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Keywords

appealtriallease
attorneyliabilityleasedivorce

Related Cases

In re Marriage of Kile and Kendall, 186 Wash.App. 864, 347 P.3d 894

Facts

Jeannie Kile and Gordon Kendall were married for nearly 28 years and operated a farming business. Jeannie’s father, Lester Kile, leased farmland and equipment to her, which she claimed as her separate property. The trial court found that these leases were gifts to Jeannie, but the husband argued that the farming operation was a community endeavor. The court also denied the husband’s request for spousal maintenance, leading to his appeal.

Jeannie Kile and Gordon Kendall separated in December 2011, after almost 28 years of marriage. The parties have two adult children. For most of their married life, Mr. Kendall farmed 1,517 acres of ground in Thornton, Washington that was either leased or titled in Ms. Kile's name, as her separate property.

Issue

The main legal issues were whether the farm and its assets were separate or community property and whether the trial court abused its discretion in denying spousal maintenance to the husband.

The principal issue in their divorce was the separate or community character of the farming operation.

Rule

The court applied the presumption that all property acquired during marriage is community property, which can only be rebutted by clear and convincing evidence that the property is separate, such as through gifts or inheritance.

Because Washington law favors community property, 'all property acquired during marriage is presumptively community property, regardless of how title is held.'

Analysis

The Court of Appeals found that the trial court erred in treating the farm leases as gifts to Jeannie Kile, as there was evidence of consideration exchanged in the leases. The court also noted that the farming operation was conducted as a community endeavor, and the husband’s contributions and the use of community funds were significant in the operation of the farm.

The court erred by failing to recognize that the community had a material interest in the farming operation and its assets.

Conclusion

The Court of Appeals reversed the trial court's property award and remanded for further proceedings, indicating that the characterization of the farming operation and its assets needed to be reassessed.

We reverse the property award and liability allocation portions of the decree and remand for further proceedings.

Who won?

Jeannie Kile prevailed in the initial trial, but the Court of Appeals reversed the decision regarding property characterization, indicating that the husband may prevail on remand.

We find no abuse of discretion by the court in denying Mr. Kendall spousal maintenance or an award of attorney fees.

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