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41 A.3d 401
Del.
2012
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Background

  • Married Feb 1984, separated Apr 2005, permanently separated Nov 2005, one child born 1991.
  • Sept 28, 2005, the parties signed a Marital Property Settlement Agreement drafted by Wife's counsel.
  • Alimony provision stated: $1,200 per month for the life of Wife, terminating only at Wife's death.
  • In 2005–2006 Husband learned Delaware law terminates alimony on remarriage or cohabitation unless otherwise agreed.
  • 2006 divorce decree incorporated the Agreement; Husband later sought modification based on Wife's cohabitation.
  • Family Court reformed the alimony provision to terminate on death or remarriage/cohabitation of the recipient; judgment dismissing Wife's petition affirmed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the alimony reform was proper based on unconscionability Stewart argues the provision was unconscionable and overreaching Stewart contends the original contract was valid and not unconscionable Yes; the court reformed the provision and held it unconscionable as executed.
Whether the contract was tainted by undue influence or lack of counsel Stewart asserts Husband lacked counsel and was pressured Stewart contends both parties understood the terms; no undue influence shown Yes; the record showed overreaching and lack of informed consent by Husband.
Whether laches barred Wife's enforcement action Stewart argues timely enforcement of alimony Stewart argues laches was not applicable given ongoing proceedings Rejected; laches not dispositive to invalidate modification.

Key Cases Cited

  • Robert O. v. Ecmel A., 460 A.2d 1323 (Del. 1983) (confidential relationship in contract validity and equitable considerations)
  • Graham v. State Farm Mut. Auto. Ins. Co., 565 A.2d 908 (Del. 1989) (connotes standards for unconscionability)
  • Brown v. Div. of Family Servs., 14 A.3d 507 (Del. 2011) (context for review of family court decisions and standards)
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Case Details

Case Name: Stewart v. Stewart
Court Name: Supreme Court of Delaware
Date Published: Mar 15, 2012
Citations: 41 A.3d 401; 2012 WL 858593; 489, 2011
Docket Number: 489, 2011
Court Abbreviation: Del.
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    Stewart v. Stewart, 41 A.3d 401