A Florida court has reversed part of a divorce judgment involving Kevin Scheen and Wanda Drozdovitch, focusing on the distribution of retirement funds and the refinancing of their marital home. This decision affects how divorce settlements are calculated, particularly regarding the treatment of retirement accounts and property division.
The District Court of Appeal of Florida issued its ruling on June 3, 2026, in case number 4D2025-1352. The court found that the trial court had made errors in valuing Scheen's retirement account and failed to provide a clear mechanism for Drozdovitch to refinance their home.
Background
Kevin Scheen and Wanda Drozdovitch were involved in a divorce proceeding that reached the Circuit Court for the Seventeenth Judicial Circuit in Broward County. The couple had a minor child together, and their financial arrangements were central to the dissolution of their marriage. The trial court had initially issued a final judgment of dissolution that Scheen appealed.
The primary issues in the appeal centered around two key points: the valuation of Scheen's retirement account and the lack of a clear plan for Drozdovitch to refinance the marital home. Scheen argued that he should receive credit for marital expenses he paid from his retirement account, while also seeking assurance that he would be compensated if Drozdovitch did not refinance the home.
The Ruling
The court ruled in favor of Scheen on both issues, reversing the trial court's decision regarding the retirement account and the refinancing of the marital home. The opinion stated, "The trial court erred when it included the dissipated assets from the former husband’s retirement account in the equitable distribution scheme." This statement highlighted the court's agreement with Scheen's argument that he should not be penalized for withdrawing funds for marital expenses.
Additionally, the court found that the final judgment did not adequately protect Scheen's interests regarding the marital home. The opinion noted, "Failure to include such a directive is reversible error," emphasizing the need for a clear plan for how Scheen would receive his share of the home if Drozdovitch failed to refinance.
Impact
This ruling has significant implications for divorce cases in Florida, particularly concerning the treatment of retirement accounts and property division. The court's decision reinforces the principle that funds used for marital expenses should not be counted against a spouse in the equitable distribution of assets. It also clarifies the need for trial courts to provide explicit instructions on refinancing arrangements in divorce settlements.
The ruling may set a precedent for future cases, ensuring that both parties in a divorce are treated fairly when it comes to the distribution of marital assets. It highlights the importance of clear communication and documentation in divorce proceedings, particularly regarding financial matters.
What's Next
The case has been sent back to the trial court for further action on the two reversed issues. It remains to be seen if either party will seek to appeal the decision or if there are related cases pending that could influence the outcome.