Opinion

S.A.M.D. v. J.P.D.

Court
Court of Appeals of Tennessee
Filed
Jun 23, 2015
Status
Published
On the bench
Judge Arnold B. Goldin
Cited by
0 cases
Authority
More cited than 34.7%

The opinion

IN THE COURT OF APPEALS OF TENNESSEE

AT JACKSON

Assigned on Briefs May 20, 2015

S. A. M. D. v. J. P. D.

Appeal from the Circuit Court for Shelby County

No. CT00543806, CT00150214 Donna M. Fields, Judge

________________________________

No. W2014-01015-COA-R3-CV – Filed June 23, 2015

_________________________________

This is a post-divorce action. The trial court denied Wife‟s motion to continue, found

that she breached the parties‟ marital dissolution agreement, and credited Husband for

amounts he paid for necessaries when calculating Husband‟s child support arrearage.

Wife appeals. We affirm.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Circuit Court Affirmed and

Remanded

ARNOLD B. GOLDIN, J., delivered the opinion of the Court, in which BRANDON O.

GIBSON, J., and KENNY ARMSTRONG, J., joined.

Kimberly Falls Lentz, Memphis, Tennessee, for the appellant, S.A.M.D.

Vickie Hardy Jones, Memphis, Tennessee, for the appellee, J.P.D.

MEMORANDUM OPINION1

The parties2 have engaged in post-divorce litigation almost continually since the

trial court entered their final decree of divorce in February 2010, and this is the third time

their post-divorce disputes have been before this Court. We accordingly find it

1

Rule 10 of the Rules of the Court of Appeals of Tennessee provides:

This Court, with the concurrence of all judges participating in the case, may affirm, reverse or modify the

actions of the trial court by memorandum opinion when a formal opinion would have no precedential

value. When a case is decided by memorandum opinion it shall be designated “MEMORANDUM

OPINION”, shall not be published, and shall not be cited or relied on for any reason in any unrelated case.

2

The record in this matter was sealed by the trial court. We accordingly substitute initials for the parties‟

names in this Opinion.

unnecessary to restate the background facts and procedural history of this matter. In the

present appeal, Wife submits that the trial court erred by denying her May 2014 motion to

continue the hearing of Husband‟s April 2014 petition for breach of contract; by finding

that Wife breached the parties‟ marital dissolution agreement (“MDA”) by failing to pay

the mortgage and other expenses associated with real property that secured a mortgage

held by Husband; and by ordering her to quitclaim the real property back to Husband,

which the trial court ordered in order to offset the judgment in favor of Husband on his

breach of contract claim. Wife also appeals the trial court‟s assignment of a credit to

Husband against child support amounts due to Wife following our order of remand of the

parties‟ prior appeal. Husband requests attorney‟s fees on appeal. We affirm the trial

court‟s judgment in full and deny Husband‟s request for attorney‟s fees.

Breach of Contract

We first turn to Wife‟s assertion that the trial court erred by finding that she

breached the parties‟ MDA by failing to pay the mortgage and other expenses associated

with the real property known as the “Windgarden Residence.” Whether a party has

breached a contract is a question of fact. Edmunds v. Delta Partners, LLC, 403 S.W.3d

812, 822 (Tenn. Ct. App. 2012). In an action tried by a trial court sitting without a jury,

our review of the trial court‟s findings of fact is de novo on the record with a presumption

of correctness unless the evidence preponderates otherwise. Tenn. R. App. P. 13(d).

“For the evidence to preponderate against a trial court‟s finding of fact, it must support

another finding of fact with greater convincing effect.” Edmunds, 403 S.W.3d at 821-

822.

Husband filed the petition at issue in the current appeal on April 3, 2014. His

petition was styled: “Complaint for Breach of Contract, for Money Judgment, For

Transfer of Real Property, and for Attorney‟s Fees.”3 In his complaint, Husband

referenced the trial court‟s March 2014 order on Husband‟s July 2012 “Petition for Order

Requiring Sale of Real Property.” In its order, which the trial court entered nunc pro tunc

to July 26, 2013, the trial court stated:

3

Wife asserts Husband‟s complaint was 117 pages in length. We observe that the complaint itself is

seven pages in length and that it includes several exhibits, including the parties‟ MDA and earlier orders

of the trial court. Wife also asserts in her brief that, following a hearing in February 2014, in March 2014

the trial court set “multiple matters for hearing to include a Petition that Counsel for [Husband] indicated

would be filed at some point in the future relative to the Windgarden property[,]” and that the trial court‟s

order setting the matters for a hearing “failed to show any acknowledgment, notice and/or certificate of

service to [Wife].” It appears undisputed, however, that Wife was present when the court made its oral

ruling and that Wife‟s attorney signed the order. Further, Wife did not raise notice as an issue in the

Statement of the Issues section of her brief. “Issues not raised in the statement of the issues may be

considered waived.” Ethridge v. Estate of Ethridge, 427 S.W.3d 389, 395 (Tenn. Ct. App. 2013).

2

Father has requested that this Court enter an order requiring the

Windgarden Residence to be listed for sale immediately. Although Mother

has stipulated that this Court has subject matter jurisdiction over the issues

presented by Father‟s petition for the sale of the Windgarden Residence, the

Court finds that it lacks jurisdiction to order the sale of the Windgarden

Residence under the terms of the Marital Dissolution Agreement and in the

absence of a breach of the terms of the Marital Dissolution Agreement by

Mother. Should Mother fail to pay the obligations associated with the

Windgarden Residence, including the mortgage note on which only Father

is obligated, Father may file an independent action for breach of contract,

seeking the sale of the Windgarden Residence or other relief. Should

Father do so, this Court finds that such matter should be assigned by the

clerk of the court to this division, this Court being familiar with the parties,

the facts and the circumstances of this case.

Husband additionally referenced the trial court‟s July 26, 2013, order finding that the

parties‟ son had not resided in the Windgarden Residence since December 2010 and that,

under the parties‟ MDA, when the Windgarden Residence ceased to be the primary and

only residence of the parties‟ minor child, Husband‟s obligations with respect to expenses

on the home, including the mortgage, ceased. In his petition, Husband asserted that Wife

had breached the parties‟ MDA by refusing to pay the mortgage, homeowner‟s insurance,

property taxes, and homeowners‟ association fees associated with the Windgarden

Residence notwithstanding the trial court‟s order; that he had continued to pay the

expenses in order to protect his credit; and that the court previously had awarded

Husband a judgment against Wife in the amount of $145,599.28, including $105,986.68

for expenses paid by Husband from December 2010 through July 23, 2013. 4 Husband

prayed for an additional judgment against Wife in the amount equal to all Windgarden

Residence expenses paid by Husband from July 26, 2013.

Following a hearing on May 12 and 13, 2014, the trial court entered judgment on

Husband‟s petition on May 21, 2014. In its extremely detailed and comprehensive order,

the trial court stated, in relevant part:

16. In 2010, the parties entered into a Marital Dissolution Agreement,

which is a contract. Incident to the terms of the Marital Dissolution

Agreement filed on February 18, 2010, [Wife] was to receive [the

Windgarden Residence] . . . with [Husband] to pay the mortgage,

homeowners‟ insurance, property taxes and homeowners‟ association fees

for so long as the Windgarden Residence was the primary residence of

4

Husband asserted that the trial court‟s earlier judgment awarded him attorney‟s fees arising from the

parties‟ cross-petitions for contempt and Wife‟s petition to change child custody back to her. The

$105,986.68 judgment also appears to include an award of attorney‟s fees.

3

[Wife] and the parties‟ minor child. [Husband] faithfully paid the expenses

on the Windgarden Residence as required by the Marital Dissolution

Agreement. [Husband] is the only person liable on the mortgage secured

by the Windgarden Residence.

17. As set forth in the “Order on Father‟s Petition for Order Requiring Sale

of Real Property Filed on July 11, 2012, and Second Preliminary Order on

Petition for Injunction Suspending Mother‟s Parenting Time Pending

Further Orders of the Court, for Scire Facias and Citation for Civil and

Criminal Contempt, and for Attorney‟s Fees Filed on December 11, 2012”

entered by the Court on March 7, 2014, nunc pro tunc to July 26, 2013, the

Windgarden residence ceased to be the primary residence of the parties‟

child in December 2010, as a result of [Wife‟s] failure to properly parent

the child. Accordingly, [Husband‟s] obligation to pay the expenses with

the Windgarden Residence ceased at that time. Said order granted a

judgment against [Wife] in favor of [Husband] in the amount of

$105,986.68.

18. Since December 2010, and including the period since the hearing on

“Father‟s Petition For Order Requiring Sale Of Real Property,” [Wife] has

failed and refused to pay the mortgage, homeowners‟ insurance, property

taxes or homeowners‟ association fees on the Windgarden Residence,

except perhaps for the increase in the homeowner‟s insurance premium as

set forth in the “Order on Father‟s Petition for Injunctive Relief, for Scire

Facias and Citation for Civil and Criminal Contempt and for Attorney‟s

Fees,” entered on July 15, 2010. [Wife], her child not of the parties‟

marriage, her sister‟s two children and her parents reside in the Windgarden

Residence. [Wife] receives no support from her son‟s father or her sister or

the fathers of her sister‟s children.

19. Because the mortgage is in [Husband‟s] sole name, he has continued to

pay the mortgage, homeowners‟ insurance, property taxes or homeowners‟

association fees on the Windgarden Residence. The Court finds that

[Husband] did not pay these expenses as a gift, but did so in order to protect

his credit.

20. The Court finds that this is inequitable and contrary to the intent of the

parties in the Marital Dissolution Agreement. If [Husband] had not

executed a Quit Claim Deed in favor of [Wife], there would be no question

concerning how this residence should be treated.

21. The Court finds that an additional judgment of $71,218.96 shall be, and

is hereby, entered against [Wife] in favor of [Husband], said sum

4

representing expenses paid by [Husband] toward Windgarden Residence

expenses since the announcement of the prior judgment, or not otherwise

included therein, as set forth on Exhibit 6 to the proceedings.

22. The Court opined at the last hearing that if [Wife] did not pay the

ordered expenses, then [Husband] could file an independent action. The

Court meant a claim, which could have been brought as a petition within

the domestic relations case. However, incident to that separate action,

which has been consolidated with the domestic matter for hearing, the

Court finds that it may take further action.

In her brief, Wife asserts that the trial court erred by finding that she breached the

parties‟ MDA by failing to pay the expenses associated with the Windgarden Residence

because the MDA does not include a provision requiring her to pay the mortgage,

homeowners‟ insurance, or homeowners‟ association fees. She further asserts that

Husband was aware of his obligation to pay expenses associated with the residence when

he quitclaimed the residence to her in February 2010; that the MDA provides that Wife

may reside in the residence for as long as she desires to do so; and that the MDA provides

that Wife would receive the proceeds arising from any sale of the residence. Wife

additionally asserts that the MDA provides that Husband‟s obligation to pay expenses

associated with the residence would cease upon sale of the property, payment in full of

the mortgage, or if the residence ceased to be the “primary and only residence of the

parties‟ minor child and [Wife].” She asserts that “it is reasonable for [Wife] to have an

expectation that she would receive the Windgarden property as a result of the” final

decree of divorce incorporating the parties‟ MDA, and that now Husband seeks to

renegotiate the MDA.

We begin our analysis by observing that Wife‟s right under the MDA to reside in

the Windgarden Residence is not the issue at dispute in this matter. The trial court‟s

March 2014 order, entered pro nunc tunc to July 2013, clearly permitted Wife to remain

in the residence as long as she paid the mortgage and other expenses associated with it.

Rather, the issue presented, as we perceive it, is whether the terms of the parties‟ MDA

relieve Husband of his obligation to pay the mortgage and costs associated with the

Windgarden Residence if it ceased to be the primary residence of the parties‟ child. This

issue requires us to construe the relevant provisions of the parties‟ MDA. Construction

of the contractual provisions of an MDA is a matter of law. Barnes v. Barnes, 193

S.W.3d 495, 489 (Tenn. 2006). Accordingly, we review a trial court‟s interpretation of

an MDA de novo, with no presumption of correctness. Id.

Paragraph 4 of the parties‟ MDA provides:

Husband owns real property known municipally as . . . the “Windgarden

Residence” . . .

5

Wife shall receive the Windgarden Residence and may reside in said

residence as long as she desires to do so.

The Windgarden Residence presently is encumbered by a mortgage . . . .

Husband shall pay, indemnify and hold Wife harmless from the payment of

this mortgage, as well as the property taxes, homeowners‟ insurance and

the . . . homeowners association annual dues on said residence. Wife shall

pay, indemnify and hold Husband harmless from the payment of all other

expenses associated with the Windgarden Residence. To the extent, if any,

that the utilities and other services associated with the Windgarden

Residence are in Husband‟s name or the parties‟ joint names, Wife shall

take all steps necessary to remove Husband‟s name from same within seven

days of the date of the execution of this Agreement.

Upon the sale of the Windgarden Residence, Wife will receive the

proceeds. Should Wife elect to reside in the Windgarden Residence until

the mortgage is paid in full, Husband shall execute a Quit Claim Deed at

that time, transferring all of his right, title and interest in and to the

Windgarden Residence to Wife and the parties‟ son.

Husband‟s obligations pursuant to this paragraph shall terminate if the

Windgarden Residence ceases to be Wife and the party‟s (sic) minor child‟s

primary and only residence or upon the earlier to occur of (a) the sale of the

Windgarden Residence; or (b) Husband‟s payment in full of the mortgage

obligation.

It appears that Wife elected to remain in the residence, and it is undisputed that

Husband quitclaimed the property to her before the mortgage was paid in full. It also is

undisputed that the parties‟ minor child no longer resides in the residence but has resided

with Husband since December 2010.

Under the plain terms of the MDA, Husband‟s obligation to pay the costs

associated with the Windgarden Residence ended when the parties‟ minor child ceased to

reside in the residence. Although the MDA does not explicitly state that Wife would

assume responsibility for the expenses and costs associated with the residence should

Husband‟s obligations cease, we observe that Paragraph 13 of the MDA provides:

Except as otherwise set forth herein, each of the parties shall be responsible

for the payment of any debt that he or she has incurred. Each of the parties

agrees that he or she will not cause to be charged any debt in the name of

the other party or in the parties‟ joint names.

6

Thus, construing the MDA as a whole, we agree with the trial court that Wife was

required to pay the costs and expenses of the Windgarden Residence after Husband was

relieved of his obligation to do so – ie., after the residence ceased to be the primary

residence of the parties‟ child. It is undisputed that she failed to do so. We accordingly

affirm the trial court‟s finding that Wife breached the parties‟ MDA by failing to pay the

mortgage, homeowners‟ insurance, and homeowners‟ association fees associated with the

Windgarden Residence from the date the parties‟ minor child ceased to reside in the

residence.

Motion to Continue

We turn next to Wife‟s assertion that the trial court erred by failing to grant her

motion to continue the May 2014 hearing of the matter in order to allow her additional

time to conduct discovery with respect to Husband‟s breach of contract claim. A trial

court‟s adjudication of a motion to continue is reviewed for an abuse of discretion.

Howell v. Ryerkerk, 372 S.W.3d 576, 580 (Tenn. Ct. App. 2012). The party moving for a

continuance carries the burden to demonstrate that circumstances justify it. Id. There

must be some “„strong excuse‟ for postponing the trial date.” Id. (quoting Barber &

McMurry, Inc. v. Top–Flite Development Corp. Inc., 720 S.W.2d 469, 471 (Tenn. Ct.

App. 1986)). The relevant factors include: “„(1) the length of time the proceeding has

been pending, (2) the reason for the continuance, (3) the diligence of the party seeking

the continuance, and (4) the prejudice to the requesting party if the continuance is not

granted.‟” Id. (quoting Nagarajan v. Terry, 151 S.W.3d 166,172 (Tenn. Ct. App. 2003)).

In its May 21, 2014 order, the trial court stated:

At the commencement of the hearing on May 12, 2014, and at other times

throughout the hearing, [Wife] requested a continuance to secure an

attorney. After the first day of trial, on May 13, 2014, an attorney appeared

on [Wife‟s] behalf, stating that she was not [Wife‟s] attorney of record and

had not been retained to represent [Wife], but was appearing for the

purpose of requesting a continuance.

On each occasion on May 12 and 13 when a continuance was requested, the

Court denied the request. The Court finds that [Wife] has been aware since

September 30, 2013, when the Court of Appeals rendered its decision that

certain issues would be determined. The Court views [Husband‟s]

“Petition to Modify Child Support and for Attorney‟s Fees” filed on

October 2, 2013 as part and parcel of the remand of the Court of Appeals.

7

[Wife] has been aware since July 7, 2012 when Mr. D.5 filed his “Father‟s

Petition For Order Requiring Sale Of Real Property” that he was requesting

the sale of the Windgarden Residence and has been aware since July 26,

2013 that this Court has determined that [Wife], not [Husband], was

responsible for the expenses associated with that residence since December

2010 when this Court entered its “Preliminary Order on Father‟s Amended

and Supplemental Petition for Scire Facias and Citation for Civil and

Criminal Contempt” and the Windgarden Residence ceased to be the

child‟s primary residence.

Notwithstanding the Court‟s denial of [Wife‟s] request for a continuance,

the Court granted [Wife‟s] request for a continuance of the issues raised in

[Husband‟s] “Petition for Injunction Suspending Mother‟s Parenting Time

Pending Further Orders of the Court, for Scire Facias and Citation for Civil

and Criminal Contempt, and for Attorney‟s Fees” filed on December 11,

2012, which were not heard on July 26, 2013, but were reserved for

determination at a later date. The Court finds that the reserved issues

include criminal contempt counts against Ms. M. and that she should have

an opportunity to seek court-appointed counsel.6

With respect to Wife‟s motion to continue to allow her time to conduct further

discovery of Husband‟s breach of contract claim, the trial court stated:

[Wife] requested a continuance on [Husband‟s] April 2, 2014 Complaint in

order to conduct discovery. The Court finds that none is necessary. [Wife]

has had ample opportunity to refinance the mortgage in her name and to

assume responsibility for the payment of expenses for the Windgarden

Residence, but has failed to do so. She admitted that she has not done so

and, therefore, there is nothing to discover.

Upon review of the record, we find no abuse of discretion on the part of the trial court

and affirm on this issue.

Child Support

We turn next to whether the trial court erred in its calculation of Husband‟s child

support arrearage and by crediting Husband for amounts paid toward necessaries for the

parties‟ child. We begin our discussion of this issue by noting that Husband was found

5

The trial court‟s opinion contained the full last name of the parties. Consistent with our earlier statement,

we are substituting initials for the parties‟ last names.

6

In August 2014, Wife reported to jail to serve 82 days for contempt.

8

to be in arrears for child support due from February 2012 through September 2013. We

additionally note that Wife‟s appeal of the trial court‟s June 2012 order – which followed

a January 2012 hearing – was pending in this Court during that period.7 Wife‟s

argument, as we understand it, is that the amount credited to Husband for necessaries

provided for the child exceeds the amount of his outstanding child support obligation and

that the trial court erred by including certain medical and travel expenses as necessaries.

As we recently noted:

Although a trial court may not retroactively modify a parent‟s support

obligation, this Court has authored numerous opinions regarding the

authority of trial courts to offset child support arrears based on the obligor‟s

expenditures to provide necessaries for the child. See Peychek v.

Rutherford, No. W2003–01805–COA–R3JV, 2004 WL 1269313, at *4

(Tenn. Ct. App. June 8, 2004); Brownyard v. Brownyard, No. 02A01–

9803–CH–00063, 1999 WL 418352 (Tenn. Ct. App. June 22, 1999);

Hartley v. Thompson, 01A019502–CV–00044, 1995 WL 296202 (Tenn. Ct.

App. May 17, 1995); Oliver v. Oczkowicz, No. 89–396–II, 1990 WL 64534

(Tenn. Ct. App. May 18, 1990). In Oliver, this Court allowed “a credit for

voluntary payments made on behalf of the children only where the payment

is for the children‟s necessaries which are not being supplied by the

custodial parent.” Id., 1990 WL 64534 at *2. “The obligation to provide

necessaries requires the provision of appropriate food, shelter, tuition,

medical care, legal services, and funeral expenses as are needed.” Peychek,

2004 WL 1269313 at *4. “In order to maintain a successful claim for

necessaries, [the claiming parent] „must prove: (1) that the child needed the

particular goods or services that were provided, (2) that [the non-claiming

parent] had a legal obligation to provide the goods or services, (3) that [the

non-claiming parent] failed to provide the goods or services, and (4) the

actual cost of these goods or services.‟” Id. (quoting Hooper v. Moser,

M2001–02702–COA–R3–CV, 2003 WL 22401283, at *3 (Tenn. Ct. App.

Oct. 22, 2003)). The rationale is that a credit against a child support

arrearage is not a retroactive modification of support but is given in

recognition “that the obligor parent provided the support the court ordered

in the first place.” Netherton, 1993 WL 49556, at *2.

Martin v. Martin, No. W2014–01007–COA–R3–CV, 2015 WL 2400583, at *4 (Tenn. Ct.

App. May 20, 2015).

7

In September 2013, we reversed the trial court‟s June 2012 order modifying Husband‟s child support on

the ground of insufficient notice. We stated that Husband was not precluded from filing a petition to

modify child support on remand.

9

In its May 2014 order, the trial court found that Husband‟s child support

obligation for the relevant period was $3,000 per month; that Husband paid Wife $717

per month; and that Husband owed Wife $40,641 in child support arrears. The trial court

found that Husband sought a credit in the amount of $48,207.11; that some of the

expenses should not be credited to Husband; and that Husband had demonstrated

necessaries in the amount of $43,401.69. The trial court thus reduced Husband‟s child

support arrearage to $0. Upon review of the trial court‟s order and the several exhibits

attached to it, we find that the evidence does not preponderate against the trial court‟s

finding. We affirm on this issue.

Award of Property to Offset Judgment

We finally turn to Wife‟s assertion that the trial court erred by ordering her to

vacate the Windgarden Residence and to quitclaim the property back to Husband to offset

the judgment awarded to Husband. In its May 2014 order, the trial court found that

Husband was entitled to fees and expenses pursuant to this Court‟s order of remand in

September 2013; that his attorney submitted an affidavit of fees and expenses in the

amount of $16,311.61; and that this amount was reasonable and necessary. The trial

court noted that, in March 2014, it had entered a judgment nunc pro tunc to July 2013 in

favor of Husband in the amount of $105,986.68 for expenses paid on the Windgarden

Residence. It entered an additional judgment in the amount of $71,218.96 for amounts

paid by Husband since entry of the court‟s previous order. The trial court found that

neither party had any equity in the residence, which appears to be undisputed. It is also

undisputed that Wife has not paid the judgments awarded to Husband. The trial court

stated in its judgment:

26. There is no question that the Court could order the sale of the

Windgarden Residence.

27. The Court finds that the only equitable relief is that the Windgarden

Residence shall be, and is hereby, divested from [Wife] and vested into

[Husband], the mortgage holder.

28. The Court declines to order a sale in hopes that the real estate market

recovers. Neither party has equity in the Windgarden Residence. The

Court finds that there is no equity in the Windgarden Residence and that to

order a sale of the property would be to [Husband‟s] detriment.

29. The Court orders [Wife] to execute a Quit Claim Deed transferring to

[Husband] all of her right, title and interest in and to the Windgarden

Residence, thereby ending the accrual of a judgment against [Wife] for the

payment of expenses by [Husband] and transferring from [Wife] to

[Husband] all right, title and interest in and to the Windgarden Residence.

10

Counsel for [Husband] shall not record the deed until after May 27, 2014,

at which time [Husband] may take any additional steps necessary to remove

[Wife] from the Windgarden Residence if she has not already vacated.

Although the trial court made no findings with respect to the value of the

Windgarden Residence, it appears undisputed that, when this matter was heard in May

2014, it had a fair market value of $425,000 to $439,000 and was encumbered by a

mortgage of approximately $440,000.

Wife‟s argument, as we understand it, is that the Windgarden Residence was

awarded to her under the parties‟ MDA; that the trial court erred by finding that Wife was

responsible for the mortgage and other costs associated with the residence after the

parties‟ child ceased to reside there; and that the trial court accordingly erred by

offsetting the judgment by ordering Wife to quitclaim the residence to Husband.

It is not disputed that the parties‟ son has not resided in the Windgarden Residence

since December 2010. Additionally, as stated above, Husband‟s obligation to pay the

mortgage and costs associated with the residence ceased in December 2010. Wife‟s

argument on this issue consists of her contention that the trial court erred by finding that

she breached the MDA and her assertion that it “[was] reasonable for [her] to have an

expectation that she would receive the Windgarden property as a result of the parties‟

final decree of absolute divorce which incorporated the parties‟ martial dissolution

agreement.” In light of our foregoing discussion, we affirm on this issue.

Attorney’s Fees

In the argument section of his brief, Husband asserts that he is entitled to

attorney‟s fees under Paragraph 19 of the parties‟ MDA, which provides:

In the event that it should be determined, either by this Court or by any

other court of competent jurisdiction, that either party has willfully

breached any provision of this Agreement, then the breaching party shall

pay to the other party all reasonable attorneys‟ fees and costs incurred in the

enforcement of any such provision or provisions as such are adjudged by

the Court upon full hearing.

As discussed above, the question presented by this appeal is more correctly

characterized as one of contract interpretation rather than willful breach. Further, it does

not appear that the question of whether Wife‟s breach of the parties‟ MDA was “willful”

was tried in the trial court. It is well-settled that issues not raised in the trial court cannot

be raised for the first time on appeal. Barnes, 193 S.W.3d at 501. Thus, we decline to

address whether Husband is entitled to attorney‟s fees on appeal under the parties‟ MDA.

11

Husband also asks this Court to exercise its discretionary authority to award him

attorney‟s fees on appeal. We observe that the current appeal arises from Husband‟s

breach of contract claim. Tennessee follows the American Rule with respect to

attorney‟s fees. State v. Brown & Williamson Tobacco Corp., 18 S.W.3d 186, 194 (Tenn.

2000). Under the American Rule, litigants are required to pay their own attorney‟s fees

in the absence of a statute or contractual agreement providing otherwise. Id. As noted

above, the parties‟ MDA provides for an award of attorney‟s fees upon a finding of

willful breach and the issue of willfulness was not tried in the trial court. Husband

accordingly is not entitled to an award of attorney‟s fees on appeal. Husband‟s request is

denied.

Holding

In light of the foregoing, the judgment of the trial court is affirmed. Costs on

appeal are taxed to the Appellant, S.A.M.D., for which execution may issue if necessary.

This matter is remanded to the trial court for enforcement of the judgment, the collection

of costs, and such further proceedings as may be necessary and as are consistent with this

Opinion.

_________________________________

ARNOLD B. GOLDIN, JUDGE

12

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