Court Opinion

ID: 9949114
Source: CourtListenerOpinion
Date Created: 2024-03-08 20:09:43.506763+00
Date Added: 2024-06-11T14:27:01.242476
License: Public Domain

[Cite as Rehmert v. Rehmert, 2024-Ohio-862.]

                              IN THE COURT OF APPEALS OF OHIO
                                 SECOND APPELLATE DISTRICT
                                    MONTGOMERY COUNTY

 TIMOTHY REHMERT                                     :
                                                     :
       Appellee                                      :   C.A. No. 29860
                                                     :
 v.                                                  :   Trial Court Case No. 20DR876
                                                     :
 BARBARA REHMERT                                     :   (Appeal from Common Pleas Court-
                                                     :   Domestic Relations)
       Appellant                                     :
                                                     :

                                                ...........

                                                OPINION

                                      Rendered on March 8, 2024

                                                ...........

BARBARA REHMERT, Pro Se Appellant

BROOKE L. LOGSDON, Attorney for Appellee

                                               .............

LEWIS, J.

        {¶ 1} Appellant Barbara Rehmert appeals pro se from the final judgment and

decree of divorce entered by the Montgomery County Common Pleas Court, Domestic

Relations Division, on June 22, 2023. For the reasons that follow, we will affirm the

judgment of the trial court.
                                                                                        -2-

   I.      Facts and Course of Proceedings

        {¶ 2} Barbara and Timothy Rehmert were married on August 4, 2006, in

Sevierville, Tennessee. They have one child together, who was born in 2012. The

parties separated in June 2020. Timothy filed a complaint for divorce on November 24,

2020. On December 15, 2020, the trial court granted temporary custody of the child to

Barbara, awarded parenting time to Timothy, and ordered Timothy to pay temporary child

support. Barbara answered the complaint and filed a counterclaim. Timothy then filed

a reply to the counterclaim.

        {¶ 3} On February 15, 2022, Barbara filed a motion for contempt and an affidavit

alleging that Timothy had failed to pay child support pursuant to the temporary orders.

Following a hearing, the court ordered Timothy to pay an additional $49 per month as a

temporary child support arrearage payment and awarded attorney fees to Barbara.

        {¶ 4} Barbara also filed a motion alleging financial misconduct by Timothy due to

his willful concealment of “marital Bitcoin.” Barbara argued that Timothy had concealed

approximately $88,299.05 worth of Bitcoin and that, coupled with his Bitcoin holdings from

prior transactions, he had concealed nearly $200,000 in marital assets. At a hearing on

April 13, 2023, the parties read an agreement into the record on some issues; the trial

court then heard testimony on contested issues, primarily regarding the de facto

termination date of the marriage and whether Timothy had used Bitcoin to conceal marital

assets.

        {¶ 5} At the hearing, Timothy testified that he had moved out of the marital

residence on June 24, 2020. Timothy identified bank statements from an account he
                                                                                         -3-

opened in July 2020.     He testified that, after separating from Barbara, he began a

relationship with Angelina Barker and gave her his banking account information. He

explained that Angelina had told him that she was caring for an ill aunt on behalf of her

uncle and her uncle sent money to Angelina for her aunt’s expenses. Timothy testified

that Angelina did not have a bank account and therefore Angelina would deposit money

into Timothy’s account with the understanding that he would then withdraw the money

and put it into a Bitcoin account for her using a Bitcoin Depot in Kettering. According to

Timothy, Angelina’s unemployment benefits from the State of Colorado were also

deposited into his bank account.

       {¶ 6} Timothy also testified that Angelina gave him cash and checks for him to put

into the Bitcoin account. Timothy identified in his bank statements a check he had

attempted to deposit in the amount of $8,800 which had been flagged by his bank for

fraudulent activity; he stated that the bank closed his account thereafter. Timothy further

testified that there were other checks he received from Angelina that he did not attempt

to deposit because “they didn’t look right.” For example, Timothy identified a check in

the amount of $7,000, made out to him from “Forecast International.” Timothy never

worked for or knew anything about Forecast International. He stated that he had put the

check in the console of his Chevy Traverse.        Timothy explained that Barbara later

obtained the vehicle and found the check. He testified that he did not have access to the

Bitcoin account but merely made deposits for Angelina. Timothy eventually believed that

he had unwittingly engaged in fraudulent activity and he cut off all contact with Angelina.

He attempted to determine the owner of the Bitcoin “wallet” into which he had made the
                                                                                       -4-

deposits but was unable to do so. Timothy acknowledged that he had not contacted the

police. He testified that he did not list the Bitcoin account on his financial disclosure

affidavit he did not consider it his money.

       {¶ 7} Timothy presented a retirement statement with an account value of

$6,926.44 as of July 1, 2020. He stated that the value at the time of the hearing was

$20,000. Timothy testified that he would be comfortable using a value of $40,000 for

Barbara’s OPERS retirement account. Timothy asked the court to split the retirement

accounts evenly.

       {¶ 8} On cross-examination, Timothy stated that he had been unemployed in

2019 and 2020 and had received money to compensate him for lost income during the

pandemic. Timothy acknowledged that he had transferred a total of $4,869 between

August 14 and September 9, 2020, from the parties’ joint account into his personal

account. He explained that he had deposited $31,105 into the Bitcoin account from his

account and also from cash that Angelina gave him to deposit. He stated that the $8,800

check was sent from Angelina’s uncle for him to deposit and give to Angelina. Timothy

stated that from July 17, 2020 to August 16, 2020, his and Barbara’s money was in a

shared account.

       {¶ 9} Barbara testified that Timothy moved out of the marital home on June 24,

2020, following a disagreement between them that had escalated. Barbara contacted

the police, who advised Timothy to leave. At that time, both parties’ paychecks were

being deposited into their joint account, which remained open until September 2020,

when Barbara obtained an order of protection against Timothy.
                                                                                           -5-

       {¶ 10} Barbara had been employed at Montgomery County Children’s Services for

10 years. She was not eligible for Social Security, and she testified that she wanted to

keep her entire retirement account.       She stated that she had discovered Timothy’s

alleged financial misconduct in February 2022, when she obtained possession of

Timothy’s Chevy Traverse after he was arrested for a protection order violation and

expired license plates; Barbara found copies of Bitcoin deposit receipts in the vehicle.

She was alarmed by the amounts of the deposits (approximately $30,000), given her

knowledge of Timothy’s income. Barbara believed Timothy had over $100,000 in Bitcoin

funds, but she provided no proof to establish the value.          Barbara provided Bitcoin

account receipts reflecting a cash value of $31,105 and 2.1376 Bitcoins.

       {¶ 11} Barbara testified that she had learned in the course of the divorce that

Timothy received a settlement from Worker’s Compensation that he never disclosed to

her. She identified the settled claim from 2017 in the amount of $12,040.02, but no

evidence was introduced that Timothy had received the money. Barbara stated the

money was never deposited in the parties’ joint account. She testified that she also had

recently discovered a life insurance policy from 2008 that was never disclosed to her.

The policy had a face value of death benefit coverage in the amount of $46,931. Barbara

believed that Timothy had “potentially cashed it in before he filed for divorce or after,” but

no evidence was introduced to support her assertion.

       {¶ 12} On May 23, 2023, the court determined that July 1, 2020 was the de facto

end date of the marriage; thus, the term of the marriage was from August 4, 2006, through

July 1, 2020. Based on a lack of proof, the court concluded that Barbara failed to
                                                                                            -6-

establish that Timothy cashed out a life insurance policy or received Worker’s

Compensation benefits. The court specifically found Timothy’s testimony to be credible

as to the Bitcoin purchases being made on behalf of Angelina and found that Timothy had

no interest in the Bitcoin account. Finally, the court found that the Bitcoin account was

a non-marital asset and that Barbara was not entitled to any portion of it.

         {¶ 13} The court filed an amended decision on June 8, 2023, which ordered that

all “retirement in existence as of July 1, 2020,” which had accrued between August 4,

2006 and July 1, 2020, should be divided equally between the parties, “including any plus

or minus interest, gains, or losses, associated with the balances, as of July 1, 2020.”

   II.      Barbara Has Not Demonstrated The Trial Court Abused Its Discretion

         {¶ 14} Barbara has not set forth specific assignments of error in the “Argument”

section of her pro se brief. But she asserts that the trial court abused its discretion in

determining that July 1, 2020, was the de facto termination date of the marriage. She

also argues that Timothy engaged in financial misconduct by 1) failing to disclose the

“marital Bitcoin and retirement account,” 2) defaulting on a loan for a vehicle “in an attempt

to have a windfall of profit, 3) attempting to “defeat” her distribution of marital assets, and

4) depleting her financial resources by attempting to gain half of her retirement benefits.

Appellant’s Brief, p. 6. Barbara argues that the court failed to consider the financial

misconduct statute, R.C. 3105.171(E). She also contends that Timothy failed to disclose

Angelina on his witness list and that she received ineffective assistance of counsel.

         {¶ 15} As we have previously noted, “[a]ny property or an interest therein that
                                                                                           -7-

either spouse owns when the marriage terminates is presumed to be marital property.”

Maloney v. Maloney, 160 Ohio App.3d 209, 2005-Ohio-1368, 826 N.E.2d 864, ¶ 20 (2d

Dist.), citing R.C. 3105.171(A)(3)(a). “Marital property must be divided per R.C.

3105.171(B) and (C), unless it is one of the seven forms of separate property identified in

R.C. 3105.171(A)(6)(a), which must instead be disbursed to the spouse who owns it.”

Id., citing R.C. 3105.171(D).

       {¶ 16} “A trial court may use the date of final hearing, or, if that is inequitable,

another date it chooses, in determining the termination of a marriage for purposes of

property division.” Nitschke v. Nitschke, 11th Dist. Lake No. 2006-L-198, 2007-Ohio-

1550, ¶ 26, citing R.C. 3105.171(A)(2)(a-b) and Marini v. Marini, 11th Dist. Trumbull Nos.

2005-T-0012 and 2005-T-0059, 2006-Ohio-3775, ¶ 11. ”The analysis in determining a

‘de facto’ termination date for a marriage is, essentially, factual, and includes: (1) whether

the parties separated; (2) whether they made an attempt at reconciliation; (3) whether

they continually maintained separate residences; and, (4) whether they maintained

separate business or financial arrangements.” Id. at ¶ 26, citing Marini at ¶ 13. “An

appellate court may not overturn a trial court's determination of a de facto termination

date for a marriage, if there is any evidence in the record to support it.” Id., citing Marini

at ¶ 12.

       {¶ 17} “We review a trial court's selection of a marriage termination date under

R.C. 3105.171 for an abuse of discretion.” Davis v. Davis, 2d Dist. Clark No. 2011-CA-

71, 2012-Ohio-418, ¶ 28. “ ‘Abuse of discretion’ has been defined as an attitude that is

unreasonable, arbitrary or unconscionable.” AAAA Ents., Inc. v. River Place Community
                                                                                         -8-

Urban Redevelopment Corp. 50 Ohio St.3d 157, 161, 553 N.E.2d 597 (1990), citing

Huffman v. Hair Surgeon, Inc., 19 Ohio St.3d 83, 87, 482 N.E.2d 1248 (1985). “It is to

be expected that most instances of abuse of discretion will result in decisions that are

simply unreasonable, rather than decisions that are unconscionable or arbitrary.” Id.

       {¶ 18} The trial court found that Barbara and Timothy had separated in June 2020,

made no attempt at reconciliation after they separated, and had maintained separate

residences since their separation. Further, the trial court found that, although the parties

had a joint bank account for a short period of time after the separation, each party

withdrew their employment earnings from that joint account and did not touch the other

parties’ employment earnings. Decision (May 23, 2023), p. 3. Timothy entered into a

new romantic relationship in July or August 2020.

       {¶ 19} We see no abuse of discretion in the trial court’s determination of July 1,

2020, as the de facto termination date of the marriage. It was undisputed that Timothy

moved out of the marital home on June 24, 2020, and he and Barbara maintained

separate residences thereafter. Although Barbara argues in her brief that Timothy spent

a night at her home in December 2020 in an attempt at reconciliation, there is no

testimony in the record to support that assertion. The parties did not maintain a joint

account after August or September 2020; they each maintained their own accounts.

Because there was evidence to support the trial court’s finding of July 1, 2020, as the de

facto termination of the marriage, we will not disturb that finding.

       {¶ 20} We next address Barbara’s allegations of financial misconduct against

Timothy. R.C. 3105.171(E), upon which Barbara relies, provides, in part:
                                                                                          -9-

       (3) The court shall require each spouse to disclose in a full and complete

       manner all marital property, separate property, and other assets, debts,

       income, and expenses of the spouse.

       (4) If a spouse has engaged in financial misconduct, including, but not

       limited to, the dissipation, destruction, concealment, nondisclosure, or

       fraudulent disposition of assets, the court may compensate the offended

       spouse with a distributive award or with a greater award of marital property.

       (5) If a spouse has substantially and willfully failed to disclose marital

       property, separate property, or other assets, debts, income, or expenses as

       required under division (E)(3) of this section, the court may compensate the

       offended spouse with a distributive award or with a greater award of marital

       property not to exceed three times the value of the marital property,

       separate property, or other assets, debts, income, or expenses that are not

       disclosed by the other spouse.

       {¶ 21} “ ‘The financial misconduct statute should apply only if the spouse engaged

in some type of wrongdoing (i.e., wrongful scienter).’ ” Feldmiller v. Feldmiller, 2d Dist.

Montgomery No. 24989, 2012-Ohio-4621, ¶ 18, quoting Mantle v. Sterry, 10th Dist.

Franklin No. 02AP-286, 2003-Ohio-6058, ¶ 32. “ ‘Typically, the offending spouse will

either profit from the misconduct or intentionally defeat the other spouse's distribution of

marital assets. * * * Financial misconduct involves some element of profit or interference

with another's property rights. * * * An allegation of financial misconduct, unsupported

by evidence of wrongdoing, will not support a dissipation award.’ ” Id., quoting Mantle at
                                                                                          -10-

¶ 32.

        {¶ 22} “[T]he time frame in which the alleged misconduct occurs may often

demonstrate wrongful scienter.” Hammond v. Brown, 8th Dist. Cuyahoga No. 67268,

1995 WL 546903, *3 (Sept. 14, 1995). For example, in Babka v. Babka, 83 Ohio App.3d

428, 615 N.E.2d 247 (9th Dist.1992), the husband liquidated a joint account just before

the parties' divorce. Although he testified that he had used the funds to pay marital

debts, the trial court did not believe him where he could not satisfactorily account for the

funds. Id. at 436.

        {¶ 23} Our standard of review is abuse of discretion, and as the complaining party,

Barbara bore the burden of proof. Hornbeck v. Hornbeck, 2019-Ohio-2035, 136 N.E.3d

966, ¶ 81 (2d Dist.), citing Brown v. Brown, 2014-Ohio-2402, 14 N.E.3d 404, ¶ 14 (2d

Dist.). “The court does not have to find malicious intent; it need only find ‘that a spouse

has engaged in knowing wrongdoing.’ ” Id., citing Best v. Best, 10th Dist. Franklin No.

11AP-239, 2011-Ohio-6668, ¶ 21.

        {¶ 24} Having heard the testimony and observed the witnesses, the court

expressly found Timothy’s testimony to be credible.      When an appellate court reviews

a trial court's judgment, it must generally defer to the fact-finder's weight of the evidence

and credibility determinations. Seasons Coal Co., Inc. v. Cleveland, 10 Ohio St.3d 77,

81, 461 N.E.2d 1273 (1984). Timothy testified that none of the money he deposited into

the Bitcoin account was his, but that it was completely provided by Angelina, with whom

he later severed ties. This testimony was bolstered by his bank statements, which

reflected unemployment benefits from the State of Colorado, where Timothy had never
                                                                                        -11-

been employed. Timothy also lacked any access to the funds in the Bitcoin account.

Based on these facts, the trial court reasonably concluded that the account was not a

marital asset subject to division. Although Barbara alleged that Timothy had cashed out

the 2008 life insurance policy and had also received a Workers’ Compensation

settlement, she provided no documentation to support these claims. We see no abuse

of discretion in the trial court’s analysis of Timothy’s alleged financial misconduct. In

other words, in the absence of wrongful scienter, the trial court reasonably concluded that

Timothy had not engaged in financial misconduct with respect to marital assets.

      {¶ 25} The court divided the parties’ retirement accounts equally.            These

accounts were presumed to be marital property because they accrued during the

marriage, and Barbara has not demonstrated how the division was inequitable. There

was no testimony regarding Timothy’s alleged default on the Chevy Traverse.

      {¶ 26} Finally, Barbara acknowledges in her brief that “ineffective assistance of

counsel cannot be raised as an appealable issue.”              Appellant’s Brief, p. 11.

Nonetheless, she contends that her attorney failed to file motions and retain a forensic

accountant to help the trial court understand how Bitcoin works. Id.

      {¶ 27} “The Sixth Amendment to the United States Constitution provides a criminal

defendant the right to effective assistance of counsel.” Smith v. Smith, 2d Dist. Clark No.

2005-CA-47, 2005-Ohio-6840, ¶ 56, citing Strickland v. Washington, 466 U.S. 668, 104

S.Ct. 2052, 80 L.Ed.2d 674 (1984). “However, there is no constitutional right to be

represented by counsel in a civil proceeding between individual litigants.”       (Citation

omitted.) Id. “The right to effective assistance of trial counsel attaches only to criminal
                                                                                       -12-

proceedings and to proceedings for the permanent, involuntary termination of parental

rights.”    (Citations omitted).   Id.    Accordingly, Barbara’s ineffective assistance of

counsel argument is without merit.

          {¶ 28} Because Barbara has not shown that the trial court abused its discretion,

her arguments are overruled.

   III.      Conclusion

          {¶ 29} Having overruled Barbara’s implicit assignment of errors, the judgment of

the trial court is affirmed.

                                         .............

WELBAUM, J. and TUCKER, J., concur.