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Probate; Compromise and Settlement

Laska v Laska, 646 NW2d 393 (Wis App Ct 2002).

Facts: Mary Jane was married to Richard Laska at the time of his death. Following his passing, Richard's grandchildren brought suit, alleging that Mary Jane had wrongfully interfered with the grandchildren's anticipated inheritance. During a mediation proceeding, the parties reached an agreement. However, neither party signed this agreement. In lieu of the agreement, Mary Jane's attorney sent a letter to the court, canceling the trial. Later, however, Mary Jane refused to abide by the agreement. In response, the grandchildren filed a motion to enforce the settlement agreement. The trial court held the agreement enforceable pursuant to Wisconsin law because the parties' conduct "subscribed" the agreement according to Wisconsin statute.

Holding: The appellate court reversed the decision of the trial court. The appellate court distinguished the term "subscribed" as used in Wis Stat § 807.05 from that of a personal, handwritten signature. Nevertheless, the court read the statute to require some type of written indication of assent to the agreement. The court recognized that Wis Stat § 807.05 is an exception to the general rule in Wisconsin that oral contracts are binding, but determined that the state legislature intended the distinction. Since the statute did not provide for a party to "subscribe" to an agreement through general conduct, Mary Jane was not bound by the agreement.

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