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Factual and Procedural Background

Charlean L. Eason ("Wife") and Fredrick W. Eason ("Husband") were married in 1973 and separated in 2003. Shortly after separation, Wife filed a complaint seeking legal separation and alimony. The parties engaged in mediation in 2004, resolving several issues but reserving the right to seek alimony until Wife was fully employed with benefits. They later executed a written agreement stipulating that neither would seek divorce on adultery grounds and that adultery would not be used as a bar to alimony. Wife filed a divorce complaint in 2005 seeking divorce based on one year's continuous separation, alimony, and attorney's fees. Husband answered and counterclaimed for divorce on the same ground.

Subsequently, Husband amended his answer to seek a divorce based on adultery and alleged Wife was in a relationship "tantamount to marriage," seeking to bar alimony. The family court granted the motion to amend. At the final hearing in 2007, the court admitted the mediation agreement and incorporated it into the final order. Wife testified she was unable to work due to severe depression and was receiving temporary alimony. Husband testified about his income and personal circumstances.

The family court found by clear and convincing evidence that Wife had been in an adulterous relationship since early 2005 and barred her from receiving alimony. The court found the parties' agreement unenforceable as against public policy and declined to rule on whether Wife's cohabitation met the statutory 90-day requirement to terminate alimony. Both parties appealed.

Legal Issues Presented

  1. Whether the family court erred in barring Wife from receiving alimony despite the parties' written agreement that adultery would not be used as a bar to alimony.
  2. Whether the family court erred in failing to award Wife attorney's fees.
  3. Whether the family court erred in failing to terminate Wife's alimony based on her continuous cohabitation with her boyfriend.

Arguments of the Parties

Wife's Arguments

  • The written agreement constituted a waiver and estoppel preventing Husband from using adultery as a bar to alimony.
  • The family court erred by finding the agreement unenforceable and against public policy.
  • The family court erred by not awarding her attorney's fees.

Husband's Arguments

  • The agreement was unenforceable because it contravened public policy.
  • Wife's continuous cohabitation with her boyfriend should bar her from receiving alimony.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Strickland v. Strickland, 375 S.C. 76, 650 S.E.2d 465 (2007) Waiver requires knowledge and intentional relinquishment of a known right; standard for appellate review of family court findings. Used to support the finding that Husband waived the right to bar alimony based on adultery and to affirm the appellate standard of review.
Parker v. Parker, 313 S.C. 482, 443 S.E.2d 388 (1994) Definition and application of waiver and equitable estoppel. Supported the court's conclusion that Husband was estopped from using adultery as a bar to alimony due to the agreement.
Berkebile v. Outen, 311 S.C. 50, 426 S.E.2d 760 (1993) Contracts violating public policy are unenforceable. Rejected Husband's argument that the agreement was against public policy and thus unenforceable.
Degenhart v. Burriss, 360 S.C. 497, 602 S.E.2d 96 (Ct.App. 2004) Family court must enforce unambiguous contracts according to their terms regardless of perceived wisdom or folly. Supported enforcement of the agreement as a valid waiver.
Maxwell v. Maxwell, 375 S.C. 182, 650 S.E.2d 680 (Ct.App. 2007) Enforcement of non-modifiable separation agreements including alimony and waivers of divorce grounds. Analogous case supporting enforcement of similar agreements despite subsequent adultery.
Croom v. Croom, 305 S.C. 158, 406 S.E.2d 381 (Ct.App. 1991) Upheld court-approved settlement including alimony and agreement not to bring divorce action based on adultery despite later cohabitation. Further supported enforcement of the agreement in the present case.
Patel v. Patel, 359 S.C. 515, 599 S.E.2d 114 (2004) Discretionary nature of attorney's fees awards in family court. Guided the court to remand for reconsideration of attorney's fees.
E.D.M. v. T.A.M., 307 S.C. 471, 415 S.E.2d 812 (1992) Factors to consider in awarding attorney's fees: ability to pay, beneficial results, financial conditions, and effect on standard of living. Instructed the family court to consider these factors on remand regarding attorney's fees.
Semken v. Semken, 379 S.C. 71, 664 S.E.2d 493 (Ct.App. 2008) Requirement that supported spouse and paramour live under the same roof for 90 consecutive days to bar alimony based on cohabitation. Affirmed the family court's failure to bar alimony on cohabitation grounds due to lack of evidence of 90 consecutive days.

Court's Reasoning and Analysis

The court analyzed the enforceability of the parties' written Agreement that neither would use adultery as a bar to alimony. It found that under South Carolina law, waiver requires a party to knowingly and intentionally relinquish a known right. Because Husband's attorney drafted the Agreement and Husband sought Wife's signature while preparing to move in with his girlfriend, the court concluded Husband knowingly waived the right to bar alimony on adultery grounds. Furthermore, equitable estoppel prevented Husband from asserting adultery as a bar after agreeing otherwise.

The court rejected Husband's argument that the Agreement was against public policy, reasoning that the Agreement was a mutual promise not to sue for divorce on adultery grounds and not to use adultery as a bar to alimony. As such, it was a valid waiver and enforceable contract. The court relied on precedent requiring enforcement of unambiguous contracts according to their terms regardless of their wisdom or folly.

Regarding attorney's fees, the court held that the family court should reconsider the request on remand in light of the reversal of the alimony bar. The court emphasized the discretionary nature of attorney's fees awards and the relevant factors to be considered.

On Husband's appeal concerning alimony termination based on Wife's alleged continuous cohabitation with her boyfriend, the court affirmed the family court's ruling. It held that the evidence did not establish the statutory requirement that the supported spouse live under the same roof with a romantic partner for 90 consecutive days, referencing relevant statutory and case law.

Holding and Implications

The court's final decision was AFFIRMED IN PART; REVERSED IN PART; AND REMANDED.

The family court's finding that Wife was barred from receiving alimony due to adultery was reversed, and the matter was remanded for determination of the appropriate alimony award and reconsideration of attorney's fees. The family court's refusal to terminate alimony based on alleged continuous cohabitation was affirmed. This decision directly affects the parties by reinstating Wife's potential entitlement to alimony and requiring further proceedings on attorney's fees, but it does not establish new legal precedent beyond application of existing law.

Charlean L. EASON, Appellant/Respondent, v. Fredrick W. EASON,Respondent/Appellant.

Justice WALLER.

This is a cross-appeal from the family court's order which granted appellant/respondent Charlean L. Eason ("Wife") and respondent/appellant Fredrick W. Eason ("Husband") a divorce based on one year's continuous separation. We reverse in part and remand on Wife's appeal. As to Husband's appeal, we affirm pursuant to Rule 220(b)(1), SCACR.

FACTS

The parties married on November 29, 1973 and separated on October 26, 2003. On October 31, 2003, Wife filed a complaint in family court seeking legal separation and alimony ("the 2003 Action"). Husband filed an answer and counterclaim in the 2003 Action.

The parties have one son who was over 18 and attending college at the time the parties separated.

Mediation for the 2003 Action was conducted in September 2004, and a number of issues were settled. In the written mediation agreement, the parties each reserved "the right to seek alimony from the other until such time as [Wife] is fully employed with benefits, at which time this reservation will terminate."

Wife received her associate's degree in nursing in 1987 and became a licensed registered nurse in 1988. From that time until 2001, she worked full time as a nurse at Greenville Memorial hospital. Wife stopped working due to depression. She briefly returned to nursing in 2004, but left the job after a few months when she had a breakdown and was hospitalized for depression.

A few months later, the parties signed a written agreement ("the Agreement") which had been prepared by Husband's lawyer and stated the following:

Both parties agree that they will not seek a divorce on the grounds of adultery; they will proceed with divorce on the grounds of living separate and apart in excess of one year. The parties also agree that neither party will use adultery as a bar to alimony.
Further, both parties agree to be equally responsible for college tuition and costs for their son.

(Emphasis added). The Agreement referenced the case number associated with the 2003 Action. Husband signed this document on December 29, 2004, and Wife signed on January 7, 2005.

Also on January 7, 2005, Wife filed a divorce complaint ("the 2005 Action"). The 2005 Action sought a divorce based on continuous separation for one year. Wife requested alimony, both pendente lite and permanently, as well as attorney's fees. Husband promptly filed an answer and counterclaim, also requesting a divorce based on continuous separation for one year. The family court issued a temporary order awarding Wife spousal support in the amount of $1,236.00 per month, which represented one third of Husband's gross pay at the time.

The 2003 Action had been administratively dismissed.

Over one year later, however, Husband filed a motion to amend his answer. Husband's amended answer and counterclaim requested a divorce on the ground of adultery and also alleged that Wife was in a relationship "tantamount to marriage." Husband claimed Wife should be denied alimony. The family court granted his motion to amend.

In March 2007, the family court held a final hearing. At the hearing, the parties admitted the mediation agreement from the 2003 Action, stating that all issues had been resolved except for alimony and attorney's fees with respect to the 2005 Action. The family court approved the mediation agreement, and it was incorporated into the final order.

In the mediation agreement, Husband agreed to pay Wife's attorney's fees of $3,000.

Wife testified that she no longer works as a nurse due to her depression. Her treating psychiatrist testified by deposition that Wife has major depression, an anxiety disorder, and bipolar disorder. In his opinion, Wife is medically unable to work. In February 2007, Wife applied for Social Security disability benefits. According to her financial declaration, her only income is the temporary alimony from Husband. Husband testified that he has worked for the railroad for 34 years. According to his financial declaration, he earns $3,600.00 per month.

See fn. 2, supra.

Regarding the Agreement, Husband testified that he directed his attorney to prepare it. Husband further explained as follows:

Me and [Wife] talked, and we were supposed to get a divorce like adults. I didn't want my children embarrassed by us going by adultery, knowing that their mama had adultery — committed adultery and I had adultery. And I thought we was just going to get [the divorce] on the conclusion that we'll both go our separate ways. I didn't know I was signing a paper for her to be with a man. I didn't know I was giving her a license to cheat.

Husband acknowledged he was about to move in with his girlfriend when he signed the document.

According to Wife, Husband asked her to sign the Agreement because "he wanted to move in with his girlfriend, [and] he didn't want me to seek the divorce on the grounds of adultery. And because I had no problem with him doing that, I didn't mind signing the paper." Wife maintained she did not commit adultery prior to signing the paper, and would not have had sex with anyone but for the Agreement.

Husband attempted to establish that Wife was continuously living with her boyfriend, Calvin Moss. Wife and Moss met in May 2004 and became intimate in February 2005. In exchange for helping Wife maintain her three trailer properties and repair her cars, Moss lives in one of Wife's trailers without paying rent. Both Moss and Wife admitted that although they had lived together at times, they never cohabited for more than two through four weeks at a time. Moss testified they do not have any financial arrangements together. Both Moss and Wife testified that their relationship is not exclusive and they date other people. In addition, the parties' 27-year-old son ("Son") testified he had not witnessed his mother and Moss cohabiting for 90 continuous days.

See S.C. Code Ann. § 20-3-130(B) (Supp. 2008) (which provides that alimony terminates upon "the remarriage or continued cohabitation of the supported spouse"). This section also provides as follows:

For purposes of this subsection and unless otherwise agreed to in writing by the parties, "continued cohabitation" means the supported spouse resides with another person in a romantic relationship for a period of ninety or more consecutive days. The court may determine that a continued cohabitation exists if there is evidence that the supported spouse resides with another person in a romantic relationship for periods of less than ninety days and the two periodically separate in order to circumvent the ninety-day requirement.

Husband raised questions about Wife's decrease in utilities usage, such as water and gas, and introduced copies of the utilities bills to suggest that Wife was not actually living at the trailer she said she was. Wife, Son, and Moss testified that she turned off the utilities and used kerosene lamps in an attempt to save money.

The family court issued a written order barring Wife from receiving alimony because Husband established by clear and convincing evidence that Wife and Moss had been in an adulterous relationship since early 2005. Regarding Wife's argument that the Agreement estopped Husband from requesting alimony be denied, the family court found the Agreement was an unenforceable contract and in contravention of public policy. The family court specifically declined to rule on the statutory issue of whether Wife and Moss resided together for a period of 90 days or more. See S.C. Code Ann. § 20-3-130(B) (Supp. 2008). Finally, the family court ruled that the parties shall pay their own legal fees.

Wife and Husband both appeal from the family court's order.

ISSUES Wife's Appeal

1. Did the family court err in finding Wife was barred from receiving alimony when the parties agreed in writing that neither would use adultery as a bar to alimony?
2. Did the family court err in failing to award Wife attorney's fees?

Husband's Appeal

Did the family court err in failing to terminate Wife's right to alimony based on continuous cohabitation with her boyfriend?

STANDARD OF REVIEW

In appeals from the family court, the appellate court has jurisdiction to find facts in accordance with its view of the preponderance of the evidence. E.g., Strickland v. Strickland, 375 S.C. 76, 82, 650 S.E.2d 465, 469 (2007). However, this broad scope of review does not require this Court to disregard the findings of the family court. Wooten v. Wooten, 364 S.C. 532, 540, 615 S.E.2d 98, 102 (2005).

"Questions concerning alimony rest within the sound discretion of the family court judge whose conclusion will not be disturbed absent a showing of abuse of discretion." Degenhart v. Burriss, 360 S.C. 497, 500, 602 S.E.2d 96, 97 (Ct.App. 2004). An abuse of discretion occurs when the decision is controlled by some error of law or is based on findings of fact that are without evidentiary support. Id.

DISCUSSION 1. Effect of the Agreement

Based on the doctrines of waiver and estoppel, Wife argues the Agreement should have been enforced to prevent Husband from asserting the bar on alimony based on adultery. We agree.

South Carolina statutory law provides that no alimony may be awarded to a spouse who commits adultery before either: (1) the formal signing of a written property or marital settlement agreement, or (2) the entry of a permanent order of separate maintenance and support or of a permanent order approving a property or marital settlement agreement between the parties. S.C. Code Ann. § 20-3-130(A).

"Waiver is a voluntary and intentional abandonment or relinquishment of a known right." Parker v. Parker, 313 S.C. 482, 487, 443 S.E.2d 388, 391 (1994). Stated differently, waiver requires a party to have known of a right and known he was abandoning that right. Strickland, 375 S.C. at 85, 650 S.E.2d at 471. "Equitable estoppel occurs where a party is denied the right to plead or prove an otherwise important fact because of something which he has done or failed to do." Parker, 313 S.C. at 487, 443 S.E.2d at 391. This Court has recognized that "the distinction between waiver and estoppel is close, and sometimes the doctrines merge into each other with almost imperceptible gradations." Id. (citation omitted); Strickland, supra.

We find the Agreement here constitutes a waiver of the right to use adultery as a bar to alimony. Clearly, Husband knew of this right as it was his lawyer who drew up the Agreement. Therefore, Husband intentionally abandoned this right. Strickland, supra. Moreover, Husband actively sought Wife's signature on the Agreement because he was about to move in with his girlfriend. Thus, the trial court erred in not finding Husband was equitably estopped from using Wife's subsequent adultery as a bar to alimony. See Parker, supra.

Husband argues that the Agreement contravenes public policy, and therefore, the family court correctly did not enforce the Agreement. See Berkebile v. Outen, 311 S.C. 50, 54 n. 2, 426 S.E.2d 760, 762 n. 2 (1993) ("The general rule is that courts will not enforce a contract which is violative of public policy, statutory law, or provisions of the Constitution."). We disagree.

In our opinion, the Agreement was a mutual promise to not sue for divorce based on adultery, and to not raise adultery as a bar to alimony. In other words, the Agreement was not against public policy, it simply was a valid waiver. Hence, it must be enforced. See Degenhart v. Burriss, 360 S.C. at 501, 602 S.E.2d at 98 (the family court "must enforce an unambiguous contract according to its terms regardless of its wisdom or folly, apparent unreasonableness, or the parties' failure to guard their rights carefully") (internal quote marks and citation omitted); cf. Maxwell v. Maxwell, 375 S.C. 182, 650 S.E.2d 680 (Ct.App. 2007) (upholding a written non-modifiable separation agreement which included alimony to the wife as well as a promise not to bring a divorce action based on adultery, even though the husband later discovered the wife had committed adultery before the agreement's execution); Croom v. Croom, 305 S.C. 158, 406 S.E.2d 381 (Ct.App. 1991) (upholding court-approved written settlement of the parties which included alimony to the wife and an agreement to not bring divorce action based on adultery despite the wife's subsequent cohabitation with her paramour).

Accordingly, we reverse the family court's ruling that the Agreement was unenforceable and remand the matter for a determination of the proper type and amount of alimony for Wife. See § 20-3-130(C) (enumerating factors to be considered when making an alimony award).

2. Attorney's Fees

Wife argues the family court erred by not awarding her attorney's fees.

An award of attorney's fees lies within the sound discretion of the family court and will not be disturbed absent an abuse of discretion. E.g., Patel v. Patel, 359 S.C. 515, 533, 599 S.E.2d 114, 123 (2004). In determining whether to award attorney's fees, the court should consider each party's ability to pay his or her own fees, the beneficial results obtained by counsel, the parties' respective financial conditions, and the effect of the fee on the parties' standard of living. E.D.M. v. T.A.M., 307 S.C. 471, 476-77, 415 S.E.2d 812, 816 (1992).

Given our disposition on Wife's first issue, the family court should reconsider Wife's request for attorney's fees on remand. See Semken v. Semken, 379 S.C. 71, 664 S.E.2d 493 (Ct.App. 2008) (where the family court's decision to terminate the husband's alimony obligation was reversed, the issue of attorney's fees was remanded for reconsideration).

Husband's Appeal

Husband argues the family court erred by not finding Wife was barred from receiving alimony based on her continuous cohabitation with her boyfriend. We affirm pursuant to Rule 220(b)(1), SCACR, and the following authorities: Strickland v. Strickland, 375 S.C. at 89, 650 S.E.2d at 472 (in order to bar alimony based on "continued cohabitation," it must be established that the supported spouse lives "under the same roof as the person with whom they are romantically involved for at least ninety consecutive days"); Semken v. Semken, 379 S.C. at 77, 664 S.E.2d at 497 (section 20-3-130 "requires the spouse and the paramour to actually `live under the same roof' for ninety consecutive days, rather then merely claim the same residence for that time period").

CONCLUSION

For the reasons discussed above, we reverse the family court's finding that Wife is barred from receiving alimony and remand to the family court for: (1) a determination of the appropriate alimony award; and (2) reconsideration of Wife's request for attorney's fees.

AFFIRMED IN PART; REVERSED IN PART; AND REMANDED.

TOAL, C.J., PLEICONES, BEATTY and KITTREDGE, JJ., concur.

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