Articles Posted in Divorce

One of the biggest battles in many contested divorce cases is the issue of spousal support (also commonly referred to as alimony) and analysis of California spousal support factors. The most prominent factors a court typically considers when making a spousal support award are the supported spouse’s needs and the supporting spouse’s ability to pay support. Therefore, the supported spouse wants to make sure the court considers every single source of income the supporting spouse has available for support. The supporting spouse wants to minimize his/her income as much as possible without misleading the Court or the other party. One issue that has been litigated in California courts is whether fringe benefits or “perks” received through employment are income available when calculating support.

Many companies offer alternative compensation or perks to employees such as car allowances, cell phones, business meals, and company-provided day care. Parties and attorneys often debate whether these “non-cash” perks should be considered income from which the supporting spouse can pay support. Under California law, perks can be considered as income available for support if the benefit is not being divided as an asset and it has an economic value which can be added to the spouse’s income for the purposes of support calculation.

Learn more about division of property in divorceIn cases where a benefit will directly reduce the supporting spouse’s monthly expenses, divorce attorneys will argue that it should be considered as income for support purposes. For example, if the supporting party’s employer pays for his/her cell phone every month and the cell phone is not limited to company use, the supporting party will not have to pay monthly cell phone premiums for personal use of a cell phone.

Likewise, if a company pays for the supporting party’s gas or auto insurance, the supporting party will not pay those expenses out of pocket. In these situations, the fringe benefit will likely be valued and included as income available for support.

Another major issue of contention in this area of law is whether the value the benefit assessed should be considered “taxable” or “non-taxable” income. According to the divorce attorneys at the firm, one California case holds that tangible benefits should be included as taxable income. However, until the employee actually pays taxes on such benefits it is unfair to consider them as gross deductions.In addition, some benefits such as a business meal may not reflect the cost of a normal meal. The supporting spouse may get to eat a $50.00 lunch on the company’s dime; however, if he/she had bought their own lunch, he/she would likely have spent less than $10.00. The court will use discretion in considering a request from a party or divorce attorney to categorize these types of benefits as income where the result might seem unreasonable.

Read more about the effect of divorce on taxes and finances

Unfortunately, there is no such thing as a San Diego spousal support calculator, and analysis of the factors affecting spousal support in California is complicated. Often times, a person will need to rely on the advice of an experienced and knowledgeable divorce lawyer in order to understand the theories and process involved.
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Family law is one of the most emotional and sensitive areas of law. Tensions can run high when child custody, visitation, support, and even domestic violence are involved in a divorce in California. The importance of what is at stake in a family law case can sometimes cause litigants to retaliate against their spouses outside of the family law courtroom. Often in family law, one spouse has greater access to financial resources than the other. In order to prevent bullying and harassment in family law when the parties are on unequal financial footing California enacted Family Code § 2030.

Family Code § 2030 states:

“In a proceeding for dissolution of marriage…and in any proceeding subsequent to the entry of a related judgment the Court shall ensure that each party has access to legal representation.”

The goal of Family Code § 2030 is to ensure both parties have equal litigating power in a family law case. This code section dis-incentivizes the party with access to greater financial resources from “burying” the other party with motions or discovery because they will likely be ordered to contribute to the other party’s legal fees based on a “need and ability” analysis. In some cases, three may be one party who has access to significant funds, is an attorney, or works in the legal profession. That party may file lawsuits against his or her spouse in other courts in an attempt to distract or financially drain the other party and avoid Family Code §2030. The question becomes, does the family court have any ability to provide the spouse relief from the unfair tactics employed in other civil courts?

Under Family Code § 2030, the Court has the ability to award attorney fees to one party for expenses incurred in any proceeding related to the prosecution or defense of a divorce case. This has been interpreted by California courts to include civil cases filed against one spouse for the purpose of creating a result in the divorce case. In one California case, Husband filed multiple lawsuits, unrelated to the parties’ divorce, against Wife in a civil court. Wife was forced to spend significant time and funds defending the suits and was unable to properly focus on the parties’ divorce. Wife asked the family court to order Husband to pay the attorney fees she incurred in the civil lawsuits. The family court determined that it had the authority to grant Wife’s request under Family Code § 2030 and ordered Husband to pay her attorney fees.
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Former NFL player and Super Bowl champ, Jeremy Shockey, and Daniela Cortazar enjoyed a brief eight months of nuptial bliss before Shockey filed for divorce in January 2013. TMZ now reports that Shockey “is playing dumb with his finances according to his soon-to-be ex-wife.” Cortazar claims that Shockey’s net worth is over $15 million but apparently Shockey is pretending to know nothing about his finances in his legal documents. Shockey is even refusing to provide information regarding his net worth. Cortazar is asking a judge to punish Shockey with fines or jail time. More importantly though, to get a fair share in the divorce settlement, Cortazar should take prudent measures to make sure that Shockey doesn’t have any hidden assets tucked away.

Hidden assets are those assets which are not readily visible typically because signs of ownership have been concealed or disguised by the other spouse. Hidden assets typically include liquid assets such as bank accounts, mutual funds, stock and bonds. These types of liquid assets can easily be transferred into another person or entity’s name. Sometimes, these assets are even transferred into accounts in banks offshore which prohibit being touched under the laws of the particular country.

Learn more about divorce and property divisionHidden assets are particularly important in divorce cases because when a court does not know about a particular asset, it cannot properly divide the asset or award it to one party or the other. Hiding assets is clearly illegal because both spouses lawfully have a claim to all marital property during a divorce proceeding. Therefore, being attentive to marital finances can help ensure that your divorce settlement is fair to you.

The first step in hunting down hidden assets during a divorce proceeding requires a diligent tracking and study of all financial records. Looking at old financial statements may help to identify suspicious transactions. For instance, an asset may initially be present in financial documents and then suddenly it has disappeared near the time of divorce or during divorce proceedings.

Other tips on finding hidden assets include the following:

  • Get a credit report on your spouse. Credit reports may contain information regarding financial accounts or credit that are unknown to you.
  • Look for payment of excess income tax and then a subsequent filing for the tax refund after the divorce.
  • Have items such as artwork, hobby equipment, antiques, original paintings, etc. appraised.
  • Be diligent about locating any cash kept as traveler’s checks. You can do this by tracing bank account deposits and withdrawals.
  • Look for any inconsistencies which may indicate delayed disbursements of bonuses or stock options.
  • Be aware of any income that isn’t reflected on either financial statements or tax returns.

Read more about property division and divorce in San Diego


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In San Diego Family Courts, Judges take the issue of breach of spousal fiduciary duty very seriously. Harsh punishments are available in family court for nondisclosure of assets, failure to provide truthful information regarding income and assets and other misconduct. In April 2013, the California Court of Appeal ruled in In re Marriage of Simmons, a case of first impression. In this case, Mr. Simmons failed to disclose a separate property savings account with a value of $245,850.24. As a result of Mr. Simmons’s breach of fiduciary duty, the trial court awarded Ms. Simmons the account in full. However, the appellate court reversed that award.


California Family Code § 721
imposes “a duty of the highest good faith and fair dealing” on spouses when dealing in transactions with each other. Family Code § 1100 clarifies that duty by stating that it “includes the obligation to make full disclosure to the other spouse of all material facts and information regarding the existence, characterization, and valuation of all assets in which the community has or may have an interest…” During a divorce case, both spouses are obligated to disclose all assets regardless of whether those assets are community property or separate property. The court may impose various sanctions for failure to disclose an asset. If a spouse discovers an undisclosed asset he or she may request 100% of the asset or an amount equal to 100% of the asset as a remedy.

Although the Family Code is clear regarding the availability of the “value of the asset remedy” if the asset is community property, Mr. Simmons disputed the availability of that remedy with regard to separate property assets. The appellate court agreed with Mr. Simmons and, for the first time, ruled that the “value of the asset remedy” is not available if a spouse has only failed to disclose separate property assets. However, despite the appellate court’s inclination to rule in favor of Mr. Simmons, it was still aggravated by his pattern of misconduct. Therefore, the appellate court remanded the case back to the trial court level directing the trial court to consider any additional sanctions it would like to impose against Mr. Simmons. Various other family codes, such as Family Code § 271, are available to the trial court as authority upon which to base an additional sanctions awards.

Under Family Code § 271, the court may impose monetary sanctions against a party for obstreperous conduct which impedes the policy of settlement in a divorce case. The court is not limited to an amount of sanctions and may impose them in an amount sufficient to deter future misconduct. Under this provision, the Simmons trial court may decide to order $245,850.24 in sanctions against Mr. Simmons for failure to disclose his separate property asset.

Breach of fiduciary duty is a complex divorce issue that requires representation by a competent attorney. Don’t settle for less when determining your rights.

www.BickfordLaw.com


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San Diego Family Courts can be intimidating for those unfamiliar with appearing before a judge. Whether appearing with a divorce attorney or in “pro per” (an unrepresented party), it is important for family law litigants to be familiar with the “dos” and “don’ts” of San Diego Family Courts. The following is a few tips on how to earn favor with local family law judges when appearing before them.

1. Be Respectful

The most important thing to remember when appearing in court is to be respectful to every individual you encounter, including the opposing party and/or attorney. Judges in a divorce proceeding are not referees and do not want to witness parties arguing or fighting with each other in open court. Therefore, it is imperative to act with civility in the courtroom by giving every person a chance to tell his/her story without interruption or argument.

Another way to respect the court and legal process is to avoid the use of cell phones and other electronic devices in the courtroom. Judges say that cell phones on vibrate are just as distracting as a cell phone ringing. So it is best to put your cell phone on silent, or better yet, turn it completely off when entering the courtroom. Further, texting in court is not advisable.

2. What to Wear and What Not to Wear

Wearing the appropriate clothing to court does not go unnoticed by the local family judges. When appearing in court, it is not necessary to wear a full suit or dress outside of your comfort zone. However, judges appreciate when parties are not distracting with their clothing and they dress modestly. Dressing conservatively is also another way to show respect to the court.

3. Facial Expressions, Commentary and Body Language

In San Diego Family Law courtrooms, the judges sit at a particularly advantageous vantage point and can see everyone’s behavior at all times. Judges are always watching the litigants, the attorneys, and even all of the people sitting in the audience. According to family law judges, it is incredibly distracting if any person makes facial expressions, nods, shakes his/her head, raises his/her hand, and otherwise takes attention from the proceeding. Remaining still and attentive in a family law hearing may be easier said than done. It is often difficult for parties to remain calm if the opposing attorney or litigant is telling the judge information the party does not want public or does not believe to be accurate. However, in such circumstances, waiting patiently for your turn is greatly appreciated by the judge.

In all situations local family law attorneys should lead by example and demonstrate civil and appropriate behavior for litigants in court. If you have a question regarding courtroom decorum, please ask an experienced family law attorney.

Learn more about the divorce attorneys at Bickford Blado & Botros
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Recently, the divorce attorneys at the firm have blogged about proposed changes in divorce laws sweeping the Nation. Legislators in many states throughout the U.S. seem to think that current family law statues have gone stale. Currently, a new bill is awaiting passage in New York State that, if passed, would be an overhaul of current family law legislation. The passage of the new bill is hotly debated by New York family law attorneys who are all rallying for support for their respective sides of the issue.

As New York law is presently written, licenses and professional degrees earned during marriage are community assets. Since such assets are not easily quantifiable and divisible, judges and financial experts calculate the earning potential of the spouse who acquired the degree or license and award the other spouse a percentage of those future earnings. This law is criticized as being extremely unfair because there is no provision changing the award if the spouse switches careers or suffers an injury. In California, licenses and professional degrees are not community assets which can be divided upon divorce. However, the community may have a right to reimbursement for any funds spent on tuition and other educational expenses. New York’s proposed bill would eliminate the current law on the books; however, it is unclear if anything (possibly similar to California’s law) will replace it.

Read more about reimbursements and credits in divorceNew York family codes may also be changed with regard to calculation of “permanent” spousal support (commonly referred to as alimony). The proposed legislation calculates the duration of spousal support awards based on a formula which takes into account the length of the marriage. For example, if the parties were married for 7.5 years, spousal support will be awarded for 40% of that time or 3 years. Under California “permanent” spousal support code provisions, Family Courts do not generally set a termination date for spousal support especially if the marriage is long term (over 10 years). Rather, the Court basis its award on fourteen factors including the supporting spouse’s ability to pay and the supported spouse’s need for support.

The proposed bill would also change the New York law terminating spousal support payments if the supported spouse remarries. Under the new law, spousal support would only terminate if the supported spouse’s new marriage substantially improved his/her financial situation. Currently, California and New York have the same law on this issue. However, with so much family law reform throughout the U.S., California may see some change in the near future.

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We often blog about the advantages of a mediated/negotiated divorce settlement; however, a new company “Wevorce” is taking this concept to a new level. Family law offers unique challenges to divorce attorneys and the court because the disputed issues are extremely personal to the litigants. When the parties are unable to reach agreements, these private disputes are aired in open court in front of judges, staff, and litigants awaiting their turn. The CEO of Wevorce stated that the concept for the company was inspired by her parents and their 15 year divorce battle. Unfortunately, long and painful divorces are not uncommon and can cost the parties thousands in unnecessary legal fees. Wevorce is driven by the philosophy that cooperation is the secret to a quick and semi-painless divorce.

Read more about mediation vs. litigation from the divorce attorneys at the firm

Wevorce claims to use technology to keep the divorce process structured and moving along smoothly. A traditional contested divorce moving through the court system is often broken up by several deadlines, hearings, continuances, and various other roadblocks thrown up by the parties. In addition to using new innovative techniques to settle divorces, Wevorce also focuses on the emotions involved. Most importantly, Wevorce emphasizes the need for both parents to cooperate in the best interest of any minor children. Custody and visitation is a very emotional area of family law and should be negotiated in such a way to safeguard children from the adversarial process.

Wevorce is promoted as a “new spin” on divorce; however, family law attorneys have been attempting to mediate divorce cases for years. Despite the best intentions and efforts of attorneys, in many cases the parties are unwilling to accept a settlement offer to agree to any terms proposed by his or her spouse. These types of litigious cases can cost hundreds of thousands of dollars in legal fees. One of the most enticing elements of the Wevorce concept is the fact that they offer “flat rate” pricing to divorce so that spouses can manage and control the cost of the proceeding.

Wevorce boasts an extremely high success rate in settling cases. This may be due to the fact that only parties in an amicable state of mind have used the company’s services. A spouse full of anger, resentment, and skepticism is unlikely to agree to use a mediation service to resolve his or her divorce. The best divorce attorneys know that by the time spouses reach the point of divorce, they have problems trusting one another and cooperating to the benefit of the other. If the Wevorce method can translate to resolve conflicts in these contentious cases, it may be the new frontier in family law.

www.BickfordLaw.com


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Often when non-lawyers imagine going to court they picture themselves being represented by a knowledgeable and experienced attorney. The courtroom and legal system can be intimidating to those unfamiliar with the process because of the immense amount of specific procedures and rules that must be followed. However, despite their inexperience in the legal field, many California spouses are self-represented in their divorce. When a party to a divorce action is not represented by an attorney he or she will be considered “pro per”.

San Diego spouses decide not to retain attorneys in divorce actions for a variety of reasons. One of the most prevalent reasons is the cost. Family law attorneys in San Diego typically charge between $175.00 and $450.00 per hour depending on the experience level of the attorney. Depending on the particular case and the work involved, a spouse’s attorney fee bill can potentially cost tens of thousands of dollars. In order to avoid that cost, many litigants utilize free legal resources available throughout the San Diego community. Unlike in criminal law, family law parties are not entitled to representation. Therefore, there is no “public defender” equivalent in the family law system.

Learn more about jurisdiction and divorce in California

In order to reduce the cost of getting divorced, if the parties are splitting amicably, some divorcing couples will elect to have one spouse hire an attorney to handle all of the formalities. In this type of case, only one of the spouses is represented by the divorce attorney. The attorney will only owe professional duties to their client, not the other spouse. If the parties are in agreement regarding all issues, the attorney can prepare all of the paperwork for an uncontested divorce while the spouses only incurs one set of legal fees.

Another alternative often utilized by San Diego family law litigants is limited scope representation. Spouses can retain an attorney to review work they have done alone on their case. Additionally, parties can hire an attorney to represent them in an important hearing or for one or two issues in the case. If you cannot afford full representation and are worried about the custody and visitation or property issues in your divorce, you may be able to find a divorce attorney willing to handle those limited issues.

Read more about limited scope issues in divorce

Despite the cost of legal representation, it is important to consider what is at stake in a family law case and whether it is worth the risk of self-representation. The consequences of making a mistake in a family law proceeding can be devastating and may persist long-term. Also, it may be prudent to consider the time and effort that is often required in a family law case and whether you will have the ability to miss days of work for court hearings and devote hours to preparation. If you are unsure about whether you want to handle your divorce alone, contact a San Diego family law attorney for a consultation to find out more information.

www.BickfordLaw.com


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In a divorce, personal property (such as furniture, furnishings, art, family photos, pets, and other general property) is treated no differently than the division of other assets. Parties to a divorce can spend a significant amount of money fighting over silverware and lamps by placing a dollar figure on each item and dealing with them as part of the general division of assets and debts. If there is a dispute over which furniture or furnishing each party wants, the personal property will usually be appraised and then the appraiser will make a list of all of the personal property and assign dollar values to everything. As divorce attorneys will advise their clients, at that point the judge will make a determination as to how everything will be divided.

Or, instead of litigating the division of personal property, a better (i.e. less expensive) way to deal with the division might just be for the parties to agree on who takes what piece of furniture/dishes/artwork, etc. There are several ways that divorce attorneys approach an equitable division of furniture and furnishings, including, but not limited to the following methods:

  • Alternate Pick Method – personal property is divided by alternating picks after the flip of a coin to determine which party to the divorce will pick first.
  • Alternate Pick Method by Room – together the parties itemize everything in each room and then the parties alternate picks for the contents of the entire room.
  • Sale and Split – sell everything and split the proceeds between the parties upon divorce.
  • List and Choose – One person prepares two lists placing everything to be split in the divorce on one list or the other; then the other person picks which list he or she wants.
  • Bidding – each person submits a sealed bid as to what they think the item is worth and then the person with the higher bid gets the item at that value (i.e. at a charge).
  • Appraisal – Hire an appraiser and then divide everything based on the appraiser’s values. This usually requires the use of one of the above ways to divide the property once it is valued.

Although there are a variety of methods of dividing household items in a divorce, family photos generally fall under their own category of division. Typically, the parties agree for family photos to be given to one party and the other party to have the option to make copies of all of the photos. Courts usually do not like to get into disputes over family photos since there is really no way to assign a financial value to original photos.
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In a San Diego divorce, a party’s date of separation is the first date when either party subjectively (mentally) decided the marriage was over, finished, and not salvageable. The parties’ overt actions usually demonstrate that subjective frame of mind. For instance, there can’t be ongoing marriage counseling to save the marriage after the date of separation. The date of separation of the parties to a divorce can be a hotly contested issue. Sometimes, when parties do not agree on the date that they separated, the court must step in to help.

In fact, it is quite common for divorcing spouses to disagree about when their date of separation is. These disagreements are usually financially motivated since California is a community property state. This means that in California, community property rights only accrue from the date of marriage until the date of separation. Thus, the date of separation can significantly affect the size of the divisible community estate during a divorce. Some legal, financial, and other practical considerations for the parties to keep in mind when considering divorce and arriving at a date of separation (by way of agreement or decided by the Court) include the following:

  • Stock options: Divorce attorneys will advise their clients that a later date of separation will usually give the community more interest in a stock option.
  • Post-separation bonuses: A later date of separation will give the community a greater interest in a post-separation bonus upon divorce.
  • Pensions: A later date of separation in a divorce will give the community more interest in a pension.
  • Spousal support: A later date of separation from your spouse may provide for more spousal support. The duration of the marriage is one of the twelve factors a California court will weigh in determining the amount and duration of permanent spousal support.
  • Value of a business: A later date of separation in a San Diego divorce will value a sole practitioner’s business at a later date.
  • Pereira or Van Kamp considerations: If the separate property business was brought into the marriage, the community’s interest would stop growing at the date of separation.

The implications of the date of separation in a divorce can be quite significant. With the above considerations in mind, if for example Husband is the primary breadwinner and Wife is a stay-at-home mom, Wife may want to establish a later date of separation in order to maximize the community estate. Husband, on the other hand, may want to establish an earlier date of separation for the divorce so that his income, bonuses, commissions, etc. earned after the date of separation will be characterized as his separate property instead of community property. Clearly, selecting the date of separation can be a complicated matter that may require the advice of an experienced divorce attorney.

www.BickfordLaw.com


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