The Marks Law Firm Blog and New Updates

Is Parallel Parenting Right for You?

In high conflict cases where former spouses struggle to communicate or agree on what is best for their children, co-parenting can seem like a daunting task. The divorce process is just the beginning. Your marriage may be over, but when you have kids, you will be connected to your former spouse for years to come. While most legal teams make an effort to advocate in the best interest of the children involved, regular communication between former spouses is not always an ideal solution.

Co-parenting vs. Parallel Parenting

Although each approach relies on a timesharing agreement, there are clear differences among the two.

Co-parenting consists of each parent regularly communicating with each other as it relates to their child’s schedule, expenses, academics, health, etc., as well as possibly joining forces for birthdays, school functions, and extracurricular activities. It allows both parents the opportunity to voice concerns directly and in person as situations arise. Decisions regarding the children are made together, rather than by one parent alone.

Parallel parenting is a newer arrangement where former spouses are not expected to be in constant contact with one another . In other words, by utilizing this method to avoid conflict and possible tension, each parent protects the children from the negativity associated with their difficulty to communicate. To decrease the need for communication, decision making may be split between parents. For example, the child’s mother may be responsible for health related choices, while the father may have the final say in regards to after school activities. Over time, some parallel parenting arrangements evolve into versions of co-parenting, as resentment weakens and children become the overall focus.

For those who are interested in pursuing a parallel parenting plan, we encourage you to consider which approach would best fit the needs of your children and new family dynamic. The decision may seem overwhelming at first, but there are a variety of resources available to make the transition to parallel parenting easier.

If you are unsure of which option would work best for your case, we encourage you to contact our office and speak with one of our Central Florida Family Law Attorneys today.

How to Handle Timesharing with Ease

Once a case is resolved, former spouses have the opportunity to settle into a new routine. For clients with children, a parenting plan is implemented to outline primary residency, school zoning, expenses and reimbursement expectations, and timesharing (formerly known as child custody). While not all marriages end amicably, in most cases, each parent strives to do what is best for the children involved, despite their own preferences or feelings toward the other party.

Whether they decide to co-parent or parallel parent, timesharing can be difficult at first. Perhaps you are struggling to adjust to having less time with your child. Fear not, over time we have witnessed former clients thrive as they adjusted to a new family dynamic.

Manage your Expectations.

It is important to consider that everyone involved is going through a transition. Make an effort to meet your former spouse, your child and yourself with grace. As each of you adjust to new schedules, ways of communicating, etc., several emotions will come to the surface.

Be Mindful of your Audience.

When you are reunited with your child, it may be tempting to invite others to join in on the excitement. However, you may want to be sensitive to the fact that your son or daughter could be looking forward to alone time with you. At first, he or she may want to only spend time with you rather than with extended family, such as aunts, uncles, grandparents, etc.

Practice Empathy.

Remember the moments where you are dreading the hand off and returning to a quiet home. Each parent should treat the other how they would want to be treated. In order to alleviate stress for everyone, be aware of your body language, your tone and the general agenda of what should take place at your hand off. Some parenting plans specify that a neutral location be used for timesharing arrangements. Others might request former spouses refrain from discussing parenting issues in front of the child, to avoid tension. Put yourself in the shoes of your vulnerable child.

To speak to an attorney regarding your parenting plan or timesharing arrangement, call our office today.

Florida Supports Your Desire to Dissolve Your Marriage in a Private and Humane Way

Choosing the Collaborative Law Process for your divorce offers you a wealth of benefits not typically available in a traditional court divorce, and our Florida Legislature has created a State Law that supports the Collaborative Law Process.

On March 24, 2016, Governor Rick Scott signed The Collaborative Law Process Act into law “to create a uniform system of practice for the collaborative law process in this State…and to encourage the peaceful resolution of disputes…”

By signing the Collaborative Law Process Act, Florida confirmed that it recognizes the collaborative process as a unique alternative for couples to resolve their differences without having to engage in costly court battles and other destructive litigation as part of all out warfare on the other spouse.

Here’s an interesting fact…the collaborative process is used throughout the United States and in 24 countries!

So what are the top three benefits you will get from a collaborative process that you will not get if you choose to submit your family and its issues to a Judge?

BENEFIT #1 – YOUR DIVORCE IS PRIVATE AND CONFIDENTIAL

When a typical divorce begins, one spouse will prepare court documents that will be filed and served upon the other spouse.  When you file documents with a court, everything in those documents is available to the public.  It would be like standing on the highest mountain on earth and shouting that you and your spouse are getting divorced along with all of the financial details and your family’s other “dirty laundry.”  Everyone will know what should be a private affair.

The collaborative process provides that communications made during the process are confidential.  You have a privilege to keep those communications private and to prohibit them from being disclosed to anyone.

BENEFIT #2 – LESS TIME TO GET YOUR DIVORCE

When you submit your family’s issues to a court to decide what is best for your family you will likely have to file motions, attend hearings, and timely respond to your spouse’s formal requests for information.  This means that you will be at the mercy of the court’s calendar and availability.  If you need the court to make a decision regarding an issue in your divorce, it may be 3 to 5 months before you can get in front of the Judge assigned to your case, and you may not receive a decision in your favor.

The collaborative process can reduce the amount of time it takes to get divorced.  There are no motions, no court hearings, and no formal discovery requests seeking your private information.  Rather, the collaborative process is transparent.  Documents and other information is voluntarily provided and exchanged between you and your spouse.

Not having to rely on the court will likely provide you with a divorce much quicker than the traditional courtroom battle divorce.

BENEFIT #3 – IT CAN SAVE YOU MONEY

Courtroom divorce battles can drag on for years and cost a family its entire estate and life savings in fees.  In a typical family case fought in the courtroom, emotional issues, anger, resentment, and disputes over children can dominate an attorney’s time and mental energy which results in significantly increased fees and costs you have to pay.

It is not uncommon for people to withdraw 401(k) funds, sell stocks, homes, cars, and other belongings to be able to pay for their attorney’s fees, expert fees, and costs.  In addition, many divorce legal battles involve one spouse not having enough money to be able to afford an attorney.

If you choose the collaborative process for your divorce, both you and your spouse will have the same access to family funds to pay for your divorce.  Moreover, since there will be no motions and hearings, you will not have to spend money on often needless and unnecessary legal gamesmanship.

WHAT NEXT?

Those are just three of the benefits you will likely take advantage of when you choose the collaborative process.  There are many more!

I encourage you to explore the collaborative process for your divorce or other family law legal matter.  All of the attorneys at The Marks Law Firm are collaboratively trained and experienced which sets them apart from other law firms.  Give us a call today at (407) 872-3161 to schedule an appointment to talk about your options and how the collaborative process might work for you.

Arthur J. Grossman III is a Senior Attorney with The Marks Law Firm, P.A., in Orlando Florida focusing 100% on marital and family law matters.  He is the only practicing family law attorney in Florida with a Master of Laws degree in Dispute Resolution from The Straus Institute for Dispute Resolution at Pepperdine University School of Law in Malibu California and the #1-Ranked Program in the United States.  He serves on the Board of Directors for the Florida Academy of Collaborative Professionals and the Family Law Committee of the Orange County Bar Association.

5 Reasons Why Mediation is Encouraged During Divorce

Mediation is often underrated compared to litigation when couples are in the middle of dissolution of marriage. Certainly, there are many situations where pursuing litigation is necessary. However, if both spouses are hoping to proceed with their case amicably, mediation should be an option and is often required by the Court. Many couples experiencing divorce may not be aware of the benefits of mediation.

Our Family Law attorneys at The Marks Law Firm are advocates for our clients and their children and we support mediation wherever possible.

Mediation is encouraged for the following reasons:

1. Cost:
In general, mediation costs vary depending on the rates of the mediator as well as the length of the mediation, but in almost all cases, the total fees charged are less than the cost of a Trial, not to mention, the emotional toll that comes along with litigation. Consequently, it is important to consider how much your peace of mind is worth.

2. Influence of Outcome:
Rather than depending on a Judge and his or her ruling in order to determine the resolution of your case, mediation provides each party with the opportunity to come up with possible solutions throughout that are more flexible than a judge is permitted to order. Parties are directly involved with decision making and can come up with out of the box solutions.

3. Welcoming of Pro Se Parties:
Even if you are not in the financial position to retain an attorney, you can still move forward with a divorce while consulting a mediator, who handles mediation where the parties are unrepresented.

4. Mediators are Expected to be Impartial:
While you may not anticipate every aspect of your case to be resolved without some conflict, your mediator will focus on helping the parties reach an amicable resolution. He or she does not choose sides.

5. Time:
Going to Trial in the process of finalizing your divorce means you are now subject to the Court’s availability, dictates and schedule. Choosing mediation gives you more control over how long it takes to reach a resolution of your case.

Alimony Tax Deductions to be Eliminated in 2019

There is huge change coming to how alimony is going to be treated from a tax standpoint. Over the past 75 years, one factor remained the same: alimony was deductible for paying spouses, while receiving spouses were expected to pay income tax on any alimony received.

Effective January 1, 2019 alimony tax deduction will no longer exist! From a family law perspective, I anticipate clients who may be ordered to pay alimony to their spouse will need to take immediate action in order to receive a tax deduction on their alimony payments for years to come. Unfortunately, for those who do not take the necessary steps to file their case or move their existing case forward quickly, they risk not getting to Final Hearing prior to the elimination of alimony tax deduction.

In other words, being proactive is of the upmost importance for paying spouses. According to financial experts, under the Tax Cuts and Jobs Act, in all divorces after December 31, 2018, not only will alimony no longer be deductible for the payer, but no taxes will be due from the recipient. So recipients may want to delay until after January 1, 2019 and alimony paying spouses will want to get their cases to Court for final resolution prior to January 1, 2019.

For all Final Judgments entered after 2018, higher income spouses and those subject to higher tax brackets will lose up to 37% tax deduction on future alimony payments.  As a Family Law attorney serving Orlando and other neighboring counties in Central Florida , it is my responsibility to educate my clients on how this could impact their dissolution of marriage case. Speaking from past experience, tax deductions on alimony payments have become a financial cushion for the paying spouse.

The problem is that it can take several months to get to a Final Hearing on your case and because so many alimony paying spouses will need to get a Final Judgment prior to the end of the year, there will  be a flood of new filings or cases already filed that will be pushing to Final Hearing before the end of the year.  This will create an even bigger back log in the Court system which could take even longer to get your case heard by the Judge. And of course the Judge may need time to consider the evidence at Trial and may take additional weeks to render the decision.

Although the loss of alimony tax deductibility presents paying spouses with significant challenges, our experienced Family Law attorneys at The Marks Law Firm, P.A. are keeping up to date with these alimony developments. The one thing I would say is if you may have to pay alimony, “Do not wait.”

To speak with one of our Family Law attorneys regarding your alimony concerns in Orlando and other neighboring counties in Central Florida, call our office and schedule a consultation today.

Florida Passes the Collaborative Process Act

After unanimously passing in the Florida House and Senate, on March 24, 2016, Governor Rick Scott signed and enacted the Florida Collaborative Process act.  This act recognizes and establishes requirements for the use of the Collaborative Process in family law matters in the State of Florida.  The Collaborative Process is a dispute resolution method used as an alternative to Court litigation.  In enacting the Collaborative Process Act the Legislature stated the purpose of the Act was:

The Legislature finds and declares that the purpose of the Part III of Chapter 61, Florida Statutes, is to:

  • Create a uniform system of practice for a collaborative law process for proceedings under chapters 61 and 742 of the Florida Statutes
  • Encourage the peaceful resolution of disputes and the early settlement of pending litigation through voluntary settlement procedures.
  • Preserve the working relationship between parties to a dispute through a non-adversarial method that reduces the emotional and financial toll of litigation.

In the Collaborative Process, each party, with the help of a specially trained attorney, meet jointly and privately to respectfully negotiate the settlement off all the issues in their dissolution.  Information and documents are exchanged voluntarily without the need of going to Court or the expense of formal discovery.  A neutral financial expert, such as a certified public accountant or a financial planner, helps the couple gather and understand their assets, liabilities, income and expenses, to help the parties negotiate a settlement of those issues.  A specially trained mental health professional acts as a facilitator to assist the parties with issues involving their children and to stay focused on resolving the issues in their dispute rather than attacking the other person.

The cost and time required by the collaborative process is typically less than half of a litigated divorce.  Best of all, the parties learn how to problem solve together, lessening the possibility of future litigation.  This is in stark contrast to litigated divorce cases which may leave bitterness and anger for years leaving the parties without a working relationship and solving future problems through more litigation.  Further, the Collaborative process allows the parties far greater privacy for themselves and their finances than traditional litigation.

We at the Marks Law Firm have been have been utilizing the Collaborative Process for years to help our clients in their disputes.  The attorneys in our firm have received special training in the use of this process, and one of the attorneys in our firm aided in the creation of this statute.  It is our hope that, with the passage of this act, the use of the Collaborative Process will become more common as we believe it will greatly benefit Florida’s families.

8 Concerns for People Facing a High Net Worth Divorce

If you own significant assets, generate substantial income, and are facing divorce, the following article could salvage a large portion of your net worth.

In divorce, the more you make, the more you have at stake. Unless you have an ironclad prenuptial agreement, up to 50% of any net worth accumulated during your marriage could belong to your spouse – and maybe more.
The following eight tips will help you understand how to protect yourself through the divorce process.

1. Use valuation specialists if necessary. If you own a business, your business could be an asset subject to division upon divorce. This means you will have to determine the value, which likely includes the blood, sweat, and tears (aka goodwill) you’ve poured into it over time. Never enter into settlement negotiations for divorce without first knowing the actual value of assets like a business, professional practice or real estate.

2. Consider a forensic accountant. In many cases, spouses comingle funds or assets, which can give those assets a mixed characterization and make pinpointing the source difficult. Using a forensic account to trace funds and assets may be necessary.

3. Evaluate the strength of your prenuptial or postnuptial agreement. If you plan to handle your divorce as outlined in a prenuptial agreement, be sure it is well-drafted. If you’ve failed to disclose any assets or failed to have your prenuptial agreement executed under the proper conditions, your prenuptial agreement could be invalidated along with its terms.

4. Consider the tax consequences of your divorce. Transferring assets by way of divorce almost always involves significant tax consequences for high net worth individuals. Your divorce attorney should collaborate with your accountant to ensure any asset transfers as a result of your divorce are structured to mitigate as much tax liability as possible.

5. Understand your potential alimony obligation. If you generate substantially more income than your spouse, and your spouse needs financial support, you could end up with a significant alimony obligation. Alimony payments have tax implications for both the receiving and paying spouse so you want to be sure you can negotiation an alimony agreement that will be favorable to your overall financial picture.

6. Understand the implications of marital waste. Since your marriage has been on the rocks, is your spouse suddenly spending more? Is your spouse funneling marital assets into accounts for which you don’t have access?

It is not uncommon for high net worth individuals to experience this type of behavior from their spouse, or even be tempted to do the same. Thankfully, the law doesn’t allow the waste of marital resources to go unaccounted for, and with the proper guidance of a family law attorney you can take appropriate steps to prevent the unnecessary loss of assets and income.

7. Consider the cost of attorney’s fees (for you and your spouse). If your spouse has little to no income, and your income is substantial, you can expect to pay some amount of their attorney’s fees if you are the spouse seeking the divorce. Treat your divorce like a business decision. Plan how much you are willing to spend to get a reasonable divorce settlement and stick to that decision. Your net worth will thank you.

8. Calculate the cost of your divorce. Would you spend $20 on a $21 dispute? Of course not. Know the value of your fight. Do you want to spend tens of thousands of dollar (or more) on a dispute you could settle for the same amount? You’ll end up spending double what you’d pay, just to fight over the value. While it may be difficult to put your emotions aside and compromise, considering settlement could save you tens of thousands of dollars.

To learn more about how you can reduce the risk of diminishing your net worth as a result of divorce, click here to request a consultation or call 407-872-3161 to speak with one of our Orlando Divorce Attorneys today.

Attention Florida Business Owners Facing Divorce

If you are a business owner, and you are considering divorce, read this first.

Under to Florida Statute 61.075, property owned by you and your spouse falls in one of two categories: marital or nonmarital.

Specifically, marital property typically includes:

  • Assets and liabilities accrued during your marriage, whether accrued individually or jointly.
  • The enhancement of value and appreciation of nonmarital assets as a result of either spouse during the marriage or from the investment of marital funds or other forms of marital assets, or both.
  • Gifts given between spouses during the marriage.
  • All vested and nonvested benefits, rights, and funds earned during the marriage in retirement, pension, profit-sharing, annuity, deferred compensation, and insurance plans and programs.
  • All real property held by spouses as tenants by the entireties, whether acquired before or during the marriage is considered a marital asset.
  • All personal property titled jointly by spouses as tenants by the entireties, whether acquired before or during the marriage, is considered a marital asset.

The Statute also states that nonmarital property includes:

  • Assets and liabilities accrued by either spouse before the marriage, along with assets and liabilities accrued in exchange for those assets and liabilities.
  • Assets acquired separately by either spouse by gift (not between spouses or to the spouses as a couple, but as individuals), bequest, devise, or descent, and assets accrued in exchange for those assets.
  • All income earned from nonmarital assets during the marriage unless the income was treated, used, or relied upon by the spouses as a marital asset.
  • Assets and liabilities excluded from marital assets and liabilities by valid written agreement of the spouses, and assets or liabilities accrued in exchange for those assets and liabilities.
  • Any liability incurred by forgery or unauthorized signature of one spouse signing the name of the other spouse. That liability shall be a nonmarital liability of the spouse committing the forgery or having attached the unauthorized signature alone.

So what does that mean if you start or acquire a business while married?

Does your spouse have an interest?

What if you owned the business before you got married, does your spouse have an interest then?

The answer could be yes in all cases.

Let us explain.

As the factors outlined above suggest, if you started your business during your marriage, your spouse could have a marital interest in your business because all assets and liabilities accrued during your marriage are usually deemed marital.

But, your spouse could also have an interest in your business if your nonmarital business asset was converted into a marital interest because funds (or some other asset) earned by either spouse during the marriage was used to enhance or increase the value of the business.

Essentially, if you own a business and your wife contributed to the growth of your business financially or enhanced the value of the business in some other way, she could have an interest in your business upon divorce.

Determining whether or not a nonmarital business asset has become a marital asset requires a detailed and expert legal analysis. In fact, an experienced family law attorney should recruit the expertise of a business valuation expert or CPA to determine the value of the business for the purpose of divorce.

If you’re not sure where you stand, seek quality legal counsel to provide you guidance.

To learn more about whether or not your spouse could have a marital interest in your business, click here to request a consultation or call 407-872-3161 to speak with one of our Orlando Divorce Attorneys today.

 

How do I Protect My Assets in a Divorce?

Divorce requires a division of assets acquired during the marriage, so you can’t keep every asset you own out of your spouse’s hands. Knowing that, is there any way to protect your assets in Divorce?

Obtain a Prenuptial Agreement

A prenuptial agreement is an agreement between future spouses that sets forth the rights and obligations of each spouse upon divorce, death, and even during the marriage. In your prenuptial agreement make sure you designate your business as non-marital property. If you’re currently married, you may be able to achieve the same result by obtaining a post-nuptial agreement.

A postnuptial agreement is an agreement drafted after marriage but serves the same purpose as a prenuptial agreement. Having said that, if you’re currently contemplating divorce, a postnuptial agreement will likely not be very useful to you. Once a divorce is imminent a postnuptial agreement becomes a separation agreement, which doesn’t mean you’re business will be protected.

Prenuptial and postnuptial agreements are very specific documents that require experienced legal insight when drafting. Simply missing one essential element in drafting and executing a prenuptial or postnuptial agreement can render the entire thing void – and for you useless.

Consider a claim for an unequal distribution

Florida is an equitable distribution state which, based on some factors requires spouses to divide their assets “fairly.”

However, where one spouse rightly deserves total ownership of a business that is subject to division in divorce, the court must consider whether it is actually more equitable to allow one spouse to retain a “business, corporation, or professional practice, intact and free from any claim or interference by the other [spouse].”

If your business is at risk in your divorce, this could be one way to protect it. Be sure to speak with an experienced family law attorney to determine whether or not unequal distribution applies to your case.

Reconcile with Your Spouse

Now, don’t get this wrong. We are not suggesting you stay married just to protect your business. But maybe the challenges you’re facing as a result of your prospective divorce can serve as a catalyst for evaluating whether or not you want to sever the very things you and your spouse have built together?

Perhaps your marriage is salvageable?

Perhaps with the right help it could thrive?

Reconciliation isn’t always an option, but you should be sure it isn’t before you pursue the path of divorce. As strange as it that sounds coming from divorce lawyers – take our word for it.

To learn more about how you can protect your business if you’re facing divorce, click here to request a consultation or call 407-872-3161 to speak with one of our Orlando Divorce Attorneys today.

Does it Matter if My spouse had an Affair in a Florida Divorce?

Most states are “no-fault” divorce states. This traditional grounds (or reasons) like adultery, cruelty, or abandonment are not required to obtain a divorce. Simply state your reason for divorce and the court will accept it.

That doesn’t mean, however that bad behavior is without consideration in your divorce.

Under Florida’s Equitable Distribution Statute 61.075, any “marital waste” suffered as a result of your spouse’s behavior (after or within 2 years prior to filing for divorce) can be considered in the distribution of assets in your divorce.

For example, if your spouse spent extreme amounts of money gambling, on drug use, or extramarital affairs a court could consider these facts in distributing your assets and liabilities for the purposes of equitable distribution.

In extreme cases, proven marital waste could lead a judge to order an unequal equitable distribution (meaning you get more than your fair share of distribution). However, you must request unequal distribution based on marital waste to receive it.

So, yes. In some cases, your spouse’s extramarital affair or the waste of marital assets could impact the outcome of your divorce.

For more on how marital waste can impact your divorce and divorce settlement, click here to download our free guide How to Avoid an Unfair Divorce Settlement.

Whether you’re facing a challenging divorce trial or expect a quick divorce settlement, working with an experienced divorce attorney who understands the intricacies of family law is vital to obtain the most favorable outcome possible in divorce.

To determine whether or not your divorce case involves a valid claim for marital waste, click here to request a consultation or call 407-872-3161 to speak with one of our Orlando Divorce Attorneys today.