Opinion ID: 878932
Heading Depth: 1
Heading Rank: 6

Heading: valuation of the marital estate

Text: Neil Glass contends both in his post-trial motions for relief and on appeal that the trial judge abused his discretion in valuating the marital estate. The only basis for granting a new trial in this situation is the discovery of new evidence which the party could not, with reasonable diligence, have discovered in time for trial. See, §§ 25-11-102 and 103, MCA. Neil presented no new evidence in support of his post-trial motions, only belated evidence. Although perfectly capable of doing so, Neil refused to obtain appraisals, records and other information until learning of the trial judge's valuation of the estate. We affirm the denial by the trial judge of Neil's post-trial motions. On appeal, Neil raises the following errors in the trial court's valuation of the marital estate: 1. The court relied too heavily on Eloise's expert appraiser, whose findings contain many errors; 2. The value of Glass cattle was extremely inflated and not based on proven fact; 3. The full value of Federal Land Bank stock should not have been included as a partnership asset; 4. It was error to find that Neil Glass's partnership capital account was $16,605 in excess of the other partners; 5. The court mishandled evidence of gifts from both parties' parents; 6. The value of Eloise's non-monetary contribution to maintenance of the marital estate was unrealistically inflated. Neil has failed to show that the valuations by the trial judge are clearly erroneous. We therefore affirm those valuations. In re the Marriage of Gomke (Mont. 1981), 627 P.2d 395, 396, 38 St.Rep. 578L, 578N. In affirming, we address each issue in the order presented by appellant. 1. Eloise Glass presented testimony at trial by an expert appraiser, Robert L. Kellogg, on the value of the ranch lands owned by the partnership. Kellogg estimated the value of the ranch land at $1,310,000, or over $207 an acre. Neil and his brother/partner, Kenneth, estimated the average value of the land at $100 an acre. The Glasses' banker, D.A. McRae, stated that good farm land in the area was worth $550 an acre. McRae valued land owned by the partnership from $65 to $550 an acre. The trial judge adopted Kellogg's value, stating: Petitioner wife obtained an extensive, well-documented written appraisal of the partnership lands by Robert L. Kellogg, of Norman C. Wheeler & Associates, Bozeman, Montana, which was a complete, realistic and impartial evaluation thereof; that said appraisal determines value by the income, cost and market approach, utilizes comparable sales, and accurately expresses fair market value of the property at $1,310,000.00 .... Finding of fact # 16d. The trial judge is free to select and reject appraisal values as he wishes, so long as there is substantial credible evidence in support of the values he selects. In re the Marriage of Peterson (1981), 195 Mont. 157, 162, 636 P.2d 821, 823. However, where the values presented at trial are widely conflicting, the trial judge must state the reasons for his selection. In re the Marriage of Wolfe (Mont. 1983), 659 P.2d 259, 262, 40 St.Rep. 211, 214. Where, as here, the trial judge states his reasons for selecting one appraisal over the others, there is no abuse of discretion. 2. The same argument applies to the trial court's valuation of the partnership's cattle. At trial, Kenneth Glass estimated the value of their cow/calf pairs at $400 to $500. On the firm's financial statement, he valued them at $550. The court granted both parties leave to supplement the record on this issue after trial. Eloise presented the court with a valuation by Doug Best, an employee of Billings Auction Yards, of $650 per head for the cows. Neil presented no evidence to refute this valuation, nor did he present any other valuation of his own. Further, regarding the Glass brothers' valuation of their property, the trial judge stated: Respondent and his brother, Kenneth Glass, were recalcitrant and evasive witnesses in numerous respects, especially as to values of land, livestock and grain sales, and even failed to produce various current partnership records and statements attempted to be subpoenaed by petitioner and 1982 income tax data. Such omissions and derelections by the brothers have substantially impaired their credibility on all material issues herein, and rendered their personal opinions as to land and livestock values of little worth. Finding of fact # 16b. Therefore, the trial judge did not abuse his discretion when he adopted the value placed on the partnership's cows by Doug Best. 3. As a prerequisite to borrowing money from the Federal Land Bank, the partnership was required to purchase Federal Land Bank stock in the amount of 5 percent of the loan, or $13,200. The trial judge included the value of this stock in the marital estate. In his post-trial motions, and again in this appeal, Neil requests the value of the stock be discounted to reflect the fact that it will be tied up for the life of the loan. Unfortunately, although Neil certainly had the opportunity to do so, he failed to present any evidence at trial on how the stock should be discounted. We find no error in the trial court's denial of the post-trial motion as Neil's request is not based on new evidence, or any other ground set forth in § 25-11-102, MCA. Further, we will not entertain issues raised for the first time on appeal. 4. Based on the testimony of the partnership's accountant, that Neil had drawn less money from the partnership account than had his brother, the trial judge found that Neil's partnership account contained $16,605 more than did Kenneth's partnership account. In so finding, the trial judge disregarded testimony by Kenneth Glass that the discrepancy existed because Kenneth had contributed over $10,000 to the partnership from a personal injury settlement. We find no error in this decision. Kenneth's statement is contrary to both the December 31, 1981, statement of assets and liabilities of the partnership and Charles Glass's testimony that neither of his sons paid to get into the business. Once again, the trial judge is free to believe the testimony of whichever witness he finds most credible. 5. We find no merit whatsoever to Neil's contention that the court mishandled evidence of gifts to the parties by their parents. Neil alleges that the trial judge failed to consider the fact that were it not for Charles Glass, the Glass partnership would not have attained its present financial status. Specifically, Neil contends the trial judge erred in failing to consider the effect the nominal leasing of the Ward Place by Charles to Neil and Kenneth had on appreciating the value of the marital estate. The fact is, Charles did not lease the Ward Place to his sons. The partnership purchased the Ward Place in 1968. Other beneficial gifts from Charles to the partnership were offset by the donation of the use of a house by Eloise's parents to Neil and Eloise. 6. Finally, Neil contends that the trial judge unrealistically inflated the value of Eloise's non-monetary contribution to the marital estate. Again, we do not agree. Eloise worked on the ranch for several years. Even after she moved to town, she still contributed to the marital relationship as homemaker, wife and mother. As we stated in In re the Marriage of Larson (Mont. 1982), 649 P.2d 1351, 1355, 39 St.Rep. 1628, 1633: Though petitioner's homemaking services and non-monetary contributions may not have been rendered in the ranch context, they nevertheless continued as petitioner had custody and primary responsibility for the physical and emotional needs of the parties' minor children. This no doubt facilitated respondent's ability to maintain his employment and ranch responsibilities as he was not required to take time from these activities to ensure that the childrens' [sic] basic needs were being met. We affirm the valuation of the marital estate by the trial judge.