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Douglas Hicks v. Rebecca Hicks

2026-06-24No. 25A-DC-02054

Summary

Holding. The Court of Appeals reversed and remanded because the trial court abused its discretion in dividing the marital assets, specifically finding that the contingent distribution scheme in the decree—which would result in a 4% to 96% split if the home were sold—was clearly erroneous and lacked adequate findings to support such an extreme deviation from the presumption of equal division.

Douglas Hicks appealed the trial court's division of marital property in his divorce from Rebecca Hicks. The trial court awarded each spouse roughly equal net distributions from the marital estate—Hicks received approximately 51% and his wife 49%—based on a finding that the slight disparity in earnings between them warranted a minimal deviation from an equal split. However, the trial court's decree included a contingent provision: if Hicks could not refinance the mortgage to remove his wife's name, the marital residence would be sold and the proceeds distributed in a way that would leave Hicks with only 4% of the total marital estate and his wife with 96%. The appellate court found this contingent distribution dramatically inconsistent with the trial court's stated rationale and the statutory factors required for unequal division of property.

Summary generated by law.co from the public-domain opinion. The opinion text itself is public domain.

Key issues

  • Whether the trial court abused its discretion in dividing marital property
  • Whether contingent property division provisions must comply with statutory factors for unequal distribution
  • Whether disparity in earning ability alone justifies extreme deviations from equal division

Procedural posture

Douglas Hicks appealed the trial court's dissolution decree and property division order from the Wayne Circuit Court.

Authorities cited

Opinion

majority opinion

IN THE

Court of Appeals of Indiana

FILED

Douglas Hicks, Jun 24 2026, 9:12 am

Appellant-Petitioner CLERK

Indiana Supreme Court

Court of Appeals

and Tax Court

v.

Rebecca Hicks,

Appellee-Respondent

June 24, 2026

Court of Appeals Case No.

25A-DC-2054

Appeal from the Wayne Circuit Court

The Honorable April R. Drake, Judge

Trial Court Cause No.

89C01-2401-DC-2

Opinion by Chief Judge Tavitas

Judges Weissmann and Foley concur.

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 1 of 10

Tavitas, Chief Judge.

Case Summary

[1] Douglas Hicks (“Husband”) appeals the trial court’s dissolution of his marriage

to Rebecca Hicks (“Wife”). Husband argues that the trial court abused its

discretion in dividing the marital estate. We agree with Husband, and

accordingly, we reverse and remand.

Issue

[2] Husband raises one issue, which we restate as whether the trial court abused its

discretion when it divided the marital estate.

Facts

[3] The parties married in August 1991 and had three children. Husband filed a

petition for dissolution of marriage in January 2024. A final hearing was held

on November 13, 2024, and February 21, 2025. The parties stipulated that the

marital residence was valued at $262,500, with a mortgage balance of $99,200.

Husband requested that he be awarded the marital residence, that he be

assigned the mortgage debt, and that an unequal division of the marital assets

be awarded in his favor due to Wife’s higher earning ability. Wife requested

that the marital residence be sold to pay the marital debts.

[4] The trial court entered a dissolution decree on May 29, 2025. The trial court

determined that Husband’s income was $40,000 per year, and Wife’s income

was $52,126 per year. The trial court further determined that the parties’

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 2 of 10 marital assets totaled $390,806, and the marital debt totaled $266,705. The trial

court awarded Husband the marital residence and other assets totaling

$272,000, and ordered Husband to pay marital debts, including the mortgage,

totaling $208,719. Husband received a net distribution of $63,281 from the

marital estate. The trial court awarded Wife marital assets totaling $118,806,

and ordered her to pay marital debts totaling $57,986. Wife received a net

distribution of $60,820 from the marital estate. The trial court found that “no

compelling evidence has been presented to deviate from a nearly equal

distribution of marital property. However, because there is some disparity in

current earnings, the Court finds that a slight deviation from a 50-50 split is

warranted in the division of marital assets.” Appellant’s App. Vol. II p. 23.

The trial court then found:

7. Regarding the former marital residence . . . Husband shall

retain possession of the marital residence and be responsible for

all obligations, including the mortgage, that pertain to the former

marital residence from the date of this order.

8. [Husband] shall refinance the mortgage to remove [Wife’s]

obligation within ninety (90) days of the issuance of this order.

Upon [Husband] demonstrating in writing that he has obtained

the ability to refinance the mortgage and remove [Wife], [Wife]

shall transfer title of the property to [Husband].

9. In the event [Husband] is unable to refinance the mortgage,

the former marital residence will be listed for sale no later than

September 5, 2025. Upon sale of the property, and assuming that

the former marital residence is sold at the currently appraised

value presented to the Court of $262,500, and allowing for $5,000

of costs in the selling of the property, the current mortgage shall Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 3 of 10

be paid in full from the proceeds. Of the remaining $158,300 in

equity from the sale, again, assuming the selling price and

costs, that equity shall be divided as follows: the first $51,500

in equity to [Husband] to offset the assignment of liabilities to

[Husband], with the remaining amount being divided equally

between the parties.

Id. at 23-24 (emphasis added).

[5] Husband filed a motion to correct error and argued, in part, that Finding No. 9

of the dissolution decree should be revised to award Husband all of the

proceeds of the sale of the marital residence. Wife disagreed and argued:

If [Husband] can sell the house without any monies transferring

to Wife, he would be receiving a lump sum that would allow him

to leave this Marriage debt free. No such option is afforded to

Wife, which would result in an unjust decision. It’s one thing if

in the future the parties can make decisions to use their assets to

remove all debts. It’s quite another to allow [Husband] to sell

immediately and find himself in a much more favorable position

regarding debt than Wife.

Id. at 113. The trial court denied Husband’s motion. Husband now appeals.

Discussion and Decision

[6] Husband challenges the trial court’s division of marital assets. “The division of

marital assets is within the trial court’s discretion, and we will reverse a trial

court’s decision only for an abuse of discretion.” Kearney v. Claywell, 181

N.E.3d 336, 339 (Ind. Ct. App. 2021). Additionally, the trial court issued sua

sponte findings of fact and conclusions thereon. “Where a trial court enters

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 4 of 10

findings sua sponte, the appellate court reviews issues covered by the findings

with a two-tiered standard of review that asks whether the evidence supports

the findings, and whether the findings support the judgment.” Steele-Giri v.

Steele, 51 N.E.3d 119, 123 (Ind. 2016). “Any issue not covered by the findings

is reviewed under the general judgment standard, meaning a reviewing court

should affirm based on any legal theory supported by the evidence.” Id. at 123-24.

[7] When reviewing the accuracy of findings entered sua sponte, we first consider

whether the evidence supports them. Fetters v. Fetters, 26 N.E.3d 1016, 1020

(Ind. Ct. App. 2015), trans. denied. Next, we consider whether the findings

support the judgment. Id. We will disregard a finding only if it is clearly

erroneous, meaning the record contains no facts to support it either directly or

by inference. Id. We will not reweigh the evidence or judge witness credibility.

Id. “A judgment also is clearly erroneous if it relies on an incorrect legal

standard, and we do not defer to a trial court’s legal conclusions.” Id.

[8] “‘The party challenging the trial court’s property division bears the burden of

proof.’” Meyer v. East, 205 N.E.3d 1066, 1071 (Ind. Ct. App. 2023) (quoting

Smith v. Smith, 194 N.E.3d 63, 72 (Ind. Ct. App. 2022)). “That party must

overcome a strong presumption that the court complied with the statute and

considered the evidence on each of the statutory factors.” Id.; see Ind. Code §

31-15-7-5. “The presumption that a dissolution court correctly followed the law

and made all the proper considerations when dividing the property is one of the

strongest presumptions applicable to our consideration on appeal.” Meyer, 205

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 5 of 10

N.E.3d at 1071 (quoting Smith, 194 N.E.3d at 72). “Thus, we will reverse a

property distribution only if there is no rational basis for the award.” Id.

[9] Pursuant to Indiana Code Section 31-15-7-4(b), the trial court “shall divide the

property in a just and reasonable manner . . . .” We “presume that an equal

division of the marital property between the parties is just and reasonable.”

Ind. Code § 31-15-7-5. This presumption “may be rebutted by a party who

presents relevant evidence, including evidence concerning the following factors,

that an equal division would not be just and reasonable”:

(1) The contribution of each spouse to the acquisition of the

property, regardless of whether the contribution was income

producing.

(2) The extent to which the property was acquired by each

spouse:

(A) before the marriage; or

(B) through inheritance or gift.

(3) The economic circumstances of each spouse at the time the

disposition of the property is to become effective, including the

desirability of awarding the family residence or the right to dwell

in the family residence for such periods as the court considers just

to the spouse having custody of any children.

(4) The conduct of the parties during the marriage as related to

the disposition or dissipation of their property.

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 6 of 10

(5) The earnings or earning ability of the parties as related to:

(A) a final division of property; and

(B) a final determination of the property rights of the

parties.

Id.

[10] When ordering an unequal division, “the trial court must consider all of the

factors set out in [Indiana Code Section] 31-15-7-5.” Wallace v. Wallace, 714

N.E.2d 774, 780 (Ind. Ct. App. 1999) (emphasis added), trans. denied. If the

trial court focuses “only upon one factor when others are present, a trial court

runs the risk of dividing a marital estate in an unreasonable manner.” Id.

[11] Here, the trial court found that “no compelling evidence” was presented “to

deviate from a nearly equal distribution of marital property.” Appellant’s App.

Vol. II p. 23. Accordingly, the trial court seemed to award an equal division of

marital property. The trial court, however, then found “because there is some

disparity in current earnings, the Court finds that a slight deviation from a 50-50

split is warranted in the division of marital assets.” Id. Although the trial court

mentioned a disparity in current earnings, the trial court failed to make any

findings regarding the remaining factors of Indiana Code Section 31-15-7-5.

[12] We acknowledge that the deviation in Husband’s favor is indeed slight, 51% to

49%, and that our Supreme Court has held that “express trial court findings

[regarding the factors of Indiana Code Section 31-15-7-5] will not be compelled

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 7 of 10

for insubstantial deviations from precise mathematical equality.” Kirkman v.

Kirkman, 555 N.E.2d 1293, 1294 (Ind. 1990); see, e.g., J.M. v. N.M., 844 N.E.2d

590, 603 (Ind. Ct. App. 2006) (declining to remand for further findings where

the 49.117% to 50.883% division was “an insubstantial deviation”), trans.

denied. Given the insubstantial deviation resulting from the trial court’s order,

we would be inclined to affirm, but we find further issues in the order, which

require reversal.

[13] The problem arises in Finding No. 9, which applies if Husband is unable to

refinance the mortgage. In that case, the marital residence must be sold and,

“assuming that the former marital residence is sold at the currently appraised

value presented to the Court of $262,500, and allowing for $5,000 of costs in the

selling of the property, the current mortgage shall be paid in full from the

proceeds.” Appellant’s App. Vol. II p. 24. “Of the remaining $158,300 in

equity from the sale, again, assuming the selling price and costs, that equity

shall be divided as follows: the first $51,500 in equity to [Husband] to offset the

assignment of liabilities to [Husband], with the remaining amount being divided

equally between the parties.” Id.

[14] In this situation, assuming that the marital residence sells for $262,500 and

$5,000 in selling costs are incurred and the mortgage balance of $99,200 is paid,

Husband will receive $114,400 in marital assets; $109,519 in marital debts;

leaving Husband with $4,881. Wife, on the other hand, will receive $172,206 in

marital assets; $57,986 in marital debts; leaving Wife with $114,220.

Accordingly, if the marital residence must be sold, Husband will receive 4% of

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 8 of 10

the marital estate, and Wife will receive 96%. This is not a slight or

insubstantial deviation. Moreover, the only factor mentioned by the trial

court—the disparity in current earnings—favored Husband, not Wife. This

factor clearly would not warrant a 4% to 96% deviation in favor of Wife. We,

thus, conclude that Finding No. 9 is clearly erroneous.

[15] Given our conclusion that Finding No. 9 is clearly erroneous, we conclude that

the trial court abused its discretion in dividing the marital assets. The trial court

made no findings that would warrant such an extreme deviation from the

presumption of an equal division of marital assets. Given these circumstances,

we reverse and remand.

Conclusion

[16] The trial court’s finding regarding the distribution of funds from the sale of the

marital residence is clearly erroneous. Accordingly, we conclude that the trial

court abused its discretion when it divided the marital assets. We reverse and

remand for proceedings consistent with this opinion.

[17] Reversed and remanded.

Weissmann, J., and Foley, J., concur.

ATTORNEYS FOR APPELLANT

Alexander N. Moseley

Adrian Deneen

Dixon & Moseley, P.C.

Indianapolis, Indiana

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 9 of 10 ATTORNEY FOR APPELLEE

Christopher T. Armour

BBFCS Attorneys

Richmond, Indiana

Court of Appeals of Indiana Opinion 25A-DC-2054 June 24, 2026 Page 10 of 10