New Jersey Spouse Entitled to Sell Property Despite Agreement Allowing Use of Property to Other Party

Joseph Lancaster v. Jody Lancaster

Docket No. A-2078-22

Decided September 13, 2024

Submitted by New Jersey Family Lawyer, Jeffrey Hark.

The Appellate Division of New Jersey in a recent unpublished decision affirmed a trial court’s decision to allow Plaintiff to sell a horse trailer despite Defendant being given permission for use of the trailer under the parties agreement.

In Lancaster v. Lancaster, the parties were married on May 25, 1985 and share three emancipated children. The parties attended economic mediation and resolved all outstanding issues. The agreed-upon terms were reduced to a term sheet that was to be incorporated into a formal marital settlement agreement. The term sheet was incorporated into the final judgment of divorce entered on June 30, 2022.

As part of the settlement, defendant retained the equestrian stable business inclusive of the equipment and the horses. Plaintiff retained a tractor, the three-horse trailer, and three horses.  The term sheet provided plaintiff to take possession and assume liability on the loan for a horse trailer. Defendant was permitted access to the trailer upon 24 hour notice to Plaintiff.

Pursuant to the term sheet, Defendant requested access to the trailer to Plaintiff. Prior to the request, Plaintiff sold the three horse trailer and purchased a two horse trailer.  Plaintiff objected to Defendant’s request claiming the two horse trailer could not haul three horses.  The trial court agreed with Plaintiff, claiming sale of the trailer was permitted under the term sheet as well as the valid objection in which Defendant provided no information that would dispute the trailer’s inability to hold three horses. Defendant appealed and the Appellate Division affirmed the trial court’s decision on the same grounds.

Agreements in family court are usually upheld outside of ambiguity in language.  Here, the language was clear that the only requirements for Plaintiff was to grant access to the trailer upon request of Defendant. Plaintiff objected because the trailer could not complete the task requested by Defendant because of the sale of the trailer. The Court found the sale was not precluded by the language and there was no evidence to dispute the objection.  The Court had no choice but to abide by the language in the agreement.

It is very important to make sure any agreement between the parties is memorialized in writing in exactly the same terms as any verbal agreement.  Defendant did not anticipate a sale of the trailer and prevent same in the language, allowing Plaintiff to sell the trailer immediately.  To better secure your agreement in family court, make sure to hire an experienced attorney to make sure language is specific and clear enough to cover anticipated circumstances like this situation.

If you have questions about agreements or rights in a divorce or custody matter, contact the experienced matrimonial divorce attorneys at Hark & Hark today.

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