In re Marriage of Olar – Divorce – Division of Marital Property
In re Marriage of Olar, 747 P.2d 676 (Colo. 1987).
NATURE OF THE CASE: This case involved a dispute over the value of an educational degree in the context of a division of marital property in a divorce proceeding.
FACTS: Mr. and Ms. Olar were married in 1970 and separated in 1982. W was unaware that she was pregnant the couple’s only child at the time of the separation. W was an unemployed full time student with an eleven month old child living with her parents at the time the decree was issued. H was employed as a laboratory manager with a salary of $35,000 per year. At the time of their marriage, W had graduated from high school and H was enrolled in his first year of undergraduate studies. During their 12 year marriage H worked toward his doctoral degree in physiology and biophysics and was enrolled as a full time student for all but one year. W worked full time during the marriage as a bookkeeper with a gross income of $1,200 per month.
After the dissolution W moved in with her parents who provided her and the child with room and board for $400 per month which the parents advanced to her as a loan. H’s actual educational costs were financed by veteran’s benefits, tuition waivers, student loans, fellowships, and graduate stipends. H also received an $8,000 inheritance which was used as the down payment on a mobile home. The couple had little or no marital assets.
W filed for dissolution and claimed that she was entitled to maintenance based on her working to provide H with his doctoral degree. W claimed an agreement with H whereby he would support her to get a college education after his studies were complete. H denied this agreement and claimed that his degree was not marital property and that W was capable of supporting herself. The trial court held that W was not eligible for maintenance and awarded W $350 per month child support. W appealed.
ISSUE: Is an educational degree marital property?
RULE OF LAW: No. An educational degree is not marital property.
HOLDING AND DECISION: Although an education degree is not marital property, this does not mean that a couple who mutually sacrificed their marital standard of living for one of them to obtain an education must not account for the sacrifices made upon dissolution. Under these facts this couple sacrificed their marital standard of living to enable H to obtain advanced degrees. Almost immediately after these were achieved, the marriage was dissolved. The trial court found that W was not entitled to maintenance and support but this was clearly wrong.
The marital property that was divided by this couple was wholly insufficient to provide for the financial needs of W. W was now tasked with raising a child and she sacrificed her standard of living to increase the future earning power of H. It would be only fair that we balance the equities. The determination of whether W is entitled to maintenance must take into account the sum total of all marital assets and the availability of suitable and appropriate employment for W.
The standard that must be used is one that is suited to the individual, including the expectations and intentions as expressed during the marriage and thus then and only then can the party’s reasonable expectations and intentions can be given effect. The trial court shall reconsider the issue of support and maintenance.
DISPOSITION: Affirmed in part and reversed in part.