FILED

March 1, 1996

Cecil Crowson, Jr.

Appellate Court Clerk

I N THE COURT OF APPEALS OF TENNESSEE

EASTERN SECTI ON

DEMETREOUS FLENGAS ) HAMI LTON COUNTY

) 03A01- 9508- CV- 00281

Pl a i ntif f - Appe lla nt )

)

)

v. ) HON. WI LLI AM M. BARKER,

 ) J UDGE

 )

KI MBERLY DENI SE FLENGAS )

)

De f e nda nt - Appe l l e e ) REMANDED WI TH DI RECTI ONS

MARVI N BERKE OF CHATTANOOGA FOR APPELLANT

LESLI E B. McWI LLI AMS OF CHATTANOOGA FOR APPELLEE

 O P I N I O N

 Godda r d, P. J .

De me t r e ous Fl e nga s , t he hus ba nd, a nd Ki mbe r l y De ni s e

Fl e nga s , t he wi f e , we r e gr a nt e d a n a bs ol ut e di vor c e i n Se pt e mbe r

1994 i n Ha mi l t on Count y. Shor t l y t he r e a f t e r , t he Tr i a l Cour t

e nt e r e d i t s me mor a ndum opi ni on a nd or de r whi c h di r e c t e d t he

di vi s i on of the pa r tie s ' a s s e t s a nd lia bilitie s . It is f r om thi s

or de r t ha t t he hus ba nd a ppe a l s .
2

The pa r t i e s we r e ma r r i e d on Augus t 5, 1989. The y ha ve

no c hi l dr e n t oge t he r , but t he hus ba nd' s da ught e r f r om a pr e vi ous

ma r r i a ge live d with the pa r tie s until s hor tly be f or e the pa r tie s '

s e pa r a t i on. The hus ba nd f i l e d hi s c ompl a i nt f or di vor c e i n

Fe br ua r y of 1994. The wi f e a s ke d t ha t t he c ompl a i nt be di s mi s s e d

a nd s he t he n f i l e d a c ount e r - c l a i m s e e ki ng di vor c e .

A non- j ur y t r i a l wa s he l d on J ul y 18 a nd 19, 1994. An

or de r of a bs ol ut e di vor c e wa s e nt e r e d on Se pt e mbe r 9, 1994. I n

Apr i l of 1995, a s a l r e a dy not e d, t he Tr i a l Cour t i s s ue d i t s

me mor a ndum or de r t ha t di r e c t e d t he di vi s i on of a s s e t s a nd

lia bilitie s . The pa r tie s owne d va r i ous a s s e t s , inc l udi ng a

numbe r of a ut omobi l e s . Thi s a ppe a l , howe ve r , i s c onc e r ne d wi t h

onl y one a s s e t : t he ma r i t a l home .

I n 1980, pr i or t o t he pa r t i e s ' ma r r i a ge , t he hus ba nd

pur c ha s e d a hous e i n Si gna l Mount a i n, Te nne s s e e f or $55, 000. The

t i t l e t o t he hous e i s i n t he hus ba nd' s na me onl y a nd i s s e pa r a t e

pr ope r t y of t he hus ba nd. Howe ve r , t he Tr i a l Cour t or de r e d t ha t

whi l e t he wi f e i s not e nt i t l e d t o a ny s ha r e i n t he hus ba nd' s

s e pa r a t e pr ope r t y, s he i s ent i t l e d t o s ha r e i n t he appr eci a t i on

of s uc h pr ope r t y s i nc e t he ma r r i a ge . The Tr i a l Cour t not e d t ha t

" [ a ] l t hough t he r e wa s no e vi de nc e i nt r oduc e d r e ga r di ng t he a c t ua l

i nc r eas e i n va l ue of t he r e s i de nce s i nce t he ma r r i a ge , i t i s

c l e a r tha t mos t of the impr ove me nt s, whi c h we r e s ubs t a nt i a l, we r e

ma de by t he pa r t i e s f ol l owi ng t he ma r r i a ge . " The r e f or e , t he

Tr i a l Cour t or de r e d t ha t t he hous e be s ol d a nd t ha t " t he ne t
3

pr oceeds f r om t he s a l e , af t e r t he de duc t i on of t he ba l a nce owe d

on t he mor t ga ge s , t he he a t i ng a nd a i r - c ondi t i oni ng s ys t e m, r e a l

e s t a t e s a l e s f e e s , c l os i ng c os t s , a nd a ny unpa i d pr ope r t y t a xe s , "

be di vi de d be t we e n t he pa r t i e s s o t ha t t he hus ba nd woul d r e c e i ve

75 pe r c e nt a nd t he wi f e 25 pe r c e nt .
4

The hus ba nd pr e s e nt s t he s e i s s ue f or a ppe a l :

I . Whe t he r a t r i a l cour t ma y awa r d an i nt e r e s t i n a

s pous e ' s s e pa r a t e pr ope r t y t o t he ot he r s pous e de s pi t e

no evi de nce t ha t t he s e pa r a t e pr ope r t y i nc r eas e d i n

va l ue .

II. Whe t he r a t r i a l c our t ma y a dmi t a l a y opi ni on

r e ga r di ng va l ue by a wi t ne s s who i s not a n e xpe r t a nd

doe s not own t he pr ope r t y. 

The r e i s no que s t i on t ha t t he ma r i t a l home i s s e pa r a t e

pr ope r t y be l ongi ng t o t he hus ba nd. Howe ve r , T. C. A. 36- 4-

121( b) ( 1) ( B) pr ovi de s t ha t " a ny i nc r e a s e i n va l ue dur i ng t he

ma r r i a ge , of pr ope r t y de t e r mi ne d t o be s e pa r a t e pr ope r t y" i s

ma r i t a l pr ope r t y s o l ong a s e a c h pa r t y t o t he ma r r i a ge

" s ubs t a nt i a l l y c ont r i but e d t o i t s pr e s e r va t i on a nd a ppr e c i a t i on. "

See al s o Ellis v. Ellis, 748 S. W. 2d 424 ( Te nn. 1988) . The Code

de f i ne s s ubs t a nt i a l c ont r i but i on a s " t he di r e c t or i ndi r e c t

c ont r i but i on of a s pous e a s home ma ke r , wa ge e a r ne r , pa r e nt or

f a mi l y f i na nc i a l ma na ge r , t oge t he r wi t h s uc h ot he r f a c t or s a s t he

c our t ha vi ng j ur i s di c t i on t he r e of ma y de t e r mi ne . " T. C. A. 36- 4-

121( b)(1)(C) .

I n t he case bef or e us , t he r e i s evi de nce t ha t t he

pa r t i e s ma de s e ve r a l i mpr ove me nt s t o t he ma r i t a l home and

a dj oi ni ng pr ope r t y. Among t he i mpr ove me nt s we r e : a ddi ng a

ga r a ge , a ddi ng a c ove r e d de c k, a ddi ng a wood s t or a ge bui l di ng,

e nc l os i ng a pa tio, ins t a lling c e nt r a l he a t a nd a i r , fenc i ng in a

por t i on of t he pr ope r t y, i ns t a l l i ng a n uppe r dr i ve wa y a nd va r i ous

ot he r i mpr ove me nt s . The s e i mpr ove me nt s we r e done by t he pa r t i e s
5

t he ms e l ve s , by wor ke r s t he pa r t i e s t r a de d wi t h or by i ndi vi dua l s

who we r e pa i d f or t he i r wor k. The hus ba nd doe s not c ont e s t t he

Tr i a l Cour t ' s f i ndi ng tha t the wi f e s ubs t a ntia lly c ont r i but e d to

t he i ns t a l l a t i on of t he i mpr ove me nt s .

The hus ba nd i ns t e a d i ns i s t s t ha t be c a us e t he wi f e

f a i l e d t o pr oduce any act ua l evi de nce of an i nc r eas e i n t he

pr ope r t y' s va l ue s he i s not e nt i t l e d t o a n i nt e r e s t i n t he

pr ope r t y. De t e r mi ni ng t he va l ue of s uc h pr ope r t y i s a f a c t

que s t i on a nd t hus , t he t r i a l c our t ' s de t e r mi na t i on mus t be gi ve n

gr e a t we i ght on a ppe a l . Wa l l ace v. Wa l l ace , 733 S. W. 2d 102

( Te nn. App. 1987) . The Tr i a l Cour t ' s de c i s i on wi t h r e ga r d t o

va l ua t i on of ma r i t a l pr ope r t y wi l l be pr e s ume d t o be c or r e c t

unl e s s t he e vi de nc e pr e ponde r a t e s ot he r wi s e . Wa l l ace , s upr a .

The di f f i c ul t y he r e i s t ha t t he r e i s no a c t ua l e vi de nc e

r e ga r di ng t he va l ue of t he hus ba nd' s e qui t y i n t he pr ope r t y a t

t he time of the ma r r i a ge . At tr i a l, the hus ba nd te s tif i e d tha t

t he pr ope r t y wa s wor t h $80, 000 whi l e t he wi f e t e s t i f i e d t ha t t he

pr ope r t y wa s wor t h $175, 000. Al s o i nt r oduc e d i nt o e vi de nc e wa s

t he f a c t tha t pr i or to the ins t a lla tion of the he a ting a nd

c ool i ng s ys t e m t he pa r t i e s ha d i ns ur e d t he pr ope r t y f or $137, 000.

At t he t i me of t he t r i a l , t he pr ope r t y wa s e nc umbe r e d by a f i r s t

mor t ga ge of $25, 500, a s e c ond mor t ga ge of $20, 000 a nd a l i e n of

$5, 800 f or t he he a t i ng a nd c ool i ng s ys t e m.
1

27 - 3- 12 8. Re mand f or c or r e c t i on o f r e c or d. - - Th e cour t s h a l l al s o ,

i n al l ca s e s , wh e r e , i n i t s opi n i on, comp l e t e j u s t i c e ca nnot be ha d by r e a s o n

o f s o me def e c t i n t h e r e c o r d , wa n t of pr ope r par t i e s , or over s i ght wi t hout

c u l p a b l e n e g l i g e n ce, r e ma n d t h e cau se t o t h e co u r t b e l o w f o r f u r t h e r

p r o ceed i n g s , wi t h p r o p e r d i r ect i o n s t o ef f ect u a t e t h e o b j ect s of t h e o r d e r ,

a nd upon s u c h t e r ms as ma y be de e me d r i ght .

6

I t i s t r ue , a s i ns i s t e d by t he hus ba nd, t ha t our c a s e s

ha ve he l d t ha t t he bur de n t o pr ove a n i nc r e a s e i n t he pr ope r t y

va l ue f a l l s upon t he one who c l a i ms a n i nt e r e s t i n t he i nc r e a s e .

Br ys on v. Br ys on, a n unpubl i s he d opi ni on of t hi s Cour t f i l e d i n

Na s hvi l l e on Augus t 26, 1988; Cut s i nge r v. Cut s i nge r , a n

unpubl i s he d opi ni on of t hi s Cour t f i l e d i n Na s hvi l l e on Oc t obe r

4, 1995. Howe ve r , i n t he c a s e a t ba r t he r e i s no que s t i on t ha t

s ubs t a nt i a l i mpr ove me nt s we r e ma de t o t he pr ope r t y dur i ng t he

ma r r i a ge ; i nde e d, t he hus ba nd c onc e de s t ha t t hi s i s t r ue . I n

light of thi s we a r e di s i nc line d to s t r i c tly a ppl y the r ul e

he r e i nbe f or e s e t out , but i ns t e a d be l i e ve t hi s i s a n a ppr opr i a t e

c a s e f or r e ma nd unde r t he pr ovi s i ons of T. C. A. 27- 3- 128, 1 as wa s

e mpl oye d i n Hazar d v. Hazar d, 833 S. W. 2d 911 ( Te nn. App. 1991) . 

The r e f or e , in the int e r e s t of jus tic e to bot h pa r tie s ,

t hi s cas e i s r e ma nde d t o t he Tr i a l Cour t t o r ecei ve evi de nce and

t o de t e r mi ne t he ne t va l ue ( a f t e r de duc t i on of a ny e nc umbr a nc e s )

of t he pr ope r t y a t t he t i me of t he ma r r i a ge . The a mount s o f ound

i s t he s e pa r a t e pr ope r t y of t he hus ba nd a nd wi l l be s e t a s i de t o

hi m out of t he ne t pr oc e e ds f r om t he s a l e . The ba l a nc e of t he

ne t pr oc e e ds , ha vi ng be e n f ound by t he Tr i a l Cour t t o be ma r i t a l

pr ope r t y, wi l l be di vi de d be t we e n t he pa r t i e s i n s uc h pr opor t i ons

a s t he Tr i a l Cour t f i nds j us t upon c ons i de r a t i on of t he f a c t or s

s e t f or t h i n T. C. A. 36- 4- 121( c ) .
7

I n vi e w of our r e s ol ut i on of t he f i r s t i s s ue , i t i s not

necess a r y t o addr e s s t he s econd.

Cos t s of a ppe a l a r e a dj udge d one - ha l f a ga i ns t e a c h

pa r t y.

_______________________________

Hous t on M. Godda r d, P. J .

CONCUR:

________________________________

He r s c he l P. Fr a nks , J .

________________________________

Cha r l e s D. Sus a no, J r ., J .