Court of Appeals of Ohio, First Appellate District, Hamilton County · 2023 · Family Law
Family Lawproperty divisionmarital propertyseparate propertydivorcequitclaim deedequitable divisionmarital property
Facts
Before the marriage, Ms. Whitfield purchased the Cedarhill property in August 2008. After the marriage, the parties jointly paid some mortgage payments and renovation costs, and Mr. Banks helped at least minimally with renovations. In 2012, during the marriage, the property was refinanced and Mr. Banks signed a quitclaim deed conveying his interest in the property to Ms. Whitfield. The record did not show any alternative reason for the deed, and Mr. Banks did not challenge the deed’s validity during the proceedings.
Issue
When a spouse signed a quitclaim deed during the marriage conveying his interest in a residence to the other spouse, did the trial court abuse its discretion by refusing to award him any equity in that property in the divorce?
Rule
In a divorce, the trial court determines what is marital property and what is separate property and divides property equitably. When a party challenges the effectiveness of a deed executed in accordance with statutory requirements, that party bears the burden to prove the deed was not intended to effect a complete transfer of his interest; absent such proof, the trial court may treat the transferred property consistent with the deed.
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One of 10 multiple-choice questions for this case. Pick an answer to see why.
In Columbus, Olivia Mercer bought a townhouse two years before marrying Daniel Mercer. During the marriage, the couple refinanced the townhouse, and Daniel signed a quitclaim deed conveying his interest to Olivia; at their divorce, Daniel argues he should receive half the equity because he helped make monthly mortgage payments for six years, but he offers no evidence explaining why the deed was signed or suggesting it was limited in purpose.
How should the divorce court most likely classify Daniel's claimed interest?
Explanation. The majority rule is that when a spouse challenges the effect of a deed executed in proper form, that spouse bears the burden to show the deed was not intended as an outright, complete transfer. Daniel offered no evidence of a different intent, so his payment contributions alone do not overcome the deed. The court may therefore classify the property consistent with the deed.