McHugh v. Orange County Department of Child Support Services

Appellant Charles D. McHugh filed an order to show cause asking the trial court to reduce his child support obligations because he lost his job as a commissioned salesman and his new job paid considerably less. In opposing Charles’s request, respondent Connie A. McHugh countered by asking the trial court to increase support because Charles lost his job for diverting business from his employer to his father’s competing company to minimize his reported income and reduce his support obligations. Connie asked the court to increase her support based on Charles’s income at the job he lost because Charles refused his employer’s offer to retain him if he fully disclosed his misconduct and paid his employer restitution. The trial court denied Charles’s motion to reduce the amount of child support and granted Connie’s request to increase support by imputing income to Charles at the level he earned before engaging in his misconduct.

Family Code section 4058, subdivision (b), grants trial courts discretion to set child support based on a parent’s earning capacity rather than actual income if the court finds the parent has the ability and opportunity to earn income at the level to be…