Brvenik v. Kavanagh
CourtCourt of Special Appeals of Maryland
Date FiledJuly 1, 2026
Docket1187/24
JudgeTang
StatusPublished
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Full Opinion
Jason Ronald Brvenik v. Brooke Ann Kavanagh, Nos. 1187 & 2058, Sept. Term, 2024.
Opinion by Tang, J.
REFORMATION OF INSTRUMENTS – RIGHT OF ACTIONS AND DEFENSES –
GROUNDS FOR REFORMATION – MISTAKE AND FRAUD
One of two circumstances must exist before a court of equity will reform a written contract:
either mutual mistake; or fraud, duress, or inequitable conduct.
Mutual mistake exists where there has been a meeting of the minds—and an agreement
actually entered into, but the instrument, in its written form, does not express what was
intended by the parties thereto.
A written instrument can also be reformed when a mistake is made by one of the parties
accompanied by fraud, duress, or other inequitable conduct practiced on the person making
the mistake by another party. In the case of fraud or inequitable conduct, if one party at the
time of the execution of a written agreement knows that it does not accurately express the
intention of the other party, and also knows what that intention is, the latter can have the
agreement reformed so that it will express that intention.
The equitable remedy of reformation was available to the ex-wife, who sought to revise a
provision in the marital settlement agreement regarding the calculation of her equity in the
parties’ lake house. The ex-wife’s attorney inadvertently deleted a material phrase during
the final exchange of redlines. The ex-husband was aware of this deletion but did not
disclose the clerical error before signing. The court reformed the provision to reflect the
ex-wife’s intent by including the deleted phrase.
EVIDENCE – ADMISSIONS – ACTS OR CONDUCT – COMPROMISE OR
SETTLEMENT
Evidence regarding the deletion of a material phrase in the marital settlement agreement
before execution was not barred by Maryland Rule 5-408, which governs compromise and
offers to compromise. The ex-wife did not seek to admit the evidence to prove the validity
or invalidity of a claim but offered it for another purpose—specifically, to show that the
deletion was a mistake.
Circuit Court for Howard County
Case No. C-13-FM-22-001601
REPORTED
IN THE APPELLATE COURT
OF MARYLAND
Nos. 1187 & 2058
September Term, 2024
______________________________________
JASON RONALD BRVENIK
v.
BROOKE ANN KAVANAGH
______________________________________
Zic,
Tang,
Kenney, James A., III
(Senior Judge, Specially Assigned),
JJ.
______________________________________
Opinion by Tang, J.
______________________________________
Filed: July 1, 2026
Pursuant to the Maryland Uniform Electronic Legal
Materials Act (§§ 10-1601 et seq. of the State
Government Article) this document is authentic.
2026.07.01
12:20:01 -04'00'
Gregory Hilton, Clerk
Jason Brvenik, the appellant, noted two appeals from two separate orders entered
by the Circuit Court for Howard County concerning a section of the marital settlement
agreement (“MSA”) between him and his former wife, Brooke Kavanagh, the appellee,
regarding the disposition of their lake house. The issues raised in the second appeal depend
on the resolution of the primary issue in this first appeal, which we rephrase as follows:
Did the circuit court err in reforming the MSA?
For the reasons set forth below, we affirm the judgment. 1
0F
1
This Court consolidated the two appeals. In the first appeal (ACM-REG-1187-
2024), Mr. Brvenik primarily challenges the circuit court’s reformation of the MSA and the
award of attorney’s fees under the MSA’s prevailing party provision. In his brief, he raises
the following issues:
I. Did the Circuit Court for Howard County err in admitting as parol
evidence offers of compromise and settlement?
II. Did the Circuit Court for Howard County err in making an erroneous
finding of fact that [Mr. Brvenik’s] attorney’s research into Mutual
Mistake post-execution of the [MSA] was evidence that [Mr. Brvenik]
knew that the accepted agreement contained a scrivener’s error?
III. Did the Circuit Court for Howard County err in determining that there
was a mutual mistake in the drafting of the parties[’] [MSA]?
IV. Did the Circuit Court for Howard County err in awarding attorney’s
fees?
After reforming the MSA, the circuit court granted Ms. Kavanagh’s motion to
enforce it, finding that Mr. Brvenik breached the MSA regarding the disposition of the lake
house. The court awarded Ms. Kavanagh additional attorney’s fees and ordered the
appointment of a trustee to sell the lake house. Mr. Brvenik noted a second appeal (ACM-
REG-2058-2024), raising two issues, which we have renumbered sequentially to follow
those in the first appeal:
V. Did the Circuit Court err in enforcing the reformed agreement?
VI. Did the Circuit Court err in awarding attorney’s fees to [Ms. Kavanagh]
for seeking to enforce the reformed agreement?
I.
BACKGROUND
Mr. Brvenik and Ms. Kavanagh were divorced pursuant to an order of judgment of
absolute divorce entered on July 20, 2023. The judgment incorporated, but did not merge,
the parties’ MSA, executed on July 12, 2023. Each side was represented by counsel who
negotiated the terms of the MSA.
On December 29, 2023, Ms. Kavanagh filed a Motion to Reopen Case and for Other
Relief. She requested that the court reopen the case and reform the MSA due to a clerical
error in the language affecting the calculation of her equity in the lake house. Mr. Brvenik
opposed the motion. 2 The court held a hearing on May 28, 2024, during which the parties
1F
Regarding issue V, Mr. Brvenik states that the appeal is to “preserve” his rights
under the MSA if the judgment of reformation is reversed. Similarly, for issues IV and VI,
he states that if the court’s decisions to reform the MSA and grant the motion to enforce
are reversed, the fee awards would be “inappropriate” and should be reconsidered by the
circuit court.
For the reasons stated in this opinion, we affirm the court’s judgment of reformation.
Mr. Brvenik offers no argument supporting issues IV through VI if the judgment of
reformation is affirmed. See Md. Rule 8-504(a)(6) (requiring that briefs contain
“[a]rgument in support of the party’s position on each issue”); Klauenberg v. State, 355
Md. 528, 552 (1999) (concluding that question of whether the trial court erred in denying
a motion for mistrial was waived on appeal where “[a]ppellant proffer[ed] no argument as
to why the trial court abused its discretion in denying the motion for mistrial”).
Accordingly, we decline to address these issues and need not summarize the related facts
or procedural history.
2
Prior to the hearing, Mr. Brvenik filed a motion to dismiss Ms. Kavanagh’s motion,
arguing that she was effectively seeking to revise the judgment of absolute divorce, which
he asserted was untimely and improper under Maryland Rules 2-534 and 2-535. The court
denied Mr. Brvenik’s motion to dismiss. On appeal, Mr. Brvenik neither raises this issue in
his statement of the questions presented nor articulates any argument in his briefs that the
court erred in denying his motion to dismiss Ms. Kavanagh’s motion. Accordingly, we do
not address this issue.
2
and their respective counsel testified. We summarize the relevant evidence in the light most
favorable to Ms. Kavanagh as the prevailing party. See Dynacorp Ltd. v. Aramtel Ltd., 208
Md. App. 403, 451 (2012).
A.
Lake House
The provision at issue relates to the disposition of the parties’ lake house, which is
owned as tenants by the entireties and subject to a lien of mortgage in Mr. Brvenik’s name.
Paragraph 3.b.i of the MSA provides that the parties agree to sign a listing agreement for
the sale of the lake house no later than September 24, 2023, and that the net proceeds from
the sale would be divided equally between the parties. Subsection 3.b.ii sets forth the
procedure for establishing the listing price.
Subsection 3.b.iii grants Mr. Brvenik the option to purchase Ms. Kavanagh’s equity
in the lake house and outlines how her equity is to be calculated. The subsection at issue in
this appeal is 3.b.iii.B, reproduced and highlighted below, from the executed version of the
MSA that was incorporated but not merged into the order for judgment of absolute divorce:
iii. Notwithstanding the foregoing, Husband shall have the option to purchase
Wife’s Equity in the Lake House until the later of such time as the parties’
[sic] accept a bona fide, third party offer or December 31, 2023. Wife’s
Equity shall be determined as set forth below.
A. Husband shall obtain a certified appraisal for fair market value of the
Lake House and present the same to Wife. If Wife does not agree with
Husband’s certified appraisal, Wife shall notify Husband of her objection
and obtain her own certified appraisal for fair market value of the Lake
House and present the same to Husband. If Husband does not agree with
Wife’s certified appraisal, or the parties are unable to otherwise agree
upon a fair market value of the Lake House, then the average of the
3
parties’ two (2) appraisals shall be used to determine the fair market value
of the Lake House.
B. The fair market value of the Lake House shall be the existing
mortgage balance at the time of the buy-out, and then multiplied by
50%. The remaining sum shall be Wife’s Equity.
C. Upon receipt of payment in an amount equal to Wife’s Equity, Wife
agrees to convey to Husband all of her right, title and interest in and to
the Lake House . . . . All costs associated with the conveyance of the Lake
House to Husband shall be the sole responsibility of Husband . . . .
In early October 2023, Mr. Brvenik obtained an appraisal of the lake house pursuant
to subsection iii.A, with both parties agreeing on the appraised value of $823,000. They
scheduled to meet on November 7, during which Mr. Brvenik was to pay Ms. Kavanagh
her share of the equity in exchange for her signing the deed over to him. Prior to the
meeting, she texted him requesting a copy of the mortgage payoff balance and the cashier’s
check for her equity, which she expected to exceed $291,000.
Unbeknownst to her, Mr. Brvenik significantly reduced the mortgage balance by
approximately $240,000 between the judgment of divorce and November 7, leaving a
balance of $5,092.75. When they met on November 7, Mr. Brvenik attempted to pay Ms.
Kavanagh $2,552.63, representing her equity—half of the existing mortgage balance
pursuant to subsection iii.B as written, supra. However, Ms. Kavanagh refused to sign the
deed conveying her interest in the lake house to him.
B.
Deletion of “Reduced By”
As stated, Ms. Kavanagh moved to reopen the case, seeking reformation of
subsection iii.B of the MSA. She asserted that subsection iii.B should be reformed because
4
her attorney inadvertently deleted a material phrase during the final revisions and that she
intended to state that her equity in the lake house is calculated by taking the appraised, fair
market value ($823,000), reducing it by the existing mortgage balance, and then
multiplying the result by 50%. In other words, she contended that subsection iii.B should
have read:
B. The fair market value of the Lake House shall be reduced by the existing
mortgage balance at the time of the buy-out, and then multiplied by 50%.
The remaining sum shall be Wife’s Equity.
(emphasis added).
At the evidentiary hearing, Ms. Kavanagh’s attorney explained how the mistake
occurred. She testified that “[o]nce the parties had reached an agreement on terms,” Mr.
Brvenik’s attorney drafted the MSA and that draft “went back and forth several times”
between the two of them. She made the “last revision[s],” which she emailed to Mr.
Brvenik’s attorney on July 11, 2023. Her redlines to subsection iii.B were as follows:
B. The fair market value of the Lake House shall then be reduced by a) five
percent (5%) of the fair market value of the Lake House, and b) the existing
mortgage balance at the time of the buy-out, and then multiplied by 50%.
The remaining sum shall be Wife’s Equity.
Ms. Kavanagh’s attorney testified that she inadvertently deleted “reduced by” in the
process of deleting the clause, “a) five percent (5%) of the fair market value of the Lake
House, and b).” Ms. Kavanagh’s attorney confirmed that the method for calculating the fair
market value of the lake house was never a point of contention between the parties. She
explained that the phrase “reduced by” “should have remained,” and that the actual
“negotiating points” related to provisions under “little a and little b.”
5
Ms. Kavanagh’s attorney further confirmed that she and Mr. Brvenik’s attorney
never discussed the fair market value of the lake house being equal to the mortgage balance,
nor had she been involved in any other cases where the fair market value of real property
was determined as the mortgage balance. She also testified that she never had conversations
with opposing counsel about altering the fifty-fifty division of marital property to allow
Mr. Brvenik to retain the “lion[’s] share” of the lake house.
Mr. Brvenik’s attorney testified that he did not recall any discussions with Ms.
Kavanagh’s attorney about changing the language in subsection iii.B to equate the fair
market value of the lake house with the mortgage balance. When asked why an appraisal
under subsection iii.A was necessary if the fair market value was simply equal to the
existing mortgage balance, counsel stated that he did not know.
Mr. Brvenik testified. He indicated that he actively participated in negotiating the
MSA through his attorney. He acknowledged that he first became aware that subsection
iii.B read that the fair market value of the lake house would have equaled the mortgage
balance when the redlines were presented to him on July 11, 2023. He stated that he was
not surprised by that redline, as it seemed to him that Ms. Kavanagh was making a
concession in exchange for the numerous benefits she was receiving under the MSA.
After the parties signed the MSA and it was incorporated into the order for judgment
of absolute divorce on July 12, Mr. Brvenik retained new counsel on July 21 to address a
“potential post-judgment matter.” His fee invoices, some with unredacted entries, were
admitted without objection. The unredacted portions revealed that on August 1 and 2, Mr.
Brvenik’s new counsel researched the “standard for mistake in an agreement and court’s
6
authority to amend signed MSA” and drafted a memo. On August 3, counsel amended the
memo to “include additional research on the courts’ definition of mutual mistake.” When
questioned about these entries, Mr. Brvenik claimed that he had engaged new counsel to
review the MSA due to a potential dispute over a wedding ring.
Ms. Kavanagh also testified. She stated that she was unaware of her attorney’s
mistake in redlining and only learned of the error on November 7, 2023, when Mr. Brvenik
pointed out the language in the executed version of the MSA. She further testified that she
would not have signed the MSA if she knew about the mistake.
During closing arguments, Ms. Kavanagh argued through counsel that Mr. Brvenik
was aware of the redlining mistake before signing the MSA and exploited it. Therefore, she
requested that subsection iii.B should be reformed to reflect her intended inclusion of
“reduced by.”
C.
Court’s Ruling
At the end of the hearing, the court gave its oral ruling and decided to reform the
language of subsection iii.B of the MSA. The court found that Ms. Kavanagh’s attorney
made a clerical error by deleting the phrase “reduced by” from the subsection. It explained
that the error was obvious because, without the phrase, the subsection—when read
alongside related subsections—became nonsensical. Specifically, it observed that
subsection iii provided for determining Ms. Kavanagh’s equity based in part on the fair
market value of the lake house, which was to be established by first obtaining an appraisal
under subsection iii.A. The court noted that an appraisal would be unnecessary if
7
subsection iii.B stood as redlined, as there would be no reason to obtain an appraisal when
the fair market value would simply equal the mortgage balance. The court further explained
that consistent with “principles of marital property,” property valuation is based on “net
equity” rather than equating value with the amount of debt on the property.
The court further found the mistake to be mutual, concluding that Mr. Brvenik knew
the deletion of “reduced by” was a mistake. It did not find credible Mr. Brvenik’s testimony
that he believed Ms. Kavanagh intended to delete the phrase. It found that Mr. Brvenik was
an active participant in the negotiations, that the deletion of the phrase “was not what was
negotiated [and] discussed,” and that both attorneys confirmed it was never discussed in
that manner.
Moreover, the court explained that the entries in Mr. Brvenik’s post-divorce fee
invoice showing that his new counsel researched the issue of mutual mistake corroborated
Mr. Brvenik’s knowledge that the deletion of the phrase was a mistake. The court did not
find it credible that he had engaged another law firm immediately following the divorce
because he wanted advice about his potential liability regarding the wedding ring.
The court reformed subsection iii.B to “put the parties back in the position that they
would have been in.” Accordingly, the court entered judgment on the docket on June 14,
2024, reforming subsection iii.B to read as follows:
B. The fair market value of the Lake House shall be reduced by the existing
mortgage balance at the time of the buy-out, and then multiplied by 50%.
The remaining sum shall be Wife’s Equity.
(emphasis added). Husband timely noted this appeal.
8
II.
OVERVIEW OF RELEVANT LAW
“[O]ne of two circumstances must exist before a court of equity will reform a written
contract: either there must be mutual mistake, or there must be fraud, duress, or inequitable
conduct.” Md. Port Admin. v. John W. Brawner Contracting Co., Inc., 303 Md. 44, 59
(1985); Hous. Equity Corp. v. Joyce, 265 Md. 570, 580 (1972) (“Equity will reform a
written document when and only when there is a mutual mistake of fact or a mistake is
made by one of the parties accompanied by fraud, duress or other inequitable conduct
practiced on the person making the mistake by another party . . . .”).
A.
Reformation Based on Mutual Mistake
Mutual mistake exists “where there has been a meeting of the minds—and an
agreement actually entered into, but the instrument, in its written form, does not express
what was intended by the parties thereto.” Moyer v. Title Guarantee Co., 227 Md. 499, 505
(1962). If mutual mistake is proven, then Maryland courts “will reform a written instrument
to make it conform to the real intention of the parties.” Hoffman v. Chapman, 182 Md. 208,
210 (1943); Vincent v. Palmer, 179 Md. 365, 375–76 (1941) (“If both parties have an
identical intention as to the terms to be embodied in a release, and the writing executed by
them is materially at variance with that intention, either party can have the writing reformed
so that it will express the intention of the parties.”). For example, a scrivener’s error or
oversight by the neutral drafter of a written instrument is considered the “mistake of all
parties” and, accordingly, can be the basis to reform an instrument based upon mutual
9
mistake. See Kishter v. Seven Cts. Cmty. Ass’n, Inc., 96 Md. App. 636, 643 (1993) (“If [the
trial court] finds that the draftsman was the agent for all parties, then the Hoffman holding
makes it clear that the draftsman’s mistake was the ‘mistake of all parties,’ i.e., the mistake
was mutual.” (emphasis added)); Hoffman, 182 Md. at 214 (“Where a deed . . . fails to
express the manifest intention of the parties on account of a mistake of the draftsman,
whether from carelessness, forgetfulness or lack of skill, equity will rectify the mistake to
make the deed express the real intention of the parties.” (emphasis added)).
B.
Reformation Based on Mistake Accompanied by Fraud, Duress, or Other
Inequitable Conduct
A written instrument can also be reformed when “a mistake is made by one of the
parties accompanied by fraud, duress or other inequitable conduct practiced on the person
making the mistake by another party.” Hous. Equity Corp., 265 Md. at 580; see 27 Williston
on Contracts § 70:104, Westlaw (4th ed., May 2026 update) (“Williston”) (“The law
permits reformation of instruments to reflect the true intention of the parties when the error
has arisen by the unilateral mistake of one party and that mistake is accompanied by clear
and convincing evidence of some sort of fraud, deception, or other bad faith activity by
the other party that prevented or hindered the mistaken party in the timely discovery of the
mistake.” (emphases added)). “In effect, the party with knowledge of the mistake is
estopped from relying on the mistake.” Williston § 70:112; accord Gross v. Stone, 173 Md.
653, 666 (1938) (“A court of equity will not permit one party to take advantage of and
10
enjoy the benefit of an ignorance or mistake of law by the other, which he knew of and did
not correct.” (citation omitted)).
Fraud or other inequitable conduct necessary to justify reformation of a contract
need not involve actual intentional deceit. Hennig v. Ahearn, 601 N.W.2d 14, 26 (Wis. Ct.
App. 1999). Moreover, it is not necessary for inequitable conduct to be “intentionally
misleading, much less that it should be actual fraud.” Gross, 173 Md. at 666 (citation
omitted). It is enough that the “misconception . . . was the result of, or even aided or
accompanied by, incorrect or misleading statements, or acts of the other party.” Id. (citation
omitted); see, e.g., Elling v. Travers, 162 Md. 597, 607 (1932) (“[I]f the appellants executed
the agreement in the mistaken, but honest, belief that its execution did not affect their
remedy against the cab company, and but for such belief they would not have executed it,
and the insurance company knew that to be so, and with that knowledge induced the
execution of the agreement and, against the appellants’ protest, retained its benefits, the
acts of the insurance company might well constitute such inequitable conduct as added to
the mistake of law would justify a court of equity in setting it aside.”).
The Supreme Court of Maryland, citing the Restatement (First) of Contracts, § 505
(1932), explained:
[I]f one party at the time of the execution of a [written agreement] knows that
it does not accurately express the intention of the other party, and also knows
what that intention is, the latter can have the [agreement] reformed so that it
will express that intention.
Vincent, 179 Md. at 376 (emphasis added); accord England v. Universal Fin. Co., 186 Md.
432, 438–39 (1946).
11
The rule in § 505 of the Restatement (First) of Contracts has been incorporated into
§ 166 of the Restatement (Second) of Contracts (1981), 3 which provides, in relevant part:
2F
If a party’s manifestation of assent is induced by the other party’s fraudulent
misrepresentation as to the contents or effect of a writing evidencing or
embodying in whole or in part an agreement, the court at the request of the
recipient may reform the writing to express the terms of the agreement as
asserted,
(a) if the recipient was justified in relying on the misrepresentation . . . .[ 4]
3F
The Section’s Comment a explains that this rule applies “to the case where only one
party is mistaken and the other, although aware of the mistake, says nothing to correct it.
In that case his non-disclosure is equivalent to an assertion that the writing is as the other
understands it to be.” Id. § 166, cmt. a (emphasis added). Section 166 provides an
illustration based on that in former § 505. See id. § 166, Reporter’s Note. This illustration
is analogous to the circumstances of the instant case:
3
See Restatement (Second) of Contracts § 166, Reporter’s Note (explaining that §
166 replaces §§ 491 and 505 of the Restatement (First) of Contracts).
4
“Reformation is not precluded by the mere fact that the party who seeks it failed
to exercise reasonable care in reading the writing, but his reliance on the misrepresentation
must be justified and the right to reformation is therefore subject to the rule on fault stated
in § 172.” Restatement (Second) of Contracts § 166, cmt a. Comment a to § 172 explains,
“The recipient’s fault makes [her] reliance unjustified only in extreme cases where [she]
has failed to act in good faith and in accordance with reasonable standards of fair dealing.”
Id. § 172, cmt. a (emphasis added); see, e.g., id. illus. 1 (“A and B reach an understanding
that they will execute a written contract containing terms on which they have agreed. A
prepares a writing containing essential terms different from those agreed upon and induces
B to sign it by telling him that it contains the agreed terms and that it is not necessary for
him to read it. Although B’s apparent manifestation of assent is effective if he had a
reasonable opportunity to read the writing, his reliance is justified since his fault does not
amount to a failure to act in good faith and in accordance with reasonable standards of
fair dealing. The contract is voidable by B. In the alternative he may have the writing
reformed.” (emphasis added and citation omitted)). Mr. Brvenik has not asserted any such
unjustifiable reliance on the part of Ms. Kavanagh.
12
4. A, seeking to induce B to make a contract to sell a tract of land to A for
$100,000, makes a written offer to B. A knows that B mistakenly thinks that
the offer contains a provision under which A assumes an existing mortgage
and that it does not contain such a provision, but does not disclose this to B
for fear that B will not accept. B is induced by A’s non-disclosure to sign the
writing, which is an integrated agreement. A’s non-disclosure is equivalent to
an assertion that the writing contains such a provision and amounts to a
fraudulent misrepresentation. At the request of B, the court will reform the
writing to add the provision for assumption.
Id. cmt. a, illus. 4 (citations omitted) (emphases added); accord id. § 161 (“A person’s non-
disclosure of a fact known to him is equivalent to an assertion that the fact does not exist . . .
where he knows that disclosure of the fact would correct a mistake of the other party as to
the contents or effect of a writing, evidencing or embodying an agreement in whole or in
part.” (emphasis added)); id. § 161, cmt. e (“One party cannot hold the other to a writing if
he knew that the other was mistaken as to its contents or as to its legal effect. He is expected
to correct such mistakes of the other party and his failure to do so is equivalent to a
misrepresentation, which may be grounds either for avoidance under § 164 or for
reformation under § 166.”); see also id. § 161, cmt. e, illus. 12.
Corbin on Contracts provides a similar articulation of these principles:
[O]ne who knows of another’s mistake and says nothing will find himself
bound by a contract that he did not intend to make. Suppose one party assents
to a writing, being mistaken as to the terms that it contains or as to the
ordinary meaning of the terms, and the other, with knowledge of this mistake,
likewise assents. The language of an agreement will be interpreted according
to the meaning given to it by one party if the other had actual knowledge that
such was the meaning so given. It is certain that such a bad actor will not be
permitted to enforce the agreement according to its words in their usual
meaning. The mistaken party is certainly entitled to avoid the contract but
may, instead, get reformation and enforcement as reformed.
7 Corbin on Contracts § 28.41, LexisNexis (2025) (“Corbin”) (emphases added).
13
Although the mistake under such circumstances may be a unilateral one, “[a]
mistake by one party with knowledge of that mistake by the other is equivalent to a mutual
mistake.” Williston § 70:112. “[A] mistake by one party, and knowledge of the mistake by
the other, justifies relief as fully as a mutual mistake.” Id.
C.
Standard of Proof
Evidence of mistake must be clear and convincing. Lazenby v. F.P. Asher, Jr. & Sons,
Inc., 266 Md. 679, 683 (1972) (“The authorities all require that the parol evidence of the
mistake and of the alleged modification must be most clear and convincing . . . .” (citation
omitted)). “To be clear and convincing, evidence should be ‘clear’ in the sense that it is
certain, plain to the understanding, and unambiguous and ‘convincing’ in the sense that it
is so reasonable and persuasive as to cause [the factfinder] to believe it.” Maryland Pattern
Jury Instructions-Civil 1:17 (5th ed. 2018).
III.
DISCUSSION
This case implicates a mistake by one of the parties accompanied by fraud or other
inequitable conduct. Mr. Brvenik argues that the circuit court erred in reforming the MSA
on three grounds. First, he contends the court improperly admitted settlement discussions
in violation of Maryland Rule 5-408. Second, he claims the court erred in relying on the
post-divorce fee invoice and asserts that the entries did not show he was aware of counsel’s
mistake in deleting the phrase “reduced by” from subsection iii.B. Finally, he argues the
14
court erred in reforming subsection iii.B based on a finding of mutual mistake. We address
each argument seriatim.
A.
Maryland Rule 5-408
As a general common law rule, parol evidence is inadmissible to vary or contradict
the terms of a written instrument. Hoffman, 182 Md. at 210. However, “equity refuses to
enforce this rule whenever it is alleged that fraud, accident or mistake occurred in the
making of the instrument, and will admit parol evidence to reform the instrument.” Id. Mr.
Brvenik does not dispute that parol evidence is admissible where there is a claim of
mistake. Instead, he contends that testimony and other evidence about the deletion of the
phrase “reduced by” were settlement discussions, and the court admitted the evidence in
violation of Maryland Rule 5-408. We disagree.
Rule 5-408 provides,
(a) The following evidence is not admissible to prove the validity, invalidity,
or amount of a civil claim in dispute:
(1) Furnishing or offering or promising to furnish a valuable
consideration for the purpose of compromising or attempting to
compromise the claim or any other claim;
(2) Accepting or offering to accept such consideration for that purpose;
and
(3) Conduct or statements made in compromise negotiations or
mediation.
(b) This Rule does not require the exclusion of any evidence otherwise
obtained merely because it is also presented in the course of compromise
negotiations or mediation.
(c) Except as otherwise provided by law, evidence of a type specified in
section (a) of this Rule is not excluded under this Rule when offered for
15
another purpose, such as proving bias or prejudice of a witness,
controverting a defense of laches or limitations, establishing the existence of
a “Mary Carter” agreement, or proving an effort to obstruct a criminal
investigation or prosecution, but exclusion is required where the sole purpose
for offering the evidence is to impeach a party by showing a prior
inconsistent statement.
(d) When an act giving rise to criminal liability would also result in civil
liability, evidence that would be inadmissible in a civil action is also
inadmissible in a criminal action based on that act.
(emphases added).
“The purpose of Rule 5-408 is to encourage the settlement of lawsuits by ensuring
that parties need not fear that their desire to settle pending litigation and their offers to do
so will be construed as admissions.” Bittinger v. CSX Transp. Inc., 176 Md. App. 262, 276–
77 (2007). “The admission of evidence is committed to the considerable and sound
discretion of the trial court and will not be disturbed in the absence of abuse of that
discretion.” Bos. Sci. Corp. v. Mirowski Fam. Ventures, LLC, 227 Md. App. 177, 201 (2016)
(citation modified).
Although the court treated some of the disputed evidence as not being settlement
discussions, we will assume arguendo that they are. The court did not abuse its discretion
in admitting such evidence. Ms. Kavanagh did not seek to admit the evidence to prove the
validity or invalidity of a claim. Instead, she was offering the evidence “for another
purpose.” 5 Specifically, Ms. Kavanagh was offering it to show that the deletion of “reduced
4F
5
The Rule lists examples of “another purpose,” but that list is not exhaustive. Cf.
Fed. R. Evid. 408 (from which the Maryland Rule is derived); see United States v. Technic
Servs., Inc., 314 F.3d 1031, 1045 (9th Cir. 2002) (explaining that, under FRE 408, “[t]he
use of the phrase ‘such as’ implies that the ensuing list is not exhaustive, but is only
16
by” in subsection iii.B was a mistake. See Bittinger, 176 Md. App. at 277 (explaining that
Rule 5-408 was plainly not applicable “because the evidence at issue concerned previously
settled claims and not promises to settle an existing claim”); Bennett v. Ashcraft & Gerel,
LLP, 259 Md. App. 403, 449, n.19 (2023) (explaining that the Rule did not apply because
the statements made during settlement negotiations were not used “to prove the validity,
invalidity, or amount of” the civil claim, but instead for some other purpose).
Mr. Brvenik relies on Berg v. Berg, 151 N.E.3d 321 (Ind. Ct. App. 2020), vacated,
170 N.E.3d 224 (Ind. 2021), 6 to support his argument that such evidence was inadmissible.
5F
There, following the entry of a marital settlement agreement, the wife sought to avoid the
agreement on the basis that, due to her attorney’s mistaken omission of one of the husband’s
stock accounts, the parties relied on an incomplete marital balance sheet during mediation.
Id. at 324. To prove that the balance sheet was incomplete, the wife offered evidence of
what had transpired at mediation, namely, (1) two purported marital balance sheets
illustrative”), overruled on other grounds, United States v. Contreras, 593 F.3d 1135 (9th
Cir. 2010) (en banc); Lo Bosco v. Kure Eng’g Ltd., 891 F. Supp. 1035, 1039 (D.N.J. 1995)
(stating plaintiff’s notion that listing of exceptions in Rule 408 is exclusive is so “clearly
false” it required no further comment).
6
The Supreme Court of Indiana vacated the intermediate appellate court’s opinion
pursuant to Indiana Rule of Appellate Procedure 58(A), which provides that, subject to
certain exceptions, the opinion of the intermediate appellate court is automatically vacated
when the Supreme Court grants a petition to transfer, as it did in this case. See Berg v. Berg,
170 N.E.3d 224, 227 (Ind. 2021). Under Indiana law, reliance on a vacated opinion is
“improper” because it lacks precedential value. See Grubnich v. Renner, 746 N.E.2d 111,
116 (Ind. Ct. App. 2001); Meyer v. Biedron, 667 N.E.2d 752, 753 (Ind. 1996) (noting that
court of appeals’s opinion was vacated by grant of transfer and thus had no precedential
value). We note, however, that the Supreme Court of Indiana ultimately held, as the
intermediate appellate court did, that the wife’s evidence was inadmissible under Indiana
Evidence Rule 408. Berg, 170 N.E.3d at 229–30.
17
prepared by her counsel prior to mediation; and (2) an affidavit averring that she was not
aware of the mistake during mediation and, if she had been, she would not have entered
the agreement. Id. at 324–25. The husband moved to strike, arguing that the evidence was
inadmissible because it was “information that was discussed and done during mediation.”
Id. at 325. Ultimately, the trial court found that “fraud, co