Brief Fact Summary.
Robert Horn appealed the judgment of the trial court that awarded his wife community interest in severance pay that he was entitled to as a result of his individual contract with the NFL.
Synopsis of Rule of Law.
Severance pay is community property that a former spouse may be entitled to.
It is designed to encourage him to pursue his service ambition, knowing that if he is denied a full career under the competitive system, he can count on an adequate readjustment pay to ease his reentry into civilian life.View Full Point of Law
Robert Horn (Robert) was married to Cyndee Horn (Cyndee) while he was in the NFL. The NFL entitled Robert to $100,000 in severance pay after he left his contract with the NFL. Cyndee sought a portion of the severance pay within the divorce proceedings claiming that the severance pay was community property. The trial court awarded Cyndee community interest in the severance pay.
Whether severance pay is community property that a former spouse may be entitled to?
Yes. Robert’s severance pay is deferred compensation for services performed in the NFL, therefore Cyndee has a community interest in the severance pay. The judgment of the trial court is affirmed.
A spouse has community interest in deferred compensation, but spouses maintain no interest in termination benefits that meant to compensate employees for future loss of earnings.