Kathie Iselin v. Tryggvi M. Magnusson

CourtCourt of Appeals of Wisconsin
DecidedJune 17, 2025
Docket2023AP001638, 2024AP000214
StatusUnpublished

This text of Kathie Iselin v. Tryggvi M. Magnusson (Kathie Iselin v. Tryggvi M. Magnusson) is published on Counsel Stack Legal Research, covering Court of Appeals of Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kathie Iselin v. Tryggvi M. Magnusson, (Wis. Ct. App. 2025).

Opinion

COURT OF APPEALS DECISION NOTICE DATED AND FILED This opinion is subject to further editing. If published, the official version will appear in the bound volume of the Official Reports. June 17, 2025 A party may file with the Supreme Court a Samuel A. Christensen petition to review an adverse decision by the Clerk of Court of Appeals Court of Appeals. See WIS. STAT. § 808.10 and RULE 809.62.

Appeal Nos. 2023AP1638 Cir. Ct. No. 2022CV595

2024AP214

STATE OF WISCONSIN IN COURT OF APPEALS DISTRICT III

NO. 2023AP1638

KATHIE ISELIN,

PLAINTIFF-APPELLANT,

V.

TRYGGVI M. MAGNUSSON AND OXANA K. MAGNUSSON,

DEFENDANTS-RESPONDENTS,

AMAXIMMO LLC D/B/A AMAXIMMO REAL ESTATE, GIZO UJARMELI, JESSICA SCOTT, ABC INSURANCE COMPANY, CORNERSTONE HOME INSPECTIONS OF WIS. LLC, RICHARD C. ALSTAD, REPUBLICAN VANGUARD INSURANCE COMPANY AND TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA,

DEFENDANTS. _____________________________________________________ Nos. 2023AP1638 2024AP214

NO. 2024AP214

AMAXIMMO LLC D/B/A AMAXIMMO REAL ESTATE AND GIZO UJARMELI,

DEFENDANTS,

JESSICA SCOTT AND TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA,

DEFENDANTS.

APPEALS from orders of the circuit court for Marathon County: RICK T. CVEYKUS, Judge. Order reversed and cause remanded with directions; appeal of order denying reconsideration dismissed.

Before Stark, P.J., Hruz, and Gill, JJ.

Per curiam opinions may not be cited in any court of this state as precedent

or authority, except for the limited purposes specified in WIS. STAT. RULE 809.23(3).

2 Nos. 2023AP1638 2024AP214

¶1 PER CURIAM. Kathie Iselin appeals a circuit court order granting a motion to enforce a settlement agreement and dismissing Iselin’s claims against Tryggvi and Oxana Magnusson.1 Iselin argues that the circuit court erred in three ways: (1) by concluding that the parties had reached an enforceable settlement agreement; (2) by resolving the parties’ dispute over the terms of that agreement rather than sending this dispute to arbitration; and (3) by ordering Iselin to execute documents that were inconsistent with the parties’ agreement.

¶2 We conclude that the second issue is dispositive. Specifically, the circuit court should have sent the parties’ dispute over the terms of their agreement to arbitration, without addressing the merits of that dispute. We therefore reverse the court’s order and remand with instructions that the parties’ mediator arbitrate all issues de novo.

¶3 Separately, Iselin appeals from a subsequent order denying her motion for reconsideration (Appeal No. 2024AP214). We sua sponte consolidated Iselin’s two appeals for the purpose of disposition. Because we are reversing the circuit court’s order in Appeal No. 2023AP1638, Iselin’s appeal of the order denying reconsideration is moot, and we will not discuss it further. We dismiss Appeal No. 2024AP214 as moot.

BACKGROUND

¶4 Iselin purchased a residential property from the Magnussons in 2020. On October 4, 2022, Iselin filed this civil action against the Magnussons,

1 For ease of reading, we refer to Tryggvi and Oxana collectively as “the Magnussons.” When referring to either defendant-respondent individually, we use their first names to avoid confusion.

3 Nos. 2023AP1638 2024AP214

their realtors, and other defendants,2 alleging various undisclosed problems with the home. On April 28, 2023, Iselin filed an amended complaint adding a defendant and incorporating new allegations against the existing defendants. Iselin’s amended complaint sought relief from the Magnussons and their realtors on a variety of theories, including breach of contract and warranty; common law misrepresentation; fraudulent misrepresentation, in violation of WIS. STAT. § 895.446 (2023-24);3 and false advertising, in violation of WIS. STAT. § 100.18. The amended complaint also set forth various negligence theories against the remaining defendants.

¶5 On March 16, 2023, the circuit court ordered the parties to engage in alternative dispute resolution. The parties engaged Attorney Michael Cohen as a mediator. The parties were unable to reach a global settlement to resolve Iselin’s claims against all defendants, but Iselin and the Magnussons continued to negotiate. These continued negotiations yielded a term sheet through which Iselin and the Magnussons expressed their intent “to fully and finally resolve their Dispute and any claims alleged or that could have been alleged against each other …, while preserving Iselin’s claims against other defendants.”

¶6 Among other provisions, the term sheet required Tryggvi4 to make a settlement payment to Iselin, which would “be held in trust pending execution of a 2 The other defendants include various real estate professionals, a home inspector, and liability insurers. The Magnussons’ realtors and these other defendants are not parties to these appeals. 3 All references to the Wisconsin Statutes are to the 2023-24 version unless otherwise noted. 4 Tryggvi and Oxana were represented separately, but the settlement proposed by Tryggvi called for the release of all claims against both of the Magnussons. Tryggvi is the only defendant-respondent who filed a brief in these appeals.

4 Nos. 2023AP1638 2024AP214

mutually acceptable Confidential Settlement Agreement and Release, including a Pierringer Release.”5 The term sheet specified several “terms and conditions” to be included in the settlement agreement and release. The term sheet also stated that “[t]he Parties agree that if any disputes arise in relation to the Term Sheet they submit them to the Mediator, in good faith, to resolve such disputes by binding decision.”

¶7 The parties subsequently exchanged proposed drafts of the settlement agreement and release called for by the term sheet but were unable to agree upon the form and content of their Confidential Settlement and Release. A key point of disagreement was the scope of the Pierringer release. Iselin objected to the breadth of the Magnussons’ proposed release because, among other things, the release purported to settle all causes of action “attributable to the causal negligence or liability of [the Magnussons].” Iselin rejected that language, arguing that she did not intend such a broad release.

¶8 On May 17, 2023, Tryggvi filed a motion to enforce the mediated settlement, asking the circuit court to compel Iselin to sign his versions of the settlement agreement and release. On the following day, Iselin sent Cohen a letter invoking the clause in the term sheet that required the parties to submit any disputes in relation to the term sheet to Cohen for mediation. By letter dated June 15, 2023, Cohen explained that under Wisconsin law, the question of whether

5 A Pierringer release may affect a nonsettling tortfeasor’s right to contribution from the settling tortfeasor. See generally Pierringer v. Hoger, 21 Wis. 2d 182, 124 N.W.2d 106 (1963). The parties dispute the intended effect of their Pierringer release, but for reasons discussed below, we do not address this dispute.

5 Nos. 2023AP1638 2024AP214

he had “the power to resolve the present dispute between the parties” was “for the court in the underlying action to decide.”

¶9 Iselin opposed Tryggvi’s motion on June 16, 2023, making four arguments for why the circuit court should deny Tryggvi’s motion. First, Iselin argued that “there was no enforceable agreement between the parties as to the language and scope of” their settlement agreement.

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Kathie Iselin v. Tryggvi M. Magnusson, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kathie-iselin-v-tryggvi-m-magnusson-wisctapp-2025.