Family Law Blog
Family Law
Back to School! Now What?
As summer comes to a close and children prepare to return to school, many divorced or separated parents find themselves facing the need to adjust their custody schedules. The shift from the more relaxed, flexible summer arrangements to the structured routine of the school year can be challenging. Understanding how custody schedules can change during this transition and planning accordingly can help ensure a smooth adjustment for parents and children. What is the best way to address these changes? Below are a few tips to facilitate a smooth transition back into the school year. Communicate Early and Often: Open communication between parents is not just important; it’s essential. Discuss potential custody changes well before the school year begins. Regular check-ins can help address any concerns and ensure both parents are on the same page, providing a sense of reassurance and keeping everyone well-informed. Create a Detailed Plan: A detailed custody plan can prevent misunderstandings and conflicts. The plan should outline the daily schedule, transportation arrangements, responsibilities for extracurricular activities, and any other relevant details. Be Flexible and Cooperative: Flexibility and cooperation are not just helpful but key to successful co-parenting. Be willing to adjust as needed and consider each other's work schedules, commitments, and the child's needs. This approach empowers you to control the situation and work together for the best outcome for your child. Prioritize the Child's Best Interests: Always keep the child's best interests at the forefront of any decisions. Stability, consistency, and a supportive environment are crucial for the child's well-being and academic success. This responsibility and care for your child's needs should guide all your decisions. Seek Mediation or Legal Assistance if Necessary: If parents cannot agree on custody schedule changes, seeking mediation or legal assistance may be necessary. A mediator or family law attorney can help facilitate discussions and find a resolution for everyone involved. Adjusting custody schedules when children return to school can be a complex process. Still, parents can navigate this transition smoothly with careful planning, open communication, and a focus on the child's best interests. By working together and being flexible, parents can ensure their children have the stability and support they need to thrive academically and emotionally. If you need assistance modifying a custody schedule, consulting with an experienced family law attorney can provide valuable guidance and help protect your rights as a parent.
August 15, 2024
Family Law
How to Value a Startup Business in a Divorce
Startups differ from mature businesses in that they are typically in the early stages of development, often with unpredictable revenue streams, high growth potential, and significant risk. This makes traditional valuation methods, which rely heavily on historical financial data, less effective. There are key aspects to consider when valuing a startup, which includes: Stage of Development: Is the startup in its seed stage, early stage, or growth stage? Revenue and Earnings: Startups may have little to no revenue or earnings, which affects the valuation approach. Business Model: Understanding the business model is critical as it determines the potential for future profitability. There are several methods to value a startup in a divorce, each with its own set of assumptions and applicability: Income Approach (Discounted Cash Flow—DCF): This approach involves projecting the startup's future cash flows and discounting them to their present value. However, due to startups' speculative nature, this method can be challenging and may require adjustments to account for higher risks. Market Approach: This method involves comparing the startup to similar businesses that have been recently sold. In the context of a startup, this could mean looking at other startups in the same industry and stage of development. However, finding comparable companies can be difficult, and the market approach often requires significant adjustments. Asset-Based Approach: This approach focuses on the value of the startup's assets, including intellectual property, equipment, and other tangible or intangible assets. For startups, this might undervalue the business, especially if the company's value is tied more to future potential than current assets. Venture Capital Method: Investors often use this method to value startups. It involves estimating the startup's exit value (the amount for which the startup could be sold in the future) and working backward to determine the present value. This method can be helpful but relies heavily on assumptions about future performance. Cost to Duplicate: This method calculates the cost of reviving the startup from scratch. While this may not reflect the market value, it can provide a baseline for valuation. When valuing a startup in a divorce, several personal and business factors must be considered: Ownership Structure: If the startup has multiple co-founders, the ownership percentage of the spouse involved in the divorce needs to be clearly defined. Role of the Spouse: The spouse's involvement in the startup (whether as a co-founder, employee, or passive investor) can affect the valuation and how the business is treated in the divorce. Legal Agreements: Any pre-existing agreements, such as prenuptial or postnuptial, can influence how the startup is valued and divided. Impact on Business Operations: The divorce may affect the startup's operations, especially if both spouses are involved. The potential implications for business continuity should be considered in the valuation. Given the complexities involved in valuing a startup, hiring a professional business valuator with experience in startups and divorce cases is often advisable. A qualified expert can provide a more accurate and unbiased valuation, which ensures a fair settlement. Once the startup's value has been determined, the next step is negotiating how that value will be divided. This can involve various options, such as: One spouse buys out the other's interest in the business. Selling the business and dividing the proceeds. Offsetting the value of the startup with other marital assets. Valuing a startup in a divorce is a complex process that requires a thorough understanding of the business and the personal dynamics involved. Each valuation method has pros and cons, and the most appropriate approach depends on the specific circumstances of the startup and the divorce. Engaging a professional valuator and carefully considering all factors can help ensure the process is fair and equitable for both parties. Ultimately, the goal is to achieve a valuation that reflects the startup's true worth, considering the unique challenges it presents in the context of a divorce.
August 13, 2024
Family Law
Traveling Abroad with Children During a Divorce: What You Need to Know
Understanding the legal requirements is one of the first and most critical steps in planning an international trip with your children during a divorce. Custody and Visitation Agreements: Review your custody and visitation agreements carefully. These documents will outline the rights of both parents regarding the children's travel. If your agreement restricts travel or requires the other parent's consent, you must follow these terms to avoid legal complications. Obtaining Consent: In most cases, you'll need the other parent's consent to travel abroad with your children. This consent should be in writing and include trip details, such as dates, destinations, and contact information. Some countries require this written consent when entering or leaving the country. Court Orders: If you cannot obtain the other parent's consent, you may need to seek a court order allowing you to travel. The court will consider whether the trip is in the children's best interest and whether it disrupts the other parent's visitation rights. Passports: Ensure that your children's passports are up to date. Both parents must usually sign a child's passport application unless one parent has sole legal custody. If your ex-spouse refuses to cooperate, you may need to go to court to obtain a passport. The Hague Convention: If you're traveling to a country that is a signatory to the Hague Convention on International Child Abduction, be aware of the legal protections this treaty provides. It helps prevent one parent from wrongfully retaining a child in a foreign country. Be very cautious if a parent wants to travel to a country that is not a signatory to the Hague Convention on International Child Abduction. Once the legal matters are settled, focus on planning the logistics of your trip. Itinerary and Contact Information: Share your complete travel itinerary, including flight information, accommodation details, and contact numbers, with the other parent. This transparency helps build trust and ensures both parents know the children's whereabouts. Emergency Contacts: Provide the other parent with emergency contact information, including local contacts in the destination country, the nearest U.S. embassy or consulate, and the children's healthcare providers. Healthcare Considerations: Ensure you have all necessary medical documents, including prescriptions, insurance information, and vaccination records. It's wise to have travel insurance that covers your children for the trip. Traveling during a divorce can sometimes lead to conflicts, especially if communication between you and your ex-spouse is strained. Conflict Resolution: Approach any disputes calmly and rationally. If a disagreement arises over travel plans, consider mediation to resolve the issue without escalating tensions. Respect Boundaries: Respect the other parent's boundaries and rights. Make sure to discuss them with your ex-spouse before making any last-minute changes to the travel itinerary. Legal Recourse: If conflicts cannot be resolved amicably, it may be necessary to seek legal advice or intervention. Always prioritize the best interests of your children in any legal action. Traveling abroad with your children during a divorce requires careful planning and consideration. Adhering to legal requirements, addressing your children's emotional needs, and maintaining open communication with the other parent can ensure the trip is a positive experience for everyone involved.
August 13, 2024
Family Law
Protecting Your New Home During Divorce: What You Need to Know
When you are separated and going through a divorce, whether in New Jersey or almost anywhere in the United States, you need to be mindful of any assets you acquire prior to a divorce decree being signed by a judge and the entry of an accompanying Order disposing of all marital property. In New Jersey, property acquired after separation is generally considered non-marital. However, it could be considered marital if the source of funds used to acquire the real estate were marital property (i.e., saved/acquired during the marriage). For example, if you are separated and use funds from a credit union account that accrued during the marriage for a down payment, that condominium would be considered marital property and subject to equitable distribution. This means your spouse could have a claim to the condominium, and any earnings and losses from the investment may also be considered marital and subject to equitable distribution. Using the tracing method, you can determine the origination of the down payment. To safeguard a post-separation acquisition is not considered marital property, it is best to use only funds earned after separation. Alternatively, if you need to use funds that are part of the marital estate, consult with your counsel and obtain consent from the other party or the Court to use such funds as a credit against your share of equitable distribution before making the purchase. It is important to keep all documentation to trace and demonstrate the source of funds used for the purchase, thereby protecting your post-separation property from any claims by your spouse. Every case is unique. The information above is generally applicable, but it is important to consult with a seasoned family law attorney in the state in which you live. By taking these precautions, you can better safeguard your post-separation acquisitions and ensure a fair distribution of marital assets during the divorce process.
August 7, 2024
Family Law
My Spouse Had an Affair. What Rights Do I Have?
A question divorce attorneys are frequently asked is, “how will my spouse’s affair impact my divorce?” There are a few things to consider when dealing with adultery in divorce proceedings. Grounds for Divorce. As of October 2023, adultery is no longer grounds for divorce in Maryland. In fact, Maryland has abolished its fault-based grounds for divorce and now only recognizes three no-fault grounds: 6-month separation, irreconcilable differences, and mutual consent. Alimony. A judge will evaluate several factors when considering whether or not to award a party alimony, including the duration and amount. One of the factors is the circumstances leading to the divorce. This is where adultery comes into play. If your spouse had an affair, and financial support is necessary to maintain a reasonable standard of living or to become self-supporting, proving adultery could be an important factor in your alimony case. Property Division. Similar to alimony, property division is a factor-based inquiry where fault, including adultery, is considered. The court will analyze a multitude of factors when determining how to divide marital property, so it is important to address each factor that is relevant to your claim, including your spouse’s affair. Custody. Contrary to what most believe, adultery does not weigh heavily on a court’s decision about custody of minor children. It is often the case that someone can be a poor spouse but a good parent. However, suppose the adulterer is making poor judgment decisions about the children due to their extramarital affair (for example, taking the children to bars or leaving them unattended to spend time with a paramour). In that case, a court may weigh this behavior when determining parental fitness. It is hard enough to face the reality of dissolving a marriage, but finding out your spouse is having an affair will make an already difficult situation almost impossible. The emotional aspect of adultery is one of the biggest hurdles to a successful, amicable divorce. That is why it is important to have an experienced, skilled attorney who can objectively evaluate each fact related to your case to help you achieve a favorable outcome.
July 29, 2024
Family Law
Child Privilege Attorney in Divorce: Protecting Confidentiality and Best Interests
A Child Privilege Attorney (CPA) is a legal professional appointed to protect a child's privilege, or right to confidentiality, concerning therapeutic and counseling communications. This role is vital in divorce cases where parents may seek access to the child’s therapy records to support their custody claims or other aspects of the divorce. The Role and Responsibilities of a Child Privilege Attorney Confidentiality Advocacy: A CPA's primary responsibility is to determine whether a child's confidential communications with their therapist or counselor should be disclosed in a court proceeding. A goal of the CPA is to preserve the child’s ability to speak openly without fear that their disclosures will be used against them or their parents in court. Legal Representation: CPAs represent the child in legal proceedings, arguing the issue of privileged information. They may file motions to quash subpoenas or resist the disclosure of therapy records. Balancing Interests: While prioritizing the child's confidentiality, CPAs also consider the child's overall best interests. This might involve selectively disclosing certain information if it is deemed crucial for the child’s welfare and with appropriate safeguards. Collaborating with Therapists: CPAs work closely with the child's therapist to understand the nature of the communications and determine which parts should remain confidential. Factors in determining whether or not to waive a Child’s Privilege in Divorce Encouraging Open Communication: Children are likelier to engage honestly in therapy if they know their disclosures are private. This openness is crucial for effective mental health treatment. Protecting Mental Health: Exposure of therapy records can retraumatize children, damaging their mental health and trust in the therapeutic process. Preventing Manipulation: In contentious divorces, parents might attempt to use therapy records to manipulate custody outcomes. CPAs help prevent such misuse by safeguarding privileged information. History of Abuse or Neglect: In cases involving abuse or neglect, maintaining the child’s confidentiality can be crucial for their safety and emotional well-being. However, it may be necessary to waive to inform the court of allegations made by a child in therapy. Challenges Faced by Child Privilege Attorneys Complex Legal Landscape: Navigating the legal complexities surrounding privilege and confidentiality in family law requires a deep understanding of mental health and legal principles. Parental Opposition: CPAs often face resistance from parents who believe that accessing therapy records is, or is not, in their child’s best interests. Judicial Discretion: Judges have considerable discretion in determining whether to uphold or override privilege, making the CPA’s advocacy crucial but not always determinative. Balancing Transparency and Confidentiality: Striking the right balance between necessary disclosures and maintaining confidentiality can be challenging, especially in high-stakes custody battles. An experienced Child Privilege Attorney may be appropriate in divorce proceedings, ensuring their right to confidential therapeutic communications is protected. By safeguarding this privilege, CPAs play a critical role in promoting the child’s mental health, preventing the misuse of sensitive information, and ultimately ensuring that the child's best interests remain the central focus of divorce proceedings. As awareness of this role grows, CPAs are likely to become an increasingly integral part of family law, offering children the protection and advocacy they deserve during one of life's most challenging times.
July 11, 2024
Family Law
What Happens to the Marital Home During Divorce?
The marital home is often one of the most significant and emotionally charged assets in a divorce. Deciding what happens to the home can be a complex and contentious process involving both financial considerations and personal attachments. There are options with regard to the Marital Home, including: Selling the HomePros: Selling the marital home is a common option, as it allows both parties to liquidate the asset and divide the proceeds. This option can give both parties a clean break and financial resources to start anew. Cons: Selling a home can be time-consuming and emotionally challenging. Additionally, market conditions may affect the sale price, potentially leading to financial losses. One Spouse Buys Out the OtherPros: If one spouse wishes to keep the home, they can buy out the other spouse’s share. This option allows one party to maintain stability, particularly if children who benefit from staying in the same home and school district are involved. Cons: The buying spouse must have the financial resources to afford the buyout, which can be substantial. Additionally, refinancing the mortgage in one spouse’s name may be necessary, which could be challenging depending on their financial situation. Co-Ownership Post-DivorcePros: In some cases, divorcing couples may agree to continue co-owning the home temporarily. This arrangement can be beneficial if the housing market is unfavorable, or the children’s needs are prioritized. Cons: Co-ownership requires ongoing cooperation and communication, which can be difficult post-divorce. There is also the risk of future disputes over maintenance costs, mortgage payments, and eventual sale. Deferred Sale (Nesting)Pros: Deferred sale or “nesting” involves spouses taking turns living in the home while the children remain there full-time. This arrangement provides stability for the children and allows both parents to share in the responsibilities of the home. Cons: This arrangement requires significant coordination and ongoing communication. It is typically a short-term solution until a more permanent arrangement can be made. Some factors may be considered in determining what to do with the Marital Home, including: Financial ConsiderationsEquity and Mortgage: The home’s equity and the remaining mortgage balance will significantly impact the decision. Both parties must consider whether they can afford the mortgage, maintenance, and associated costs. Credit and Financing: Refinancing the mortgage in one spouse’s name requires good credit and sufficient income. This step is crucial if one spouse plans to buy out the other or keep the home. Children’s NeedsStability and Continuity: If children are involved, their need for stability and continuity will be a significant consideration. Keeping the marital home may be beneficial to minimize disruption to their lives. Emotional AttachmentsPersonal Value: The emotional attachment to the home can influence decisions. It’s essential to balance emotional factors with practical financial considerations. Legal AgreementsPrenuptial and Postnuptial Agreements: Any existing agreements will play a role in determining the outcome. These documents may specify what happens to the marital home in the event of a divorce. State LawsCommunity Property vs. Equitable Distribution: State laws vary in dividing marital property. There are legal process options in determining what happens with the Marital Home, including: Negotiation and MediationCollaborative Approach: Many couples resolve the fate of the marital home through negotiation or mediation. This collaborative approach allows for more flexibility and control over the outcome. Court DecisionJudicial Ruling: The court will decide if the couple cannot agree. The judge will consider various factors, including financial circumstances, children’s needs, and each party’s ability to maintain the home. Deciding what happens to the marital home during a divorce is a complex process that requires careful consideration of financial, emotional, and legal factors. Each option—selling the home, one spouse buying out the other, co-ownership, or deferred sale—has pros and cons. The decision should be guided by the best interests of both parties and any children involved, aiming for a resolution that provides stability and fairness.
July 11, 2024
Family Law
Navigating LGBTQ+ Divorce: Unique Legal Considerations
With the 2015 decision in Obergefell v. Hodges, same-sex marriage has been recognized nationwide for nearly ten years. But what about same-sex couples who partnered through civil unions or other means 10, 20, or even 30 years prior to Obergefell? This is an important consideration when navigating LGBTQ+ divorce. Some couples married “on paper” for only nine years may be entitled to benefits from the relationship spanning beyond those years. In some jurisdictions, an argument can be made to divide what would otherwise be considered non-marital property in favor of the non-owning spouse if they were a contributor to the asset prior to marriage. For example, say a same-sex couple had been living together since 1995 and promptly got married in the District of Columbia once same-sex marriage was legalized in 2010. From 1995 until 2010, the house they lived in was the separate property of one spouse, but for 15 years, the other spouse put his own money into renovations, decorated, furnished, and helped make the house into a home. In this scenario, it would be equitable for the court to treat the house as a marital asset, given the circumstances of the parties’ relationship and the contributions made by the non-owner spouse. In other words, it would be unfair to erase 15 years of dedication to a home and family solely because the couple was not legally allowed to marry until 2010. When divorcing as a same-sex couple, it is important to have an attorney who recognizes the unique issues LGBTQ+ couples face in the legal realm. Though we are making great strides for our community, the laws protecting us are still behind. Having an experienced LGBTQ attorney to identify and address these unique concerns is paramount to achieving a fair and equitable outcome.
June 21, 2024
Family Law
Home State Jurisdiction and the UCCJEA: Ensuring Stability in Child Custody Matters
In the arena of family law, child custody disputes often present some of the most challenging issues. To provide clarity and uniformity across state lines, the Uniform Child Custody Jurisdiction and Enforcement Act (UCCJEA) was enacted. Central to the UCCJEA is the concept of "home state jurisdiction," which serves as the cornerstone for determining the appropriate jurisdiction for custody matters. Understanding the UCCJEA The UCCJEA, adopted by 49 states, the District of Columbia, Guam, and the U.S. Virgin Islands, aims to avoid jurisdictional competition and conflict in child custody matters. It establishes clear guidelines for courts to follow, ensuring that only one state exercises jurisdiction over a child custody case at any given time. This uniformity helps prevent parents from "forum shopping" for a more favorable court and minimizes legal conflicts across state borders. Home State Jurisdiction: The Primary Principle Home state jurisdiction is the principal basis for initial child custody determinations under the UCCJEA. The "home state" is the state where the child has lived with a parent or a person acting as a parent for at least six consecutive months immediately before the commencement of the custody proceeding. For children under six months old, the home state is where the child has lived since birth. This principle ensures that custody decisions are made in the state with which the child and family have the most significant connection, promoting stability and continuity for the child. Application of Home State Jurisdiction Initial Custody Determinations: The UCCJEA mandates that the home state has exclusive jurisdiction to make an initial custody determination. If no state qualifies as the home state, jurisdiction may be established in a state where the child and at least one parent have significant connections and where substantial evidence concerning the child's care, protection, training, and personal relationships is available. Significant Connection Jurisdiction: When no home state exists, a court may exercise jurisdiction if the child and a parent have a significant connection with the state and substantial evidence about the child's care is available there. This secondary basis for jurisdiction ensures that a court with meaningful ties to the child can make informed custody decisions. Emergency Jurisdiction: The UCCJEA allows for temporary emergency jurisdiction if the child is present in a state and has been abandoned or needs protection due to mistreatment or abuse. This provision ensures that urgent matters can be addressed promptly, even if another state is the child's home state. Modification of Custody Orders: The UCCJEA also governs the modification of custody orders. Generally, the state that made the original custody determination retains exclusive jurisdiction to modify its order unless it relinquishes jurisdiction or neither the child nor the parents have a significant connection with the state anymore. Enforcement Across State Lines One of the critical features of the UCCJEA is its provisions for enforcing custody determinations across state lines. Courts are required to enforce and not modify valid custody orders from other states, ensuring consistency and respect for judicial decisions across the country. Challenges and Considerations While the UCCJEA provides a comprehensive framework, applying its principles can still be challenging. Issues such as determining the child's home state in cases of frequent moves, addressing allegations of abuse, and coordinating between states require careful legal navigation. Additionally, the only state that has not adopted the UCCJEA is Massachusetts, which sometimes necessitates additional considerations when dealing with interstate custody matters involving this state. Should you have a matter involving interstate custody, consider contacting an experienced family lawyer to assist you with navigating your case.
June 4, 2024
Family Law
Dividing Luxury Personal Property
Divorce proceedings can be complex and emotionally charged, particularly when substantial assets are involved. Among the most challenging items to divide are luxury personal properties such as art, automobiles, yachts, and airplanes. These high-value assets not only represent significant financial investments but also often carry sentimental value and symbolize a particular lifestyle. Properly navigating the division of such assets requires a combination of legal acumen, financial expertise, and, sometimes, emotional resilience. The first step in dividing luxury personal property is to establish a fair and accurate valuation. Unlike more common marital assets, luxury items may require specialized appraisals. Several factors contribute to the value of these assets, including: Age and Condition: Similar to real estate, the age and current condition of the asset can significantly affect its market value. Regular maintenance and upgrades can preserve or even enhance their worth. Market Demand: The market for luxury assets is niche and fluctuates based on economic conditions and buyer interest. An expert appraiser will consider current market trends and comparable sales. Customization and Upgrades: Custom features, high-end materials, and state-of-the-art technology can increase the value of these assets. However, highly personalized modifications might appeal to a narrower pool of buyers, potentially impacting resale value. Engaging a certified appraiser who specializes in luxury assets is essential to ensure that both parties receive a fair assessment. Divorce laws vary by jurisdiction, but in many places, assets acquired during the marriage are subject to equitable distribution. Equitable does not necessarily mean equal; rather, it means fair. Courts consider various factors to determine an equitable distribution, including: Length of the Marriage: Longer marriages might result in a more even split of assets. Contributions to the Marriage: Contributions can be financial or non-financial, such as homemaking or supporting a spouse's career. Economic Circumstances: The current and future economic circumstances of each spouse are considered. If one spouse has significantly higher earning potential, this may influence the division. Negotiation and mediation can also play crucial roles in this process. Couples may agree on a division that reflects their unique circumstances, potentially avoiding the need for a court to decide. Once valuation and legal considerations are addressed, couples have several options for dividing luxury personal property: Sell and Split the Proceeds: Selling the asset and dividing the proceeds can be the simplest solution. However, this process can be time-consuming and may result in a sale below market value, particularly in a slow market. One Spouse Buys Out the Other: If one spouse has a strong attachment to the asset or a greater ability to maintain it, they may opt to buy out the other’s interest. This requires an accurate valuation and may involve refinancing or taking on debt. Joint Ownership Post-Divorce: Though less common, some couples agree to maintain joint ownership, especially if children are involved or if the asset is used for business purposes. Clear agreements and boundaries are essential to make this arrangement work. Trade-Offs with Other Assets: Another approach is to offset the value of the asset with other marital assets. For example, one spouse may retain the yacht while the other receives a comparable value in real estate, investments, or other property. Beyond financial and legal aspects, emotional and practical considerations can influence the division of luxury assets. Items such as yachts and airplanes are not just assets but lifestyle choices, often tied to cherished memories and social status. Couples must navigate these waters with sensitivity and pragmatism. Usage and Maintenance: Consider who used the asset more frequently and who is better equipped to handle ongoing maintenance costs and responsibilities. Sentimental Value: Acknowledge any sentimental attachment and weigh it against practical realities. Sometimes, letting go can be the healthiest choice. Future Needs: Consider each spouse’s future needs and lifestyle. For instance, if one spouse plans to relocate far from the coastline, retaining a yacht may be impractical. Dividing luxury personal property in a divorce is a multifaceted process that requires careful consideration of legal, financial, and emotional factors. By engaging experts, understanding legal frameworks, and negotiating with transparency and fairness, couples can reach an agreement that respects both parties' interests and paves the way for a smoother transition to the next chapter of their lives.
June 4, 2024
Family Law
Should Your Wedding Checklist Include a Prenup?
Fans of The Golden Girls may remember the episode in which Dorothy decides to remarry her ex-husband, Stan. He’s the selfish, cheating, novelty salesman Dorothy had married as a teenager in a shotgun wedding. Although they are now divorced, Stan remains the bane of Dorothy’s existence. She calls him, without irony, a “yellow-bellied sleaze ball,” among other epithets. Dorothy’s decision to remarry Stan has Rose, Blanche, and Sophia all rolling their eyes. It is only on the day of the wedding, when Stan unexpectedly asks Dorothy to sign a prenuptial agreement, that she comes to her senses and calls it off. “I don’t want to make the same mistake twice,” she tells her disbelieving guests. A prenuptial agreement may be the least romantic thing an engaged couple can talk about. Simply bringing up the topic may arouse suspicion, suggesting a lack of good faith or an expectation of divorce. But rather than any want of sincerity, preparing a prenup can reflect a couple’s maturity and respect for each other. The process of sorting through the terms of the agreement may even bring them closer together. Under Maryland law, the separate assets each partner brings to a marriage belong to that person, even if the marriage ends in divorce. The assets they acquire during the marriage, however, would be divided equitably between them in the event of a breakup. A prenup is a contingency plan that enables the couple to say what that division should look like. For example, each partner could simply take what they separately contributed to the union and be on their way. Or the partner with greater assets could agree to support the other long enough for them to get back on their feet. The agreement can also say what happens to the family home. Should one partner be allowed to buy out the other’s interest in the house? Or should the property be sold and the proceeds divided according to the percentages each of them contributed to the down payment and mortgage installments? Children are another consideration. If one partner has children from a prior relationship, the agreement could allow him to bequeath his entire estate to them, rather than his new spouse. This provision would trump the surviving spouse’s legal right to take a third or more of the estate as her “spousal share.” If the couple already has children together, one or both spouses could agree to maintain life insurance for the children’s benefit while they are still minors. The one thing a prenup cannot dictate is custody of the parties’ own children in the event of divorce. Regardless of what provisions it includes, a prenuptial agreement can be a reassuring document to have in the fire safe. It’s a lot like the airbag in your car—you hope you’ll never have to use it, but you’ll be grateful to have it if the need arises. As a practical matter, that need may be more likely to arise for some couples than for others. With the arrival of same-sex marriage, many couples are tying the knot after having been together for years or even decades. These relationships have already withstood the test of time and are unlikely to end in divorce. But two people in a newer relationship may like the idea of a prenup so they can enter into marriage prepared for the unexpected. In the same way, couples who are significantly different in age, wealth, or level of education should give a prenuptial agreement serious consideration. Having children from a prior marriage is another circumstance in which a prenup may be advisable. If Dorothy Zbornak, already in her wedding dress, had gone ahead and signed Stan’s prenup, it probably wouldn’t have held up in court. Stan, ever the yutz, had neglected to follow some important formalities. First, the document should include full financial disclosures from both partners. Any omission could invalidate the agreement. Second, two attorneys should be involved, one to represent the separate interests of each partner. And third, sufficient time should be allowed between executing the agreement and exchanging vows to avoid the suggestion that either partner was pressured into signing. A valid prenuptial agreement can save a couple time, money, and heartache if things don’t go as expected. If there are wedding bells in your future, contact an attorney who practices in this area to determine whether a prenuptial agreement is right for you.
May 15, 2024
Family Law
What are Capital Gains, and How can Capital Gains impact my divorce?
Capital gains are the profits realized from the sale of assets such as stocks, bonds, real estate, or other investments. When an asset is sold for more than its original purchase price, the difference represents a capital gain. These gains are subject to taxation, but the amount of tax owed can vary depending on several factors, including the length of time the asset was held and the individual's tax bracket. In divorce cases, capital gains may become a significant consideration when dividing marital assets. Generally, the division of assets in a divorce is based on the principle of equitable distribution, which does not necessarily mean equal distribution but rather what is deemed fair by the court. When it comes to capital gains, there are several key factors to consider: Date of Valuation: The valuation date of assets can significantly impact the division of capital gains. In some jurisdictions, the valuation may be set at the date of separation, while in others, it may be set at the date of divorce. The choice of valuation date can have implications for the calculation of capital gains and the subsequent division of assets. Tax Implications: It's essential to consider the tax implications of dividing assets with capital gains. Transfers of assets between spouses incident to divorce are generally not subject to capital gains tax at the time of the transfer. However, the receiving spouse will inherit the original cost basis of the asset, potentially leading to higher capital gains taxes when the asset is eventually sold. Qualified Domestic Relations Order (QDRO): In the case of retirement accounts such as 401(k)s or pensions, a Qualified Domestic Relations Order may be necessary to divide the assets without incurring tax penalties. A QDRO outlines how retirement benefits will be divided between spouses, including any potential capital gains tax implications. Professional Assistance: Given the complexity of capital gains taxation and its implications for divorce settlements, seeking the advice of financial and legal professionals is highly recommended. A financial advisor or tax accountant can provide valuable guidance on the most tax-efficient ways to divide assets and minimize capital gains tax liabilities. Understanding how capital gains are treated and the potential tax implications is essential for both spouses to ensure a fair and equitable settlement. By considering factors such as the valuation date of assets, tax implications, and the use of tools like Qualified Domestic Relations Orders, couples can navigate the complexities of capital gains in divorce and work towards a mutually beneficial resolution. Seeking the advice of financial and legal professionals can provide invaluable support in this process, helping to ensure that both parties achieve a fair outcome.
May 9, 2024
Family Law
What happens to Debt in Divorce: Understanding Financial Responsibilities
Divorce is a challenging time, often fraught with emotional and logistical complexities. Amidst the emotional upheaval, one aspect that requires careful consideration is the division of debts. Financial entanglements can add a layer of complexity to an already difficult situation. Understanding how debts are handled during a divorce is crucial for both parties to ensure a fair and equitable resolution. When a couple decides to end their marriage, their assets and debts must be divided, ideally through an amicable agreement or by court order if necessary. Debts accumulated during the marriage, whether they are mortgages, car loans, credit card debts, or other financial obligations, are subject to division, much like marital assets. The legal principle governing debt division varies depending on the jurisdiction. In community property states, such as California, debts incurred during the marriage are generally considered community property and are divided equally between spouses, regardless of who incurred the debt. In equitable distribution states, which include the majority of states in the US, debts are divided fairly but not necessarily equally, taking into account factors such as each spouse's income, earning potential, and financial contributions to the marriage. Types of Debt: Marital Debt: Debts incurred during the marriage are typically considered marital debt, regardless of which spouse's name is on the account. This includes mortgages, car loans, credit card debt, personal loans, and any other liabilities accrued during the marriage. Separate Debt: Debts acquired before the marriage or after the separation are generally considered separate debt and may remain the responsibility of the spouse who incurred them. However, if separate debt was used for marital purposes, such as household expenses or joint purchases, it may be subject to division. Joint Debt: Loans or credit accounts held jointly by both spouses are equally the responsibility of both parties. Even if only one spouse benefited from the debt, both are still liable for repayment. Joint debts can include joint credit cards, joint bank accounts, or co-signed loans. During divorce proceedings, the division of debt can be negotiated between the spouses or decided by a judge. Ideally, divorcing couples should aim to reach a mutually agreeable arrangement through mediation or collaborative divorce to maintain some level of control over the outcome. However, if an agreement cannot be reached, the court will intervene and make decisions based on state laws and the specific circumstances of the case. Factors Considered in Debt Division: Income Disparity: If one spouse earns significantly more than the other, the court may allocate a larger share of the debt to the higher-earning spouse to ensure both parties can maintain a similar standard of living post-divorce. Financial Contributions: The court may consider each spouse's financial contributions to the marriage when dividing debt. This includes income earned, assets brought into the marriage, and non-monetary contributions such as homemaking or childcare. Marital Misconduct: In some cases, marital misconduct such as financial infidelity or excessive spending may influence the division of debt. For example, if one spouse recklessly incurred debt without the other's knowledge, the court may assign a greater share of the debt to that spouse. Future Financial Needs: The court may take into account each spouse's future financial needs, especially if one spouse requires financial support due to health issues or caregiving responsibilities. Once the division of debt is finalized, each spouse is responsible for their allocated share of the debt. It's essential to take proactive steps to manage and address the debt to avoid negative consequences such as damaged credit scores or legal actions by creditors. Some strategies for managing debt post-divorce include: Refinancing or Transferring Debt: If feasible, spouses may consider refinancing joint loans or transferring debt to individual accounts to remove the other spouse's liability. Negotiating with Creditors: It may be possible to negotiate with creditors to modify payment terms or settle debts for a reduced amount, especially if financial circumstances have changed due to divorce. Creating a Repayment Plan: Developing a structured repayment plan can help manage debt effectively. Prioritize high-interest debts and consider consolidating multiple debts into a single, more manageable payment. Seeking Legal Advice: Consulting with a financial advisor or attorney specializing in divorce can provide valuable guidance on navigating debt division and developing a strategy for managing debt post-divorce. In conclusion, debt division is a critical aspect of the divorce process that requires careful consideration and negotiation. Understanding the types of debt, factors influencing division, and options for managing debt post-divorce can help spouses navigate this aspect of their separation more effectively. By working together or with the assistance of legal and financial professionals, divorcing couples can achieve a fair and equitable resolution to their financial obligations, allowing them to move forward with their lives independently.
May 9, 2024
Family Law
Navigating Passover Travel Challenges in Divorced Families
Passover, a joyous celebration of freedom and renewal, often inspires many Jews to embark on journeys to extravagant Passover programs spanning from Miami to Israel. However, for divorced individuals, these once familiar programs of familiarity and comfort during marriage may now remain unvisited. Travel, particularly concerning custody arrangements, can present complex challenges. Concerns such as international travel or transportation methods may arise, highlighting the importance of a clear understanding of legal rights and obligations. For divorced parents, understanding their legal rights and obligations regarding custody and travel is essential. This often involves establishing a clear custody agreement that outlines each parent's rights and responsibilities concerning the children. In cases of travel disputes or concerns, seeking legal guidance or mediation is often necessary for a resolution. International travel with children adds further complexity due to issues such as passport and visa requirements as well as the potential risk of parental abduction. Many countries have specific laws and procedures to prevent such incidents, often mandating consent from both parents of international travel. Given the current global climate, with rising antisemitism adding further uncertainty, divorced parents may hold drastically different views on international Passover travel. Effective communication and cooperation between parents are vital, especially when decisions about travel and the well-being of their children are at stake. Open dialogue and a willingness to compromise can help avoid conflicts and prioritize the children's needs. Navigating divorce-related issues, custody arrangements, and travel requires careful consideration of the legal framework and the best interests of the children. Consulting with legal professionals focusing on family law can provide invaluable guidance and support. If you have any questions or need assistance, please feel free to reach out for a consultation. Wishing you and your loved ones a Happy Passover.
April 22, 2024
Family Law
International Assets and Divorce
The division of international assets during a divorce can be complex due to differing laws and regulations in each country. The process of dividing international assets in a divorce typically involves the following steps: Identification of Assets: Both parties must disclose all international assets, including property, bank accounts, investments, and other assets held abroad. Valuation: The assets must be valued to determine their worth. This can be challenging when dealing with assets in different currencies and markets. Jurisdictional Issues: Different countries have different laws governing divorce and property division. The legal jurisdiction of the assets (i.e., which country's laws apply) needs to be determined. Property Division: Depending on the laws of the jurisdiction, international assets may be divided according to community property or equitable distribution principles. This may include splitting the assets equally or fairly between the parties. Currency Conversion: When assets are in different currencies, they may need to be converted to a common currency for division. Legal Proceedings: Divorcing couples may need to work with legal professionals in multiple countries to resolve issues related to international assets. Enforcement: Once a division agreement is reached, ensuring the enforcement of the agreement across different countries can be complicated. Legal processes may vary by country. Tax Implications: Dividing international assets may have tax consequences in different jurisdictions. Consulting tax professionals familiar with international tax laws is important. Settlements: In some cases, couples may reach a settlement agreement that includes international assets. This can simplify the process and avoid potential conflicts. If you are going through a divorce involving international assets, it's important to seek legal advice from professionals with experience in international divorce and property division.
April 16, 2024
Family Law
Essential Components of a Parenting Plan During Divorce
Divorce can be a challenging experience for families, especially when children are involved. One of the most important aspects of a divorce involving children is the creation of a parenting plan. A parenting plan, also known as a child custody agreement, outlines how parents will share responsibilities and time with their children after a divorce. Crafting a comprehensive and effective parenting plan can help reduce conflict and provide stability for the children. Here are the essential components to include in a parenting plan during a divorce: Custody Arrangements Physical Custody: Specifies where the child will primarily reside and the schedule for the child's time with each parent. Legal Custody: Determines which parent (or both) will have the authority to make major decisions regarding the child’s upbringing, such as education, healthcare, and religious upbringing. Visitation Schedule Establish a clear schedule for when the child will spend time with each parent, including regular visitation days, holidays, and special occasions such as birthdays. Include details on pick-up and drop-off times and locations to avoid misunderstandings. Communication Outline expectations for communication between the child and each parent, including phone calls, video chats, or other forms of contact. Specify how parents will communicate with each other about the child, including preferred methods (e.g., email, text) and frequency. Dispute Resolution Include a process for resolving disputes between parents, such as mediation, counseling, or another neutral third party. Avoid vague language and provide clear steps for conflict resolution to minimize misunderstandings. Child Support and Financial Provisions Specify the amount and frequency of child support payments, as well as how expenses such as medical care, education, extracurricular activities, and other significant costs will be divided. Address the child's insurance needs, including health, dental, and vision coverage. Education and Healthcare Address each parent's involvement in the child's education, including school-related decisions and participation in school activities. Specify how healthcare decisions will be made, including the choice of doctors and medical treatments. Travel and Relocation Define any restrictions on travel with the child, including requirements for notifying the other parent and obtaining consent for trips. Include provisions for what happens if one parent wants to relocate with the child, such as notice periods and mediation. Review and Modification Establish a process for reviewing and modifying the parenting plan as the child grows and circumstances change. Specify how often the plan will be reviewed (e.g., annually) and under what circumstances modifications can be made. Safety and Well-Being Address any concerns about the child's safety, including provisions for supervised visitation if necessary. Include guidelines for both parents regarding any substance abuse issues, criminal activity, or mental health concerns. Miscellaneous Provisions Consider including clauses for other aspects such as religious upbringing, participation in extracurricular activities, and access to the child's records (e.g., school, medical). Ensure the plan is as detailed as possible to avoid ambiguity and potential disputes. A well-thought-out parenting plan can provide a roadmap for co-parenting after divorce and help ensure the child's best interests are prioritized. Consulting with legal and family professionals can help parents create a comprehensive plan that suits their family's unique needs.
April 16, 2024
Family Law
Credit Card Chaos: Safeguarding Your Credit in Separation
Often spouses share joint credit cards during their marriage, or one spouse may be added as an authorized user on the other’s credit card. However, upon separation, one party may continue using the card, leading to significant debt accumulation. When considering divorce or separation, paying prompt special attention to the status of your credit accounts is crucial. Determine if the accounts are joint or individual. If there are any individual accounts, check if your spouse is an authorized user. Please consult an attorney about closing joint accounts or converting them to individual ones before canceling any authorized user cards. Additionally, it is essential to run a credit report to identify all accounts in your name or jointly. Often, one spouse may be unaware that their credit is linked to the other spouse’s accounts. In many divorce cases, parties and their attorneys will reach an agreement as to who is responsible for which credit card debt or arrange to pay off specific debts from marital assets before or after the finalization of the divorce. However, what if one party fails to abide by the agreement? In the case of a joint account, failure to pay by one party would adversely impact both parties’ credit scores. While the innocent spouse can bring the offending spouse back to court for violating the order, there is no court remedy to repair a credit score. Avoid leaving any loose ends in your divorce proceedings. Ensure all joint accounts are closed and paid off before the divorce is finalized or transferred into the responsible party’s name. Don’t solely rely on your spouse’s agreement to pay off the debt. Secure funds from another asset, if possible, to settle the account promptly and ensure your name is removed from the account as soon as possible. When considering divorce or separation, consult with an experienced family law attorney such as Megan Smith and Emily Ingall about closing joint accounts or converting them to individual accounts before canceling any authorized user cards. Should you have any questions, don't hesitate to contact Megan and Emily for guidance.
April 9, 2024
Family Law
Unleashing Your Inner Barbie: Embracing Independence after Divorce
While some may view the Barbie Movie as nothing more than a whimsical, kitschy movie based on the famous Mattel doll. However, when viewed through the lens of Ms. Greta Gerwig, the film’s director, the film illuminates Barbie’s journey of self-discovery as Barbie learns how to stand on her own two legs, both literally and figuratively, realizing that she does not need a “Ken” to define herself. Thus, she asserts her independence and defines herself on her own terms, free from the constraints of societal norms and expectations. In marriages, women often grapple with identity issues, feeling like their sense of self has been replaced by their role as a wife or mother. A common cause for divorce is a spouse’s desire and need to rediscover their identity. In post-divorce life, many women face the challenge of discovering who they are, what skills and resources they will need to navigate an independent life, where they fit into society, and, most importantly, how to successfully and meaningfully live life without their “Ken.” Progressing forward post-divorce is more challenging for more women than men since many must remain financially connected to their “Ken” through spousal and child support payments. Closure becomes more elusive, hindering pursuing new opportunities and nurturing personal growth. Whether you want to be a Teacher Barbie, an Attorney Barbie, a Nurse Barbie, or a Real Estate Agent Barbie, it is important, post-divorce, to surrender to your imagination and rely on your matrimonial attorney. They should not only have the experience to navigate you through the financial intricacies of divorce but also demonstrate empathy for your post-divorce journey. Recognize that finding your best Barbie may require additional support, such as a competent financial planner to help you manage assets, a therapist to boost self-esteem and confidence, or a vocational coach to aid in re-entering the workforce. Trust in this collaborative approach to empower yourself and pave the way for a fulfilling post-divorce life. In a poignant moment near the movie’s end, Barbie reflects, “I don’t think I have an ending.” Ruth Handler, the creator of Barbie (or rather her ghost, as portrayed by Rhea Perlman), affirms that this lack of conclusion was intentional. “That was always the point,” she explains to Barbie, “I created you so you wouldn’t have an ending.” Like Barbie’s story, divorce is not an end but a new beginning. It’s your narrative to shape, filled with choices and the occasional misstep. Embrace your journey, forgive yourself for any missteps, and remember to draw strength from your inner Barbie whenever doubt creeps in. In the journey of life, divorce marks not an ending but a beginning – an opportunity to redefine yourself and craft your own narrative. As you navigate this new chapter, our legal team is here to provide the support and guidance you need to empower yourself and embrace your future with confidence. Reach out to us today to take the first step towards reclaiming your independence and authoring your own story. Remember, you’re not alone – let us help you channel your inner Barbie and write the next chapter of your life. NOTE: BARBIE is a registered trademark of MATTEL, INC.
April 3, 2024
Family Law
Shareholder Agreements in Divorce: A Legal Perspective
Divorce proceedings can often involve complex financial negotiations, particularly when business interests are involved. When spouses who are shareholders in a company decide to part ways, it can raise a host of challenging issues regarding the disposition of shares, control of the business, and the future direction of the company. In such cases, understanding shareholder agreements becomes crucial, as they often dictate how shares can be transferred, sold, or retained in the event of a divorce. Shareholder agreements are legal documents that outline the rights and obligations of shareholders in a company. These agreements typically address a wide range of matters, including the transfer of shares, the appointment of directors, voting rights, and dispute resolution mechanisms. While shareholder agreements vary widely depending on the specific needs and circumstances of the shareholders and the company, they often contain provisions that address what happens in the event of a shareholder’s divorce. One common provision found in shareholder agreements is a buy-sell agreement, also known as a buyout agreement. A buy-sell agreement is a contractual arrangement between shareholders that governs the sale and purchase of shares under certain circumstances, such as death, disability, retirement, or divorce. In the context of divorce, a buy-sell agreement may specify that the shares owned by a divorcing shareholder must be sold to the remaining shareholders or to the company itself at a predetermined price or according to a specified valuation method. Another important consideration in the context of divorce is the issue of control and management of the business. In closely-held companies, where a small number of shareholders typically control the company, the transfer of shares as a result of divorce can have significant implications for corporate governance. Shareholder agreements often include provisions that address voting rights and the composition of the board of directors, which can become relevant in the event of a divorce. In some cases, spouses may be parties to a shareholder agreement together or may have entered into a separate agreement that governs their ownership interests in the company. In either scenario, the terms of the shareholder agreement will play a central role in determining how shares are treated in the divorce process. For example, if the shareholder agreement contains provisions restricting the transfer of shares or giving other shareholders a right of first refusal, those provisions will generally need to be respected in the divorce proceedings. However, it’s important to note that while shareholder agreements can provide valuable guidance and structure in the event of a divorce, they are not necessarily binding on the court. In some jurisdictions, the court does not have the authority to transfer title of shares from one spouse to another. However, if the parties enter into an agreement to transfer shares from one spouse to the other, the shareholder agreement becomes the governing instrument on effectuating the transfer. Ultimately, navigating shareholder agreements in the context of divorce requires careful attention to both the terms of the agreement itself and the applicable family law. Consulting with experienced legal counsel who can provide guidance on both corporate and family law issues can be essential in ensuring that the interests of all parties are protected and that the divorce process proceeds as smoothly as possible. By understanding the implications of shareholder agreements and how they intersect with divorce law, shareholders can better position themselves to protect their interests and preserve the value of their investments in the company.
March 14, 2024
Family Law
Navigating High-Asset Divorce Cases
High-asset divorces typically involve couples with substantial wealth, including real estate, investments, business interests, and other valuable assets. These cases require a meticulous approach to ensure a fair and equitable distribution of assets, spousal support, and child custody arrangements. Determining the value of complex assets such as businesses, stock options, and intellectual property can be challenging. Valuation experts may be required to assess the worth of these assets accurately. In some cases, spouses may attempt to conceal assets to reduce the amount subject to division. Uncovering hidden assets demands thorough financial investigations, and forensic accounting may be possible. The tax consequences of asset distribution need careful consideration. Dividing assets without a comprehensive understanding of tax implications can lead to unexpected financial burdens. When one or both spouses own a business, the division or buy-out of business assets becomes a critical issue. This involves assessing the business's value and determining the most equitable way to distribute ownership interests. High-asset divorces often involve substantial spousal support considerations. Calculating the appropriate amount requires a detailed analysis of each spouse's financial situation and needs. Your divorce attorney will help you engage the necessary financial experts, such as forensic accountants and valuation professionals. Comprehensive documentation of all assets, liabilities, and financial transactions is essential in determining the marital estate. Given the complexity of high-asset divorces, negotiation and mediation can be effective methods for reaching agreements outside the courtroom. This allows the parties more control over the outcome. Having a well-drafted prenuptial or postnuptial agreement can simplify the divorce process by establishing clear guidelines for asset division and financial arrangements. If you have such an agreement, you should provide a copy to your attorney. Each spouse should seek experienced legal representation with experience in high-asset divorces. Attorneys with expertise in this area can navigate the legal complexities and advocate for their client's best interests.
February 15, 2024
Family Law
Navigating the Path of Divorce Post-Holiday Season
A Guide to Moving Forward Divorce is a highly emotional process, and the holidays may offer a temporary reprieve from the intensity of these emotions. However, once the festive season concludes, individuals may find themselves emotionally prepared to confront the challenges of divorce. Once the New Year begins, it may become clearer that the issues within the marriage are insurmountable. Taking this time to reflect can provide individuals with the clarity and determination needed to initiate the divorce process. Many couples choose to delay divorce proceedings until after the holidays to maintain a sense of normalcy for their children. Proceeding with divorce after the holidays allows parents time to begin working on creating a stable schedule and supportive environment for their children as they navigate the changes ahead. The holiday season often comes with increased spending, and couples may delay divorce proceedings to avoid the additional financial strain during this time. Waiting until after the holidays can provide individuals with an opportunity to assess their financial situation, plan for the future, and make informed decisions about the division of assets and financial responsibilities. Post-holiday divorce proceedings allow individuals to set realistic expectations for the process ahead. It provides an opportunity to gather necessary documentation, consult with legal professionals, and develop a realistic timeline for the divorce proceedings. By approaching the situation with a clear plan, individuals can reduce stress and uncertainty. Consulting with legal professionals is a crucial step when proceeding with divorce. After the holidays, individuals can begin to gather necessary documentation, such as financial records, to facilitate the legal process. Seeking legal advice early on ensures that individuals are well-informed about their rights, responsibilities, and the potential outcomes of the divorce. While the decision to proceed with divorce is undoubtedly challenging, waiting until after the holidays can provide individuals with the time and space needed to make informed choices. By reflecting on the state of the relationship, considering the well-being of children, and planning for the financial and emotional aspects of divorce, individuals can navigate this difficult journey with greater clarity and resilience.
January 8, 2024
Family Law
What Happens to My Business During Divorce?
Divorce is a challenging and emotionally charged process, and when business ownership is thrown into the mix, it can become even more complex. For business owners, the stakes may be high, as the outcome of a divorce can significantly impact the future of their business. One of the initial steps regarding a business is to value the business or the owner’s interest in the business. Business valuation often involves assessing the company’s financial statements, assets, liabilities, and future earning potential. This process can be intricate and usually requires the expertise of financial professionals, such as forensic accountants or business valuation experts. In many jurisdictions, marital assets, including businesses, are subject to equitable distribution. Equitable distribution does not necessarily mean equal distribution but rather what is deemed fair and just by the court. Factors such as the contribution of each spouse to the business, the length of the marriage, and each party’s financial and non-financial contributions are considered during this process. There are several potential outcomes for the business in a divorce: One spouse may choose to buy out the other’s share of the business, allowing them to retain sole ownership. This buyout is typically based on the valuation of the business and the agreed-upon terms negotiated during the divorce proceedings. In some cases, divorcing spouses may opt for continued co-ownership of the business. This arrangement requires a well-defined and often legally binding agreement outlining each party’s responsibilities, decision-making authority, and financial contributions. Another option is to sell the business, with the proceeds being divided between the spouses according to the terms of the divorce settlement. The sale may be facilitated either on the open market or through a negotiated private sale. To protect their interests, business owners can take proactive measures before and during marriage. Implementing prenuptial or postnuptial agreements that specifically address business ownership can provide clarity in the event of a divorce. These legal documents can outline how the business will be valued, divided, or managed in the event of marital dissolution. Navigating the complexities of divorce and business ownership requires the expertise of professionals. Engaging attorneys with experience in family law and business matters is important. Additionally, financial experts, such as forensic accountants or business appraisers, can provide valuable insights into the financial aspects of the business and assist in the valuation process. When businesses are an issue in divorce, interest owners should be prepared for an examination of their business and its financial intricacies. By seeking professional guidance, understanding their legal rights and responsibilities, and exploring the available options, business owners can increase the likelihood of reaching a fair and equitable resolution during this challenging time.
January 5, 2024
Family Law
Cohabitation Agreements: Protecting Assets and Income of Unmarried Couples Residing Together in DC
Unmarried couples residing together in the District of Columbia would be wise to execute a cohabitation agreement defining their rights and responsibilities to avoid substantial financial risk. The District of Columbia is one of a small number of jurisdictions in the United States that recognize “common-law marriage.” Contrary to popular belief, there is no minimum amount of time that couples must live together to form a common-law marriage. Instead, a couple forms a common-law marriage in the District of Columbia when there is cohabitation following an express mutual agreement, which must be in words of the present tense, to be permanent partners with the same degree of commitment as the spouses in a ceremonial marriage. A common-law marriage can be formed without any marriage ceremony or marriage license. A well-drafted cohabitation agreement signed and notarized by both parties will unequivocally explain that the parties do not intend to form a common-law marriage. The agreement should also clarify that each party will retain their own assets and income and assume responsibility for their own debt if and when the relationship ends. In the absence of a cohabitation agreement, one of the parties to the relationship might file a complaint for divorce in the Superior Court for the District of Columbia, asserting that the parties formed a common-law marriage. If the Court concludes that the parties formed a common-law marriage, the Court can order one party to pay spousal support to the other, depending upon the facts of the case. The Court can also equitably distribute property and debt acquired by the parties from the date of marriage to the date of divorce, except property acquired by gift or inheritance, and order one party to reimburse the other party for attorneys’ fees incurred in the divorce proceeding. Even if the parties never formed a common-law marriage, the party who denies the existence of a common-law marriage will have to engage in lengthy and costly litigation to prove that the parties were never common-law married to avoid having his or her assets and income divided by the Court. The attorneys’ fees involved in defending against a false common-law marriage claim can be substantial. To avoid costly and time-consuming litigation and protect your income and assets, anyone planning to reside with another person in a romantic relationship or already residing with another person in a romantic relationship should promptly seek the assistance of an attorney in preparing a cohabitation agreement.
December 21, 2023
Family Law
In Landmark Ruling Pope Francis Approves Priestly Blessings for Same-sex Couples (Under Certain Circumstances)
On December 18, Pope Francis approved a landmark ruling allowing Roman Catholic priests to administer blessings to same-sex couples as long as they are not part of regular Church rituals or liturgies nor given in contexts related to civil unions or weddings. The declaration from the Vatican’s doctrinal office, approved by Pope Francis, said such blessings would not legitimize irregular situations but be a sign that God welcomes all and does not discriminate. Francis’ comments are the first uttered by a pope about such laws. But they are also consistent with his overall approach to LGBTQ people and belief that the Catholic Church should welcome everyone. Earlier this year, in January 2023, Pope Francis criticized laws that criminalized homosexuality as “unjust,” saying “being homosexual isn’t a crime,” and “God loves all his children just as they are” and called on Catholic bishops to welcome LGBTQ people into the Church.1 The formal declaration entitled “Fiducia Supplicans” (“Supplicating Trust”) was subtitled, “On the pastoral meaning of blessings” (“Fiducia Supplicans”), is a resistance to a rigid church, one that excludes people from blessings because they fail doctrinal or moral litmus tests, but also one that turns blessings — including to same-sex couples — into the supports of a new Canon legal structure. The Fiducia Supplicans evolved from a letter Francis sent to two conservative cardinals in October. It reaffirms that marriage is an “exclusive, stable and indissoluble union between a man and a woman, naturally open to conceiving children.” The declaration insists that Mass is not the proper setting for the less formal forms of blessing that could include the blessing of a gay couple, and it repeats that “it is not appropriate for a diocese, a bishops’ conference” or other church structure to issue a formal blessing prayer or ritual for unwed couples. Further, the blessing should not be given “in concurrence” with a civil marriage ceremony to avoid appearing as a sort of church blessing of the union. And it stresses that blessings in question must be non-liturgical in nature, must avoid using set rituals, and avoid the clothing and gestures that are traditional in a wedding. But it says requests for such blessings for same-sex couples should not be denied outright. Priests are to decide on a case-by-case basis and “should not prevent or prohibit the Church’s closeness to people in every situation in which they might seek God’s help through a simple blessing.” “Ultimately, a blessing offers people a means to increase their trust in God,” the document said. “The request for a blessing, thus, expresses and nurtures openness to the transcendence, mercy, and closeness to God in a thousand concrete circumstances of life, which is no small thing in the world in which we live.” Conclusion There has been a small burst of liberal activity in the Catholic Church on several fronts in 2023 from the Vatican’s Office of the Doctrine of the Faith, not just on the LGBTQ issue. On Oct. 31, Francis approved another document, making clear that transgender people can be baptized, serve as godparents, and be witnesses at church weddings, furthering his vision of a more inclusive church. And, for the first time, women and laypeople can vote on specific proposals alongside bishops, a radical change that is evidence of Francis’ belief that the Church is more about its flock than its shepherds. Pope Francis has worked steadily to open the Church to the LGBTQ+ community. For some, his efforts are too much. For others, they are not enough. 1 “Being homosexual isn’t a crime,” Francis said during an exclusive interview on January 24, 2023, with Tuesday with The Associated Press.
December 19, 2023
Family Law
It’s Tax Time
Although most folks think that tax time is April 15th or thereabouts, there are a number of things that you should consider doing before the end of the year that may affect your tax obligation for 2023. Certainly, check with your accountant or tax advisor, but generally, the end of December and the beginning of January are prime times to get organized. If you don’t already have a CPA or tax professional, this is a good time to find one and establish a relationship. CPAs often stop taking on new clients after the beginning of the year, and some tax planning in December may be very beneficial. As those forms come in, file them away in a safe place so that you can produce them easily when you begin the process of sharing them with your tax advisor. If you have had big changes in the past year, like a new baby or a second job, you may want to adjust your withholding early in the year. Of course, December is a great time to make donations to charity and maximize your IRA. If you are going to owe taxes when you file your return, you may want to pay as much as possible towards that obligation before the actual filing deadline.
December 13, 2023
Family Law
Dirty Tricks Employed by Lawyers and Disregarded by Judges
People are getting smarter nowadays; they are letting lawyers, instead of their conscience, be their guide. (Will Rogers) Divorce proceedings can often be emotionally charged and contentious, requiring individuals to seek legal representation to navigate through the complexities of the process. While most divorce lawyers uphold the highest standards of professionalism and ethics, there are, unfortunately, a few who resort to unscrupulous tactics to gain an advantage for their clients. This article aims to shed light on some commonly known trickery employed in divorce cases, i.e., bad behavior a litigant can expect to see coming from the other side, and with which they will need to cope, inasmuch as judges rarely punish any of this behavior. In other words, as one climbs onto the divorce carousel, make sure to fasten the belt around your waist because it is going to be a bumpy ride [1]. Concealing Assets One of the most prevalent unethical practices involves lawyers helping their clients hide or undervalue assets during the discovery portion of the case, which will ultimately lead directly into the property division segment of the case. This may include transferring assets to third parties, creating fake debts, or underreporting income. Typically, this will involve a lawyer’s failure to produce the financial documents sought by the other side in full or in part. Such actions hinder a fair distribution of marital property and can have severe consequences for the other party involved. Stirring Up Conflict Some lawyers intentionally fuel animosity between divorcing spouses instead of promoting amicable resolutions. By exacerbating conflicts or encouraging their clients to adopt hostile approaches, these lawyers create a more challenging environment for negotiation, causing emotional distress and escalating legal costs. Misrepresentation and False Accusations In pursuit of securing advantageous outcomes, some lawyers resort to presenting false information or distorting facts about the opposing party. This may involve fabricating evidence, making baseless accusations of wrongdoing, or tarnishing the reputation of the other spouse. Such behavior not only undermines the integrity of the legal process but also damages the overall trust between parties. Exploiting Power Imbalances Lawyers are expected to function as advocates for their clients, but when they exploit power imbalances between divorcing spouses, it can lead to unfair negotiations. Manipulating vulnerable clients or bullying the opposing party can distort the outcome and perpetuate injustices within the divorce process. Unnecessary Delays and Legal Maneuvering Some attorneys deliberately prolong divorce proceedings through excessive paperwork, unnecessary motions, or aggressive litigation strategies. This tactic aims to exhaust the opposing party’s financial resources and stamina, forcing them into a disadvantageous settlement or conceding to unfavorable terms out of desperation. Some refer to this as adopting a “scorched earth” policy, i.e., victory or supremacy at all costs [2]. Conclusion While the majority of divorce lawyers adhere to ethical standards, it is crucial to acknowledge the existence of unethical practices that can harm both parties involved in a divorce case. Recognizing these “dirty tricks” allows individuals to be vigilant and seek legal representation from reputable attorneys who prioritize fairness, transparency, and ethical conduct throughout the divorce process. [1] Paraphrase from “All About Eve” (1950). [2] https://www.merriam-webster.com/dictionary/scorched-earth
December 12, 2023
Family Law
Imputation of Income: Rebalancing the Support Scales
Money is like love; it kills slowly and painfully the one who withholds it, and enlivens the other who turns it on his fellow man. (Kahlil Gibran) When one or both spouses in a divorce fail to properly account for their income and expenses or pursue unemployment or underemployment in an attempt to inflate or deflate their or the other’s support obligations, the concept of imputed income can serve to be a great equalizer, rebalancing the marital financial scales. Imputed income can have significant financial consequences for both parties involved. The party against whom imputation is sought may be required to pay higher child support or spousal maintenance, while the party seeking imputation may potentially receive increased financial support. Through the imputation of income, courts can ensure that the proper amount of support is awarded, even in instances where the financial disclosure provided is deemed unreliable or suspect. Imputed income refers to the potential income that a court assigns to a party in a divorce case, even if they are not currently earning that amount or are unemployed. In New York, imputed income can have significant implications for determining child support and spousal maintenance. Under New York law, imputed income is based on a number of factors, including a party’s health, age, and the availability of job opportunities. The Court will strive to be fair and equitable in its determination, taking into account the individual circumstances of each case. This means that the Court will consider such as the party’s education, job experience, skills, and prevailing wage levels in their field when determining an appropriate income to impute. The goal is to ensure that individuals do not intentionally reduce their income to avoid their financial obligations in a divorce. It is important to note that imputed income is not automatic and must be proven by the party seeking it. The Court will carefully consider the evidence presented, including testimony from expert witnesses, to determine whether imputation is appropriate in each case. Examples Of Situations Where Imputed Income May Be Applied Where there is voluntary unemployment or underemployment: If one party voluntarily quits their job or takes a lower-paying job without a valid reason, the court may impute income based on their previous earnings or their earning capacity. When education or training opportunities are rejected: If one party refuses education or training opportunities that could improve their earning potential, the Court may impute income based on what they could have earned with that additional education or training. Where there is an intentional reduction of income: If one party intentionally reduces their income by working fewer hours, taking a lower-paying job, or refusing promotions, the Court may impute income based on their previous earning levels or what they could earn with reasonable effort. When there is unreported or hidden income: If one party attempts to hide or underreport their income to avoid financial obligations, the Court may impute income based on evidence of their true earning capacity. Where questionable Financial Records are produced. If a spouse’s financial records lack credibility or are incomplete. When a party or the parties are living above one’s/their means. If expenses exceed presented income. Where there is a reliance on the generosity of strangers. If a spouse receives gifts from or has ordinary expenses paid by third parties or When there are complicated business structures present. If a spouse appears to have used their business(es) to disguise income. Real-Life Examples Where Income Was Imputed to a Party K. v. K.: The expenses listed on each party’s Statement of Net Worth ($96,624 annually for the wife and $102,636 annually for the husband) far exceeded their respective earnings, and there was no indication that their expenses were not timely being paid. Indeed, both parties acknowledged receiving substantial financial support from their family members. Thus, the Court concluded that that the parties’ financial resources were greater than their self-reported incomes. H. v. B.: $45,000 of income was imputed to the husband based on a brokerage agreement he signed identifying his income as $50,000 per year, documentation showing he held an ownership interest in a trucking business, and the testimony of his ex-wife who worked in the trucking business and had personal knowledge of the company’s payroll. N. v. K.: $46,609 of income was imputed to the husband “based upon his prior income, his training, his choice to pursue only part-time employment, and his current living arrangement, in which he did not pay rent.” S. v. S.: Income of $78,000 per year was imputed to the wife based on evidence at trial that showed she could earn that sum due to her degree and her nurse practitioner license, which was further supported by facts adduced at trial and expert testimony. DV. v. D.: $100,000 of income was imputed to the husband where the expenses he listed in his Statement of Net Worth far exceeded his income as reported on his tax returns, and he lived 3 in a two-bedroom apartment in a luxury apartment building. In addition, after his job for 12 years at a “major bank” was eliminated, he did not demonstrate that he “diligently sought new employment commensurate with his qualifications and experience.” G. v. G.: $151,000 of income was imputed to a wife based on rental income she received from separate property investments and her access to over $500,000 in trust assets that were her separate property. Conclusion In conclusion, imputed income in New York divorce cases is a legal concept that aims to ensure fairness and prevent individuals from intentionally reducing their income to avoid financial obligations. It is important to consult with a qualified family law attorney who can provide personalized advice based on your individual circumstances if you have questions or concerns about imputed income in your divorce case.
December 7, 2023
Family Law
How to Divide Time with Children Over the Holidays Recap
The holiday season is a time of tremendous joy, but it can also be a time of tremendous stress—especially for divorced parents who share custody of their children. Between splitting time, coordinating gifts, arranging travel, and communicating with relatives, you may face numerous demands that necessitate collaboration with your ex-spouse. This is particularly difficult for parents who have irreconcilable differences. Fortunately, your attorney can help. Over on his blog, our AAML colleague Michael A. Robbins offers five simple tips for parents looking for ways to divide time with their children over the holidays. Whatever you decide to do, he writes, make sure to use this time to plan ahead: “One way to create more stress and potential disagreements is to wait until the last minute to determine how time with children will be divided between you and your ex. When you wait until the last minute to make plans, each parent may have made the mistake of assuming that they would have the child, resulting in a conflict. This can also be confusing to a child, who may then feel as though they have to choose which parent to spend the time with.” You can read the full article here. Mr. Robbins’ guidance is helpful, but it only touches on the surface of a complex issue for children and parents. Your legal advisor can help you develop a comprehensive, sustainable custody arrangement for the holidays—and beyond. Get in touch with us today to start planning now.
December 6, 2023
Family Law
Traveling with Babies Recap
Originally posted 12/18/18, no content changes. Does anyone enjoy flying with a baby? Infants themselves certainly don’t like the experience, but neither do their parents and aisle-mates. Young children’s cries and frequent needs (for food, attention, and diaper changes) can cause significant irritation on the part of other passengers. As a result, parents may experience anything from angry glares to scolding and threats. It’s enough to convince some families to stay at home or restrict travel to locations within driving distance. A news story from the Washington Post may dissuade more parents from taking their children aboard. According to The Washington Post, a crew member allegedly told a United passenger her baby’s behavior was “absolutely unacceptable” and claimed the company’s rules prohibit infants from crying for more than five minutes. Although United apologized and issued a refund, this egregious story belies the fact that unprepared parents often do make mistakes during air travel, writes the Post’s Christopher Elliott: Crew members have mixed feelings about babies on board. They want to welcome all passengers and make them as comfortable as possible. And privately, they often tell me young children aren’t their biggest problem; it’s their adult travel companions, especially new parents who tend to make a lot of mistakes. The errors include being ridiculously unprepared, acting as if any advice they receive is “baby-hating” or “mom-shaming” — and not knowing what to do with diapers. You can read the full article, “The do’s and don’ts of flying with babies,” here. We may not be able to guarantee comfortable air travel, but Offit Kurman’s Family Law attorneys can assist with virtually any legal matter you or your children might face. While it can be a bumpy ride, so to speak, you don’t need to fly solo. See how we can help.
November 16, 2023
Family Law
Divorce-Planning: What You Need To Know Now
Victorious warriors win first and then go to war, while defeated warriors go to war first and then seek to win.i Originally posted on 09/15/2020, content updated on 11/15/2023. Tumultuous marriages often turn into tumultuous divorces. Yet many who find themselves in such marriages and resultant divorces are actually taken aback by their spouse’s decision to end their marriage. Even those who assumed their spouse was contemplating a divorce are often dumbfounded to learn their other-half had been planning the financial part of their split for months - even years before filing for divorce. The pre-planning of the financial facets of divorce is so common an occurrence today that it has a name -- divorce-planning. Divorce-planning is neither illegal nor immoral. It is unquestionably smart, and one who does not engage in such preparation will in all likelihood turn the painful process of divorce into a devastating one. The Five Signs Anyone claiming disbelief of their spouse’s divorce-planning either missed or ignored one or more of the indicators of financial pre-planning going on right before their eyes. Though every marriage has its own distinct approach to financial management, there are five indisputable indicators that transcend nuptial uniqueness, and signal that your spouse is engaged in divorce- planning. First: intensified irritability and/or noticeable evasion of questions concerning finances. Once divorce-planning is in motion there may be a noticeable reluctance to discuss the family budget, spending habits or the manner in which (and where) marital income or assets are invested or maintained. If your spouse has nothing to hide, then he/she should have nothing to fear in discussing your marital finances. Second: paper account statements no longer arrive at the marital residence, and other financial documents, especially income tax returns and back-up documentation, are no longer accessible or locatable in the home. Thanks to on-line access to banks, credit cards, brokerage accounts, and the like, a divorce-planning spouse has the ability to receive financial information by email, or by logging into the particular account, or through an “app.” A trusting spouse may not ask why, or even notice that paper statements are no longer being received in the mail, or that financial documents are no longer maintained in the marital residence. Online account access allows a divorce-planning spouse to hide a new bank account, credit line, or credit card from their spouse completely. Removing financial documents from the marital residence will delay the availability of such documents to the other spouse.ii Third: passwords /“PIN” numbers change. It is recommended that everyone change passwords and “PIN” numbers often so as to avoid “hacking.” There should be no reluctance to share new passwords and/or “PIN” numbers between spouses. Discovering changes in passwords and/or “PIN” numbers of which you were not informed may indicate a desire to hide activity. Fourth: requests to alter names on assets. New York and most states recognize a spouse’s marital interest in businesses, real estate, and other assets regardless of the title in which the asset is held. However, if one spouse’s name is removed from ownership of the asset, it will be significantly more difficult for the removed spouse to be apprised of transfers in ownership or the creation of liens against an asset, potentially decreasing the value of the asset in the divorce. If your spouse asks you to voluntarily remove your name from an asset -- or you discover that your name has fraudulently been removed from an asset -- divorce-planning is in progress. Fifth: threats of retaliation. Spouses may joke on occasion about what would happen, or what they would do if their spouse divorced them. However, if a spouse makes veiled references about leaving their spouse destitute or taking their child(ren) away from them, such remarks must be taken seriously. A spouse threatening or trying to control the other is probably stalling in order to complete their divorce planning. Further, remarks such as these are often intended to intimidate the other spouse from preparing themselves for divorce. The Game Plan Proactive planning -- divorce planning – should begin at the earliest sign that divorce is on the horizon. Do what needs to be done for your financial protection. Consider, and effectuate as many the following recommendations as possible: Finances, Privacy, and Asset Protection Stop using the family computer. Back up all computers/devices with all data and pictures on a portable hard drive (or use a cloud-based backup). Purchase your own computer, password protect it and keep your new computer away from your home, in a secure location. Change ALL of your passwords and “PIN” numbers. Open a new email account and use it exclusively for communication with your divorce attorney. Obtain a mailbox at a UPS Store or a P.O Box at a Post Office. Use that address for any and all personal mail/packages. Make copies of all account statements, bank, brokerage, credit card, IRA, 401(k), pension and profit-sharing plans, and tax returns for the last three years. Learn everything you can about your family's finances, your spouse's income, and the cost of running your household and collect the paperwork to support that knowledge. This will give you a head start on gathering those documents; you will need them during the divorce action. Put aside enough money for living expenses – approximately six months’ worth – and deposit the money into a separate account, in a bank where neither you nor your spouse has other accounts, and title the account in your name alone. Access and review the statements online only. Update your Will and exclude your spouseiii; amend your Power of Attorney, Medical Power of Attorney, and any other estate planning documents. Change beneficiaries on your life insurance, IRA, and retirement accounts.iv Open at least one credit card in your name only. As above, access and review the statements online only. Obtain a new/additional cell phone, with a new phone number, on a carrier different from the one you currently use. View/access the statements/bills for your new phone on-line only. Add your attorney to your contacts under a pseudonym. Consider what items in the marital residence have a particular meaning to you, perhaps a family heirloom, family photographs, or antiques. Determine which items you would be saddened to lose if your spouse removed them. Be prepared to remove these items when your attorney tells you. Take photographs and videos of the inside (and outside) of your home(s) clearly showing furniture, art, antiques, and your other belongings then in existence so that you can note in the event something “disappears.” If you have a safe deposit box, make an inventory of, and photograph its contents. Put your passport (and those of your child or children) in a secure place, away from your home. Managing Personal Expectations Divorce-planning is not solely a mechanical/financial process. It is also time to take stock in yourself emotionally (and physically) and find the best professionals to guide you through what will be a difficult period in your life. If you have not done so already, start seeing a psychologist to counsel you through your own transition issues. Join and attend appropriate support group meetings. If you do not have a therapist/psychologist or some other form of a counselor, start researching, and obtaining references for one for yourself and one for your children. Divorce often has a deep and lasting psychological effect on the children of the marriage, subtle though it may seem on the surface. As part of divorce- planning parents can and should take steps to reduce the psychological effects of divorce on their children. Start by seeing a counselor or therapist for yourself, and then lead into hiring a counselor/therapist for your children. Perhaps the most important part of divorce-planning is the selection of an attorney. Do your research again. Hire a highly experienced divorce attorney, fund the retainer, and follow your attorney’s advice. If your attorney advises it, meet with other leading divorce attorneys to conflict them out of the case.v Last, but not least, be mindful and wary of social media and other pictures, texts, and emails. Anything you post or publish can be used as evidence in Court. Do not post anything that you would be embarrassed to see on the front page of a newspaper. And, do not start searching for your next love interest during the divorce-planning period. Stay off of any dating website. Conclusion Divorce -planning is not about hiding, dissipating, or wasting marital assets. It is about protecting yourself and your assets and making shrewd choices when your mind is clear, long before you are caught up in the whirlwind of divorce. It requires logical preparation in the months leading up to a divorce. There is no blueprint for marriage, neither is there a blueprint for divorce. But diligent, pragmatic, and early preparation --- divorce-planning -- can start you off on a better footing, and ease the path ahead. i Sun Tzu: The Art of War Divorce laws of all states provide that both spouses have the right to “discover” (obtain) virtually any financial document or piece of information about the other spouse and the marriage going back to the day the parties married, However, a bird in the hand is worth two in the bush -- it is better to hold onto these documents, have them in your possession than to risk the time and effort in trying to get them back. iii See a Trust and Estate Attorney in your State. In some states excluding a spouse does not guarantee that he or she will not receive any monies from your estate. iv Sometimes you cannot do this until you are officially divorced, but try to do whatever you can now. In addition, upon commencement of a divorce, it is likely that you will be restrained from modifying assets including changing beneficiaries on a life insurance policy. So make the change now. v This is a highly controversial, and “hardball” move. It is an aggressive tactic. It is certainly part of the divorce-planning strategy but is often looked upon as sharp practice.
November 15, 2023
