1998, they became engaged,
    but did not marry until September 2002.
    1
    We often refer to parties in a divorce appeal by their first names. This avoids the
    overuse of “Mr.” and “Ms.”
    No. 36767-3-III
    Marriage of Selvidge
    In April 2002, Hec entered into a real estate contract to purchase 21 Robinson
    Street.2 At the same time, he also purchased a single wide mobile home for $12,000 cash.
    Both Hec and Rebecca worked to develop the Robinson Street property. They placed the
    mobile home on the property and moved into it around September. Hec paid five monthly
    payments on the real estate contract before he married Rebecca. Those five payments
    totaled $2,550.
    In April 2010, Hec signed a quit claim deed, converting the Robinson Street
    property to community property. He conveyed the property to the community to secure a
    loan in his and Rebecca’s names so they could build a house on the property. He soon
    after sold his mobile home for $8,000 and used the proceeds toward the new house.
    In closing, Hec said he was not claiming a separate property lien with respect to
    the $8,000 mobile home proceeds he put into the house. He instead argued he was
    entitled to a separate property lien in the amount of the purchase price of the bare land.
    In response, Rebecca argued the quit claim deed extinguished Hec’s separate
    property interest. Alternatively, she argued Hec’s separate property lien was limited to
    $2,550, the amount he paid toward the property during the five months before they
    married.
    2
    The record contains no evidence of any down payment on this property.
    2
    No. 36767-3-III
    Marriage of Selvidge
    The trial court did not grant Hec a separate property lien in Robinson Street.
    Instead, it found Hec gifted his separate property interest in Robinson Street to the
    community to obtain a loan to improve the property.
    2.     The logging account
    Parties in a dissolution action must, under Okanogan County Local Rule (LSPR)
    94.04.01(d)(4), submit a final verified asset/debt matrix before trial. There are two
    purposes for this. First, it permits the parties to know what assets and values are agreed
    on and helps focus them on presenting their evidence. Second, the trial court uses the
    matrices to assist in organizing its notes and arriving at a final property award.
    Rebecca submitted a matrix in accordance with the local rule. Her matrix reflected
    a bank account nominated as “Hec Selvidge Logging” valued at $43,726.01 on the date of
    separation and proposed assigning the asset to Hec. Ex. 59. She did not testify
    specifically about this asset. Instead, she testified that the values she assigned on her
    matrix were true and accurate as of 2016. Hec did not testify about the value of the
    logging account. In its findings of fact, the trial court assigned a value of $5,000 to that
    account. Rebecca filed a motion for reconsideration, requesting the court to reconsider
    the value of five items, including the value of the logging account.
    3
    No. 36767-3-III
    Marriage of Selvidge
    The trial court agreed there was no evidence to support its $5,000 finding, and the
    only evidence before the court was the matrix entry. Hec argued the matrix was not
    evidence and Rebecca should have submitted bank records to support the value. Rebecca
    noted she actually got the value from Hec. The trial court decided it wanted the actual
    bank records for the account for the month of February 2016, the month the parties
    separated.
    At the presentment hearing, the court reviewed the February 2016 bank records,
    and they reflected that the value of the logging account was $45,623.14. Hec did not
    object to the trial court considering the actual banking records posttrial.
    3.     Property distribution award
    Based on this corrected value for the logging account, the trial court reduced
    Rebecca’s earlier ordered equalization payment from $50,000 to $29,688.43. The final
    property distribution award was $180,777.67 to Hec and $197,934.10 to Rebecca.
    Hec timely appealed to this court.
    ANALYSIS
    1.     SEPARATE PROPERTY LIEN
    Hec contends the trial court erred in not recognizing he had an $18,550 separate
    property lien in Robinson Street. Although unclear, it appears he arrives at this number
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    No. 36767-3-III
    Marriage of Selvidge
    by adding the $2,550 in payments he made on the property prior to marriage, $8,000 he
    put into the new house from the sale of his mobile home, and an $8,000 down payment on
    the property (of which there is no evidence in the record). He argues, even if the property
    is deemed community property, he was able to clearly trace his separate property
    contributions to preserve his right to a separate property lien.
    Hec’s argument misses the point. The trial court found Hec gifted his separate
    property interest to the community to obtain a loan to improve the property. Hec does not
    assign error to this finding that he gifted his interest to the community. This finding,
    therefore, is a verity on appeal. Scheib v. Crosby, 
    160 Wn. App. 345
    , 349, 
    249 P.3d 184
    (2011).3
    2.     RECONSIDERATION OF LOGGING ACCOUNT VALUE
    Hec contends the trial court erred by granting Rebecca’s motion for
    reconsideration. We begin by reviewing the standards for granting or denying a
    reconsideration request.
    3
    The failure to assign error results in only a minor financial consequence to Hec.
    At trial, he had waived his argument to the $8,000 proceeds from the sale of his mobile
    home, and he did not present evidence at trial of his initial real estate down payment. Had
    he assigned error to the trial court’s finding, at best, he could have received a $2,550
    credit.
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    No. 36767-3-III
    Marriage of Selvidge
    A trial court’s decision to grant or deny a motion for reconsideration is reviewed
    by this court for abuse of discretion. Barr v. Young, 
    187 Wn. App. 105
    , 111, 
    347 P.3d 947
     (2015). Abuse of discretion is found only when the decision is “‘manifestly
    unreasonable, or exercised on untenable grounds, or for untenable reasons.’” State v.
    McCormick, 
    166 Wn.2d 689
    , 706, 
    213 P.3d 32
     (2009) (quoting State ex rel. Carroll v.
    Junker, 
    79 Wn.2d 12
    , 26, 
    482 P.2d 775
     (1971)). A trial court may deny reconsideration if
    the requesting party fails to establish good cause. River House Dev., Inc. v. Integrus
    Architecture, P.S., 
    167 Wn. App. 221
    , 231, 
    272 P.3d 289
     (2012).
    Hec raises three arguments why the trial court erred in granting reconsideration.
    We address his arguments separately.
    First argument: Rebecca should not receive a second chance to present evidence
    Hec argues Rebecca waived her right to present evidence of the logging account’s
    value. We disagree.
    In a divorce proceeding, the owner of property can testify to its value.
    Worthington v. Worthington, 
    73 Wn.2d 759
    , 763, 
    440 P.2d 478
     (1968). Rebecca testified
    that the values in her matrix were true and accurate as of 2016. Rebecca’s matrix
    reflected the value of the logging account as $43,726.01. Although the matrix itself is not
    evidence, Rebecca’s testimony about the values in her matrix is evidence.
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    No. 36767-3-III
    Marriage of Selvidge
    Second argument: The trial court erred by considering new evidence
    Hec also argues the trial court erred by considering new evidence on
    reconsideration. Hec correctly notes the trial court granted reconsideration based on
    CR 59(a)(7)—no evidence to justify its decision. Hec correctly argues this basis for
    reconsideration does not permit a court to consider new evidence. Meridian Minerals Co.
    v. King County, 
    61 Wn. App. 195
    , 203, 
    810 P.2d 31
     (1991); Holaday v. Merceri, 
    49 Wn. App. 321
    , 330, 
    742 P.2d 127
     (1987); Jet Boats, Inc. v. Puget Sound Nat’l Bank, 
    44 Wn. App. 32
    , 42, 
    721 P.2d 18
     (1986).
    But here, the trial court reviewed the bank records because Hec argued Rebecca’s
    matrix was not competent evidence. The trial court considered the logging account bank
    records because it wanted its decision to be accurate. Hec did not object to the trial court
    considering the logging account bank records.
    We generally do not consider a claim of error that was not raised to the trial court.
    RAP 2.5(a). Requiring errors to be first raised to the trial court “‘gives the trial judge an
    opportunity to address an issue before it becomes an error on appeal, and promotes the
    important policies of economy and finality.’” Wilcox v. Basehore, 
    187 Wn.2d 772
    , 788,
    
    389 P.3d 531
     (2017) (quoting State v. Kalebaugh, 
    183 Wn.2d 578
    , 583, 
    355 P.3d 253
    (2015)). Had Hec objected to the trial court considering the logging account bank
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    No. 36767-3-III
    Marriage of Selvidge
    records, the trial court might instead have relied on Rebecca’s testimony that her matrix
    values were true and accurate.
    Third argument: Remand to allow both parties to present new evidence
    Hec also argues that if we remand to allow new evidence of the logging account
    value, we should allow him to present new evidence that the logging account was mostly
    funded from his separate property. Because we are not remanding to allow new evidence
    of the logging account value, we need not address Hec’s final argument.
    3.     DISPARITY IN PROPERTY DIVISION
    Hec contends the trial court abused its discretion by dividing the property in such a
    way as to create a patent disparity between the parties. He argues there is no tenable
    reason the trial court distributed the property to give Rebecca $17,000 more than it gave
    him. We disagree.
    When distributing property between divorcing parties, the trial court has extremely
    broad discretion and this court will not reverse a trial court’s distribution decision absent
    a showing of a manifest abuse of discretion. In re Marriage of Stachofsky, 
    90 Wn. App. 135
    , 142, 
    951 P.2d 346
     (1998). We will only find a manifest abuse of discretion if no
    reasonable judge would have distributed the property the same way. In re Marriage of
    Kim, 
    179 Wn. App. 232
    , 240, 
    317 P.3d 555
     (2014). If the division results in a patent
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    No. 36767-3-III
    Marriage of Selvidge
    disparity between the parties, based on their economic circumstances, this court will find
    a manifest abuse of discretion. Id. at 253.
    The record shows Rebecca and Hec earned similar net incomes. Rebecca earned
    approximately $33,700 per year, and Hec earned approximately $31,600 per year. The
    trial court’s division of property left Hec with an equalization judgment against Rebecca
    of $29,688.43. As with most judgments, this judgment earns interest at 12 percent per
    year. It will cause some economic hardship for Rebecca to pay this amount. We
    conclude the judgment itself is a sufficient economic hardship to Rebecca that a small
    disproportionality in the property award does not constitute a patently unfair division.
    4.     ATTORNEY FEES
    Rebecca requests we award her reasonable attorney fees on appeal because Hec’s
    appeal is frivolous. We decline to do so.
    RAP 18.9 allows the trial court, either on its own initiative or in response to a
    party’s motion, to order a party “to pay terms or compensatory damages to any other party
    who has been harmed by the delay or the failure to comply or to pay sanctions to the
    court” for filing a frivolous appeal. This may include attorney fees. Kinney v. Cook, 
    150 Wn. App. 187
    , 195, 
    208 P.3d 1
     (2009).
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    I
    No. 36767-3-111
    Marriage ofSelvidge                                                                           I
    This court considers an appeal frivolous only if there are no debatable issues of
    law and the appeal is "' so devoid of merit that there is no possibility of reversal.'" 
    Id.
    (quoting Lutz Tile, Inc. v. Krech, 
    136 Wn. App. 899
    ,906, 
    151 P.3d 219
     (2007)). Any
    doubts about whether an appeal is frivolous must be construed in favor of the appellant.
    
    Id.
    We have sufficient doubt whether one or more of Hee' s arguments meet the
    frivolous standard. For this reason, we deny Rebecca's request for reasonable attorney
    fees under RAP 18 .9.
    Affirmed.
    A majority of the panel has determined this opinion will not be printed in the
    Washington Appellate Reports, but it will be filed for public record pursuant to
    RCW 2.06.040.
    WE CONCUR:
    Pennell, C .J.
    \ c..-:37
    4
    The Honorable Beth Andrus is a Court of Appeals, Division One, judge sitting in
    Division Three under CAR 2l(a).
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