In re Marriage of Brewer & Federici

In In re Marriage of Brewer & Federici (2001) 93 Cal.App.4th 1334, the wife, an executive employed by NBC, delivered to the husband during divorce proceedings a final declaration of disclosure stating the fair market value of her NBC pension was "unknown" and the fair market value of her NBC savings program was $168,561. Based on that, they entered into a marital settlement agreement providing for an award to the wife of the community's interest in the NBC pension plan and savings program. The husband received an equalizing payment and other assets. The parties agreed to a stipulated judgment (based on their agreement), upon which judgment was then entered. The husband filed a motion to set aside the judgment on the basis that the wife had not valued her NBC pension plan in her final declaration of disclosure or otherwise. (Brewer, supra, 93 Cal.App.4th at p. 1339.) He submitted the supporting declaration of an expert who stated the wife's interest in the NBC pension plan was worth over $286,000 at the time of their agreement. The husband also submitted a complete annual statement of the wife's NBC savings program showing its worth was over $232,000 at the time of their agreement. The wife had not attached to her final declaration the pages reflecting that increased amount. The husband also asserted he made a unilateral mistake of fact because he did not understand the wife had both an NBC pension plan and an NBC savings program, believing instead she had only one retirement plan that he believed was worth only $168,561. The trial court granted his motion to set aside the judgment, finding the wife's final declaration of disclosure failed to reveal both the value of her NBC pension plan and the current value of her NBC savings program. (Id. at p. 1341.) "The omission led to a mistake of fact regarding the value of" of the community's two largest assets. (Id. at p. 1342.) On appeal, Brewer, supra, 93 Cal.App.4th 1334 discussed the spousal statutory duty of full disclosure, stating "spouses may be relieved of a stipulated judgment based upon incomplete or inaccurate information." (Id. at p. 1345.) It concluded the evidence supported the trial court's finding the husband made a unilateral mistake, in part, because he did not have accurate and complete valuations of his wife's retirement plans: "The valuation information on the wife's final declaration of disclosure about the savings program was neither current nor accurate." (Id. at p. 1346.) Also, the wife "never provided the husband with a valuation of" her pension plan. (Ibid.) Because the wife's retirement plans "were the largest community assets, their values were material to resolving the issues between the parties." (Ibid.) The husband "agreed to a resolution of the property issues based upon incomplete, inaccurate, and omitted information." (Ibid.)