Shaw v. Shaw

CourtCourt of Appeals of South Carolina
DecidedJuly 29, 2020
Docket2017-002258
StatusUnpublished

This text of Shaw v. Shaw (Shaw v. Shaw) is published on Counsel Stack Legal Research, covering Court of Appeals of South Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shaw v. Shaw, (S.C. Ct. App. 2020).

Opinion

THIS OPINION HAS NO PRECEDENTIAL VALUE. IT SHOULD NOT BE CITED OR RELIED ON AS PRECEDENT IN ANY PROCEEDING EXCEPT AS PROVIDED BY RULE 268(d)(2), SCACR.

THE STATE OF SOUTH CAROLINA In The Court of Appeals

Tammy Denise Shaw, Respondent/Appellant,

v.

David Lynn Shaw, Appellant/Respondent.

Appellate Case No. 2017-002258

Appeal From Greenville County Tommy B. Edwards, Family Court Judge

Unpublished Opinion No. 2020-UP-227 Submitted June 1, 2020 – Filed July 29, 2020

AFFIRMED

Randall Scott Hiller, of Greenville, for Respondent/Appellant.

Bruce Wyche Bannister and Luke Anthony Burke, both of Bannister, Wyatt & Stalvey, LLC, of Greenville, for Appellant/Respondent.

Robert A. Clark, of Greenville, Guardian ad Litem. PER CURIAM: This is a cross-appeal in a divorce case. David Shaw (Husband) and Tammy Shaw (Wife) both take issue with the family court's order enforcing part of the agreement they reached at mediation.

Husband argues the family court erred by failing to enforce the agreement's custody and visitation provisions. He also claims the family court erred in failing to apply payments he made pursuant to the temporary order toward the lump sum payment in the parties' agreement and by failing to award him attorney's fees.

Wife argues the family court rightly declined to enforce the settlement's custody and visitation provisions but erred by enforcing the settlement's financial provisions. She also claims error in the denial of attorney's fees.

We affirm for the same reasons the family court gave in its decision. The law favors settlements and provides that courts should enforce settlement agreements absent some legal ground for rescinding the contract. As to settlements involving custody and visitation, however, those issues are subject to the family court's supervisory authority, and we share the family court's concern that enforcing the agreement might not be in the best interest of the remaining minor child.

On the periodic payments Husband made between the temporary order and settlement's enforcement, the family court fully credited those payments as being made pursuant to the settlement and we see no grounds to disturb that decision.

We decline to disturb the family court's decision on attorney's fees, though we note the family court remains able to consider attorney's fees at this case's conclusion.

FACTS

Husband and Wife married in July 1991. They had five children together, three of whom were minors when the case was filed in 2015.

During the marriage, the parties bought several residential rental properties and unimproved lots. Husband purchased and maintained the properties. Wife collected rent checks, kept the rent roll, and made deposits. Many of the properties were encumbered with mortgages, including loans from Husband's parents. Wife also had her own business cleaning homes.

The parties separated in August 2015 after Wife admitted to Husband that she was having an affair. Wife filed this action seeking divorce and related relief. Husband filed an answer and counterclaim also seeking a divorce and related relief.

In November 2015, the family court entered a temporary order granting primary placement of the parties' minor children to Husband, granting Wife visitation, appointing a guardian ad litem (GAL), barring Wife spousal support due to her admitted adultery, and ordering Husband to pay Wife $2,500 per month "for the purpose of buying-out any of Wife's marital interest in the jointly-held properties."

The parties mediated two months later in an effort to resolve the case quickly. Prior to mediation, Husband gave Wife a financial declaration and an exhibit purportedly delineating all property and debts comprising the marital estate. Wife engaged the services of an accounting expert, but according to Wife, the expert did not do a detailed review of the information Husband provided. Instead, this expert merely gave Wife an estimate of what he would charge to review that information and present a report to the family court.

Both parties were represented by attorneys prior to and at the mediation. The parties reached a settlement agreement and signed it after mediating for about five hours. The settlement agreement divided the marital assets listed on Husband's declaration and required Husband to make multiple cash payments to Wife in exchange for her interest in all properties. Husband was to make monthly payments to Wife over the next twelve years and pay a lump sum of $47,000 within sixty days of the family court approving the agreement. The payments would begin at $2,500 per month for the first two years and would increase by $1,000 per month every two years thereafter.

The settlement agreement also addressed custody and visitation of the parties' three minor children. Because two of these children, AMS (born 1999) and LES (born 2000), are currently over the age of eighteen, we have omitted the custody provisions pertaining to them.

In relevant part, the agreement stated custody of the parties' youngest child, HGS (born 2005), would alternate between Husband and Wife from week to week. The agreement further provided that the parties would abide by Judge Brown's standard restraining orders, agree to foster and encourage a relationship with the other parent, and refrain from making disparaging comments about the other parent.

Wife claimed she discovered after mediation that at least one of the parties' marital assets had been excluded from Husband's pre-mediation financial declaration. She also claimed Husband had overstated alleged debts to his mother and father, excluded a six figure receivable, and was actively marketing a property for one and a half times the value he placed on that same property in his financial declaration. Based on this, Wife claimed the agreement was not valid.

Husband filed a motion to enforce the agreement. The family court conducted a hearing in June 2017. This was roughly a year and a half after the parties had ostensibly settled the case at mediation.

Wife acknowledged during the hearing that she entered into the settlement agreement based on the information Husband provided and that she wanted to resolve the case quickly. She said that she did not hire an appraiser to value the parties' real property, did not ask the parties' business partner for information about the business properties, did not request any information about Husband's debts to his parents, and did not send discovery requests or subpoenas to Husband's bank to request any records prior to mediation.

Wife also testified she had not been under the influence of any drugs or alcohol and nobody threatened her to induce her to enter into the agreement. Wife admitted she participated in negotiating the agreement, read the agreement before signing it, and had understood she was giving up her right to a trial by signing the agreement. Wife also acknowledged she handled parts of the rental business including collecting checks, managing the rent roll, and making deposits. However, Wife denied that she had knowledge of the total rents and claimed she did not know how much income Husband earned. Wife testified she believed the agreement was advantageous at the time because it granted her liquidity and gave Husband all of the risk associated with the rental properties.

The GAL participated in the hearing and submitted a report for the family court's consideration, but did not formally testify and was not examined by the parties. The report noted each parent accused the other of unflattering conduct.

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Bluebook (online)
Shaw v. Shaw, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shaw-v-shaw-scctapp-2020.