Source: https://www.plaintiffmagazine.com/recent-issues/item/love-and-marriage
Timestamp: 2019-04-18 14:23:57+00:00

Document:
In the course of a civil lawsuit, plaintiffs’ attorneys may determine that the defendant’s non-party spouse may possess critical information. The spouse may attempt to invoke certain marital privileges, which may allow the spouse to avoid testifying at all, or to exclude confidential communications between the spouses. This issue is more troublesome for plaintiffs’ attorneys, because the spouse of the plaintiff is typically offered voluntarily as a percipient witness to damages, if not a loss of consortium claimant in his or her own right. That waives much of the protections. If the testimony from the defendant’s non-party spouse is important enough, this may be the time to pursue a little-used and under-developed exception to the privilege against testifying adversely to one’s spouse, and examine the limits of the privilege against confidential communications between spouses.
California recognizes two basic marital privileges. First, under the “spousal testimony privilege,” a spouse may refuse to testify against the other spouse and may refuse to be called as a witness by an adverse party. (Evid. Code, §§ 970, 971.) Second, under the “marital communications privilege,” a spouse may refuse to disclose or prevent the other spouse from disclosing confidential communications made between them during the marriage. (Evid. Code, § 980.) The privileges and their exceptions are not joined at the hip. In certain cases the spousal testimony privilege may not apply, but the marital communications privilege may remain intact. In such a case, you will be allowed to take testimony from the non-party spouse about his or her observations or other non-communicative information, but you will be precluded from learning what the defendant and spouse said to each other. This still may be worthwhile, for example, in a DUI case or other case where the pre- or post-accident conduct of the defendant bears on liability. There, the non-communicative observations of the non-party spouse may still be critical to your case and worth pursuing.
The Legislature has enacted exceptions to the spousal testimony privilege in Evidence Code sections 972 and 973. Section 972 identifies “black and white” categories of proceedings in which the privilege does not apply.1 This article will focus on the exceptions in section 973, and more thoroughly on section 973(b).
Section 973(a) sets forth the “waiver” exception to the privilege.2 This is the reason plaintiffs’ spouses rarely assert the privilege – to do so would require eliminating the plaintiff’s spouse as a percipient witness in support of damages. It is difficult to imagine a plaintiff’s case where asserting the spousal privilege is strategically preferable to having the spouse testify. If so, there may be larger problems with the case that call into question the wisdom of pursuing the case at all.
Section 973(b) sets forth an interesting waiver to the spousal testimony privilege for cases where the litigation (or its defense) confers a benefit on the non-party spouse. That section provides: “There is no privilege under this article in a civil proceeding brought or defended by a married person for the immediate benefit of his spouse or of himself and his spouse.” (Evid. Code, § 973(b) (emphasis added).) It is fairly easy to imagine cases that are “brought” for the “immediate benefit” of the non-party spouse. Examples include any case in which the non-party spouse has an immediate personal stake in the outcome, such as a lawsuit involving property jointly owned with the spouse. But even this is unclear in the case law. The more interesting wrinkle in the statute, and one totally undeveloped in case law, is the “defended by” language. “How on earth,” one might ask, “can defending a lawsuit against one spouse be a benefit to the non-party spouse?” Good question.
We know from canons of statutory interpretation that every word in a statute should be read to have meaning. (California Assn. of Psychology Providers v. Rank (1990) 51 Cal.3d 1, 18.) So, the Legislature must have envisioned some situation in which the defense of a lawsuit confers a “benefit” on the non-party spouse. No case has interpreted this language, and the issue appears to be one of first impression.
There is a strong argument that a large-exposure tort lawsuit against a married defendant is one such instance, provided there is a showing that community assets of the couple are in jeopardy. In such a case, the spouse’s defense of the lawsuit confers an immediate benefit on the non-party spouse by protecting community assets. Therefore, the “defended” for the “immediate benefit” of the non-party spouse exception in section 973(b) should apply.
Why does the defense of a tort lawsuit confer an immediate benefit?
The basis for arguing that the defense of a tort lawsuit confers a benefit on the non-party spouse requires an examination of California’s community property laws. In California, a couple’s community property is liable for debts incurred by either spouse during the marriage, “regardless of which spouse has the management and control of the property and regardless of whether one or both spouses are parties to the debt or to a judgment for the debt.” (Fam. Code, § 910.) “Debt” means an obligation incurred by a married person before or during marriage, whether based on contract, tort, or otherwise. (Fam. Code, § 902 (emphasis added).) Tort debts are incurred at the time the tort occurs. (In re Marriage of Feldner (1995) 40 Cal.App.4th 617, 628.) Family Code section 1000(b)(1)(2) specifies the order in which tort liability of each spouse can be satisfied by community assets.
In a large exposure tort lawsuit against a married defendant, there usually exists the potential to deplete the non-party spouse’s community property assets. Therefore, the defense of such a lawsuit confers an “immediate benefit” on the non-party spouse within the meaning of Evidence Code section 973(b), and the spousal testimony privilege does not apply.
• Defending a lawsuit that threatens community assets confers an “immediate benefit” to both spouses, because a successful defense will protect and preserve community property assets. Protection and preservation of wealth is a “benefit.” As an example, married couples often enlist investment management firms not only to grow wealth, but to preserve wealth. Similarly, insurance policies that protect personal assets and provide for a legal defense unquestionably confer a “benefit” on the insured. Certainly the risk to community property would be greater if plaintiff obtained a default judgment against the spouse if he or she chose not to defend the lawsuit.
• The preservation of community property assets benefits both spouses just as any decrease in community wealth would be a detriment.
• A “benefit” is not defined within section 973(b) as only applying to lawsuits that increase assets for the non-party spouse.
Contrary to Duggan, a personal injury judgment against the spouse of a witness would be satisfied by community property, as discussed above. The defense of a lawsuit therefore confers an immediate benefit on the non-party spouse, unlike the spouse’s prosecution of a lawsuit for partnership rights in Duggan.
Now that you have successfully defeated the spousal testimony privilege and have compelled the defendant spouse to testify at deposition or trial, it is time to explore the limits of the confidential marital communication privilege. Evidence Code section 980 provides: “Subject to Section 9125 and except as otherwise provided in this article, a spouse . . . , whether or not a party, has a privilege during the martial relationship and afterwards to refuse to disclose, and to prevent another from disclosing, a communication if he claims the privilege and the communication was made in confidence between him and the other spouse while they were husband and wife.” (Evid. Code, § 980.) Each spouse holds the privilege and can preclude the other from testifying, and the privilege continues even after divorce or death.
However, the privilege is not without limits. First, the privilege only applies to communications that are intended to be confidential. (People v. Bogle (1995) 41 Cal.App.4th 770 (suicide note found in trash by spouse was not meant to be a confidential communication, act of throwing note away is evidence husband did not intend his spouse to see the note); People v. Gomez (1982) 134 Cal.App.3d 874 (threats made to a spouse in the presence of others were not intended to be confidential).) Counsel should be allowed to explore in-depth all communications that were not intended to be confidential between the spouses, and at least given latitude to examine the predicate of confidential intent.
Second, the acts of a spouse are not covered by the confidential communications privilege. Acts convey ideas and thoughts to the other spouse, but they are not considered communications. (People v. Dorsey (1975) 46 Cal.App.3d 706; People v. Keller (1958) 15 Cal.App.2d 419.) Thus, the conduct of the defendant (e.g., drinking, erratic behavior, whether or not safety checks were performed, amount of sleep) are all fair game.
(a) A proceeding brought by or on behalf of one spouse against the other spouse.
(b) A proceeding to commit or otherwise place his or her spouse or his or her spouse’s property, or both, under the control of another because of the spouse’s alleged mental or physical condition.
(c) A proceeding brought by or on behalf of a spouse to establish his or her competence.
(d) A proceeding under the Juvenile Court Law, Chapter 2 (commencing with Section 200) of Part 1 of Division 2 of the Welfare and Institutions Code.
(1) A crime against the person or property of the other spouse or of a child, parent, relative, or cohabitant of either, whether committed before or during marriage.
(2) A crime against the person or property of a third person committed in the course of committing a crime against the person or property of the other spouse, whether committed before or during marriage.
(4) A crime defined by Section 270 or 270a of the Penal Code.
(f) A proceeding resulting from a criminal act which occurred prior to legal marriage of the spouses to each other regarding knowledge acquired prior to that marriage if prior to the legal marriage the witness spouse was aware that his or her spouse had been arrested for or had been formally charged with the crime or crimes about which the spouse is called to testify.
(g) A proceeding brought against the spouse by a former spouse . . . . .
3 We were recently ruled against on this issue at the trial court level. The issue is currently on appeal.
4 For example, Code of Civil Procedure section 1021.4 allows plaintiffs to seek attorneys’ fees in an action arising out of an event for which the defendant was convicted of a felony offense. Insurance Code section 533 precludes coverage for attorney fees awarded under Code of Civil Procedure section 1021.4. Baker v. Mid–Century Ins. Co., 20 Cal.App.4th 921 (4th Dist. 1993) Vaillette v. Fireman’s Fund Ins. Co., 18 Cal.App.4th 680 (4th Dist. 1993). Statutory attorneys’ fees are not “damages” within the meaning of a comprehensive general liability policy. Cutler-Orosi Unified School Dist. v. Tulare County School etc. Authority, 31 Cal.App.4th 617, 629-630 (5th Dist. 1994).
5 Evid. Code § 912: (a) Except as otherwise provided in this section, the right of any person to claim a privilege provided by…Section 980 (privilege for confidential martial communications)…is waived with respect to a communication protected by the privilege if any holder of the privilege, without coercion, has disclosed a significant part of the communication or has consented to disclosure made by anyone. Consent to disclosure is manifested by any statement or other conduct of the holder of the privilege indicating consent to the disclosure, including failure to claim the privilege in any proceeding in which the holder has the legal standing and opportunity to claim the privilege. (b) Where two or more persons are joint holders of a privilege provided …. In the case of the privilege provided by Section 980 (privilege for confidential marital communications), a waiver of the right of one spouse to claim the privilege does not affect the right of the other spouse to claim the privilege. ….(emphasis added).

References: § 980
 § 973
 v. 
 § 910
 § 902
 § 980
 v. 
 v. 
 v. 
 v. 
 v. 
 v. 
 v. 
 § 912