Carol D. Davis v. Kolo Lynn Davis, et al

In this post-divorce case, Kolo Lynn Davis (“Husband”) appeals the trial court’s classification of an agreement to maintain health insurance through his company, Cleveland Building Materials (“CBM”), as alimony in futuro. Husband and Carol D. Davis (“Wife”) were married in 1964 and divorced in 1995. Pursuant to the mutual agreement of the parties, Wife was given the option of maintaining health insurance through CBM. In furtherance of this agreement, Wife was given a paid position as a non-voting member of CBM’s board of directors, which allowed her to maintain health insurance through CBM. Wife was tasked with reimbursing CBM for all costs associated with the health insurance coverage. Husband later sold CBM to Kolo Lynn Davis, II (“Son”). Son, through CBM, continued to pay Wife for her services as a board member. In 2005, CBM discontinued its group health insurance, thereby removing Wife from the plan and ceased paying Wife for her services as a board member. Wife filed suit, naming Husband and CBM as parties. Following a hearing, the trial court classified the payments from CBM as alimony in futuro, held Husband personally liable for CBM’s non-payment, and instructed Husband to continue with future payments pursuant to the agreement. Husband appeals. We reverse the decision of the trial court.