Gary Chen Vera Barinov Kelly Adam Miguel Hidalgo Cathy Schukar

The Reed Family owns and operates Catamount Slate Products, INC in Fair Haven, Vermont. The Sheldons own a neighboring property. Since 1997, the two parties have disputed the Reeds’ right to operate their business and to use the access road leading to the quarry. In 2000, the parties agreed to settle their disputes in a state-funded mediation.

Judge Arthur O’Dea sent each party a Mediation Agreement outlining the rules governing the mediation. In one of the paragraphs it states, “Any final agreement of settlement must be in writing and signed by every party sought to be charged.” The mediation was held on September 5, 2000. After ten hours, the parties had reached an agreement on all major issues.

Judge O’Dea orally summarized the terms while both attorneys took notes with the understanding that the documents to be signed would come in the coming days. The resolution required the Reeds to pay the Sheldons $250 a month for the right to use the access road. Also, they agreed upon a series of terms to govern the business. These terms were to be memorialized in two documents, a Lease Agreement and a Settlement Agreement.

On September 7, 2000, the Sheldons’ attorney drafted a letter of the settlement and sent it to the Reeds’ attorney and Judge O’Dea. The Reeds’ attorney responded with a letter outlining issues the Reeds had with the Sheldon’s attorney version of the settlement. On October 1, 2000, the Reeds sent a check for $250, like the resolution required, but was not to be cashed until a settlement was agreed upon.

In February 2001, the Reeds’ daughter saw a deed and map of the disputed road that led her to believe the road was a town highway. The Reeds refused to proceed with any further negotiations on the settlement agreement. The Sheldons filed a motion to enforce the settlement agreement. The trial court found the unsigned drafts of the Lease and Settlement Agreements to be enforceable.

Environmental Social

Does the oral agreement reached at mediation still work when combined with the unexecuted documents drafted subsequently constituted a binding enforceable settlment agreement? Was there an offer? Was there an acceptance? What point(s) did the trail court miss when it granted Sheldons' option (to enforce the settlement agreement)? Why did the supreme court give the decision saying that the judgment of the trial is reversed and remanded?

Mutual Assent (Offer and Acceptance) An offer An acceptance Oral Agreement (in the Case) Lease Agreement Settlement Agreement Statute of Frauds Refers to the requirement that certain kinds of contracts be made in writing and signed.

Reasonable person would infer. Trial court, what they thought to make their decisions. Supreme Court (four points)

Reversed and remanded Three of four points were approved. (explain points)

Both parties end up spending a lot of time and money fighting for their rights. The Reeds get to use the access road. Society realizes the affects of the Slate company. They will know that they shouldn’t begin acting on an agreement before the final agreement is made. Future parties will research what is being requested of them before agreeing.