Johnson v. Johnson

SHEPARD, Chief Justice.

In the course of settling their dissolution, Robert Johnson agreed to pay Gina Johnson for her interest in the family farm. When Robert later sought to renew a line of credit and restructure the farm's debt to pay Gina, the bank required Gina's agreement to give the bank's lien priority over hers. After she refused, Robert sought a declaratory order subordinating her lien. The trial court granted his motion.

We conclude that the parties' settlement agreement, though silent on the subject, must have contemplated the regular annual renewal of the farm's debt to finance its…