Amber J. v. Shannon J.
16-0289
| W. Va. | May 22, 2017Background
- Amber and Shannon married in March 2008; Shannon suffered catastrophic workplace injuries in April 2008 and later sued his employer.
- In June 2011, anticipating settlement, the parties executed a postnuptial agreement allocating settlement proceeds; the agreement was drafted by the same attorney (Scott Kaminsky) for both spouses.
- No financial statements were prepared or exchanged in connection with the agreement; Kaminsky testified he advised both parties of the right to independent counsel, and Amber declined to retain separate counsel.
- The personal-injury case settled for $2,365,000, with the parties receiving about $1,800,000.
- Family Court (Oct. 2015) held the postnuptial agreement invalid, finding joint representation and lack of financial disclosure contrary to law; Circuit Court (Feb. 2016) reversed and ordered enforcement.
- West Virginia Supreme affirmed the circuit court, holding the agreement valid and the appeal properly before the circuit court.
Issues
| Issue | Plaintiff's Argument (Amber) | Defendant's Argument (Shannon) | Held |
|---|---|---|---|
| Validity of postnuptial where same attorney drafted and met with both parties | Agreement is void because one attorney cannot represent both parties in a premarital/postnuptial agreement | Agreement is enforceable where parties acted voluntarily, were told of right to independent counsel, and terms were understood | Court held agreement valid; Ware allows enforceability without mandatory independent counsel if agreement was voluntary and understandable |
| Sufficiency of financial disclosures | Agreement invalid for lack of exchanged financial disclosures and potential misrepresentation | Parties jointly negotiated settlement proceeds and had equal knowledge; no misrepresentation of the specific settlement amount | Court held lack of general disclosures did not void this narrowly tailored agreement concerning a known settlement; no evidence of misrepresentation |
| Finality / appealability of family court order | Family court order was interlocutory (not final) because divorce was not concluded; thus circuit court lacked jurisdiction | Family court expressly labeled order final and it disposed of validity of agreement, a prerequisite to further divorce proceedings | Court held the order was a final, appealable family-court order and the circuit court properly heard the appeal |
Key Cases Cited
- Carr v. Hancock, 216 W.Va. 474, 607 S.E.2d 803 (2004) (standards of review for circuit-court review of family-court orders)
- Ware v. Ware, 224 W.Va. 599, 687 S.E.2d 382 (2009) (independent counsel helpful but not per se required for enforceability of premarital/postnuptial agreements)
