
Clinton
v. Clinton: The Divorce Scenario
By Gregg Herman
Divorce Litigation
April, 2000
Pretend for a minute
that Hillary was not as accepting of Bill's infidelity as she appeared
to be. What issues would arise in the divorce case of Clinton v. Clinton?
(Please note: The purpose of this exercise is not to discuss political
issues or depict the Clinton marriage with any degree of accuracy. The
purpose is to discuss the legal issues involved.)
I.
Maintenance Issues
Contributions
to the Marriage
Under the laws
of most states, the court is to consider the contributions each party
has made to the earning capacity of the other party. From Hillary's
point of view, she gave up her lucrative partnership at the Rose Law
Firm to become First Lady. From Bill's point of view, he was the one
elected President of the United States, and it was his accomplishment
that make Hillary's future income possible. While Hillary undoubtedly
sacrificed income, her earning potential is likely greater than it would
have been without this sacrifice, considering future speaking engagements,
book royalties, and her possible future position as Junior Senator from
New York. Bill's future income is limited to his pension, his fees for
speaking engagements, and book contracts.
Although it appears
that Bill has a case for maintenance from Hillary, maintenance for men
is still relatively rare. Further, Bill, as one of the youngest ex-Presidents
ever, probably has a greater future earning potential than we can foretell.
Consequently, because both parties have good earning capacities, certainly
enough to be selfsupporting, maintenance will likely not be awarded
to either party.
Agreement of
the Parties
Most states' divorce
statutes provide that the court may consider any agreement the parties
may have reached before or during the marriage whereby one spouse has
agreed to forgo career opportunities in order to stay home to care for
the children of the parties. In most marriages, of course, the parties
reach agreements on roles, including income-producing responsibility.
The most common agreement is regarding child-rearing responsibility.
The wife claims, for example, that the husband agreed that she should
stay home and raise the children.
Although Bill and
Hillary did not enter into a formal, written contract as it relates
to marital contributions, Hillary did leave a very lucrative position
to become First Lady. Accordingly, Hillary should argue that, in the
event she cannot find suitable sources of income, Bill, at least implicitly,
promised to support her when he became President and for the years thereafter.
Bill's rejoinder,
like the rejoinder of most husbands in this position, is, "That was
then. This is now." With two households to support, the wife is not
entitled to the luxury of staying home to care for a child, but must
instead seek employment.
Typically, the
court focuses not on fulfilling the agreement of the parties but, rather,
on the effect the agreement had on the parties' earning capacities.
For example, if the effect of the agreement was that Hillary left the
job market to raise Chelsea, the court speaking engagements, book royalties,
or property may well consider the effect of Hillary's absence from the
job market in fashioning an appropriate maintenance award. If the effect
was negative, the result may be longer rehabilitative maintenance, or
even permanent maintenance. If the effect was positive, the court may
consider the agreement irrelevant. development deals.
From Bill's perspective,
Hillary cannot sit and wait for Bill to create income. Hillary also
has vast eaming potential from speaking engagements, book royalties,
property development, and even cattle futures.
Early Retirement
Bill's plans after
his second term ends are unclear. He has indicated, as one of the youngest
ex-Presidents ever, that he does not intend to play the elder statesman.
He may even run for the Senate from Arkansas.
In this case, the
income issues are too volatile to predict. Bill and Hillary would do
well to settle the issue of support by having each party go his/her
own way: Both parties have good earning potential, and both parties
can be self-supporting
Standard of
Living
Can Bill just sit
back and enjoy his retirement? To what extent can the court insist,
by imputing income to Bill, that he eam a living? States have different
approaches in deciding whether to impute income to a spouse who takes
early retirement. See Laura W. Morgan, The Effect of Early Retirement
upon Support Obligations, 8 Divorce Litigation 114 (1996); see also
Lewis Becker, Voluntary Reduction oflncome Doctrine, 29 Conn. L. Rev.
647 (1997). In some states, a voluntary decision to take early retirement
when the party still has the ability to earn income warrants imputation
of income. E.g., In re Marriage of Stephenson, 39 Cal. App. 4th 71,
46 Cal. Rptr. 2d 8 (1995); Stubblebine v. Stubblebine, 22 Va. App. 703,473
S.E.2d 72 (1996). In some states, the court fbcuses on whether the decision
to retire early is reasonable given the economic circumstances of the
parties. E.g., Deegan v. Deegan, 254 N.J. Super. 350, 603 A.2d 542 (App.
Div. 1992); Van Offeren v. Van Offeren, 173 Wis. 2d 482, 496 N.W.2d
660 (Ct. App. 1992).
One of the more
difficult considerations in maintenance is the standard of living enjoyed
during the marriage. Typically, there is insufficient income available
for both parties to enjoy the marital standard of living since there
are two households to maintain after the divorce. In the case of the
Clintons, the issue is even more difficult since the marital standard
of living included taxpayer-subsi-dized mansions, jets, yachts, cooks,
and servants.
Certainly, neither
party can expect the other party to pay for this kind of standard of
living. Both parties knew that their days of public service were limited,
and living at a level within more modest means would be the norm. Thus,
the court must consider thc standard of living the parties would have
enjoyed had the marriage stayed together.
II. Property
Division Issues
Dissipation
of assets
Hillary will certainly
want to argue that Bill has the obligation to take reasonable efforts
to maximize his income. This income may come from
Even in a no-fault
state, the law differentiates between marital misconduct and financial
misconduct. Most, if not all, states allow a trial court to consider
a party's efforts to preserve or deplete marital assets.
Hillary may certainly
argue that any gift Bill purchased for Ms. Lewinsky constitutes the
dissipation of assets. Although the amount is probably minimal, this
would not be the first divorce case to use this type of evidence as
a back door to introducing marital fault and casting the offending party
in a more negative light.
Had Bill been convicted
in the Senate and removed from office, Hillary could also have argued
that Bill's actions depleted marital assets in that he lost his salary
and pension.
Debts
Hillary probably
has a good argument that many of the debts incurred during the marriage
should be Bill's alone since they were incurred due to Bill's wrongful
actions during the marriage. These debts include (1) the $850,000 settlement
to Paula Jones; (2) contingent liability to Ms. Lewinsky; and (3) attorney's
fees arising from the above and for defense during the impeachment proceedings.
Can Hillary file
an action against Bill and Ms. Lewinsky jointly and severally for their
conduct which served as the catalyst for the divorce? In most states,
anti-heart balm statutes have been enacted prohibiting such an action.
Conclusion
Hillary's best
case lies with emphasizing the debts and obligations that arose out
of Bill's non-marital conduct. Bill's best case lies with emphasizing
Hillary's innate talents and her ability to become self-supporting.
In any event, the case would not be dull.
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