Awarding
Fees in Actions to Dissolve Marriage
by
James P. Reape
The Court has the ability
to order one spouse to pay attorneys fees and costs to the other
spouse's attorney in order to provide the "economically disadvantaged"
spouse access to legal assistance. As stated in the 1985 case, Marriage
of Hatch, "California's public policy in favor of expeditious
and final resolution of marital dissolution actions is best accomplished
by providing at the outset of litigation, consistent with the financial
circumstances of the parties, a parity between spouses and their
ability to obtain effective legal representation.
Most recently, the
Court has had to deal with the issue of awarding fees to a spouse
with two million dollars in assets "remaining." William
and Karen O'Connor succeeded in spending over three million dollars
in attorneys fees and costs in their dissolution action. William
was down to two million dollars in assets left, while Karen had
at least forty million dollars in assets left. William's first application
for attorneys fees and costs resulted in an award of $250,000. He
later petitioned for additional fees and costs and was awarded $450,000.
Karen appealed the second award, stating the court was unable to
make such an award because William had sufficient resources to pay
his own attorneys fees and costs.
The Appellate Court,
in analyzing the issue, noted that an appeal from an order awarding
attorneys fees and costs pendente lite will not be overturned absent
a clear showing of abuse of discretion. Prior to 1990, the statute
authorizing an award of attorneys fees and costs required a demonstration
of "need."
In the 1990 case, Marriage
of Joseph, the court entered an order awarding attorneys fees to
Wife, the less affluent party, stating if she were required to pay
her own attorneys fees and costs, she would be forced to reduce
her liquid assets to almost nothing. Husband appealed the order.
The court concluded that, although it seemed unfair to require Wife
to exhaust her liquid assets when Husband had vast wealth, Wife
had not shown the requisite need to qualify for an award.
The legislature responded
to Joseph with a bill intended to clarify the definition of need,
and added the fact that if the party requesting an award has resources
from which he/she could pay his/her own attorneys fees and costs,
that fact is not itself a bar to an order that the other party pay
all or a part of the fees and costs requested. The Appellate Court
noted that Husband's appeal was nothing more than a refusal to acknowledge
the unequivocal meaning of the 1990 amendment language. The trial
court, based on its knowledge of the litigation, was eminently qualified
to rule on the request. However, the Appellate Court stated that,
"given the relative circumstances of the parties in this case,
it undoubtedly would have been reasonable to deny Husband's request
for attorneys fees and costs."
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