Wife in break-up must honour mediation deal

When a couple splits up, husband and wife are the best people to decide who gets what, not a judge, says Singapore's apex court.

In a nod to using mediation to settle divorce cases, it has made it clear that agreements made during mediation cannot be thrown out without good reason.

Last month, the Court of Appeal overruled a wife's bid to set aside such an agreement, a decision in line with moves to do away with costly and lengthy court showdowns.

In this case, a couple in their late 60s decided to divorce after 35 years of marriage.

Following a day-long mediation session in 2011, senior lawyer Amolat Singh, who was the mediator, crafted the deal which the couple signed in front of their lawyers.

Wife Sita Kaur was to keep their $2.5 million apartment at City Towers in Bukit Timah and her jewellery, while husband Surindar Singh was to keep their unit in Pasir Panjang's Jalan Mat Jambol worth $3.5 million and other assets.

But Madam Kaur later changed her mind and took the case to the High Court last year, where the judge decided instead to evenly split the couple's assets worth $7.4 million.

Although the judge rejected Madam Kaur's claim that she was not bound by the mediation deal, he considered other factors in making his decision, including the long marriage and her significant contributions towards buying the properties.

But this judgment was overturned by the Court of Appeal. It ruled that the deal made during mediation should have been given "significant, if not conclusive" weight, saying it was arrived at "properly and fairly" with the benefit of legal advice.

Both parties were in a better position than the court to come up with a "just and equitable" negotiated settlement, which was preferable to a courtroom battle "which would resuscitate old complaints and acrimonious feelings", it said.

"The process also takes time and can be costly. Such solutions can be facilitated by mediation," wrote Justice Judith Prakash for the appeals court.The case is understood to be the first where mediation has been backed by the highest court for enforcement, underscoring the value of the process in settling marital disputes, say lawyers.

The judgment comes in the wake of recent moves to reform the family justice system and reduce the need for court battles driven by emotional issues rather than legal ones.

Divorcing couples can currently settle matters such as the division of their matrimonial assets, maintenance payments and custody of their children through mediation, which is then translated into a court order on application. This could cut expenses by 75 to 90 per cent, compared with taking a divorce case to court.

Family lawyer Rajan Chettiar said based on his experience, about eight in 10 divorce cases are settled through mediation.

vijayan@sph.com.sg

This article was first published on August 14, 2014.
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