Opinion ID: 1279429
Heading Depth: 1
Heading Rank: 4

Heading: Substantial Change in Circumstance

Text: Appellant Darla Johnson strongly contends that the determination of the trial court of a substantial change in circumstance required for modification constitutes an abuse of the discretion of the trial court premised on the evidence afforded at the trial. Involved by evidence, and noted in the court's conclusion, were the circumstances of Darla Johnson involving salary income and benefits achieved by substantial inheritance which she was to receive shortly after the hearing date. This court has now approved the flexible-income alimony adjustment determination as applicable. This brings the substance of the question for consideration to whether change in circumstance exists if the alimony agreement itself contemplated income possibilities and a formula to result in adjustment. Otherwise stated, if the agreement contemplates income change, then is there a required change of circumstance when the separation agreement provision is activated? Logically we cannot deny the obligation of the parties to conform to their agreement as then approved by court decree, when the agreement in itself contemplated a change of circumstances and activated a formula adjustment upon that occurrence. Paul Johnson is entitled to reduction in accord with his agreement, both for salary income earned by Darla Johnson and the reasonable return which she will receive as income from the bequest funds and stock inheritance. Income is defined to include investment return on inheritance, and to that extent the original order of June 18, 1985, is supplemented by this decision. We do not find a change of circumstance has occurred as to Darla Johnson sufficient to vitiate the agreement, since the agreement contemplated    adjustment on a monthly basis, and a figure equal to one-half (½) of her monthly income shall be deducted from the alimony payment to be made by the Husband on the next succeeding month. This decision is specifically differentiated from the conclusions of this court in Mentock v. Mentock, supra. In that case, the rule of the trial court which was rejected on appeal was that    there must be an unanticipated substantial change in circumstances or a discovery of material facts unknown to the Court and unanticipated by the parties   . 638 P.2d at 159. The principle here involved is that planned and anticipated changes wherein a formula adjustment results are not a change in circumstance, since not only was the change anticipated but the adjustment was agreed. Hellweg v. Hellweg, 30 Or. App. 995, 568 P.2d 710 (1977); Matter of Marriage of Pratt, 29 Or. 115, 562 P.2d 984 (1977). Cf. Curtis v. Curtis, 218 Kan. 130, 542 P.2d 330 (1975). Determining that the required technical change of circumstance does not exist as involving income available to Darla Johnson, we will now turn to consider the evidentiary status of the required change of circumstance involving Paul Johnson which would otherwise also justify present modification. We are reminded that the definitive rule was stated, or perhaps overstated, in Rubeling v. Rubeling, Wyo., 406 P.2d 283, 284 (1965): The conclusion reached in that case was substantially this: As long as the circumstances and conditions continue unchanged, there is no lawful power or authority in our court, or any other court, to supplant the prior judgment of the trial court by any type of modification. The absolute necessity for principles of res judicata is so strong that we cannot depart from the holding in the Laughton case. Therefore, taking the basic question involved in this appeal, as stated in appellant's brief, we are compelled to answer that proof of change of circumstances is required in a support-modification proceeding, even though it is proved that the support requirements are, for practical purposes, impossible of attainment by the father. It is not intended to readopt the harshness of the language by repetition here. Rubeling followed Laughton v. Laughton, 71 Wyo. 506, 259 P.2d 1093, 43 A.L.R.2d 351 (1953), as the law on modification in this state for both alimony and child support pursuant to § 20-2-116, W.S. 1977. Obviously, in considering income as a change if tax write-off factors are excluded as to a computation for Darla Johnson, then it would not seem appropriate to use a differentiated taxable income for analysis as to the status of Paul Johnson. The review of the tax returns which were put in evidence reveals income for him for medical practice in 1980 of $93,275, and in 1984 of $146,159. Tax write-offs from J & M Leasing, which apparently is the airplane operation, would hardly seem to demonstrate an adverse change of circumstances. Likewise, interest, costs, and home mortgage of $170,000, with monthly payments of $2,150, newly acquired, cannot serve to ascribe the required ex-husband change of circumstance. Nuspl v. Nuspl, 717 P.2d 341 (1986). This court and other jurisdictions have failed to accept remarriage or subsequently acquired indebtedness as modification factors required to demonstrate change of circumstance. [3] Accepted Wyoming law does not accommodate the purchase of a house for over $200,000 with a large mortgage or the acquisition of an airplane for tax loss write-off purposes as a required change of circumstance as denominated in our prior cases. Although not separately dispositive, there must be significance attached to the separation agreement when modification is considered as contrasted with a court-imposed payment responsibility which was not voluntarily assumed by the prior marital partner. The factual basis at this time to sustain a change of circumstance sufficient to terminate alimony is not demonstrated, and consequently the order as entered constitutes an abuse of discretion. A continued decrease in income by Dr. Johnson or other future developments that may result from the present economic conditions in Casper may justify further consideration by the trial court. Packard v. Packard, 30 Or. App. 55, 566 P.2d 203 (1977).