Bill Summary – FastDemocracy

Enrolled Copy                                                                         S.B. 18
                                   DIVORCE AMENDMENTS
                                      2020 GENERAL SESSION
                                           STATE OF UTAH
                               Chief Sponsor: Lyle W. Hillyard
                                 House Sponsor: V. Lowry Snow
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 LONG TITLE
 General Description:
          This bill amends the circumstances under which a district court may modify an alimony
 order.
 Highlighted Provisions:
          This bill:
          < amends the circumstances under which a district court may modify an alimony
 order; and
          < makes technical and conforming changes.
 Money Appropriated in this Bill:
          None
 Other Special Clauses:
          None
 Utah Code Sections Affected:
 AMENDS:
          30-3-5, as last amended by Laws of Utah 2018, Chapters 89 and 297
          30-3-5.4, as last amended by Laws of Utah 2018, Chapter 96
          78B-12-212, as last amended by Laws of Utah 2018, Chapter 96
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 Be it enacted by the Legislature of the state of Utah:
          Section 1. Section 30-3-5 is amended to read:
          30-3-5. Disposition of property -- Maintenance and health care of parties and
 children -- Division of debts -- Court to have continuing jurisdiction -- Custody and
       S.B. 18                                                                            Enrolled Copy
 parent-time -- Determination of alimony -- Nonmeritorious petition for modification.
         (1) When a decree of divorce is rendered, the court may include in [it] the decree of
 divorce equitable orders relating to the children, property, debts or obligations, and parties.
         (2) The court shall include the following in every decree of divorce:
         (a) an order assigning responsibility for the payment of reasonable and necessary
 medical and dental expenses of a dependent child, including responsibility for health insurance
 out-of-pocket expenses such as co-payments, co-insurance, and deductibles;
         (b) (i) if coverage is or becomes available at a reasonable cost, an order requiring the
 purchase and maintenance of appropriate health, hospital, and dental care insurance for a
 dependent child; and
         (ii) a designation of which health, hospital, or dental insurance plan is primary and
 which health, hospital, or dental insurance plan is secondary in accordance with Section
 30-3-5.4 [which] that will take effect if at any time a dependent child is covered by both
 parents' health, hospital, or dental insurance plans;
         (c) [pursuant to] in accordance with Section 15-4-6.5:
         (i) an order specifying which party is responsible for the payment of joint debts,
 obligations, or liabilities of the parties contracted or incurred during marriage;
         (ii) an order requiring the parties to notify respective creditors or obligees, regarding
 the court's division of debts, obligations, or liabilities and regarding the parties' separate,
 current addresses; and
         (iii) provisions for the enforcement of these orders;
         (d) provisions for income withholding in accordance with Title 62A, Chapter 11,
 Recovery Services; and
         (e) if either party owns a life insurance policy or an annuity contract, an
 acknowledgment by the court that the owner:
         (i) has reviewed and updated, where appropriate, the list of beneficiaries;
         (ii) has affirmed that those listed as beneficiaries are in fact the intended beneficiaries
 after the divorce becomes final; and
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       Enrolled Copy                                                                               S.B. 18
         (iii) understands that if no changes are made to the policy or contract, the beneficiaries
 currently listed will receive any funds paid by the insurance company under the terms of the
 policy or contract.
         [(2)] (3) (a) The court may include, in an order determining child support, an order
 assigning financial responsibility for all or a portion of child care expenses incurred on behalf
 of a dependent child, necessitated by the employment or training of the custodial parent.
         (b) If the court determines that the circumstances are appropriate and that the
 dependent child would be adequately cared for, the court may include an order allowing the
 noncustodial parent to provide child care for the dependent child, necessitated by the
 employment or training of the custodial parent.
         [(3)] (4) The court has continuing jurisdiction to make subsequent changes or new
 orders for the custody of a child and the child's support, maintenance, health, and dental care,
 and for distribution of the property and obligations for debts as is reasonable and necessary.
         [(4)] (5) Child support, custody, visitation, and other matters related to a child born to
 the parents after entry of the decree of divorce may be added to the decree by modification.
         [(5)] (6) (a) In determining parent-time rights of parents and visitation rights of
 grandparents and other members of the immediate family, the court shall consider the best
 interest of the child.
         (b) Upon a specific finding by the court of the need for peace officer enforcement, the
 court may include in an order establishing a parent-time or visitation schedule a provision,
 among other things, authorizing any peace officer to enforce a court-ordered parent-time or
 visitation schedule entered under this chapter.
         [(6)] (7) If a petition for modification of child custody or parent-time provisions of a
 court order is made and denied, the court shall order the petitioner to pay the reasonable
 attorney fees expended by the prevailing party in that action, if the court determines that the
 petition was without merit and not asserted or defended against in good faith.
         [(7)] (8) If a motion or petition alleges noncompliance with a parent-time order by a
 parent, or a visitation order by a grandparent or other member of the immediate family where a
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        S.B. 18                                                                          Enrolled Copy
 visitation or parent-time right has been previously granted by the court, the court may award to
 the prevailing party:
        (a) actual attorney fees incurred;
        (b) the costs incurred by the prevailing party because of the other party's failure to
 provide or exercise court-ordered visitation or parent-time, which may include:
        (i) court costs;
        (ii) child care expenses;
        (iii) transportation expenses actually incurred;
        (iv) lost wages, if ascertainable; and
        (v) counseling for a child or parent if ordered or approved by the court;
        (c) make-up parent time consistent with the best interest of the child; and
        (d) any other appropriate equitable remedy.
        [(8)] (9) (a) The court shall consider at least the following factors in determining
 alimony:
        (i) the financial condition and needs of the recipient spouse;
        (ii) the recipient's earning capacity or ability to produce income, including the impact
 of diminished workplace experience resulting from primarily caring for a child of the payor
 spouse;
        (iii) the ability of the payor spouse to provide support;
        (iv) the length of the marriage;
        (v) whether the recipient spouse has custody of a minor child requiring support;
        (vi) whether the recipient spouse worked in a business owned or operated by the payor
 spouse; and
        (vii) whether the recipient spouse directly contributed to any increase in the payor
 spouse's skill by paying for education received by the payor spouse or enabling the payor
 spouse to attend school during the marriage.
        (b) The court may consider the fault of the parties in determining whether to award
 alimony and the terms of the alimony.
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        Enrolled Copy                                                                               S.B. 18
          (c) "Fault" means any of the following wrongful conduct during the marriage that
 substantially contributed to the breakup of the marriage relationship:
          (i) engaging in sexual relations with [a person] an individual other than the party's
 spouse;
          (ii) knowingly and intentionally causing or attempting to cause physical harm to the
 other party or a minor child;
          (iii) knowingly and intentionally causing the other party or a minor child to reasonably
 fear life-threatening harm; or
          (iv) substantially undermining the financial stability of the other party or the minor
 child.
          (d) The court may, when fault is at issue, close the proceedings and seal the court
 records.
          (e) As a general rule, the court should look to the standard of living, existing at the
 time of separation, in determining alimony in accordance with Subsection [(8)] (9)(a).
 However, the court shall consider all relevant facts and equitable principles and may, in the
 court's discretion, base alimony on the standard of living that existed at the time of trial. In
 marriages of short duration, when no child has been conceived or born during the marriage, the
 court may consider the standard of living that existed at the time of the marriage.
          (f) The court may, under appropriate circumstances, attempt to equalize the parties'
 respective standards of living.
          (g) When a marriage of long duration dissolves on the threshold of a major change in
 the income of one of the spouses due to the collective efforts of both, that change shall be
 considered in dividing the marital property and in determining the amount of alimony. If one
 spouse's earning capacity has been greatly enhanced through the efforts of both spouses during
 the marriage, the court may make a compensating adjustment in dividing the marital property
 and awarding alimony.
          (h) In determining alimony when a marriage of short duration dissolves, and no child
 has been conceived or born during the marriage, the court may consider restoring each party to
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        S.B. 18                                                                         Enrolled Copy
 the condition which existed at the time of the marriage.
        [(i) (i)] (10) (a) The court has continuing jurisdiction to make substantive changes and
 new orders regarding alimony based on a substantial material change in circumstances not
 foreseeable at the time of the divorce.
        (b) Regardless of whether a party's retirement is foreseeable, the party's retirement is a
 substantial material change in circumstances that is subject to a petition to modify alimony,
 unless the divorce decree expressly states otherwise.
        [(ii)] (c) The court may not modify alimony or issue a new order for alimony to address
 needs of the recipient that did not exist at the time the decree was entered, unless the court
 finds extenuating circumstances that justify that action.
        [(iii)] (d) (i) In determining alimony, the income of any subsequent spouse of the payor
 may not be considered, except as provided in Subsection (9) or this Subsection [(8)] (10).
        [(A)] (ii) The court may consider the subsequent spouse's financial ability to share
 living expenses.
        [(B)] (iii) The court may consider the income of a subsequent spouse if the court finds
 that the payor's improper conduct justifies that consideration.
        [(j)] (e) [Alimony may not be ordered] The court may not order alimony for a duration
 longer than the number of years that the marriage existed unless, at any time before termination
 of alimony, the court finds extenuating circumstances that justify the payment of alimony for a
 longer period of time.
        [(9)] (11) Unless a decree of divorce specifically provides otherwise, any order of the
 court that a party pay alimony to a former spouse automatically terminates upon the remarriage
 or death of that former spouse. However, if the remarriage is annulled and found to be void ab
 initio, payment of alimony shall resume if the party paying alimony is made a party to the
 action of annulment and the payor party's rights are determined.
        [(10)] (12) (a) Subject to Subsection [(10)] (12)(b), an order of the court that a party
 pay alimony to a former spouse terminates upon establishment by the party paying alimony that
 the former spouse, after the order for alimony is issued, cohabits with another [person]
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        Enrolled Copy                                                                                  S.B. 18
 individual, even if the former spouse is not cohabiting with another person when the party
 paying alimony files the motion to terminate alimony.
           (b) A party paying alimony to a former spouse may not seek termination of alimony
 under Subsection [(10)] (12)(a), later than one year from the day on which the party knew or
 should have known that the former spouse has cohabited with another [person] individual.
           Section 2. Section 30-3-5.4 is amended to read:
           30-3-5.4. Designation of primary and secondary health, dental, or hospital
 insurance coverage.
           (1) [For purposes of] As used in this section, "health, hospital, or dental insurance
 plan" has the same meaning as "health care insurance" as defined in Section 31A-1-301.
           (2) (a) A decree of divorce rendered in accordance with Section 30-3-5, an order for
 medical expenses rendered in accordance with Section 78B-12-212, and an administrative
 order under Section 62A-11-326 shall, in accordance with Subsection (2)(b)(ii), designate
 which parent's health, hospital, or dental insurance plan is primary coverage and which parent's
 health, hospital, or dental insurance plan is secondary coverage for a dependent child.
           (b) The provisions of the court order required by Subsection (2)(a) shall:
           (i) take effect if at any time a dependent child is covered by both parents' health,
 hospital, or dental insurance plans; and
           (ii) include the following language:
           "If, at any point in time, a dependent child is covered by the health, hospital, or dental
 insurance plans of both parents, the health, hospital, or dental insurance plan of (Parent's
 Name) shall be primary coverage for the dependent child and the health, hospital, or dental
 insurance plan of (Other Parent's Name) shall be secondary coverage for the dependent child.
 If a parent remarries and his or her dependent child is not covered by that parent's health,
 hospital, or dental insurance plan but is covered by a step-parent's plan, the health, hospital, or
 dental insurance plan of the step-parent shall be treated as if it is the plan of the remarried
 parent and shall retain the same designation as the primary or secondary plan of the dependent
 child."
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        S.B. 18                                                                        Enrolled Copy
        (c) A decree of divorce or related court order may not modify the language required by
 Subsection (2)(b)(ii).
        (d) Notwithstanding Subsection (2)(c), a court may allocate the payment of medical
 expenses including co-payments, deductibles, and co-insurance not covered by health insurance
 between the parents in accordance with Subsections [30-3-5(1)(a)] 30-3-5(2)(a) and
 78B-12-212(7).
        (3) In designating primary coverage pursuant to Subsection (2), a court may take into
 account:
        (a) the birth dates of the parents;
        (b) a requirement in a court order, if any, for one of the parents to maintain health
 insurance coverage for a dependent child;
        (c) the parent with physical custody of the dependent child; or
        (d) any other factor the court considers relevant.
        Section 3. Section 78B-12-212 is amended to read:
        78B-12-212. Medical expenses.
        (1) A child support order issued or modified in this state on or after July 1, 2018, shall
 require compliance with this section as of the effective date of the child support order unless
 the court makes specific findings as to good cause to deviate from the requirements of this
 section.
        (2) (a) The court shall order that health care coverage for the medical expenses of a
 minor child be provided by a parent.
        (b) The court shall order that a parent provide insurance for the medical expenses of a
 minor child if insurance is available to that parent at a reasonable cost.
        (c) The court shall, in accordance with Section 30-3-5, designate which health,
 hospital, or dental insurance plan is primary and which health, hospital, or dental insurance
 plan is secondary if at any time a dependent child is covered by both parents' health, hospital,
 or dental insurance plans.
        (3) In determining which parent shall be ordered to maintain insurance for medical
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