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In the video, attorney James explains the implications of signing an unfair divorce settlement. He outlines that divorce agreements can include mediation or settlement conference outcomes related to assets, custody, visitation, and child support. If you have signed such an agreement but are having second thoughts, it is essential to determine whether it has been signed by the court as an official order. This distinction is crucial because, while a signed agreement functions as an enforceable contract in typical civil cases, divorce cases involve equitable considerations specific to domestic matters which may provide differing legal remedies.