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When Mel Gibson divorced in 2006, it reportedly cost him a walloping $425 million because he didn’t have a prenuptial agreement. You may know of someone who suffered a similar fate — although he or she may have parted with a lot less money – but maybe that person had more income or held more assets than you. Creating and signing a prenup may seem like an unnecessary task, particularly when you’re in the middle of making wedding plans, if you don’t feel that you have a lot to protect. In fact, there are more reasons to sign a prenuptial agreement than there are not to.

Let’s begin with property and debts. Regardless of how much or how little you earn or owe, courts take the position that anything acquired during marriage is marital property. If you divorce, each of you are entitled to roughly half his property, and you may find that you’re assigned responsibility for half the debts as well. But what if your spouse doesn’t work and you purchased all those assets? What if she has a bit of a spending problem and she ran up a lot of that debt on purchases you got no enjoyment from or use of? You can establish your own rules for how you’ll deal with situations like these in a prenuptial agreement. You don’t have to trust your financial life to a judge who doesn’t know you and who just wants to rule on your situation in a way that conforms to state law. A prenup allows you to set your own terms. In most cases, prenuptial agreements trump state law. Provided that the court upholds and honors your agreement, your property is dealt according to the terms contained in the agreement, even if the law provides otherwise. Continue Reading →

A question divorce attorneys are often asked is whether their former spouse will have to pay for their legal fees. The reasons why a client may ask this range from the client being of a lower income level than the former spouse and simply needing assistance paying their legal fees, to a contentious divorce case where there are allegations of misconduct against the former spouse that lead to the legal fees in the first place. In both instances the award of legal fees are possible.

DIFFERENT FINANCIAL POSITIONS OF THE FORMER SPOUSES

In some instances the court may require one former spouse to pay the legal fees for the other spouse. The payment of the opposing party’s legal fees may be awarded if one spouse has a low income and the other spouse has a high income. As you may imagine, this scenario is common when one spouse worked outside the home and the other took care of the home or children during the marriage. In those cases, the lower-earning spouse may be unable to pay his or her legal fees. Continue Reading →

 

My Divorce Was Just Finalized, What Is The Most Important Thing I Do Next?

One of the best things you can do after your divorce is finalized is to read through your divorce judgment and property settlement. You want to make sure that you understand what these documents say, and that they reflect your understanding of what the outcome of the divorce would be. If you find any omissions, errors, or have questions about what anything in these documents means, you should ask your attorney for help.

Do I Need To Do With My Bank Accounts?

By the time your divorce is final you have likely closed your joint bank accounts. If any remain open, you should contact the bank and instruct them to divide the account according to the terms of your divorce judgment.

How Do I Handle Joint Credit Card Accounts?

If a card does not have balance, simply close the account. If the card has a balance, it has probably been assigned to one spouse in the divorce settlement. If your former spouse has to pay the debt, it is important that you stay up to date on whether or not the payments are being made, because if your ex does not pay on time, it will affect your credit as well as his or hers. Continue Reading →

Why Would I Appeal A Family Law Matter?

If you feel the judge has made a mistake in your case, you may wish to file an appeal. An appeal may be considered if the trial judge made a mistake in the law or the facts of a case, did not resolve all of the issues in question, did not conduct the appropriate hearing, or abused his or her discretion in the case.

When Do I Appeal?

The big question in determining if it is the right time to appeal is whether there is a final order in the case. A final order is one that resolves all the issues between all of the parties in the case. When a family law matter is final, you have an automatic right to file an appeal. In general you must file a Notice of Appeal within 45 days of the final order in the case, though that number is shorter in certain cases.

If there is not a final order and the case is still pending, there is no automatic right to appeal but you may request permission to appeal. The process for seeking permission to appeal an interlocutory order begins with filing a Motion for Leave to Appeal. Continue Reading →

In a divorce you might expect to assign certain items like dining room sets, pots and pans, and even cars to one spouse or another. What most divorcing couples do not contemplate, however, is having to assign the family pet to one spouse.

Under New Jersey law, pets and other animals are treated as personal property, not unlike a kitchen table. But pets have more intrinsic value than a kitchen table, how can their custody possibly be treated as other household goods? In New Jersey there is not a statute in place or established case law contemplating the custody of pets in a divorce case. Questions have arisen more and more frequently about the question of how to handle pets in a divorce, however, and courts have given some guidance on how to best to handle the ownership of pets in a New Jersey divorce.

FACTORS CONSIDERED FOR PETS IN A NEW JERSEY DIVORCE

The court may take into account any of the following factors in determining who to award ownership of the pet to: Continue Reading →

HOW RETIREMENT ASSETS ARE DIVIDED – NEW JERSEY EQUITABLE DISTRIBUTION

Equitable division is the process of dividing a couple’s assets upon divorce. The “equitable” part of equitable division means that the process is not a 50/50 split of assets, but rather tries to make the division that is the most fair, or equitable. Retirement assets are subject to equitable division in a New Jersey divorce case.

Retirement assets earned while a couple is married are considered marital assets, and will be divided upon divorce. We often think of retirement accounts as belonging to one spouse only, often because they are derived from a single spouse’s wages and the accounts are in only one spouse’s name. However, the money earned, and thus the retirement assets earned, during the marriage are considered the assets of both of the spouses, and as such they are not necessarily awarded solely to the spouse whose name appears on the account. If the account-holder spouse wishes to keep the retirement asset for him or herself after the divorce, he or she will likely need to agree to award the other spouse an asset or assets of the same value in exchange.

TRANSFERRING ASSETS IN DIVORCE – QDRO AND TAXES

A Qualified Domestic Relations Order (QDRO) is a court order that directs the administrator of retirement accounts to divide the account(s) in question according to a predetermined percentage. The percentage that will be given to the non-account holder spouse may be placed into a new account with the existing company, or placed in another retirement account, such as an IRA. The benefit of using a QDRO is that it makes the transfer of the accounts a tax-free event for both spouses. The QDRO process should take place before the judgment of divorce, but it is often treated as a legal matter separate from the divorce case, so it may not be provided for in the agreement you signed with your divorce attorney. For reasons discussed below, this is not a matter to set aside for after the divorce, as the financial consequences of not ensuring a QDRO is properly executed can be devastating. Continue Reading →

The holiday season often conjures up images of cozy romance around the fireplace, gift exchanges, and delicious family meals. Unfortunately, when you are recently divorced the holidays may prove to be sad reminders of what’s missing in your life. Surviving the holidays after divorce is a common struggle many people face, but with a little planning, you can learn to cope with those feelings of loneliness. Here are five ways to handle the holidays after your divorce.

  1. Make plans.

Don’t leave your weekends or holidays empty. If you receive an invitation to someone’s holiday celebration, accept it. It may feel strange to be with friends on the holidays when you are used to spending that time with an ex-spouse, but spending excessive amounts of time at home alone is not a good option. When you are alone it is easier for feelings of sadness to creep in.

  1. Create new traditions.

Annual holiday traditions are standard in most marriages, maybe you always used to take a ski vacation together or go to the ballet. It can be tempting to stick with what is familiar and make plans to keep up old traditions on your own. Unfortunately, that walk down memory lane that can be difficult to digest after a recent divorce. Seek opportunities to create new traditions. Instead of ice skating at the park, make plans to volunteer at a local soup kitchen or homeless shelter. Creating new traditions can help you solidify your independence in a fulfilling and memorable way. Continue Reading →

If my former spouse agrees, can I stay on his or her employer-provided health insurance plan?

No. Once you are divorced, you are no longer “family” for the purposes of the family health insurance plan. Regardless of whether your spouse agrees, the health insurance company will not cover you on your former spouse’s family plan once the divorce is final.

I want to keep the same health insurance plan, but it was through my former spouse’s employer. Can I keep the same plan and pay the cost myself?

Yes. COBRA is a federal program that allows certain people to continue receiving health insurance when it might otherwise be lost due to a job loss or divorce. COBRA will allow you to keep the same plan you had before, but you should be aware that the premiums they charge will be much higher than the employer-provided plan. Additionally, COBRA is meant to be temporary, and only lasts up to 36 months. To take advantage of COBRA you must sign up within 60 days of your divorce.

If I can’t stay on my spouse’s family insurance plan, how will I get health insurance?

There are a few ways to obtain health insurance on your own. Usually the best way is to enroll in a plan through your employer, if possible. The plans available through an employer are usually more affordable. Another option is to purchase your own health insurance policy. Additionally, COBRA (discussed above) is an option for continuing health coverage. Continue Reading →

Going through a divorce is a stressful time in one’s life, so finding a good matrimonial attorney to help you navigate the process is invaluable. Choosing an attorney to represent you in any legal matter requires serious consideration. Often, clients do not know where to start their search, let alone what they are looking for in a good attorney. With over 80,000 attorneys licensed to practice law in the state of New Jersey, it is no wonder the process for selecting an attorney can be daunting.

Why Choose A Certified Matrimonial Attorney?

The New Jersey Supreme Court established a certification process for matrimonial lawyers to allow the public to be able to find an attorney who has demonstrated experience and knowledge in this particular area of law. With the rigorous requirements that we will discuss in this article, clients who choose a New Jersey Certified Matrimonial Attorney know that they will be guided through a difficult process by a professional who not only knows how to handle the legal matter, but is also well-respected by his or her peers. The New Jersey Supreme Court has certified only about 2% of the more than 80,000 New Jersey attorneys. Continue Reading →

You’re facing divorce. Your soon-to-be ex earns a pretty good living. You, not so much. You want alimony. You’ll get it, right? Possibly, but not forever.

The New Jersey legislature significantly overhauled the state’s alimony laws in September 2014, tightening up on the old concept of permanent alimony after long-term marriages. In days gone by, permanent alimony aimed to achieve a standard of living for both spouses comparable to what they enjoyed while married. After long-term marriages, this status quo might continue indefinitely. That’s changed, and permanent alimony is now called “open durational” alimony. Open durational alimony cannot be awarded unless spouses were married for at least 20 years, except under compelling circumstances. The divorce judgment does not include a cutoff date, but alimony typically ends when the paying spouse retires.

In addition to the duration of the marriage, courts are obligated to weigh other factors when ordering open durational alimony. The New Jersey Supreme Court recently decided that all these factors must be considered, including but not limited to:

  • The financial dependence of one spouse on the other while they were married.
  • Whether physical or mental health issues exist that prevent one spouse from being self-sufficient.
  • The impact of the marriage on career opportunities, such as if one spouse didn’t work for years while maintaining the home.
  • The extent of marital property received by both spouses in the divorce judgment.

Continue Reading →

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