Court Opinion

ID: 9513267
Source: CourtListenerOpinion
Date Created: 2023-08-06 22:33:25.772664+00
Date Added: 2024-06-11T09:05:47.967475
License: Public Domain

VANDE WALLE, Chief Justice,
concurring in part and dissenting in part.
[¶ 20] I continue to believe the child support guidelines do not require blind adherence. Helbling v. Helbling, 541 N.W.2d 443, 448 (N.D.1995) (VandeWalle, C.J., concurring in result). The guideline schedule is “rebut-tedly presumed to be the correct amount.” N.D.A.C. § 75-02-04.1-13.
[¶ 21] Here the trial court found:
“1. In the year preceding the hearing (1995), plaintiff had been both self-employed as a farmer, and had worked as a machinist for Ballisti-Cast, Inc. & Marine of Parshall, ND. Ballisti-Cast, Inc. & Marine was a business that manufactured pistol bullets and sold and repaired boats and boat motors.
2. In March of 1996, plaintiff purchased that part of Ballisti-Cast, Inc. & Marine which manufactured bullets. In order to make this purchase, plaintiff took a loan for $42,000 secured by equipment.
3. Since this purchase in March of 1996, plaintiff no longer receives a monthly pay check from Ballisti-Cast. Plaintiff moved the bullet making part of this business to his farm. Although plaintiff hopes eventually to make a profit from this business, this year he plans to hire a secretary to help him and is unsure what, if any, income he will receive from the business over the next year or two.
4. In attempting to establish a current child support payment, it is neither fair, equitable, or reasonable to take into consideration the monthly income of $1,500 per month that plaintiff used to make as *400an employee of Ballisti-Cast, since he no longer receives such a monthly pay check. Since there is no experience of income for this Court to review at the present time, there is no current basis for the Court to make a finding as to what plaintiffs income may be from this business in order to establish current child support payments.”
[¶ 22] The findings of the trial court on this issue reflect fact, not fiction, and I would not disturb them on appeal. Rather, it seems to me section 75-02-04.1-05(1), N.D.A.C., supports the trial court’s finding.
“Expenses attributable to the cost of producing income vary from business to business. Deducting expenses from the gross income of the business determines the adjusted gross income, according to internal revenue service terminology. If the latest tax return is not available or does not reasonably reflect the income from the business, a profit and loss statement which will more accurately reflect the current status of the business must be used.’’
N.D.A.C. § 75-02-04.1-05(1). (Emphasis added). This guideline strongly suggests that a goal is to “accurately reflect the current status of the business.”
[¶23] With respect to the business costs and the payment of principal, I am not entirely clear as to the application of the guideline provision “principal payments on business loans (to the extent there is a net reduction in total principal obligations incurred in purchasing depreciable assets), may be deducted to determine net income from self-employment.” N.D.A.C. § 75-02-04.1-05(2). I agree with the majority the application by the trial court is not correct. The more obvious application may be that of the appellee, i.e., there was no decrease in the total principal obligation, but rather an increase because of additional borrowing, and there should be no deduction whatsoever. I am not convinced that harsh result was necessarily intended and I believe the application of the majority opinion is preferable until or unless the guideline is further clarified.
[¶ 24] I would remand for the trial court to make the appropriate calculation.
[¶ 25] Gerald W. Vande Walle