Rombro & Manley LLP Rombro & Manley LLP2024-03-07T15:43:14Zhttps://www.rombrolaw.com/feed/atom/WordPress/wp-content/uploads/sites/1303648/2022/08/cropped-site-identity-32x32.jpgOn Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480102024-03-05T15:44:13Z2024-03-07T15:43:14Zentitled to half the equity in their home, assuming they acquired the home together.
What can vary widely from case to case is how a court will actually make sure each spouse get their share of the equity. Usually, continuing joint ownership and use of the property is not the best option, although in theory that is a possibility even after divorce.
Those in Manhattan Beach and the other coastal communities in Los Angeles County will have to decide for themselves what their best interest is when it comes to their family home.
You should think twice before assuming it is best to fight for the family home
A person’s first instinct may be to try to fight to keep their family home. However, this is not always the best option in the long term. A person should ask several questions before trying to hang on to their residence.
Will I be able to afford the taxes and the upkeep? Keep in mind that after a divorce, your household income may drop since you and your spouse will not combine paychecks.
Am I going to be able to handle the mortgage payments?
On a related point, am I in a financial position to refinance if I am required to do so?
Am I prepared to trade off other property or otherwise buy out my spouse’s share in the equity?
How much do I expect the home to appreciate over time?
Will our children be able to stay in the home if I give it up? How important is it to the children that they stay in the family home?
What are my other housing options if I must move out?
Is it going to cost more time and legal expense if I fight to keep the house?
Ultimately, the decision about what to do about one’s family home in a divorce is one about which someone should think carefully after understanding their legal alternatives.]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480092024-02-26T20:15:20Z2024-02-22T20:04:46ZSurvey of divorced people says debt was a major problem
According to a Debt and Divorce survey consisting of 526 divorced people, researchers found that around one in three stated that financial infidelity and credit card debt were primary causes of the divorce. Eighty percent stated that their spouse had spent without their knowledge; 70% said credit card and debt they were unaware of caused the marriage to come undone.
The debt amassed by the participants varied. However, 38% said the marital debt rose by a minimum of $10,000. Forty percent had their credit scores drop by over 50 points. Even if people were aware of debt or one person wanting to make large purchases, this too caused friction in the marriage. The survey showed that 57% of those who were spoken to mentioned disputes about large purchases. In the last survey, it was 42%.
Even relatively innocuous purchases like going out to dinner and using the money for entertainment was problematic with one in four saying this was an issue. The divorce did not eliminate the financial strain as 37% said they were obligated to pay for debts that were previously shared. This added to their financial struggles.
Dividing debt is an essential part of a divorce
Debt is a challenge on its own. It can cause stress and fear of how the future will unfold. When the debt happens without the spouse knowing about it, it not only results in financial turmoil, but it erodes trust. As this survey shows, this has been an ever-increasing cause for divorce.
Since California is a community property state where the couple will generally split in half what they acquired during the marriage, it also applies to debt. This can leave people paying for what their spouse purchased even without their knowledge.
When people are considering divorce for any reason, it is vital to be aware of their options. That includes support, property division and debt division. Moving forward can be complicated and knowing what can be done to reach a positive result is imperative.
]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480082024-02-06T05:43:36Z2024-02-09T05:42:46Zmodifying child support orders in such situations is crucial.
Understanding child support
Child support in California is the monetary contribution one parent makes to the other for raising their child. Calculated using a guideline formula, factors include both parents’ income, time spent with the child, tax status, health insurance, childcare costs, the child’s special needs, etc. The court employs a “guideline calculator” for accurate calculations.
When can child support orders be modified?
While child support orders generally persist until the child turns 18 (or 19 if in high school), modifications can occur if circumstances change. Common changes include alterations in income, custody arrangements, family size, health insurance costs, childcare expenses or a parent’s disability or incarceration status.
Effect of job loss on child support
Losing a job is a significant change in circumstances that may warrant a modification of child support. However, not all job losses automatically lead to modifications. The impact depends on whether the loss affects income or expenses and whether it is temporary or permanent.
Modifying child support by agreement
Two avenues exist for modifying child support: mutual agreement or court order. The quickest route involves reaching an agreement with the other parent on a new support amount. This entails signing a written “stipulation” and filing it with the court. A stipulation is a formal agreement that, once approved by the court, becomes an official order.
By court order
If an agreement is unattainable, seeking a court order is necessary. This involves filing a “request for order” with the court, specifying desired changes and reasons. Income, expense details and other relevant factors must be provided. The court will schedule a hearing where both parents present arguments and evidence, and the judge decides based on the guideline formula and the child’s best interests.
Rules for modifying child support
Several rules govern child support modifications in California. Modification can be requested at any time, but changes only apply from the filing date, not retroactively. The court requires a significant difference, generally 20% or $50, between the current order and the guideline amount to approve modifications.
Both parents’ income is considered, and the court assesses the reason for job loss and efforts to secure new employment. If a parent voluntarily leaves employment or fails to make reasonable job-seeking efforts, income may be imputed based on earning capacity. Finally, the court looks at the impact on the child’s needs and well-being, potentially affecting the extent of the order adjustment.
]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480072024-01-25T16:56:19Z2024-01-25T16:56:19Zwill also be divided.
This can be a sticking point as people will generally want to limit their obligations. There are key facts to remember such as what type of debt it is, who is legally obligated to pay it and if there is room for negotiation with the other party and creditors.
People need to address debt during their case
During a marriage, people will purchase items they want and need. That could be a marital home, automobiles, furniture, clothes and more. If they are securing a mortgage for the property, getting an auto loan or using credit cards, that will lead to debt that will not be immediately cleared even in a divorce.
The sides could have an agreement between them that one person will pay the debt even if both are listed on the account. The company is not obligated to honor any agreement the parties have made between them. Legally, both are responsible for it.
In particularly contentious cases, one side might use a joint credit card to make purchases after the split. Even if the other side did not want to make those purchases or was wholly unaware of them, they are still responsible for it if they are named on the account. When a person who asserts they are not obligated to pay for a debt brings this up in court and gets a favorable ruling, the damage will have been done to their credit rating if there are late payments or a failure to pay at all.
Know the facts about debt when getting divorced
Couples can decide on their own how to deal with debt. Selling property is one option. They can make a trade or refinance so only one is responsible for the debt. Property division, financial considerations and who will be responsible is a common obstacle in reaching a divorce settlement.
For these cases, it is vital to know how the law handles property and debt and to be aware of the available options. Some couples are on reasonable terms and they can discuss a settlement without rancor. In others, they are engaged in significant dispute making it impossible to come to an agreement. Some are in the middle of these extremes. Regardless, knowing what can be done is imperative and people should be fully ready from the outset.]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480052024-01-12T20:49:57Z2024-01-11T20:47:53ZMediation and arbitration
Mediation is a voluntary process where you and your spouse will meet with a neutral third party, called a mediator, who will facilitate communication between you. You will have an initial meeting with the mediator to discuss the rules and process, then each spouse will present their concerns and goals for the outcome. The mediator can help you make a mutual agreement and then it can be presented to the court for approval. If the court approves it, it will become a binding agreement.
With arbitration, you and your spouse will first have an initial hearing to discuss the issues and exchange information with each other. Then, each spouse can present their side to the arbitrator, with can include witness testimony and evidence. The arbitrator will make a final, binding decision which is enforceable by the court.
ADR benefits during divorce
There are several benefits to using ADR during the divorce process. Mediation and arbitration can reduce conflict because each spouse is actively working to compromise with the other. This may be especially helpful if you share children because it can help to preserve your co-parenting relationship.
ADR may be less time consuming and less expensive than a traditional court process. It also may provide more flexibility.]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480042023-12-18T19:03:51Z2023-12-28T19:00:32Za recent news article and shows that a certain group of people in America are divorcing at a higher rate than others.
Older divorce
According to the recent article, older Americans – those who were born between 1946 and 1964 – are divorcing more than any other age group in the country. The phenomenon even has its own moniker: “gray divorce.”
There is, of course, much discourse over the cause of the uptick in the rate of divorces among this particular generation of Americans. Some speculate that the higher rate is due to longer life ranges for Americans in general – a longer life gives people more time to become dissatisfied in a marriage, the thought process goes, and then take steps to move on. Another possible cause mentioned is that, once children are grown up and on their own, older Americans are nowadays seeing that they have an opportunity to end their marriage with fewer legal issues to address and, possibly, go on and be happier where the grass is greener.
In the end, there are many causes for Americans to divorce, and Californians who are contemplating this legal process will have their own reasons. If you are thinking about pursuing a divorce in California, you are sure to consider how the legal process will impact your life both in the present and in post-divorce life – no matter your age.]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=480022023-12-18T18:56:38Z2023-12-13T18:55:05ZChild support in a divorce
In many cases, the perception of how child support funds are going to be used by the receiving spouse is really the point of contention. That is why family courts often focus on finding an amount of child support that is “fair” to both sides, while also following established child support guidelines.
But, what is “fair”? That is, after all, a subjective term. What might seem fair to one person could seem unfair to another. As you work your way through this complicated legal issue, you’ll want to ensure that only the appropriate factors for your specific case are used to determine the ultimate amount of child support that must be paid. Circumstances like the unique needs of the specific child in question, educational and healthcare needs and even the standard of living the child has experienced thus far in life are some of the crucial factors that will likely be considered.
One of the keys to getting through a child support dispute with a modicum of success is keeping emotions in check. In the end, both parents usually want what is best for the child, it’s just that they disagree on what, exactly, that is.]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=479902023-12-05T06:13:20Z2023-12-05T06:13:20Zprofessional appraiser can provide an impartial opinion as to the home’s fair market value, and this opinion can be used to negotiate an acceptable sale price with a third party, or the divorcing couple can include the net value of the home in the list of marital property to be divided by the Court.
Understanding the methodology of professional appraisers may help a couple decide whether to pay the cost of a professional appraiser.
What does an appraiser do?
The appraiser’s main task is to develop an impartial opinion about the value that a willing and informed seller can expect to be paid by a willing and informed buyer for a specific piece of real property.
Most appraisers are bound by a code of rules adopted by Congress in 1989; these rules are familiarly known as “USPAP” – Uniform Standards of Professional Appraisal Practice.
Visiting the “subject”
The appraiser’s first step is to visit the property to be appraised, called the “subject.” The appraiser will make a detailed inspection of the exterior and interior of the subject. The inspection will include noting the physical condition of the interior and exterior. The inspection will also include detailed measurements of every room and the overall lot occupied by the subject.
Most appraisers use modern digital tools to make a record of their observations; these tools can include sophisticated 35mm cameras and video cameras. The appraiser will also note the need for any repairs or improvements, such as a new roof, up-dated appliances, or eliminating a source of water in the basement.
Choosing an approach to value
After gathering the data produced by the site inspection, the appraiser will gather additional data from public sources about the sale prices of other houses in the neighborhood, real estate taxes, and likely assessments for public utilities. At this point, the appraiser will choose an approach to value.
For residential properties, the choice is usually limited to the comparable sales approach. The other two approaches to value – income approach and replacement cost – do not produce accurate opinions as to fair market value and are rarely used for residential appraisals.
Preparing an opinion as to fair market value
The appraiser will next examine the list of comparable properties to find properties that are comparable in size, features and price to the subject.
Combining all this information with information gleaned from the inspection and with personal knowledge of the local real estate market, the appraiser will develop a professional opinion as to the fair market value of the subject.
This opinion, together with the supporting information, will be placed in a notebook that will be delivered to the client and to the court.
The divorcing couple can use the information in the appraisal opinion to negotiate a price with a third-party buyer or they can incorporate the appraiser’s opinion into their own agreement about dividing their assets.
]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=479892023-12-05T06:07:31Z2023-11-29T06:04:56Zdividing a family business. The difficulty arises because businesses come in an almost endless variety of shapes and sizes.
Is the business individual or community property?
The first step in dividing a business in a California divorce is to determine whether the business is marital or individual property.
If the business was founded by one spouse before the marriage, the business will most likely be determined to be an individual asset.
If the business was founded by both spouses after the marriage, it will most likely be found to be a marital asset.
If the business was founded by a single spouse but gained significant value though the efforts of both spouses, the court is most likely to rule that a significant portion of the business is marital property.
Valuing the business
Any one of several methods can be used to value a business.
The simplest – but often least accurate – method is the net asset value: the company’s debts are subtracted from the total value of the company’s assets, and the remainder is the company’s value.
Another method is to estimate the income of the business over a fixed time period and to calculate the present value of the income as of the date of the divorce.
A third method, called the comparable sales method, is examining recent sales data for similar businesses and using this data comparison to estimate the fair market value of the subject business.
If the business is large or very successful, the divorcing couple may decide to hire a professional appraiser to provide an unbiased estimate of the company’s fair market value.
Other valuation methods are sometimes used, but the ones mentioned above are the most commonly used.
Dividing the business
After determining the fair market value of the business, the spouses have several choices. They may decide to sell the business to a third party and divide the proceeds of the sale equally between them. A second alternative is to convey the entire business to one spouse and adjust the division of the remaining assets accordingly.
This alternative may have the unwanted effect of depriving one spouse of a good-paying job, an outcome which may affect the determination of either spousal or child support. A third option depends upon the ability of the divorcing spouses to work together after the divorce is final. If the two individuals can get along, they may be able to continue their co-ownership without selling the company.
Dividing a family business can have important impacts on other issues in the divorce, and these issues should be addressed before the company is sold.
]]>On Behalf of Rombro & Manley LLPhttps://www.rombrolaw.com/?p=479882023-12-01T18:53:55Z2023-11-20T18:51:59ZWays to defend against a child custody modification request
When your child’s other parent files a motion to modify custody, they’re going to argue that there’s been a material change in circumstances. To support that claim, they’re going to make specific accusations that attack your parenting abilities. To fight back against those allegations, you need to be prepared to do the following:
Present contradictory witness testimony: The motion to modify will likely be supported by statements and observations made by the other parent as well as friends, family members, or professionals. You need to be able to counter those assertions with your own testimonial evidence. While you can try to set the record straight with your own testimony, you’ll want support from other witnesses, too, whether they be friends, family members, school personnel, or mental health professionals.
Downplay written communications: If you’ve gotten into heated spats with your child’s other parent, then you should be prepared for any damaging text messages and emails to come to light. These communications might be taken out of context, so you’ll want to develop a strategy to minimize their impact on the court’s perception of your parenting abilities.
Address harmful documentary evidence: Photographs, police reports, and social media posts can all be used to damage your position in a child custody dispute. You’ll want to either find a way to explain those problematic documents or reduce the impact they have on your case. You'll want to keep track of any steps that you’ve taken since the creation of the record to improve yourself.
Be honest: You always have to be honest with the court, but being straightforward and blunt about any issues that you’ve faced can buy respect, especially if you’ve sought help to remedy whatever issue has been brought to light. If you’re going to take that route, just make sure you can show significant improvement in whatever issue it is that’s come out.
Remember, when you’re facing a child custody dispute, the focus should always be centered on your child’s best interests. So, as you prepare to counter a motion to modify, you need to think about how you can frame your arguments from a perspective that demonstrates that the existing custody order is best suited to protect your child’s safety and well-being.
Craft the persuasive child custody arguments your child needs
With so much at stake in your child custody dispute, you can’t simply walk into court and expect to get the results you want. Instead, you’re going to have to be prepared and calculated, gathering as much evidence as you can to support your position. It also helps to find ways to attack the other parent’s evidence from a legal perspective, such as when it’s been improperly authenticated, contains hearsay, or is unreliable.
By doing these things, you’ll hopefully better position yourself for the outcome that your child deserves. Good luck with your case and be sure to reach out for any help that you might need along the way.]]>