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DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1
IN THE MATTER OF IN THE DISTRICT COURT
THE MARRIAGE OF
KRISTINA ANITA PHILLIPS JUDICIAL DISTRICT
LARRY MICHAEL PHILLIPS DENTON COUNTY, TEXAS
MEDIATED SETTLEMENT AGREEMENT
case was mediated on June 17 with Stuart Brown, Mediator.
PARTIES
e parties to this Agreement are Kristina Anita Phillips s called “Wife”, and Larry
Michael Phillips who is called “Husband”. They are sometimes called “each party” and
collectively, they are called “the Parties”.
SCOPE OF AGREEMEN RELEASE, AND DISCLOSURE
The parties agree to settle all claims and controversies between them, asserted or assertible,
as of the date of this agreement. The terms of the agreement are in the body of this agreement and
any attachments thereof. Each party releases the other from all claims, demands, and causes of
action each have against the other, save and except those covenants, duties, and obligation
set forth in this Agreement.
ach party represents that they have had an opportunity to obtain a substantially full and
accurate disclosure from the other party of all assets and liabilities, whether claimed to be
community or separate in character, including the approximate current balance in all financial
accounts addressed in this agreement. Each party further represents that they are satisfied with the
disclosure as made at the time of this agreement, and each party waives any further disclosure by
signing this agreement.
AGREEMENT
By signing this agreement, each party stipulates and represents that he or she has reviewed
this written agreement with counsel, if any, before signing it, and is satisfied that it does contain
the agreement made in mediation. Each party further stipulates and represents to the other that:
(a) each is signing this agreement only after having read this entire document carefully,
word word;
each has been afforded an opportunity to ask any questions he or she may have
about this agreement;
(c) each party, in signing this agreement, is acting voluntarily and not under any duress
or compulsion by the mediator, the attorneys or any other person and each party is
Mediated Settlement Agreement of
DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1
physically, mentally and emotionally able to understand the terms of this agreement and
execute this agreement and is of sound mind and is able to give knowing and voluntary
assent to it, and that they are without mental illness or other impairment that would preclude
the ability to understand and assent to the agreement;
(d) neither party has been promised anything that is not contained in this agreement, in
order to induce or encourage either party to assent to it;
(e) that each party has been advised by the mediator that the mediator is not the attorney
for any party;
(f) each party acknowledges that the mediator has not given the party legal advice nor
has the mediator encouraged or forced the party to enter into or execute this agreement;
(g) this stipulation and agreement is signed voluntarily on the date set out below, and
its provisions are intended to be incorporated into a final judgment; and
(h) each party has been advised NOT to sign this agreement unless each has read it
fully, understands it completely, and is willing to be immediately bound by all of its terms,
provisions and conditions.
Stuart Brown, acting as the mediator in this case, provided the parties with a basic outline
of the agreement reached between the parties in their mediation session. However, each party and
that party’s counsel thoroughly reviewed that outline before signing it and each party either made
revisions to cause this written agreement to conform to the mediated agreement which the parties
reached or was given the opportunity to make such revisions and declined to do so. All those
persons signing this agreement hereby release Stuart Brown from any responsibility or liability
with regard to the drafting of this Mediated Settlement Agreement. The parties agree that the
mediator is not required to maintain any documents or files more than 120 days after the date of
the signing of this mediated settlement agreement.
PLEADINGS, FINAL DOCUMENTS, AND PROVE UP:
The parties each agree to waive any defects in pleadings and further agree to trial
amendments to support this agreement. The parties agree that a final order will contain more
extensive language than is in this agreement and agree that such language shall be inserted where
applicable, where clarity is needed, to make provisions enforceable, and for full indemnification
from the other party for debts and financial obligations. The parties further agree to use the
appropriate forms and language as set out in the most recent edition of the Texas Family Law
Practice Manual in drafting the order(s) necessary as a result of this mediated settlement
agreement.
The Attorney for Wife will prepare the final order within 14 days of the date of this
agreement and email it to opposing counsel, who will respond with signatures or requested
revisions within 14 days after receipt. If required, Wife will prove up the case in person, by
submission, or by affidavit.
ATTORNEY’S FEES AND COSTS:
_____ _____
KP LP
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Unless otherwise specifically provided in prior orders or agreements in this case, or
specifically provided herein to the contrary, attorney’s fees and costs incurred through date of
mediation shall be paid by the party incurring them.
EFFECTIVE DATE OF AGREEMENT:
The terms of this Mediated Settlement Agreement become effective the date this agreement
is signed.
THIS MEDIATED SETTLEMENT AGREEMENT
IS NOT SUBJECT TO REVOCATION
The Parties hereto agree that this MSA is binding on the Parties and is not subject to
revocation. The Parties understand and agree that more detailed documents in the form of
a decree of divorce or final order and transfer/closing documents will be drafted by the
Parties' attorneys. Those documents, however, are not a condition precedent to the formation
of the agreement being entered into hereby, but rather merely a more formal
memorialization of this already enforceable MSA.
EACH PARTY SPECIFICALLY STIPULATES AND AGREES THAT HE OR SHE
HAS ENTERED INTO THIS AGREEMENT FREELY AND VOLUNTARILY. THIS
AGREEMENT SHALL BE BINDING ON THE PARTIES AND SHALL NOT BE
SUBJECT TO REVOCATION. THE PARTIES SHALL BE ENTITLED TO A
JUDGMENT ON THE MEDIATED SETTLEMENT AGREEMENT
NOTWITHSTANDING RULE 11, TEXAS RULES OF CIVIL PROCEDURE OR ANY
OTHER RULE OF LAW.
Agreed to and executed on June 17, 2020.
_________________________ _________________________
Kristina Anita Phillips Hunter Bland
Petitioner Attorney for Petitioner
_________________________ _________________________
Larry Michael Phillips Darren Schraeder
Respondent Attorney for Respondent
MEDIATION SERVICES PROVIDED BY
RICHARDSON BROWN, PLLC
By: /s/ Stuart Brown _
STUART BROWN
State Bar No. 24009920
sbrown@richardsonbrownlaw.com
_____ _____
KP LP
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DIVORCE
GROUNDS:
The divorce shall be granted on the grounds of Insupportability.
DIVISION OF ASSETS:
Each party is awarded the property as listed in the body of this agreement and on the
spreadsheet attached hereto and incorporated fully by reference, and the other party is hereby
divested of all right, title, claims and interest in and to such property unless otherwise specified
herein to the contrary.
Marital Residence
The property commonly known as 1624 Audubon Court, Carrollton, Texas identified
legally in the final order, shall be sold. The listing agreement will be signed by both parties on or
before June 18, 2020. On or before July 6, 2020, Husband shall prepare the home for sale, including
but not limited to boxing and moving things to storage, taking all steps to “declutter” the home,
deep clean the home, and stage the home as recommended by the realtor, including the garage.
The parties will agree on what items will be placed in storage and what will stay in the home while
the home is for sale. All items that are to be put in storage shall be put in storage no later than July
6, 2020. The parties specifically agree that Husband shall complete the daughter’s bathroom
repairs by fixing the hole and painting, Husband will organize the garage, Husband will box and
move to storage his items in the media room, and Husband shall box and move the necessary items
in the playroom/loft and their son’s items that have been moved home from college. If Husband
has not completed these tasks by July 6, 2020, then he shall pay Wife $250 for July 7, 2020 and
each day thereafter until these tasks are complete. The total amount of these penalties will be
deducted from Husband’s share of the house proceeds and awarded to Wife.
The failure of a party to prepare the home for sale and comply with the above agreements
shall be considered grounds for attorney’s fees and sanctions. Further, if a party requests a receiver,
the parties agree that said request shall be an “emergency” request for the Court to hear it
immediately. If the Court finds that 1 party has unreasonably caused a delay to any aspect of the
sale process, the Court shall order that all receiver fees shall be paid from that party’s share of the
net sale proceeds.
The property will be sold for a price and upon terms that are mutually agreeable to the
parties. If the parties are unable to agree on any aspect of the sale, upon request, the Court shall
appoint a receiver. Until the closing of the sale:
a. Both parties shall have the use and possession of the property.
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b. Husband and Wife shall continue to timely pay the principal, interest, taxes,
insurance, utilities, and regular maintenance on the property during the pendency
of the sale the same way as they have been doing it for the last several months.
c. The net sale proceeds shall be deposited into the IOLTA account of the attorney for
Wife. Within 7 business days from the date the funds clear the bank, Attorney for
Wife shall pay the following in the following order:
1. $5,000 to the attorney for Husband
2. $5,000 to the attorney for Wife
3. One check to Wife who will pay the following and provide proof to Husband:
a. Balance due on Citicard x7136
b. Balance due on Amazon account
c. Balance due on Sofi x8117
d. Balance due on Target account
4. 50% of the remaining balance to Husband
5. 50% of the remaining balance to Wife
Each party shall receive 50% of all escrow, insurance, and utility refunds. The receiving
party shall pay the other party their portion within 7 business days of receipt.
Vehicles
The parties shall sign POA’s and/or title documents as necessary to effectuate the division
of the vehicles in the spreadsheet. Each party is assigned the liability associated with a vehicle
awarded to him or her.
Financial Accounts
If a party is awarded all funds in a joint account, the other party shall sign all documents
necessary to effectuate the division of that account into the sole name of the party awarded that
account. Joint accounts that are awarded 50% to each party shall be divided and closed once the
parties have finished using them to pay their regular bills.
Husband shall be responsible for the preparation of the QDRO necessary to transfer a
portion of wife’s 401(k) funds to Husband pursuant to the spreadsheet. The date shall be June 17,
2020, and any gains or losses as of that date shall be proportioned to each party’s share Wife
stipulates that the disclosed balance is the full balance minus existing loans. Wife agrees to not
withdrawal or take any more loans against this 401k until the account has been divided.
Administrative fees shall be deducted equally from each party’s portion.
Personal Property
Husband is awarded Roxie,Pixie, and Betty.
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Each party is awarded their personal clothing, jewelry, and effects as well as all agreed
furniture, furnishings, fixtures, goods, art objects, collectibles, appliances, and equipment. The
parties currently reside in the same residence. If the parties are unable to agree on the division of
their personal property, they shall each pay their respective attorneys $1,200.00 in cash who will
appear at the home, flip a coin, and the winning party will pick one item, then the losing party will
pick one item, and they shall alternate until all items are divided and the attorneys have
documented the division. Each party shall have no more than 3 minutes to make their selection
each turn. (If the division of personal property occurs prior to the entry of the decree, this clause
shall not be in the final order.)
DIVISION OF LIABILITIES:
Each party is assigned the indebtedness listed in the body of this agreement and on the
spreadsheet attached hereto and incorporated fully by reference, and shall indemnify, subrogate,
and hold the other harmless from any liability thereon, unless otherwise specified herein to the
contrary.
Neither party shall incur further charges on the credit accounts listed in the spreadsheet,
unless the parties agree to use those cards for specific purposes, such as both parties’ toll tag. Wife
may use the Citicard xxx7136 for work expenses but shall apply reimbursements from her
employer to that card’s balance.The parties shall work together so that each party pays a total of
50% each month towards the minimum monthly payments on the accounts until they are paid in
full by the net sale proceeds as set forth herein.
Husband and Wife shall continue to pay bills the same way they have the last several
months. To clarify, in addition to the other regular bills, Husband shall be responsible for the car
payment and insurance on vehicles awarded to him, and Wife shall be the same for her vehicle.
PROPERTY AND INCREASES AFTER MEDIATION:
The parties agree that all property awarded to a party, increases and decreases in the value
of property awarded to a party, and all mutations of property awarded to a party, is confirmed as
that party’s separate property from the date of this agreement through the date of the entry of a
final judgment in this cause. The parties hereby partition said property increases and decreases and
all mutations accordingly.
INCOME AND EARNINGS AFTER MEDIATION:
The parties agree that all income and earnings of a party is confirmed as the earning party’s
separate property from the date of this agreement through the date of the entry of a final judgment
in this cause, including all property acquired with said income and earnings, and bonuses paid after
the date of this MSA unless otherwise specified herein to the contrary. The parties hereby partition
said income and earnings accordingly.
UNDISCLOSED ASSETS AND LIABILITIES:
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It is agreed that any asset of the parties not specifically awarded or divided by this
agreement shall be subject to future division as provided by the Texas Family Code. It is further
agreed that as a part of the division of the estate of the parties, that any community liability not
expressly assumed by a party under this agreement is to be paid by the party incurring the liability
and the party incurring the liability shall indemnify and hold the other party and his or her property
harmless from any failure to so discharge such liability.
NAME CHANGE:
Wife may change her name in the final decree, if desired.
TAXES:
The parties acknowledge by their signature herein below that each has been advised by
their respective attorneys to consult with a certified public accountant regarding any and all tax
consequences of the division of property established herein. Further, each party acknowledges that
no tax advice has been given by their respective attorneys or the mediator.
Husband and Wife shall be equally responsible for all federal income tax liabilities of the
parties from the date of marriage through December 31, 2019. If a refund is made for overpayment
of taxes for any year during the marriage through December 31, 2019, each party shall be entitled
to one-half of the refund. The parties stipulate that the 2019 refund and stimulus funds to date are
deposited in the current accounts and will be divided per the terms of this agreement.
The parties agree to partition their income as of January 1, 2020. For the year of divorce,
each party shall file an individual income tax return in accordance with the Internal Revenue Code.
Neither party waives any innocent spouse rights under the Internal Revenue Code.
Each party shall be entitled to 50% of all deductions and credits related to the marital home
for the 2020 tax year.
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KP LP
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DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 IN THE MATTER OF IN THE DISTRICT COURT THE MARRIAGE OF KRISTINA ANITA PHILLIPS JUDICIAL DISTRICT LARRY MICHAEL PHILLIPS DENTON COUNTY, TEXAS MEDIATED SETTLEMENT AGREEMENT case was mediated on June 17 with Stuart Brown, Mediator. PARTIES e parties to this Agreement are Kristina Anita Phillips s called “Wife”, and Larry Michael Phillips who is called “Husband”. They are sometimes called “each party” and collectively, they are called “the Parties”. SCOPE OF AGREEMEN RELEASE, AND DISCLOSURE The parties agree to settle all claims and controversies between them, asserted or assertible, as of the date of this agreement. The terms of the agreement are in the body of this agreement and any attachments thereof. Each party releases the other from all claims, demands, and causes of action each have against the other, save and except those covenants, duties, and obligation set forth in this Agreement. ach party represents that they have had an opportunity to obtain a substantially full and accurate disclosure from the other party of all assets and liabilities, whether claimed to be community or separate in character, including the approximate current balance in all financial accounts addressed in this agreement. Each party further represents that they are satisfied with the disclosure as made at the time of this agreement, and each party waives any further disclosure by signing this agreement. AGREEMENT By signing this agreement, each party stipulates and represents that he or she has reviewed this written agreement with counsel, if any, before signing it, and is satisfied that it does contain the agreement made in mediation. Each party further stipulates and represents to the other that: (a) each is signing this agreement only after having read this entire document carefully, word word; each has been afforded an opportunity to ask any questions he or she may have about this agreement; (c) each party, in signing this agreement, is acting voluntarily and not under any duress or compulsion by the mediator, the attorneys or any other person and each party is Mediated Settlement Agreement of DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 physically, mentally and emotionally able to understand the terms of this agreement and execute this agreement and is of sound mind and is able to give knowing and voluntary assent to it, and that they are without mental illness or other impairment that would preclude the ability to understand and assent to the agreement; (d) neither party has been promised anything that is not contained in this agreement, in order to induce or encourage either party to assent to it; (e) that each party has been advised by the mediator that the mediator is not the attorney for any party; (f) each party acknowledges that the mediator has not given the party legal advice nor has the mediator encouraged or forced the party to enter into or execute this agreement; (g) this stipulation and agreement is signed voluntarily on the date set out below, and its provisions are intended to be incorporated into a final judgment; and (h) each party has been advised NOT to sign this agreement unless each has read it fully, understands it completely, and is willing to be immediately bound by all of its terms, provisions and conditions. Stuart Brown, acting as the mediator in this case, provided the parties with a basic outline of the agreement reached between the parties in their mediation session. However, each party and that party’s counsel thoroughly reviewed that outline before signing it and each party either made revisions to cause this written agreement to conform to the mediated agreement which the parties reached or was given the opportunity to make such revisions and declined to do so. All those persons signing this agreement hereby release Stuart Brown from any responsibility or liability with regard to the drafting of this Mediated Settlement Agreement. The parties agree that the mediator is not required to maintain any documents or files more than 120 days after the date of the signing of this mediated settlement agreement. PLEADINGS, FINAL DOCUMENTS, AND PROVE UP: The parties each agree to waive any defects in pleadings and further agree to trial amendments to support this agreement. The parties agree that a final order will contain more extensive language than is in this agreement and agree that such language shall be inserted where applicable, where clarity is needed, to make provisions enforceable, and for full indemnification from the other party for debts and financial obligations. The parties further agree to use the appropriate forms and language as set out in the most recent edition of the Texas Family Law Practice Manual in drafting the order(s) necessary as a result of this mediated settlement agreement. The Attorney for Wife will prepare the final order within 14 days of the date of this agreement and email it to opposing counsel, who will respond with signatures or requested revisions within 14 days after receipt. If required, Wife will prove up the case in person, by submission, or by affidavit. ATTORNEY’S FEES AND COSTS: _____ _____ KP LP Mediated Settlement Agreement Page 2 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 Unless otherwise specifically provided in prior orders or agreements in this case, or specifically provided herein to the contrary, attorney’s fees and costs incurred through date of mediation shall be paid by the party incurring them. EFFECTIVE DATE OF AGREEMENT: The terms of this Mediated Settlement Agreement become effective the date this agreement is signed. THIS MEDIATED SETTLEMENT AGREEMENT IS NOT SUBJECT TO REVOCATION The Parties hereto agree that this MSA is binding on the Parties and is not subject to revocation. The Parties understand and agree that more detailed documents in the form of a decree of divorce or final order and transfer/closing documents will be drafted by the Parties' attorneys. Those documents, however, are not a condition precedent to the formation of the agreement being entered into hereby, but rather merely a more formal memorialization of this already enforceable MSA. EACH PARTY SPECIFICALLY STIPULATES AND AGREES THAT HE OR SHE HAS ENTERED INTO THIS AGREEMENT FREELY AND VOLUNTARILY. THIS AGREEMENT SHALL BE BINDING ON THE PARTIES AND SHALL NOT BE SUBJECT TO REVOCATION. THE PARTIES SHALL BE ENTITLED TO A JUDGMENT ON THE MEDIATED SETTLEMENT AGREEMENT NOTWITHSTANDING RULE 11, TEXAS RULES OF CIVIL PROCEDURE OR ANY OTHER RULE OF LAW. Agreed to and executed on June 17, 2020. _________________________ _________________________ Kristina Anita Phillips Hunter Bland Petitioner Attorney for Petitioner _________________________ _________________________ Larry Michael Phillips Darren Schraeder Respondent Attorney for Respondent MEDIATION SERVICES PROVIDED BY RICHARDSON BROWN, PLLC By: /s/ Stuart Brown _ STUART BROWN State Bar No. 24009920 sbrown@richardsonbrownlaw.com _____ _____ KP LP Mediated Settlement Agreement Page 3 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 DIVORCE GROUNDS: The divorce shall be granted on the grounds of Insupportability. DIVISION OF ASSETS: Each party is awarded the property as listed in the body of this agreement and on the spreadsheet attached hereto and incorporated fully by reference, and the other party is hereby divested of all right, title, claims and interest in and to such property unless otherwise specified herein to the contrary. Marital Residence The property commonly known as 1624 Audubon Court, Carrollton, Texas identified legally in the final order, shall be sold. The listing agreement will be signed by both parties on or before June 18, 2020. On or before July 6, 2020, Husband shall prepare the home for sale, including but not limited to boxing and moving things to storage, taking all steps to “declutter” the home, deep clean the home, and stage the home as recommended by the realtor, including the garage. The parties will agree on what items will be placed in storage and what will stay in the home while the home is for sale. All items that are to be put in storage shall be put in storage no later than July 6, 2020. The parties specifically agree that Husband shall complete the daughter’s bathroom repairs by fixing the hole and painting, Husband will organize the garage, Husband will box and move to storage his items in the media room, and Husband shall box and move the necessary items in the playroom/loft and their son’s items that have been moved home from college. If Husband has not completed these tasks by July 6, 2020, then he shall pay Wife $250 for July 7, 2020 and each day thereafter until these tasks are complete. The total amount of these penalties will be deducted from Husband’s share of the house proceeds and awarded to Wife. The failure of a party to prepare the home for sale and comply with the above agreements shall be considered grounds for attorney’s fees and sanctions. Further, if a party requests a receiver, the parties agree that said request shall be an “emergency” request for the Court to hear it immediately. If the Court finds that 1 party has unreasonably caused a delay to any aspect of the sale process, the Court shall order that all receiver fees shall be paid from that party’s share of the net sale proceeds. The property will be sold for a price and upon terms that are mutually agreeable to the parties. If the parties are unable to agree on any aspect of the sale, upon request, the Court shall appoint a receiver. Until the closing of the sale: a. Both parties shall have the use and possession of the property. _____ _____ KP LP Mediated Settlement Agreement Page 4 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 b. Husband and Wife shall continue to timely pay the principal, interest, taxes, insurance, utilities, and regular maintenance on the property during the pendency of the sale the same way as they have been doing it for the last several months. c. The net sale proceeds shall be deposited into the IOLTA account of the attorney for Wife. Within 7 business days from the date the funds clear the bank, Attorney for Wife shall pay the following in the following order: 1. $5,000 to the attorney for Husband 2. $5,000 to the attorney for Wife 3. One check to Wife who will pay the following and provide proof to Husband: a. Balance due on Citicard x7136 b. Balance due on Amazon account c. Balance due on Sofi x8117 d. Balance due on Target account 4. 50% of the remaining balance to Husband 5. 50% of the remaining balance to Wife Each party shall receive 50% of all escrow, insurance, and utility refunds. The receiving party shall pay the other party their portion within 7 business days of receipt. Vehicles The parties shall sign POA’s and/or title documents as necessary to effectuate the division of the vehicles in the spreadsheet. Each party is assigned the liability associated with a vehicle awarded to him or her. Financial Accounts If a party is awarded all funds in a joint account, the other party shall sign all documents necessary to effectuate the division of that account into the sole name of the party awarded that account. Joint accounts that are awarded 50% to each party shall be divided and closed once the parties have finished using them to pay their regular bills. Husband shall be responsible for the preparation of the QDRO necessary to transfer a portion of wife’s 401(k) funds to Husband pursuant to the spreadsheet. The date shall be June 17, 2020, and any gains or losses as of that date shall be proportioned to each party’s share Wife stipulates that the disclosed balance is the full balance minus existing loans. Wife agrees to not withdrawal or take any more loans against this 401k until the account has been divided. Administrative fees shall be deducted equally from each party’s portion. Personal Property Husband is awarded Roxie,Pixie, and Betty. _____ _____ KP LP Mediated Settlement Agreement Page 5 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 Each party is awarded their personal clothing, jewelry, and effects as well as all agreed furniture, furnishings, fixtures, goods, art objects, collectibles, appliances, and equipment. The parties currently reside in the same residence. If the parties are unable to agree on the division of their personal property, they shall each pay their respective attorneys $1,200.00 in cash who will appear at the home, flip a coin, and the winning party will pick one item, then the losing party will pick one item, and they shall alternate until all items are divided and the attorneys have documented the division. Each party shall have no more than 3 minutes to make their selection each turn. (If the division of personal property occurs prior to the entry of the decree, this clause shall not be in the final order.) DIVISION OF LIABILITIES: Each party is assigned the indebtedness listed in the body of this agreement and on the spreadsheet attached hereto and incorporated fully by reference, and shall indemnify, subrogate, and hold the other harmless from any liability thereon, unless otherwise specified herein to the contrary. Neither party shall incur further charges on the credit accounts listed in the spreadsheet, unless the parties agree to use those cards for specific purposes, such as both parties’ toll tag. Wife may use the Citicard xxx7136 for work expenses but shall apply reimbursements from her employer to that card’s balance.The parties shall work together so that each party pays a total of 50% each month towards the minimum monthly payments on the accounts until they are paid in full by the net sale proceeds as set forth herein. Husband and Wife shall continue to pay bills the same way they have the last several months. To clarify, in addition to the other regular bills, Husband shall be responsible for the car payment and insurance on vehicles awarded to him, and Wife shall be the same for her vehicle. PROPERTY AND INCREASES AFTER MEDIATION: The parties agree that all property awarded to a party, increases and decreases in the value of property awarded to a party, and all mutations of property awarded to a party, is confirmed as that party’s separate property from the date of this agreement through the date of the entry of a final judgment in this cause. The parties hereby partition said property increases and decreases and all mutations accordingly. INCOME AND EARNINGS AFTER MEDIATION: The parties agree that all income and earnings of a party is confirmed as the earning party’s separate property from the date of this agreement through the date of the entry of a final judgment in this cause, including all property acquired with said income and earnings, and bonuses paid after the date of this MSA unless otherwise specified herein to the contrary. The parties hereby partition said income and earnings accordingly. UNDISCLOSED ASSETS AND LIABILITIES: _____ _____ KP LP Mediated Settlement Agreement Page 6 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1 It is agreed that any asset of the parties not specifically awarded or divided by this agreement shall be subject to future division as provided by the Texas Family Code. It is further agreed that as a part of the division of the estate of the parties, that any community liability not expressly assumed by a party under this agreement is to be paid by the party incurring the liability and the party incurring the liability shall indemnify and hold the other party and his or her property harmless from any failure to so discharge such liability. NAME CHANGE: Wife may change her name in the final decree, if desired. TAXES: The parties acknowledge by their signature herein below that each has been advised by their respective attorneys to consult with a certified public accountant regarding any and all tax consequences of the division of property established herein. Further, each party acknowledges that no tax advice has been given by their respective attorneys or the mediator. Husband and Wife shall be equally responsible for all federal income tax liabilities of the parties from the date of marriage through December 31, 2019. If a refund is made for overpayment of taxes for any year during the marriage through December 31, 2019, each party shall be entitled to one-half of the refund. The parties stipulate that the 2019 refund and stimulus funds to date are deposited in the current accounts and will be divided per the terms of this agreement. The parties agree to partition their income as of January 1, 2020. For the year of divorce, each party shall file an individual income tax return in accordance with the Internal Revenue Code. Neither party waives any innocent spouse rights under the Internal Revenue Code. Each party shall be entitled to 50% of all deductions and credits related to the marital home for the 2020 tax year. _____ _____ KP LP Mediated Settlement Agreement Page 7 of 7 DocuSign Envelope ID: AA840DE3-D744-4042-96E9-04C051F18BF1