As we reported, Gwyneth filed for divorce a year ago, but curiously Chris never filed an answer. The judge recently warned a default judgment would be issued in Gwyneth's favor (since she's the petitioner) if the divorce lay dormant any longer.
Our sources say, in reality the divorce was never stalled ... the business people for the former couple were hashing out a settlement. The plan was not to file any legal docs that would attract attention until the ink on the settlement was dry.
We're told one additional document needs their signatures before it's a done deal. The document is merely a formality, and the only reason it hasn't been signed yet is because Gwyneth and Chris were in Peru with their kids for spring break.
We're told the settlement will be complete in a matter of days ... possibly later Tuesday.
Under the deal, Chris and Gwyneth get joint custody of 11-year-old Apple and 9-year-old Moses. They have worked out a property division and all that's left is for the judge to sign off.