In Re The Marriage Of: Heidi Rene Goude v. Michael Zane Goude ( 2014 )


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  •                                              *- ^ i   t u u v.- c_ i—   ;   , ;
    IN THE COURT OF APPEALS FOR THE STATE OF WASHINGTON
    In the Matter of the Marriage of:                                   No. 71240-3-1
    HEIDI RENEEGOUDE,
    Respondent,
    DIVISION ONE
    v.
    MICHAEL ZANEGOUDE,                                                  UNPUBLISHED OPINION
    Appellant.                                 FILED: December 22, 2014
    Spearman, C.J. — Michael Goude (Michael)1 appeals the trial court's
    findings of fact and conclusions of law regarding the conduct of his former wife,
    Heidi Goude ("Heidi"). He argues that the trial court erred in failing to find that
    Heidi had "a history of acts of domestic violence" or had committed other acts
    that would require restricting her residential time and decision-making ability
    under RCW 26.09.191. Michael also appeals the trial court's valuation of his
    business. Because substantial evidence supports the trial court's decision, we
    affirm.
    FACTS
    Michael and Heidi Goude married on May 15, 1999. The parties have
    three children: daughter K.G., sons M.G. and Q.G. The parties separated on
    1Because the parties share the same last name, we refer to them by their first names for
    clarity. We intend no disrespect.
    No. 71240-3-1/2
    June 15, 2012. In August 2012 the court commissioner entered temporary orders
    in which the children resided a majority of the time with Michael. Following a trial,
    the court entered final orders on November 26, 2013, in which the children
    resided a majority of the time with Heidi.
    During their marriage, the parties had a number of disputes that escalated
    into physical altercations.2 In August 1999 Heidi petitioned for a domestic
    violence protection order (DVPO) against Michael, and upon being served,
    Michael petitioned for a similar order against Heidi. The court granted both
    petitions and entered temporary protection orders in favor of both parties. Heidi
    subsequently learned she was pregnant and the couple decided to try to work
    things out. They appeared together and asked the judge to dismiss both
    protection orders. The judge denied the requests and issued final protection
    orders that remained in effect until August 16, 2000.
    In May 2000 Michael was working at Heidi's parent's club when he got into
    a physical fight with Heidi's brother. Heidi got involved and hit her brother with a
    chair. Michael was charged with assault in the fourth degree and Heidi was
    charged with domestic violence assault in the fourth degree. They each pled
    guilty in exchange for a deferred sentence; the charges were later dismissed.
    On July 28, 2000, the parties had an argument during which Heidi broke at
    least one dish and Michael called 911. Heidi was arrested and charged with
    2We discuss only the incidents that Michael refers to in his briefas supporting his
    proposed finding of a history of acts of domestic violence.
    No. 71240-3-1/3
    domestic violence malicious mischief in the third degree and violation of a
    protection order. According to the police report, both parties violated protection
    orders. The record shows that Heidi pled guilty in exchange for a deferred
    sentence and the charges were later dismissed.
    Another incident occurred in August 2009, when the family attended a
    festival together. The couple's daughter K.G., who was nine years old at the time,
    started acting out. Heidi grabbed K.G. by the arm and pulled her by the hair
    toward the campsite.
    In 2011, during an altercation between the parties, Michael claimed that
    after he went into the bathroom and locked the door, Heidi kicked in the door.
    On June 14, 2012, Heidi took the children to Moses Lake and filed for
    dissolution in Grant County Superior Court. On June 27, 2012, Michael moved
    for a change of venue to King County Superior Court. The court granted the
    motion and ordered that the children be returned to King County on June 29,
    2012. Temporary orders were entered on August 2, 2012, implementing a 50/50
    residential schedule if Heidi moved back to King County. Soon thereafter, Heidi
    returned to King County with the children.
    Throughout 2012 and 2013, numerous motions were filed and multiple
    hearings were held regarding the parenting plan. Following the trial which began
    on August 19, 2013, the trial court ordered that the children reside a majority of
    the time with Heidi and granted her sole decision-making authority. The trial court
    found that Michael had a history of acts of domestic violence but did not impose
    No. 71240-3-1/4
    restrictions on his residential time under the exception in RCW26.09.191(2)(n).
    Michael does not appeal this finding but appeals the trial court's failure to find
    that Heidi also had a history of acts of domestic violence under RCW 26.09.191
    and to restrict her residential time and decision-making authority accordingly.
    Michael also appeals the trial court's valuation of his drum-making business and
    its subsequent distribution of marital property.3
    DISCUSSION
    History of Acts of Domestic Violence
    RCW 26.09.191 requires the trial court to restrict a parent's residential
    time with a child if the court finds that the parent has engaged in "a history of acts
    of domestic violence." RCW 26.09.191 (2)(a)(iii). "Domestic violence" under
    chapter 26.50 RCW means "Physical harm, bodily injury, assault, or the infliction
    of fear of imminent physical harm, bodily injury or assault, between family or
    household members;            " RCW 26.50.010(1 )(a). "Family or household
    members" means spouses, domestic partners, former spouses, former domestic
    partners, . . ." RCW 26.50.010(2).
    While RCW 26.09.191 does not define "a history of acts of domestic
    violence," the phrase excludes "isolated, de minimus incidents which could
    technically be defined as domestic violence." In re Marriage of C.M.C.. 
    87 Wash. 3
    Michael also moved to strike Heidi's Appendices C. E. F. G. and H because they had
    not been properly made part of the record on appeal. Michael's own Appendices A and B were
    also not made part of the record. We therefore decline to consider both parties' Appendices
    because they were submitted in violation of RAP 10.3(a)(8).
    No. 71240-3-1/5
    App. 84, 88, 
    940 P.2d 669
    (1997). Mere accusations, without proof, are not
    sufficient to invoke the restrictions under RCW 26.09.191. Caven v. Caven, 
    136 Wash. 2d 800
    , 810, 
    966 P.2d 1247
    (1998).
    Here, the trial court found that:
    Although both parties engaged in violence over the course of
    the marriage, the father has engaged in a history of acts of
    domestic violence as defined by the state statute, RCW
    26.50.010(1). Clerk's Papers (CP) at 1174.
    The mother has engaged in inappropriate social behaviors,
    including verbally lashing out at the father and his extended
    family in front of the children. Her behavior is not domestic
    violence. It is behavior in need of regulation, which should be
    accomplished through the therapy required herein. CP at
    1175.
    There are no parenting deficiencies on the mother's part,
    provided that she deals with the issues of her emotional
    regulation. CP at 1177.
    Michael claims that the trial court erred when it failed to find that Heidi
    engaged in acts of domestic violence as defined in RCW 26.50.010. He cites in
    particular the five incidents discussed above:
    (1) The August 1999 domestic violence protection order
    that was entered against Heidi (DVPO);
    (2) The May 2000 brewery fight where both he and Heidi
    fought with Heidi's brother (brewery incident);
    (3) The July 2000 argument where Heidi broke a dish
    (dish incident);
    (4) The 2009 incident where Heidi pulled her daughter's
    hair (hair-pulling incident);
    (5) The 2011 argument where Heidi kicked in the
    bathroom door (bathroom door incident).
    No. 71240-3-1/6
    He further argues that had the trial court properly found these incidents to be acts
    of domestic violence, then it necessarily would have found that Heidi also
    engaged in a history of such acts under RCW 26.09.191. He challenges the trial
    court's legal conclusion and findings of fact, claiming that they are not supported
    by the evidence in the record.
    When the trial court has weighed the evidence, we review the trial court's
    challenged findings of fact for substantial evidence. In re Marriage of Rockwell,
    
    141 Wash. App. 235
    , 242, 
    170 P.3d 572
    (2007) review denied, 176Wn.2d 1012,
    
    297 P.3d 706
    (2013). Substantial evidence is a sufficient quantity of evidence to
    persuade a fair-minded, rational person that the finding is true. 
    Id. When substantial
    evidence supports the findings of fact, we determine whether the
    findings of fact support the trial court's conclusions of law. jd. We review
    conclusions of law de novo. In re Marriage of Herridge, 
    169 Wash. App. 290
    , 297,
    
    279 P.3d 956
    (2012). In this case, the trial court concluded that Heidi's conduct
    did not constitute a history of domestic violence. Thus, the question presented is
    whether this conclusion is supported by the trial court's findings and whether
    they, in turn, are supported by substantial evidence.
    We disagree with Michael's premise that had the trial court determined
    that the five incidents complained of constituted domestic violence, it necessarily
    would have found a history of acts of domestic violence. The term "history of acts
    of domestic violence" was intended to exclude isolated, de minimis incidents
    which could technically be defined as domestic violence. In re C.M.C., 87 Wn.
    No. 71240-3-1/7
    App. at 88. Here, there were five identified incidents scattered over a period of
    fourteen years, none of which appear to have resulted in any significant physical
    injury. It would have been well within the trial court's discretion to determine
    these incidents to be isolated and/or de minimis.
    Furthermore, the record reveals substantial evidence supporting the trial
    court's conclusion that, in their totality, Heidi's acts did not rise to the level of a
    history of acts of domestic violence. Michael is correct that the DVPO entered
    against Heidi in 1999 is a judicial finding that an act of domestic violence was
    committed. In addition, the brewery incident in May 2000 technically fell within
    the definition of domestic violence because the altercation involved Heidi's
    brother and the use of a chair, from which it may be inferred that the assault
    caused some bodily injury. But significantly, because the incident was unrelated
    to the relationship between Heidi and Michael, it is at best unclear whether it
    reflected a history of acts of domestic violence as to them.
    As to the dish and bathroom door incidents, regardless of the domestic
    violence designation attached to the charges that resulted from these events, the
    parties disputed the facts in their testimony before the trial court. Regarding the
    dish incident, Heidi testified that the parties were arguing while she was doing
    dishes and one of them slipped from her hand, while Michael testified that she
    threw multiple dishes on the ground and jumped on them. Regarding the
    bathroom door incident, Michael testified he was in the bathroom when Heidi
    kicked the door and that he feared for his physical safety. While Heidi admitted to
    No. 71240-3-1/8
    kicking the door, she did not testify that Michael was in the bathroom at the time.
    We defer to the fact finder on witness credibility and the persuasiveness of the
    evidence. In re Marriage of Akon, 
    160 Wash. App. 48
    , 57, 
    248 P.3d 94
    (2011).
    Thus, it was within the trial court's discretion to determine whether Heidi's acts in
    these instances caused physical harm, bodily injury, assault, or the reasonable
    fear of such and thereby met the statutory definition of domestic violence.
    While the trial court did not make specific findings about these particular
    incidents, it is evident that the trial court considered Heidi the more credible of
    the two. It rejected Michael's assertions that Heidi was the aggressor in these
    confrontations and that Heidi had placed him in fear of injury or had caused him
    injury. Instead it found that Michael "was the aggressor in the incidents of
    violence," that "[h]e injured her," and that "[h]e caused her to be fearful." CP at
    1174. The court further found Michael's testimony regarding his marijuana
    business and his financial dealings incredible and accepted Heidi's testimony on
    these subjects.
    Michael also offered as evidence of domestic violence the incident at the
    festival in August 2009, in which it was alleged that Heidi grabbed K.G. by the
    arm and pulled her hair. In its oral ruling, the trial court found that "Ms. Goude
    did, in fact pull [her daughter] by the hair one night in the campsite." Verbatim
    Report of Proceedings (VRP) (9/12/13) at 1760. Although the record does not
    show that the incident resulted in physical harm, bodily injury, or infliction of fear
    of imminent physical harm, it could technically be considered an "assault" and
    No. 71240-3-1/9
    thus fall within the definition of "domestic violence" under RCW 26.50.010(1). But
    the trial court evaluated the incident within the context of Heidi's conduct as a
    whole, and found that while it was one of many examples of "inappropriate social
    behavior by Ms. Goude," none of it was "assaultive." VRP (9/12/13) at 1762.
    We conclude that substantial evidence supports the trial court's finding
    that Heidi's "behavior is not domestic violence." CP at 1175.4 The finding does
    not properly include the DVPO incident because the order constituted a judicial
    finding of domestic violence as to Heidi. But the trial court's finding regarding the
    remaining four incidents cited by Michael is well supported by the evidence.
    Furthermore, a single incident of domestic violence, occurring well over a decade
    before trial, is ample support for the trial court's conclusion that, as to Heidi, there
    was no history of acts of domestic violence.
    We further note that over the eight-day trial, the court heard from both
    parties at length and from multiple witnesses, including domestic violence
    experts. The allegations of domestic violence were fully aired on both sides. The
    trial court found that Heidi's behavior was not domestic violence, but rather was
    rooted in response to Michael's physical violence towards her and "a pattern of
    emotional abuse and ... tactics of power and control over [her]. This included
    4Michael also argues that the trial court should have found a history of acts of domestic
    violence because Heidi failed to submit evidence that she would not re-engage in abusive acts or
    domestic violence, or that the children would not be further harmed by ... such conduct under
    RCW 26.09.191 (2)(n). Brief of Appellant at 28-29. This is incorrect. In order for the statutory
    exception in RCW 26.09.191(2)(n) to apply, the trial court would have had to find an initial history
    of acts of domestic violence. The trial court did not find such history and Heidi would therefore not
    be required to submit evidence that harmful or abusive conduct would not recur.
    No. 71240-3-1/10
    keeping her from accessing money and finances, asking her parents to keep
    money from her, and threats to take the children." CP at 1174. Whether a history
    of acts of domestic violence has been proven is not merely a matter of checking
    the boxes against RCW 26.50.010, but instead requires consideration of the
    totality of the circumstances of the affected relationships. The trial court did that
    in this case. Although the trial court's findings were not set forth with great
    particularity, our review of the record discloses that the conclusion that Heidi did
    not engage in a history of acts of domestic violence is supported by the court's
    findings which are, in turn, supported by substantial evidence.5
    Physical Abuse of a Child
    RCW 26.09.191 (2)(a)(ii) requires the limitation of a parent's residential
    time if it is found that a parent has engaged in ... physical, ... abuse of a child.'"
    Michael alleges that the trial court should have found that Heidi engaged in
    "'physical... abuse of a child" because, in his words, "the trial court expressly
    found that [Heidi] pulled the oldest child's hair and lifted her off the ground." Br. of
    Appellant at 27-28. Michael misstates the trial court's actual finding, which was
    only that Heidi "pull[ed] her [daughter] by the hair." VRP (9/12/13) at 1761. The
    trial court also found that her behavior was "'not such that [the court]
    5Michael also contends that the trial court made a "superfluous finding" that he was "'the
    aggressor,'" which he does not dispute. Brief of Appellant at 20. He argues that the trial court
    incorrectly used that determination to preclude a finding that Heidi had a history of acts of
    domestic violence. This argument is without merit. The findings of fact only refer to Michael as the
    aggressor in reference to his history of domestic violence and in assessing his credibility. The trial
    court did not, as Michael suggests, rely on its finding that he was the "aggressor to ipso facto
    conclude that Heidi did not have a history of domestic violence.
    10
    No. 71240-3-1/11
    categorize[s] it as domestic violence that would be limited - or required that there
    be limitations placed upon her in her parenting.'" VRP (9/12/13) at 1763. The
    record does not show that the single incident rose to the level of "physical...
    abuse of a child."6 RCW 26.09.191 (2)(a)(ii).
    Residential Placement and Parental Decision-Making
    Because we affirm the trial court's finding that Heidi neither engaged in a
    history of acts of domestic violence nor committed physical abuse of a child, we
    also affirm its decisions regarding the residential schedule and parental decision
    making. A trial court has broad discretion when crafting a parenting plan, and we
    review its decision for an abuse of discretion. 
    Caven, 136 Wash. 2d at 806
    . A trial
    court abuses its discretion when its decision is manifestly unreasonable or made
    on untenable grounds or for untenable reasons. Mayer v. Sto Indus., Inc., 
    156 Wash. 2d 677
    , 684, 
    132 P.3d 115
    (2006).
    If a parent has engaged in "physical, sexual, or a pattern of emotional
    abuse of a child," or "a history of acts of domestic violence as defined in RCW
    26.09.191 (b)(c)," the court is required to limit that parent's residential time with
    the child, unless an exception applies, and cannot require mutual decision
    making. RCW 26.09.191 (2)(a). A trial court may not impose these limitations or
    restrictions in a parenting plan in the absence of express findings under RCW
    26.09.191. In re Marriage of Katare, 
    125 Wash. App. 813
    , 826, 
    105 P.3d 44
    (2004).
    6Because the trial court did not find that Heidi had a history of acts of domestic violence
    or committed abuse of a child, there is no need to address Michael's argument that the trial court
    erred by entering a parenting plan that did not impose mandatory restrictions on Heidi.
    11
    No. 71240-3-1/12
    Without making the requisite findings of domestic violence or physical abuse, the
    trial court could not restrict Heidi's time or decision-making ability. The trial court
    was prohibited from ordering mutual decision-making under RCW 26.09.191(1)
    because it found that Michael had engaged in a history of acts of domestic
    violence. We find no error in the trial court's decisions regarding residential
    placement and parental decision-making.
    Valuation of Business
    A court has broad discretion when valuing property in a dissolution action
    and its valuation will not be reversed on appeal absent a manifest abuse of
    discretion. In re Marriage of Gillespie, 
    89 Wash. App. 390
    , 403, 
    948 P.2d 1338
    (1997). This court leaves valuation "to the sound discretion of the trial court, after
    hearing any additional evidence that the trial court may deem relevant and
    material to the valuation of the [property], and after both parties have had the
    opportunity to reflect upon and argue all the relevant factors." In re Marriage of
    Harrington, 
    85 Wash. App. 613
    , 630, 
    935 P.2d 1357
    (1997).
    Michael contends that trial court erred in assigning an enterprise value of
    $25,000 to his drum-making business. He argues that the business's only value
    is the $2,000-$2,500 that he claimed he had in inventory, and the additional
    assigned value came from the trial court's assessment of "intangible goodwill."
    Brief of Appellant at 36-37. According to him, the trial court erred in adding this
    amount to the value of the business without engaging in the accepted valuation
    methods for intangible goodwill.
    12
    No. 71240-3-1/13
    The value of professional goodwill is a question of fact, and "[o]ne or more
    of the accepted methods of valuation must be employed," to estimate its value. In
    re Marriage of Hall, 
    103 Wash. 2d 236
    , 243, 
    692 P.2d 175
    (1984). A trial court must
    "state on the record which factors and method were used in reaching its finding."
    
    Id. at 247.
    Here, however, the trial court made no finding of goodwill in Michael's
    drum business and estimated its value based solely on the limited evidence
    presented.
    Heidi submitted an estimate of $25,000 for the business's value. See
    Exhibit 256. She testified that Exhibit 256 was a "fair market value of the
    community property that they had." VRP (8/29/13) at 1630. Considering the
    assets in totality, the trial court found that Michael had received about $35,000
    worth and Heidi had received about $7500 worth. The record contains some
    additional evidence of the business's value, but Michael's own testimony
    suggested a value well over his estimate of $2,000 to $2,500. He testified that he
    would sell each of his drums for "a hundred dollars to $800." VRP (8/21/13) at
    656. At the time of trial he estimated that he had "around 20 to 25 drums
    currently in [his] inventory." ]o\ at 656-57. He also testified that on "a good
    month," he could have as much as $7-$10,000 in sales of drums. Id at 659.
    The trial court found that Michael "[didjn't have all of his records because
    rats ate them. He ha[d] tax returns, but the tax returns are only based on what he
    tells the IRS. And frankly, because so much of his business is done in cash,
    there is inability - or lack of ability for the IRS really to confirm that." VRP
    13
    No. 71240-3-1/14
    (9/12/13) at 1780. The trial court determined that "[t]o the extent there are
    questions ... the inferences need to be made against Mr. Goude because of the
    lack of records." \_± at 1781.
    Michael cannot dispute Heidi's valuation on appeal when he failed to
    provide any evidence of the business's value,7 aside from his estimate of
    inventory, which he later contradicted. The trial court did not include any goodwill
    in its valuation and therefore did not need to set forth any factors or method used
    to value goodwill. Based on the evidence presented, the trial court acted within
    its discretion when it assigned a value of $25,000 to Michael's drum-making
    business.
    Attorneys' Fees
    Both parties ask for fees under RAP 18.1(a) and RCW 26.09.140. Under
    these statutes, we may award legal fees to a party in a marital dissolution
    proceeding after "considering the financial resources of both parties." RCW
    26.09.140. An appellate court has discretion to order a party to pay the cost of
    maintaining the appeal, attorneys' fees, and statutory costs. ]d The court will
    consider the arguable merit of the issues on appeal and the financial resources
    ofthe respective parties. Johnson v. Johnson, 
    107 Wash. App. 500
    , 504, 
    27 P.3d 7The
    trial court admitted Michael's "attempt at a profit/loss statement" for 2012, but itwas
    not part ofthe record submitted on appeal. VRP (8/26/13) at 1118. Michael also submitted a list
    ofassets and liabilities, but again, this list was not made part ofthe record on appeal. He testified
    that Heidi took about half the value of the total value of personal property that they had. Michael
    also submitted a few invoices from January and February 2012, with the revenues and expenses,
    but they were not part of the record on appeal.
    14
    No. 71240-3-1/15
    654 (2001). Exercising our discretion, we decline to award fees to either party on
    appeal.
    Affirmed.
    WE CONCUR:
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