Morrison v. Morrison

402 S.E.2d 855, 102 N.C. App. 514, 1991 N.C. App. LEXIS 448
CourtCourt of Appeals of North Carolina
DecidedApril 16, 1991
Docket9023DC1051
StatusPublished
Cited by11 cases

This text of 402 S.E.2d 855 (Morrison v. Morrison) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morrison v. Morrison, 402 S.E.2d 855, 102 N.C. App. 514, 1991 N.C. App. LEXIS 448 (N.C. Ct. App. 1991).

Opinion

GREENE, Judge.

The plaintiff (Husband) appeals from the entry of summary judgment for the defendant (Wife).

*516 On 27 June 1988, the Husband filed an action for absolute divorce. On 26 August 1988, the Wife filed a counterclaim requesting equitable distribution. On 7 September 1988, the Husband filed a reply and alleged that the parties had on 16 September 1976 entered into a Deed of Separation (Agreement) and that such Agreement was a bar to the Wife’s equitable distribution claim. The Husband then requested that the Wife’s counterclaim be dismissed.

On 14 March 1989, the trial court entered a divorce judgment and further ordered:

2. That the matters involving the claim for equitable distribution . . . will be heard at a later time and this divorce judgment does not prejudice the rights of either party in regard to equitable distribution.

On 28 March 1990, the Husband moved for summary judgment requesting the court to dismiss the Wife’s counterclaim for equitable distribution. On 28 August 1990, the trial court entered the following order:

1. That summary judgment is granted in favor of the . . . [Husband] against the . . . [Wife] as to any property that was allocated to either party in the . . . [Agreement] itself and which property was vested at the time of the execution of said . . . [Agreement]. Any increase in value of the property specifically mentioned in the . . . [Agreement] after the parties resumed their marriage would be subject to equitable distribution.
2. That summary judgment is granted in favor of the . . . [Wife] as to her claim for equitable distribution regarding any property acquired subsequent to the execution of the parties’ . . . [Agreement] . . . and in addition thereto any increases in the value of the parties’ other property prior to the execution of said agreement; equitable distribution of this property is appropriate.

The evidence before the trial court at the summary judgment hearing consisted of the Agreement dated 16 September 1976 and affidavits of the Husband, the Wife, an accountant, and an attorney. The Agreement provided for the division of certain real and per *517 sonal properties and required the Husband pay to the Wife the sum of $18,100. The Agreement further provided:

I
IT SHALL BE LAWFUL FOR and it is the understanding, agreement, and covenant on the part of each of the parties hereto, at all times hereafter to live separate and apart, free from all marital control and authority of each other as if he and she were sole and unmarried, each from the other as fully and completely and in the same manner and to the same extent as though they had never been married.
IX
And for the consideration aforesaid, the . . . [Husband] conveys, relinquishes, and quitclaims unto the . . . [Wife] all his rights, interest, and control in and over the person and property of his said wife, and all and every right and claim of whatever kind and nature that he may have acquired by reason of the said marriage in any property that the . . . [wife] now has or may hereafter acquire. . . .
X
And for the consideration aforesaid, the . . . [Wife] hereby relinquishes, conveys, and quitclaims unto the . . . [Husband] all her rights, title and interest in and to the property of the . . . [Husband], and all and every right to support and maintenance, and all other personal or property rights of whatever kind and nature which she acquired by reason of the said marriage in any property that the . . . [Husband] may now own or may hereafter acquire ....

The evidence in the affidavits reveal: That at the time of the Agreement, the parties executed the documents necessary to effectuate the transfer of the real and personal properties; that the Husband paid the $18,100 to the Wife; that the parties “resumed their marriage within less than a year from the date of the separation and lived together for approximately nine or ten years thereafter before separating the second time and a divorce decree being finally entered.”

*518 The issue is whether the settlement of spousal property rights in the 16 September 1976 Agreement was nullified when the parties resumed marital relations.

The Wife first argues that since the Agreement was executed on 16 September 1976, prior to the enactment of the equitable distribution statute, the Agreement is ineffective to bar her claim for equitable distribution. We disagree. Valid “marital agreements releasing all spousal property rights will bar claims for equitable distribution — even if those settlements were executed prior to the adoption of equitable distribution under” N.C.G.S. § 50-20 (1987). Small v. Small, 93 N.C. App. 614, 623, 379 S.E.2d 273, 278, disc. rev. denied, 325 N.C. 273, 384 S.E.2d 519 (1989).

The Husband argues, citing Small and In re Tucci, 94 N.C. App. 428, 437, 380 S.E.2d 782, 787 (1989), aff’d per curiam, 326 N.C. 359, 388 S.E.2d 768 (1990), that property settlement provisions of a marital agreement are not affected by the reconciliation of the parties and therefore the Wife’s waiver of her spousal property rights bars her claim for equitable distribution. The Wife argues, citing Stegall v. Stegall, 100 N.C. App. 398, 406, 397 S.E.2d 306, 310 (1990), disc. rev. denied, 328 N.C. 274, 400 S.E.2d 461 (1991), that property settlement provisions of a marital agreement are always, except to the extent they are executed, rescinded upon reconciliation of the parties and therefore when the parties reconciled, the spousal property right agreement was nullified. Both parties misread Small, Tucci, and Stegall.

The resumption of marital relations after the execution of a marital agreement terminates the executory provisions of a separation agreement. In re Adamee, 291 N.C. 386, 391, 230 S.E.2d 541, 545 (1976). However, the resumption of marital relations after the execution of a marital agreement does not necessarily, though it may, rescind the executory provisions of a property settlement agreement. A separation agreement is defined as “ ‘a contract between spouses providing for marital support rights and is executed while the parties are separated or are planning to separate immediately.’ ” Small, 93 N.C. App. at 620, 379 S.E.2d at 277 (citation omitted). “[T]he heart of a separation agreement is the parties’ intention and agreement to live separate and apart forever . . . .” Adamee, 291 N.C. at 391, 230 S.E.2d at 545. A property settlement agreement “ ‘provides for a division of real and personal property held by the spouses.

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Bluebook (online)
402 S.E.2d 855, 102 N.C. App. 514, 1991 N.C. App. LEXIS 448, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morrison-v-morrison-ncctapp-1991.