Divorce Settlement Agreement - Vermont

MARITAL SETTLEMENT AGREEMENT

Vermont (Title 15, Domestic Relations)
Effective Date: [DATE]

TABLE OF CONTENTS

1. Document Header
2. Definitions

3. Operative Provisions
   3.1 Property Division
   3.2 Spousal Maintenance (Alimony)
   3.3 Child Custody & Parenting Plan
   3.4 Child Support
   3.5 Health & Insurance Matters
   3.6 Tax Allocation
   3.7 Debts & Liabilities
   3.8 Retirement & Deferred Compensation Assets
   3.9 Real & Personal Property Conveyances

4. Representations & Warranties

5. Covenants & Restrictions
6. Default & Remedies
7. Risk Allocation
8. Dispute Resolution
9. General Provisions
10. Execution Block

1. DOCUMENT HEADER

1.1 Parties.
This Marital Settlement Agreement (the “Agreement”) is entered into by and between [FULL LEGAL NAME], currently residing at [ADDRESS] (“Spouse A”), and [FULL LEGAL NAME], currently residing at [ADDRESS] (“Spouse B,” and together with Spouse A, the “Parties”).

1.2 Purpose & Consideration.
The Parties are married to each other, have resolved the issues addressed below, and desire to set forth their settlement for court review under Vermont law.

1.3 Jurisdiction & Venue.
This Agreement is governed by Vermont law. The Parties intend to submit it for review in their pending divorce action in the Vermont Superior Court, Family Division, [COUNTY] Unit, Docket No. [NUMBER].

2. DEFINITIONS

For purposes of this Agreement, capitalized terms have the meanings below. Terms defined in the singular include the plural and vice-versa.

“Agreement” means this Marital Settlement Agreement, including all Schedules and Exhibits.
“Child(ren)” means the minor child or children of the Parties identified in Section 3.3.
“Child Support” means ongoing financial support for the Child(ren) calculated under applicable Vermont guidelines.
“Marital Assets” means all property subject to equitable distribution under Vermont law.
“Marital Home” means the real property located at [ADDRESS].
“Parenting Plan” means the agreement on parental rights, responsibilities, and contact annexed hereto as Schedule P.
“Property Allocated to One Spouse” means property the Parties propose to award to that spouse, subject to court review under 15 V.S.A. § 751.
“Spousal Maintenance” means support payable by one spouse to the other pursuant to Section 3.2.

3. OPERATIVE PROVISIONS

3.1 Property Division

3.1.1 Equitable Distribution.
The Parties acknowledge that 15 V.S.A. § 751 generally subjects all property owned by either or both spouses, however and whenever acquired, to equitable division. An inheritance interest that has not vested and remains capable of modification or divestment is excluded from the marital estate under § 751(b)(8)(B). The Parties propose the allocations below as fair and reasonable, subject to court review.

3.1.2 Real Property.
(a) Marital Home. The Marital Home shall be [sold to a third party / conveyed to Spouse A / conveyed to Spouse B] on or before [DATE]. Net sale proceeds (after customary closing costs, mortgage payoff, and prorated taxes) shall be divided [__%] to Spouse A / [__%] to Spouse B.

(b) Other Real Estate. See Schedule R for any additional real property allocations and conveyancing deadlines.

3.1.3 Personal Property.
(a) Household Goods. The Parties have divided household furnishings as detailed in the attached Schedule PP.

(b) Automobiles.

• Vehicle 1 (Year/Make/Model — VIN [xxxxx]) to Spouse A, who shall refinance or pay off any loan within [___] days.
• Vehicle 2 (Year/Make/Model — VIN [xxxxx]) to Spouse B, with similar obligations.

3.1.4 Financial Accounts.
Bank, brokerage, and cash accounts shall be distributed per Schedule F. Transfers shall occur within [___] business days of the Effective Date.

3.1.5 Business Interests.
☐ No business interests are allocated. ☐ Ownership interests in [COMPANY NAME] shall be allocated in accordance with Schedule B.

3.1.6 Debts.
Each Party assumes the debts listed under his or her name in Schedule D and shall indemnify the other per Section 7.1.

3.2 Spousal Maintenance (Alimony)

☐ Neither Party requests maintenance; the Parties ask the court to approve this term.
☐ Maintenance is proposed on the following terms:

3.2.1 Term & Amount.
If maintenance is selected, commencing [DATE], [Payor] shall pay [Payee] Spousal Maintenance of $[AMOUNT] per [week/month], payable by [________________________________].

3.2.2 Duration.
Maintenance shall continue for [___] months, subject to any earlier termination event stated in the court's order: [________________________________].

3.2.3 Modification & Waiver.
Under 15 V.S.A. § 758, a court may modify a maintenance judgment, including one based on a stipulation, on motion and due notice upon a real, substantial, and unanticipated change of circumstances. Any proposed maintenance waiver is subject to court approval.

3.3 Child Custody & Parenting Plan

☐ Not applicable; the Parties have no minor children together.
☐ Applicable; complete this section and attach Schedule P.

3.3.1 Identification of Children.

• [CHILD NAME], born [DOB]
• [CHILD NAME], born [DOB]

3.3.2 Parental Rights & Responsibilities.
(a) Legal Responsibilities. The Parties propose [shared / sole] legal responsibility for [both Parties / Spouse A / Spouse B], subject to court approval.
(b) Physical Responsibility. The Parties propose [primary responsibility to Spouse A / primary responsibility to Spouse B / shared per Parenting Plan], subject to court approval.

3.3.3 Parenting Plan.
Schedule P sets forth physical living arrangements, parent-child contact, education, medical, dental and health care, travel, communications about the Child(ren)'s welfare, and, if parental rights are shared or divided, dispute-resolution procedures, as required for a complete agreement under 15 V.S.A. § 666(b). The Parties request approval under the Child(ren)'s best interests; the court must refuse an involuntary or non-best-interest agreement under § 666(c).

3.3.4 Relocation.
A parent proposing to change the Child(ren)'s principal residence shall give [___] days' prior written notice to the other parent, unless a court order provides otherwise. Any change to an existing parental-rights or contact order requires court approval under applicable law.

3.4 Child Support

☐ Not applicable; the Parties have no minor children together.
☐ Applicable; complete this section and attach the current child support calculation worksheet as Schedule CS.

3.4.1 Guideline Calculation.
Child Support shall be calculated using the current Vermont guideline and the Parties' available incomes as defined by 15 V.S.A. § 653. Include the applicable § 657 overnight or split-custody calculation in Schedule CS.

3.4.2 Payment & Adjustment.

• Amount: $[AMOUNT] per [week/month]; payment method: [________________________________].
• The Parties request immediate wage withholding for support and any arrearages under 15 V.S.A. § 781, unless (☐ their written alternative arrangement is attached and expressly stated in the support order, or ☐ the court finds good cause not to order immediate withholding). State the proposed alternative or good-cause facts, if any: [________________________________].
• Any modification of a child support order shall follow 15 V.S.A. § 660 and require court action.

3.4.3 Tax Dependency.
Subject to applicable tax law, eligibility, and any required release form, the Parties intend to alternate claiming the applicable child tax benefit beginning with tax year [YEAR] (odd years to [Spouse A], even years to [Spouse B]).

3.5 Health & Insurance Matters

☐ Not applicable; the Parties have no minor children together.
☐ Applicable; complete the child insurance provisions below.

3.5.1 Medical/Dental Insurance.
[Responsible Party] shall maintain comprehensive medical and dental insurance for the Child(ren) so long as available at reasonable cost.

3.5.2 Uninsured Expenses.
Unreimbursed medical expenses shall be allocated [__%] to Spouse A / __% to Spouse B. Payment within 30 days of documented request.

3.5.3 Life Insurance.
☐ No life insurance provision. ☐ [Responsible Party] shall keep in force term life insurance of at least $[AMOUNT], naming the Child(ren) (or a trust for their benefit) as beneficiaries until [________________________________].

3.6 Tax Allocation

As between the Parties, each is responsible for tax liabilities attributable to that Party's post-separation income and deductions, subject to applicable tax law. If eligible and both agree to file a final joint return for tax year [YEAR], refunds or liabilities shall be allocated [__% / __%] as between them. The Parties shall cooperate in providing documents.

3.7 Debts & Liabilities

Except as noted herein, each Party shall bear debts incurred in that Party's own name after the Date of Separation ([DATE]) as between the Parties. This allocation does not alter a creditor's rights.

3.8 Retirement & Deferred Compensation Assets

3.8.1 Qualified Plans.
☐ Each Party retains the retirement accounts allocated to that Party. ☐ The retirement accounts identified in Schedule Q shall be divided under any plan-specific order or transfer document required by each plan. The Parties shall determine whether a QDRO is needed and submit required documents within [___] days.

3.8.2 Non-Qualified Plans & Stock Options.
See Schedule Q for allocation percentages and vesting contingencies.

3.9 Real & Personal Property Conveyances

Each Party shall execute all deeds, titles, endorsements, or other instruments necessary to effectuate the transfers contemplated by this Agreement within [___] days of request.

4. REPRESENTATIONS & WARRANTIES

4.1 Full Disclosure.
Each Party represents that he or she has made a full, fair, and accurate disclosure of all assets, liabilities, and income.

4.2 Independent Counsel.
Each Party acknowledges the right to independent legal counsel, has either retained counsel or voluntarily waived such right, and signs this Agreement freely.

4.3 Voluntariness & Capacity.
The Parties execute this Agreement voluntarily, without duress, fraud, or undue influence, and warrant legal capacity to do so.

4.4 Court Order.
The Parties request that the final decree identify which terms are incorporated and whether any provisions remain enforceable independently.

5. COVENANTS & RESTRICTIONS

5.1 Non-Disparagement.
Neither Party shall disparage the other in the presence of the Child(ren) or third parties in a manner likely to reach the Child(ren).

5.2 Confidentiality.
The Parties shall keep their exchanged financial information confidential except as needed for court filings, enforcement, modification, required disclosure, or as otherwise permitted by law.

5.3 Further Assurances.
Each Party shall execute and deliver any further instruments reasonably necessary to carry out the provisions herein.

5.4 Notice.
Contractual notices shall be in writing and delivered by certified mail, return receipt requested, or by recognized overnight courier to the addresses in the preamble (or an updated address provided in writing). Court filing and service requirements govern court papers.

6. DEFAULT & REMEDIES

6.1 Events of Default.
Failure to perform a material private contractual obligation after [___] days' written notice and opportunity to cure constitutes a default. This clause does not delay enforcement of child-related or other court orders.

6.2 Remedies.
Upon default, the non-breaching Party may:
(a) seek enforcement or modification in the court with jurisdiction;
(b) request appropriate monetary or other relief; and
(c) request attorneys' fees and costs if authorized by law or court order.

7. RISK ALLOCATION

7.1 Mutual Indemnification.
As between the Parties, each shall indemnify the other for amounts the other pays on a debt assigned to the indemnifying Party, subject to the court's order. Creditor rights remain unaffected.

7.2 Child-Related Duties.
Nothing in this Agreement limits a child support obligation or the court's authority over child-related orders.

8. DISPUTE RESOLUTION

8.1 Good-Faith Negotiation & Mediation.
Before seeking court relief when appropriate, the Parties may attempt mediation with a mutually agreed mediator. Costs shall be allocated: [________________________________].

8.2 Court Review.
Any proposed change to child support shall follow 15 V.S.A. § 660; any proposed change to parental rights or contact shall follow § 668, including its restrictions for certain § 665(f) orders.

8.3 Governing Law; Forum Selection.
This Agreement is governed by Vermont law. Court filings shall be made in a court with jurisdiction and proper venue under applicable law.

8.4 Court Relief.
Nothing herein waives a Party's ability to request available relief from a court with jurisdiction.

9. GENERAL PROVISIONS

9.1 Amendment & Waiver.
No amendment is valid unless in writing, signed by both Parties, and approved by the Family Court if required. Waiver of any breach does not waive subsequent breaches.

9.2 Assignment.
Rights and obligations are personal and non-assignable except as expressly stated.

9.3 Severability.
If any provision is held invalid, the Parties request that the remaining provisions continue to the extent enforceable and consistent with the court's order.

9.4 Integration.
This Agreement states the Parties' understanding on the subjects addressed here and supersedes their prior private agreements on those subjects, except as identified here: [________________________________]. Existing court orders remain effective unless modified by a court.

9.5 Counterparts.
The Parties may execute counterparts, which together form one Agreement.

9.6 Successors & Assigns.
The Parties intend their property obligations to bind their estates or permitted successors to the extent enforceable. Child-related provisions remain subject to court authority.

10. EXECUTION BLOCK

Schedules attached and incorporated: ☐ R (real property) ☐ PP (personal property) ☐ F (accounts) ☐ B (business) ☐ D (debts) ☐ P (parenting plan) ☐ CS (child support worksheet) ☐ Q (other deferred compensation). Attach completed schedules before signing; mark any unused schedule not applicable.

IN WITNESS WHEREOF, the Parties have executed this Marital Settlement Agreement as of the Effective Date.

STATE OF VERMONT
[COUNTY], SS.

On this ____ day of __________, 20____, before me, the undersigned notary public, personally appeared _______________________________ and _______________________________, known to me (or satisfactorily proven) to be the persons whose names are subscribed to the foregoing instrument and acknowledged that they executed the same for the purposes therein contained.

_________________________________
Notary Public
My commission expires: ____________