STEVEN MANNION, Magistrate Judge.
Before the Court is Defendants', Union County and the Union County Sheriff's Department (collectively "Union County Defendants"), Motion to Enforce Settlement Agreement.
The settlement agreement in dispute stems from a Section 1983 claim by plaintiff, Steven Ferrara ("Mr. Ferrara"). The parties conducted settlement negotiations during the month of September 2017.
On October 12, 2017, Mr. Ferrara's counsel advised the Union County defendants that Mr. Ferrara was arrested in Somerset County for a violation of his probation and was detained in Somerset County jail.
On November 21, 2017, Mr. Ferrara's attorney arranged to meet with Mr. Ferrara at Somerset County Jail to execute the settlement agreement. However, at that time, Mr. Ferrara refused to sign, explaining that he was angry that Somerset County had him arrested.
On November 27, 2017, Mr. Ferrara's attorney wrote to the Court confirming that the parties agreed to settle but Mr. Ferrara had not signed the agreement yet.
A federal court may apply the substantive law of the forum state in deciding questions pertaining to the construction and enforcement of contracts.
"Traditional contract law rules provide that a contract arises from the manifest intentions of the parties to engage in an offer and acceptance of sufficiently definite essential terms."
In order to have an enforceable settlement or contract there "must be a meeting of the minds for each material term to an agreement."
"Where a contract of settlement is actually held to exist . . . the party seeking to vacate the settlement must show compelling circumstances."
Union County has satisfied its burden of establishing that an enforceable settlement contract exists, and Mr. Ferrara has failed to show "compelling circumstances" that warrant vacating the settlement. The Court finds that the parties reached an agreement to settle this matter on September 29, 2017. The parties manifested an intent to engage in an offer and acceptance of $12,000 to settle the claims in this case and end litigation on issues discussed in this case. The Court further finds that the parties manifested an intent to be bound by the agreement via e-mail on September 29, 2017, with a formal written contract to be executed subsequently. Even Mr. Ferrara admits that he agreed to settle the case, stating in his Certification that ". . . I have agreed to settle my lawsuit with the Defendants in this litigation . . ."
Now that the Court has found that a settlement contract exists, the burden shifts to Mr. Ferrara to show whether compelling circumstances exist to vacate the settlement. It is well established that "the party seeking to set aside the settlement agreement has the burden of proving. . . extraordinary circumstance[s] sufficient to vitiate the agreement."
Mr. Ferrara objects to the settlement agreement because he claims that he entered into the agreement to eliminate harassment from a non-party, Somerset County Probation Department. Harassment by a non-party, or whatever motivates settlement, does not warrant vacating settlement, absent fraud. His unsupported allegations against a non-party in this matter fail to meet his burden of clear and convincing evidence of compelling circumstances required to vacate a settlement agreement.
Mr. Ferrara also argues that Somerset County had him arrested and retaliated against him by not allowing him into drug court as he has been in the past. This court has no jurisdiction over Somerset County Probation Department, a non-party in this case. Further, during negotiations, the parties discussed the issue of Mr. Ferrara's outstanding warrant and how the settlement would have no effect on the warrant. Union County advised Mr. Ferrara of his outstanding warrant
The burden to vacate settlement rests on Mr. Ferrara yet he has failed to demonstrate that the settlement was entered through fraudulent or coercive means or that he lacked the legal standing or capacity to enter into either the settlement agreement via email or the subsequent written agreement. Accordingly, the Court finds that Mr. Ferrara has failed to meet his burden to show compelling circumstances that would warrant vacating the settlement.
An appropriate Order shall follow.