SHOULD TEMPORARY PROPERTY TERMS INCLUDE AN EXIT PLAN?

Procedural posture and result

Appellate or judicial review concerning how temporary mortgage and occupancy provisions in a mediated family agreement interacted with a later dissolution decree. RESULT: The Washington Court of Appeals largely declined relief because several objections were not preserved. It noted that the trial court had ruled the earlier mediated agreement no longer controlled and explained that a clerical correction could address mortgage payments made after the intended cutoff.

What happened and what the authority decided

A divorcing couple signed a mediated agreement allowing one spouse to remain in the marital home while the other continued paying half the mortgage. Years later, disputes remained about sale, purchase of the other spouse’s equity, valuation, and how long mortgage contributions should continue.

The Washington Court of Appeals largely declined relief because several objections were not preserved. It noted that the trial court had ruled the earlier mediated agreement no longer controlled and explained that a clerical correction could address mortgage payments made after the intended cutoff.

What this tells the mediator

Interim property arrangements can outlive their intended purpose when triggers, valuation methods, reimbursement, and end dates are incomplete. A mediator should stress-test the agreement against delay and failed financing.

Practical guidance

• State whether a term is interim, final, or superseded by a later decree.
• Use objective valuation dates and methods for property buyouts.
• Set financing, listing, sale, and payment deadlines.
• Address credits, repairs, mortgage principal, taxes, and carrying costs.
• Include a fallback remedy if financing or transfer does not occur on time.