Opinion ID: 1423733
Heading Depth: 3
Heading Rank: 5

Heading: The Terms of the Payout.

Text: In her brief, Donna alleges the following error in the trial court's allocation of this marital asset: (1) ordering an interest payment at eight percent, where the legal rate is 10.5 percent; (2) assigning a fifteen year term to the payout; and (3) failing to award her security for the payout. [5]
Although a trial court has discretion whether to award interest on a judgment in a divorce proceeding, when interest is awarded it must be to the same extent interest on judgments generally is allowed by statute. Dixon v. Dixon, 747 P.2d 1169, 1171 (Alaska 1987). AS 09.30.070 sets the interest rate for judgments at 10.5 percent a year. Therefore, the trial court erred in awarding interest at eight percent. [6]
Although the trial court rendered findings of fact to support its equal division of the marital estate, it did not render findings to support the terms of the payment scheme. The trial court found: 17. Both parties are in relatively good health. Both are in their fifties. Mrs. McDaniels [sic] has some back problems, which are relatively easily treated. These problems do not make her unemployable. She is limited from heavy, repeated lifting. Mr. McDaniels [sic] has been in the trucking industry during almost all of his worklife. He has been successful in this endeavor. He has a good chance of success in the future. He has the greater earning potential. Mrs. McDaniel will be in an entry level position when she starts work again. This is a fourteen (14) year marriage. They had no children of their own. However, Mr. McDaniels [sic] was of great assistance in helping Mrs. McDaniel to raise her four (4) children from a previous marriage. Mrs. McDaniel will have some future medical expenses. She needs help in obtaining transportation. Mr. McDaniel will have to earn sufficient funds to pay the outstanding business debts existing at the time of divorce. Based on the foregoing a fifty/fifty (50/50) division of the marital estate is reasonable. 18. Within thirty (30) days, Mr. McDaniels [sic] will pay $17,000 to Mrs. McDaniel, as he suggested. In addition, the $400 per month he paid to her during separation represented earnings of McDaniel Trucking, Inc. Accordingly, she is entitled to keep that money. He is entitled to a credit for that amount. In addition, Mrs. McDaniel shall receive $84,090 payable at 8% over fifteen (15) years. We thus do not have a sufficient basis to review the trial court's determination regarding the term of the payout and remand this issue to the trial court to render sufficient findings.