@djjd62,
I agree with this advice, Teena, although you probably won't do it. You love him and you're living with him, after all. But you know him and the situation better than we do, so...
For what it's worth, I wouldn't put up with that. Get in or get out; seems like he's got a foot or a toe, at least, in that relationship still, to be communicating with her at all.
He should have done the divorce when he did the separation agreement; and I don't know why he thinks she could/would get more given that they had an agreement, he paid her out, and she hasn't lived with him since. Maybe he should consult a good lawyer. So maybe that's a cop out or maybe he's just lazy or a procrastinator? But if it were me, I'd put my foot down. Get in or get out.