In today’s e-Journal: Strong v. Vestevich.
Wife chooses to settle without formal discovery. She saves the costs and delays of formal discovery, but she gives up the certainty of precise values. The court of appeals decides: that’s her choice. Just don’t complain about it later if you change your mind.
The attorneys protected themselves by making that choice part of the court record (excerpt):
MR. McGINNIS (Rogin’s attorney). I think we’d also like to make a record here, Judge. Both the parties acknowledge as part of the settlement is [sic] that they waive the right of formal discovery and valuation here on the part of Mr. Vestevich and myself. There has been no formal discovery as it relates to the values of the GM dealership or the other properties and I’d like this record to reflect that that [sic] the parties agreed to that and I would like that to be part of the record. Mr. Rogin, do you understand that? Nothing has been valued here as it relates to these numbers that we’re placing on the record here today and you agree to that, sir?
MR. ROGIN. Yes.
MR. McGINNIS. Okay.
MR. VESTEVICH. And I likewise would ask my client if that is her understanding and agreement.
MS. ROGIN. Yes.
On the record, plaintiff answered “Yes” when asked if the terms of the settlement agreement were “acceptable and agreeable” to her. She also answered “Yes” when asked “Do you understand that this is a final and binding agreement.”
After the divorce settlement was placed on the record, defendant prepared a judgment of divorce with the following language:
IT IS FURTHER ORDERED that each party recognizes and accepts that formal discovery was not accomplished in this case, the parties being mutually confident of the truthfulness and accuracy of the disclosures made between them. The parties have not requested or obtained appraisals of the various assets of this marriage, although fully advised by both counsel as to the potential for doing so. In spite of said advice, and in reliance upon the mutual representations made by and between the parties, such discovery and appraisals have been waived by both parties. Each party represents and warrants that all assets have been fully disclosed herein, and that no assets exists in which either have an interest, except as described herein. [Emphasis added.]