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Texas Divorce and Prenuptial Agreement

4550 Post Oak Place, Suite 201 • Houston, Texas 77027-3139

Phone: 713-877-8800 • Fax: 713-877-1229

12-Day Late Divorce Payment Results in $750,000 Penalty

12 days of tardiness appears to have cost Brady Dougan, the CEO of Credit Suisse Group AG, $750,000. Dougan has been the CEO of Credit Suisse since 2007, after working for the investment bank since 1990. He met his wife Tomoko Hamada Dougan in Japan and married her in 1988. The couple has two children together.

Six years ago, in 2005, Brady and Tomoko divorced and reached a settlement under which Brady would pay her $15.3 million spread over two installments. Additionally, Tomoko received a home in Greenwich, Connecticut that they shared and that is worth $9.6 million, bank accounts worth $143,000 and a 2000 BMW automobile.

The $750,000 penalty stems from a payment due Tomoko in June of 2006. The couple’s divorce settlement said that, if Brady were late with a payment, he would have to pay her 10 percent annual interest going back to when they signed the divorce agreement in 2005.

Initially, at the trial level, the court found for Brady, but the state appeals court and then the Connecticut Supreme Court both found in favor of Tomoko. The Supreme Court wrote that the plaintiff understood the terms of the settlement, but that he now wanted the court to refuse to enforce those terms. As a result, it ruled that Brady owes Tomoko the $750,000 in interest.

That is not the end of the matter, either. Tomoko’s lawyers expect to ask for 10 percent interest for each of the five years that Brady did not pay the $750,000 interest penalty, bringing the total sum due to Tomoko to $1.1 million. Another court hearing will take up that matter.

John K. Grubb & Associates, P.C. – Houston Divorce Lawyers

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