Fabrikant v. Fabrikant, 19 N.Y.2d 150 (1967)

A separation agreement incorporated into a divorce decree is enforceable, and counsel fees may be awarded to the wife in actions to compel payment under that agreement, even if the divorce decree was granted by a foreign court.

Summary

Following a Mexican divorce that incorporated a separation agreement, the ex-husband, William, refused to comply with the agreement’s support provisions. His ex-wife, Mildred, brought multiple actions to enforce it. In the eighth action, William argued the agreement was invalid because it was contingent on Mildred obtaining a divorce. The court held that the prior determination of the agreement’s validity was res judicata, preventing William from re-litigating the issue. Furthermore, it affirmed the award of counsel fees to Mildred, finding that the action to enforce the agreement fell under Domestic Relations Law § 238, allowing for such awards. The court emphasized the importance of discouraging William’s behavior of avoiding his support obligations.

Facts

Mildred and William Fabrikant married in 1938 and, after 22 years, entered into a separation agreement in 1961 following Mildred’s commencement of an action against William. Subsequently, Mildred obtained a Mexican divorce decree that explicitly stated the separation agreement survived and was not merged into the decree, ordering both parties to comply with its terms. William remarried and then refused to comply with the support provisions of the separation agreement, prompting Mildred to file multiple actions to enforce the agreement.

Procedural History

Mildred Fabrikant brought an action in the Supreme Court to recover arrears in payments and counsel fees related to this and previous actions. The Supreme Court granted summary judgment in favor of Mildred, holding that a prior determination regarding the validity of the separation agreement was res judicata. It also awarded counsel fees and disbursements to Mildred under section 238 of the Domestic Relations Law. The Appellate Division unanimously affirmed the Supreme Court’s orders. The New York Court of Appeals granted leave to appeal.

Issue(s)

1. Whether the defendant could reassert the defense that the separation agreement was invalid due to being contrary to public policy, given a prior determination on the matter?

2. Whether the wife was entitled to counsel fees incurred in actions to enforce the separation agreement incorporated into the Mexican divorce decree?

Holding

1. No, because the issue of invalidity had already been raised and litigated in a previous action, making it res judicata.

2. Yes, because the action to enforce the support provisions of the separation agreement, which was incorporated into the divorce decree, falls under Domestic Relations Law § 238, allowing the court to award counsel fees.

Court’s Reasoning

The Court of Appeals affirmed the lower courts’ decisions. Regarding the first issue, the court cited Schuylkill Fuel Corp. v. B. & C. Nieberg Realty Corp., 250 N.Y. 304, holding that the defendant, having previously litigated the validity of the agreement, could not raise the same defense again. This is the principle of res judicata.

As for the second issue, the court analyzed section 238 of the Domestic Relations Law, which permits the court to require the husband to pay the wife’s expenses in actions to compel payment under a judgment or order in a divorce action. The court reasoned that the Mexican divorce decree ordered compliance with the separation agreement. Therefore, the action to enforce the agreement was effectively “a proceeding to compel the payment of [a] sum of money required to be paid by a judgment or order entered in an action for divorce.” The court stated, “The fact that the divorce decree was granted by a Mexican court is immaterial (see Rosenstiel v. Rosenstiel, 16 Y 2d 64).”

The court also highlighted the policy considerations behind awarding counsel fees, stating, “The defendant’s conduct in attempting to avoid his obligation to his former spouse has resulted in unnecessary and expensive litigation. The allowance of counsel fees was authorized by the statute, undoubtedly to discourage such conduct.”