Prenup Issues Result In Viable Malpractice Claim

A client who retained an attorney to draft a prenuptial agreement stated a claim that survived summary judgment, according to a recent opinion of the Tennessee Court of Appeals.

The issue came to light in the ensuing divorce and issues relating to enforceability due to disclosure of assets

Plaintiff agreed that he selected the attorney but that he also believed that Defendant represented him and Wife. He said that Wife had access to his filing cabinet and that he never prohibited her from viewing the documents in the cabinet. He claimed that she retrieved documents from the cabinet on occasion. He admitted that he was a “fairly private person” and that they had not engaged in specific discussions concerning financial issues prior to signing the Agreement.

Following the hearing, the trial court set aside the Agreement, finding that the Agreement failed to conform to the requirements set forth in Randolph because a reasonable disclosure of assets had not been made and because Wife did not possess independent knowledge of the same. The court granted Wife‟s request for pendente lite support. Plaintiff and Wife later entered into a marital dissolution agreement.

As to disclosure, plaintiff testified that

He provided that he kept his financial information in a filing cabinet that she could have easily accessed. He believed she accessed this information because she always searched the residence to discover the identity of gifts he purchased for her birthday or Christmas.

 In the malpractice case

The trial court granted summary judgment, finding that the undisputed material facts negated an essential element of Plaintiff‟s claim. In so finding, the court held that Defendant had not breached the applicable standard of care because the Agreement was sufficiently drafted in that it provided that the parties possessed knowledge of one another‟s assets. The court continued that Wife had also signed the Agreement, thereby affirming her knowledge of the assets. This timely appeal followed.

 The court here disagreed

The record reflects that genuine issues of material fact remain as to whether Wife possessed independent knowledge of the full nature, extent, and value of the holdings as evidenced by the conflicting testimony presented by the parties. Likewise, genuine issues of material fact remain as to whether Defendant breached the applicable standard of care in drafting the Agreement. With these considerations in mind, we conclude that the trial court erred in granting summary judgment. In so concluding, we express no opinion as to whether Defendant actually breached the applicable standard of care or as to the extent of Plaintiff‟s damages, if any.

 (Mike Frisch)