Case Study 3

For the purposes of this case study, assume that the husband and the wife have mutually agreed to dissolve their marriage due to irreconcilable differences. Read the facts below and determine who should get each piece of property or asset listed after the fact pattern.

Ed and Fiona have been married for seven years and they have a five year old daughter. Ed works as an electrician for a local electrical contractor. In a good year, he makes about $40,000.

Four years ago Ed received a severe electrical shock while he was working on a job at a local department store that caused him to miss a year of work. One of the department store employees removed his warning sign and turned the power back on to an area of the building where Ed was installing new ceiling lights. Regretfully, his hand was on a live wire when the power was restored. Ed sued the business and won a $200,000 settlement - $40,000 compensated him for a year of lost work, $60,000 covered his medical expenses, and $100,000 was awarded for pain and suffering. Ed and Fiona used the $40,000 to live during the year Ed was out of work. Ed invested the $100,000 for pain and suffering in Amazon.com stock. The investment is now worth $250,000.

Since just after their daughter was born, Fiona has been going to medical school. She received a substantial scholarship and Ed's salary paid for her living expenses. She has now graduated and is in her second year of residency. She recently learned that she has received a prestigious position as a heart surgeon intern. Once her internship is finished, she anticipates that she will earn $250,000 a year.

Last year Fiona and some of her coworkers went to the Tulalip Casino for an evening out. It was Fiona's lucky night and she won a $1000 jackpot in the slot machines. She took her $1000 to the black jack tables and before the night was out, she had turned it into $10,000. She has not yet spent the money.

Two years ago, Ed's father gave him a 1967 Ford Mustang that is in perfect condition. The car has been appraised at $25,000. Ed keeps it garaged and drives the family's mini van purchased just after the couple married. The mini-van is in Fiona's name. Fiona buses to school.

Who should get which piece of property or asset? Be prepared to explain your answers.

The Amazon Investment: ______________________________________________________

Fiona's Medical Degree: ______________________________________________________

The Casino Winnings: ______________________________________________________

The Mustang: ______________________________________________________

The mini-van: ______________________________________________________