Musland v. Musland
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Scott and Traci Musland, married in 1997, separated in 2022, and Scott filed for divorce. The couple resolved several interim issues through mediation, including exclusive use of the marital and lake homes. A bench trial was held in July 2023, where both parties provided testimony and exhibits. The district court found the Musland marital estate to be valued at just over eight million dollars. Traci Musland was awarded sections of land, a lake home, all of the couple’s retirement funds, miscellaneous equipment, and personal property. She also received an “equity payment” of $700,000 and was allocated responsibility for the debt associated with her credit cards and appraisal fee, leaving her a net estate of $3,224,357. Scott Musland was awarded a net estate of $4,961,915, which included the marital home, farmland, and debt, totaling $2,388,931.
Traci Musland appealed the district court's decision, arguing that the property division was clearly erroneous, that the court erred in setting a land rent value, and failing to award her rent for the 2023 tax year, and that the right of first refusal granted to Scott Musland was not appropriate. The Supreme Court of North Dakota reviewed the district court’s distribution of marital property under a clearly erroneous standard. The court found that the district court provided a thorough analysis of the Ruff-Fischer guidelines and applied the law properly. The court concluded that the division of the marital estate was not clearly erroneous.
However, the Supreme Court of North Dakota agreed with Traci Musland that the language of the right of first refusal as written was not appropriate. The court remanded that issue to the district court to modify the right of first refusal to provide that it is triggered by the acceptance of an offer by Traci Musland, subject to the right of first refusal. The court affirmed the district court’s distribution of the marital estate in all other respects.
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