Jodi Lynn Erpelding v. Timothy John Erpelding
Jodi Lynn Erpelding v. Timothy John Erpelding
Opinion
The parties executed a premarital agreement waiving the right to seek an award of attorney fees in the event of a dissolution of their marriage. During their subsequent dissolution proceeding, the parties litigated issues pertaining to physical custody of the two minor children, child support, spousal support, and property division. One of the parties requested an award of attorney fees arising from litigating issues of child custody, child support, and spousal support, claiming the premarital-agreement waiver of her claim for attorney fees was unenforceable because it violates public policy. The district court's decree decided all of the contested issues and denied the *237 request for attorney fees, finding the waiver provision in the premarital agreement was enforceable. On appeal, the court of appeals reversed on the attorney fees issue, concluding the waiver provision violates public policy and is therefore unenforceable to the extent the attorney fees arise from litigation of child-related issues. On further review, we affirm the court of appeals decision on its award of attorney fees for child-related issues. We vacate the part of the court of appeals decision regarding attorney fees for spousal support. We affirm the decision of the court of appeals on all other issues. Therefore, we remand the case to the district court to determine the amount, if any, of trial attorney fees and costs the ex-wife is entitled to for the child custody, child support, and spousal support issues litigated in the dissolution matter in the district court. The court should also determine the amount of appellate attorney fees the ex-wife is entitled to for the child custody, child support, and spousal support issues.
I. Factual and Procedural Background.
Tim and Jodi Erpelding married on December 1, 1997, in Las Vegas, Nevada. Five days before their wedding, the parties executed a premarital agreement addressing their respective property rights and interests in the event of dissolution of the marriage. The agreement generally provided that, in the event of dissolution, the parties would retain sole ownership of all assets they brought into the marriage or acquired in their individual names during the marriage. The agreement further provided
the Parties shall have no other rights to property, interests in property, property settlement, attorney fees and expenses upon the filing of a petition requesting legal separation, divorce, dissolution or other judicial termination of their marriage, and upon the Court granting any such petition and thereafter.
(Emphasis added.).
After eighteen years of marriage, Jodi filed a petition for dissolution. The parties litigated issues of child custody and support, spousal support, property division, and attorney fees. The district court ordered split physical care, placing one child with each parent, and adjudicated the support and property issues in a thorough and well-written opinion. The court declined to award Jodi attorney fees, concluding "[i]n the absence of any articulated public policy of the state of Iowa, the Court thinks it does not have authority to ignore the plain language of the parties' prenuptial agreement."
Jodi appealed, Tim cross-appealed, and we transferred the case to the court of appeals. On appeal, Jodi asserted the Iowa Uniform Premarital Agreement Act (IUPAA) prohibits premarital-agreement provisions that waive the right to attorney fees arising from issues of child custody, child support, and spousal support because the IUPAA prohibits premarital agreements from limiting the right to child and spousal support. The court of appeals reversed the district court's denial of attorney fees, holding "the provision in the Erpeldings' premarital agreement waiving [attorney] fees and costs is void and unenforceable as to child-related issues because it violates Iowa 'public policy by discouraging both parents from pursuing litigation in their child's best interests.' " 1
*238
Tim sought and we granted further review. "When considering an application for further review, we have discretion to review all the issues raised on appeal or in the application for further review or only a portion thereof."
In re Marriage of Mauer
,
II. Scope and Standards of Review.
We review the denial of attorney fees for an abuse of discretion. We reverse the district court's ruling only when it rests on grounds that are clearly unreasonable or untenable. A ruling is clearly unreasonable or untenable when it is "not supported by substantial evidence or when it is based on an erroneous application of the law."
In re Marriage of Kimbro
,
III. Analysis.
A. Relevant Statutory Provisions
. Under Iowa law, premarital agreements are subject to the IUPAA, codified in Iowa Code chapter 596.
1. Parties to a premarital agreement may contract with respect to the following:
....
g. Any other matter, including the personal rights and obligations of the parties, not in violation of public policy or a statute imposing a criminal penalty.
2. The right of a spouse or child to support shall not be adversely affected by a premarital agreement.
B. Attorney Fees for Child Support and Spousal Support.
Both the district court and court of appeals based their respective analyses on whether a premarital-agreement waiver of attorney fees concerning child support or spousal support violates public policy.
See
"When interpreting a statute, we seek to ascertain the legislature's intent."
Dakota, Minn. & E. R.R. v. Iowa Dist. Ct.
,
"A statute is ambiguous 'if reasonable minds could differ or be uncertain as to the meaning of a statute.' "
If the statute is unambiguous, we do not search for meaning beyond the statute's express terms.
Tim contends a premarital-agreement provision waiving a claim for attorney fees adversely affects only the right to seek attorney fees. Put another way, he argues such a provision does not contravene section 596.5(2) because it does not inhibit a spouse's or child's right to support-it merely inhibits one party's right to seek reimbursement from the other party for the cost of pursuing such support. Conversely, Jodi contends such a waiver provision violates section 596.5(2) because, without the possibility of recovering attorney fees, a financially disadvantaged spouse may be unable to competently or adequately litigate child and spousal support claims, and thus the right to such support will be adversely affected. Because we find both interpretations of section 596.5(2) are reasonable, we conclude the statute is ambiguous. Therefore, we resort to our tools of statutory construction.
When interpreting an ambiguous statute, we consider "[t]he object sought to be attained."
We turn to the history of the right to spousal support in Iowa as a backdrop for our determination of the object or purpose of section 596.5(2).
See generally
Vande Kop v. McGill
,
in a position where he or she would be forced to endure conduct which would constitute grounds for divorce because of fear that the commencement of an action for divorce would deprive the person of contracted property rights and means of support.
*241
In 1980, the legislature amended then-section 598.21 to allow courts to consider provisions in a premarital agreement when deciding alimony issues.
3
Vande Kop
,
The legislature's return to the common law rule expresses a preference for protecting the financially dependent spouse's unpredictable need for support and ability to leave a broken marriage over the parties' general right to contract. In turn, that preference undergirds our conclusion that the purpose of section 596.5(2) is to explicitly and broadly protect the right to support.
We also find guidance for our interpretation of section 596.5(2) by comparing the IUPAA with the Uniform Premarital Agreement Act (UPAA), the uniform act on which the IUPAA was modeled.
In re Marriage of Shanks
,
Most notably, the IUPAA explicitly protects the right to spousal support against waiver whereas the UPAA explicitly does not.
4
Compare
Additionally, the IUPAA imposes a duty on both parties to "execute all documents necessary to enforce the agreement";
6
comparatively, the UPAA does not.
Compare
We further note the IUPAA is more protective of vulnerable parties because it establishes more grounds for claims of unenforceability of premarital agreements than the UPAA.
Compare
Thus, our comparison of features of the IUPAA and the UPAA reveals the IUPAA's tendency toward providing more protection to vulnerable parties. As children and financially dependent spouses are vulnerable parties, it is logical to conclude we should interpret IUPAA provisions explicitly protecting children or dependent spouses consistently with such provisions' purpose: the protection of vulnerable parties.
In interpreting statutes, we also consider the consequences of different interpretations.
First, such an interpretation could leave a financially dependent spouse without the ability to pursue his or her right to alimony. As a practical matter, the existence of a right presupposes that one must necessarily have the ability to pursue and exercise that right.
Cf.
Walker v. Walker
,
Correspondingly, an interpretation of section 596.5(2) concluding the right to support is not adversely affected by an attorney fee waiver could result in a financially dependent parent being unable to adequately litigate the issue of child support. Tim contends Iowa Code section 598.12(1)-(2), which authorizes the court to appoint a guardian ad litem (GAL) or attorney for any children of the parties, 9 is sufficient to protect a child's right to support. We disagree.
Primarily, we note there is no guarantee a GAL or child's attorney will be appointed as section 598.12(1)-(2) is a permissive statute. Even if a GAL or child's attorney is appointed, the scope of the appointment is most likely directed to custody issues.
See
The argument that the appointment of separate counsel for children in a dissolution action should eliminate a claim for reimbursement of a parent's attorney fees incurred in litigating child-related issues was advanced in
In re Marriage of Joseph,
This argument completely overlooks the fact that if one party does not have sufficient funds to initiate or defend against actions concerning the children's support and/or custody the litigation will never proceed to the point where independent counsel for the children may be appointed. Moreover, as wife points out, representatives appointed to protect the children's interests do not operate in a vacuum, but rely heavily on representations of counsel for the parents.
Finally, we observe premarital-agreement provisions waiving a claim for attorney fees pertaining to support issues may inhibit a court's ability to make accurate and appropriate decisions regarding alimony and that are in the best interests of the children.
See, e.g.
,
In re Marriage of Ikeler
,
In contrast, an interpretation of section 596.5(2) categorically precluding premarital-agreement provisions waiving support-related attorney fees does not lead to undesirable consequences. It instead increases the likelihood that a financially dependent spouse or parent will be able to effectively assert claims for spousal and child support. Such an interpretation also increases the likelihood that the court will receive relevant evidence informing its decisions on support.
Moreover, such an interpretation of the statute will not result in an automatic award of attorney fees in every dissolution case in which support issues are litigated. An award of attorney fees remains within the discretion of the district court.
See
In re Marriage of Kimbro
,
For all of these reasons, we hold a premarital-agreement provision waiving an award of attorney fees related to issues of child or spousal support adversely affects the right to support. Accordingly, such provisions are categorically prohibited by section 596.5(2). Thus, the district court erred in relying on the attorney-fee-waiver provision in the parties' premarital agreement to deny Jodi's request for support-related attorney fees.
C. Attorney Fees for Child Custody. Under our statutory construction of section 596.5(2), we cannot find a basis to prohibit the attorney-fee-waiver provision in the parties' premarital agreement regarding attorney fees for child custody. If we are going to find such a prohibition, the prohibition must be under section 596.5(1)( g ). In other words, the attorney-fee-waiver provision, otherwise known as the fee-shifting bar provision, in the parties' premarital agreement regarding attorney fees for child custody must be in violation of public policy.
We start by examining the IUPAA in its entirety. The IUPAA does not provide for a premarital agreement to determine custody of children born during the marriage. Moreover, the legislature has determined the court must determine the best interest of the children when awarding custody.
See
Given the need to take into account the best interests of the children, we find provisions in a premarital agreement that limit child custody rights are void as a matter of public policy.
See
*247
In re Marriage of Best
,
As a corollary, provisions in a premarital agreement that contain fee-shifting bars as to the litigation of child custody are void as a matter of public policy.
Cf.
In re Marriage of Linta
,
In
In re Marriage of Ikeler
, the Colorado Supreme Court addressed whether a fee-shifting bar in a marital agreement was enforceable.
In
In re Marriage of Joseph
, the California Court of Appeal held that the marital settlement agreement violated public policy and was void.
In
In re Marriage of Burke
, the Washington Court of Appeals reached the same conclusion as the California Court of Appeal in
In re Marriage of Joseph
.
See
In examining
In re Marriage of Ikeler
,
In re Marriage of Joseph
, and
In re Marriage of Burke
, the Illinois Appellate Court in
In re Marriage of Best
concluded that those three cases reflected Illinois public policy in regards to fee-shifting bars on child-related issues.
We find the reasoning of In re Marriage of Ikeler , In re Marriage of Joseph , and In re Marriage of Burke persuasive. We hold Iowa public policy prohibits fee-shifting bars on child custody issues. Accordingly, section 596.5(1)( g ) prohibits fee-shifting bar provisions as to child custody issues.
IV. Conclusion.
We affirm the court of appeals decision on its award of attorney fees for child-related issues. We vacate the part of the court of appeals decision regarding attorney fees for spousal support. We affirm the remaining parts of the court of appeals decision, including the part pertaining to temporary attorney fees and expenses. We remand the case to the district court to determine the amount, if any, of trial attorney fees and costs Jodi is entitled to for *248 the child custody, child support, and spousal support issues litigated in the dissolution matter in the district court. The district court should also determine the amount of appellate attorney fees Jodi is entitled to for the child custody, child support, and spousal support issues.
DECISION OF COURT OF APPEALS AFFIRMED IN PART AND VACATED IN PART; DISTRICT COURT JUDGMENT AFFIRMED IN PART AND REVERSED IN PART, AND CASE REMANDED WITH INSTRUCTIONS.
The court of appeals declined to address Jodi's claim regarding attorney fees incurred from litigating issues of spousal support, concluding Jodi "provide[d] no compelling arguments to reach th[at] litigation categor[y]." We conclude Jodi did sufficiently present arguments in the district court and on appeal challenging the denial of attorney fees incurred in furtherance of her claim for spousal support, and therefore, unlike the court of appeals, we decide the question on further review.
The "legal obligation to support" referenced in
In re Marriage of Gudenkauf
was the then-prevailing duty of the husband to support his wife.
See
Norris
,
The current version of this amendment is found in Iowa Code section 598.21A(1)(
i
). Section 598.21A(1) enumerates the criteria a court should consider in determining if an award of spousal support is appropriate, including "[t]he provisions of an antenuptial agreement."
In contrast, both the IUPAA and the UPAA provide a child's right to support may not be adversely affected.
Compare
Forty-eight jurisdictions allow premarital waiver of spousal support. They are Alabama,
see
Ex parte Walters
,
Three jurisdictions categorically do not allow waiver of spousal support. They are Iowa,
The documents necessary to enforce the agreement can be more than just the agreement itself. For example, when the party seeking enforcement discloses his or her property and financial obligations in writing to the other party and that written disclosure was the only way the other party knew about such property and obligations, both parties must execute the disclosure document.
See
Iowa Code section 596.4 provides, "A premarital agreement must be in writing and signed by both prospective spouses. It is enforceable without consideration other than the marriage. Both parties to the agreement shall execute all documents necessary to enforce the agreement."Section 2 of the UPAA provides, "A premarital agreement must be in writing and signed by both parties. It is enforceable without consideration." Unif. Premarital Agreement Act § 9, 9C U.L.A. at 41.
Iowa Code section 596.8 provides in pertinent part,
1. A premarital agreement is not enforceable if the person against whom enforcement is sought proves any of the following:
a. The person did not execute the agreement voluntarily.
b. The agreement was unconscionable when it was executed.
c. Before the execution of the agreement the person was not provided a fair and reasonable disclosure of the property or financial obligations of the other spouse; and the person did not have, or reasonably could not have had, an adequate knowledge of the property or financial obligations of the other spouse.
UPAA section 6 provides in relevant part,
(a) A premarital agreement is not enforceable if the party against whom enforcement is sought proves that:
(1) that party did not execute the agreement voluntarily; or
(2) the agreement was unconscionable when it was executed and, before execution of the agreement, that party:
(i) was not provided a fair and reasonable disclosure of the property or financial obligations of the other party;
(ii) did not voluntarily and expressly waive, in writing, any right to disclosure of the property or financial obligations of the other party beyond the disclosure provided; and
(iii) did not have, or reasonably could not have had, an adequate knowledge of the property or financial obligations of the other party.
Unif. Premarital Agreement Act § 6(a), 9C U.L.A. at 48-49.
In the 2018 Code, the statutory authority for a court to appoint a GAL or child's attorney and the powers and duties of the GAL and child's attorney are separated into section 598.12 (GAL) and section 598.12A (child's attorney).
Compare
For example, in this case, Tim is a self-employed farmer. Because his annual income fluctuates, the parties presented expert evidence on the issue.
Reference
- Full Case Name
- In RE the MARRIAGE OF Jodi Lynn ERPELDING and Timothy John Erpelding Upon the Petition of Jodi Lynn Erpelding, Appellant, and Concerning Timothy John Erpelding, Appellee.
- Cited By
- 38 cases
- Status
- Published