Family Law Group, INC.Livermore Family Law Attorney | Walnut Creek Divorce | Family Law Group, INC.2024-02-29T14:34:28Zhttps://www.cafamilylawgroup.com/feed/atom/WordPress/wp-content/uploads/sites/1302667/2022/04/cropped-familyLawGroupInc-site-icon-32x32.pngOn Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=480072024-02-19T17:05:59Z2024-02-19T17:05:59ZReasons for court to approve a custody modification
California courts will generally not approve a custody or parenting order modification unless there is a significant change in circumstances and the modification would serve the best interest the child.
Here are a few possible reasons for modifying a custody order:
Child is in danger, physically or emotionally
Non-custodial parent moved closer to the child
Parent’s job schedule changed
Parent is suffering from health issues
Parent needs to relocate
Parent is not properly caring for the child
Parent is failing to follow terms of the current order
If your child custody arrangment is no longer working for you, you may consider filing for a modification of your custody agreement. If you and your ex-spouse agree to change the current plan, it is important that you have your new custody agreement approved by the judge. If you do not seek court approval, your new agreement will not be legally enforceable. In such cases, it would be easy for your ex to agree to new terms, but later claim that you kidnapped your child or breached your existing agreement.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479972024-01-16T21:43:45Z2024-01-19T21:42:39Zhow you will divide your marital property, as well as other issues, such as child custody, spousal support or tax matters.
Hearings address an issue that you cannot settle
However, issues sometimes come up that cannot be resolved and you must let the court decide. When this happens, a hearing is scheduled on the issue.
Hearings are different from a full-blown divorce trial. While your case may eventually proceed to a trial, where all or many different issues are litigated, hearings are meant to resolve only one issue.
For example, you may have filed for divorce and separated from your spouse. Your divorce case might be pending and the yearly tax deadline coming up. You and your spouse could disagree about whether you should file taxes jointly or married but separate.
A hearing would be necessary to resolve this issue. Hearings are meant to address only one issue and last approximately 20 minutes.
Long cause hearings are reserved for complicated issues
Since divorce involves many different issues, there are times when more than one issue, or one complicated issue, must be addressed and a hearing is likely to take more than 20 minutes. When this happens, you are scheduled for a long cause hearing.
An example of when a long cause hearing may be necessary is in a high asset divorce case where there is a disagreement over the value of a piece of property.
In a case like this, testimony from different financial experts might be necessary. Long cause hearings can sometimes last for a day or more.
There is no set formula or situation that determines when a long cause hearing must be held. It typically depends on the specific aspects of your situation.
At the conclusion of your long cause hearing, a judge makes a ruling on the issue. You are then free to negotiate the rest of your issues or proceed to a divorce trial if you cannot come to an agreement.
You have up until the day of your divorce trial to come to your own agreement. Although you can come to an agreement at any point, even the day your divorce is filed, there is a six-month waiting period from the date of filing until your divorce can be finalized.
This waiting period allows you and your spouse time to determine if divorce is what you really want. It also gives you time to analyze and negotiate divorce terms that are in your best interest.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479962023-12-19T18:38:21Z2023-12-19T18:38:21ZHow can you protect your business during divorce?
First, it’s important to realize that there’s a lot that you can do on the front end to keep your business safe, so it’s never too early to start working to protect your business. It’s also never too late. If you want to protect your business as fully as possible, you should consider the following options:
Creating a prenuptial agreement: This agreement, which is contractual in nature, specifies the financial obligations of each party and how marital assets will be divided if there’s a divorce. When it comes to a business, though, you can also specify that it and its assets are individually held, thereby removing them from the property division process in the event of divorce.
Limit your spouse’s participation in the business: If your spouse is involved in your business, such as by working for you or making important decisions, then they’re going to have an interest in it when divorce arises. By limiting your spouse’s involvement, you shield your business from your spouse’s reach.
Pay yourself: Reinvesting the income you generate back into the business is going to open the door for your spouse to argue that they should gain access to a larger portion of the business’s assets given that marital funds were used to build the business. By drawing a salary, on the other hand, you limit your business’s exposure.
Avoid commingling: Mixing your business assets with your personal assets is going to convert your business funds into community property, even if they were deemed individually held assets to begin with. This, of course, means that your spouse is going to be able to get their hands on more of your business assets than you want.
Enter into a postnuptial agreement: Even if you didn’t negotiate and create a prenuptial agreement, you can still negotiate a postnuptial agreement. The goal here is the same as a prenuptial agreement, you simply enter into the contractual arrangement at some point after you’re married.
Know how to protect your financial interests in your divorce
The outcome of your divorce can have tremendous financial implications. Your hard-earned wealth can be swiped away from you if you’re not careful, which is why meticulous planning is key before heading into your divorce.
If you have a lot of assets, then figuring out the best way to navigate your divorce can feel overwhelming. But you don’t have to be daunted by the process. You just need to give yourself time and resources to be able to develop the strategy that’s right for you. With that in mind, we encourage you to take those first steps now so that you’re steadily making progress towards the outcome that you want.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479942023-11-22T16:17:52Z2023-11-15T14:58:27ZSeparate and community property
If you are beginning the process of divorce, and you, your spouse or the both of you own a business, one of the first questions you mist ask is whether the business must be divided.
Generally, anything acquired during the marriage is community property and must be divided, but anything either spouse owned before the marriage is considered separate property. Separate property does not have to be divided. With that in mind, the business might not be subject to property division if one of you owned it before the marriage.
However, separate property can often be commingled with community property to the point where it's impossible to separate the two. This is particularly common in marriages of longer duration.
For example, one spouse may have owned the business before the marriage, but the other spouse contributed to the business in a meaningful way during the marriage. In such a case, a court might determine that this contributing spouse has a 10% share in the company at the time of the divorce.
You can sell the business and divide the proceeds between you and your spouse according to the terms of your settlement. For instance, if your ex has a 10% share, then they get 10% of the proceeds from the sale of the business.
You can continue to run the business with your ex as co-owners. This could require executing a partnership agreement or other business formalities.
One spouse can keep the business. This requires buying the other spouse's share. This can be a complicated process, as we'll explain below.
Valuing the business
If you have decided on the buyout option, you must figure out a price. To arrive at a fair price, you will need to determine the value of the business as a whole.
The best way to do this is to hire experts in business valuation. Ideally, both spouses should hire their own experts to make sure the valuation is fair.
Once the parties have their estimates of the business value, they can negotiate a price for the buyout. This comes with complications of its own.
For instance, if the business is worth approximately $1 million and one spouse has a 10% interest, then the buyout price should be somewhere around $100,000. A small business may not have that kind of cash on hand, and so it will have to take out a loan and/or work out some kind of payment plan.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479422023-10-20T10:30:24Z2023-10-20T10:30:24ZHow to help your children cope with the realities of divorce
Regardless of how your children are responding to your divorce, there are actions you can take to make the process easier for them. This includes:
Allowing them to experience their emotions: Your children are going to experience a lot of emotions as your divorce progresses. Suppressing those feelings isn’t healthy. So, encourage your child to recognize and accept the various emotions they’ll feel. After all, losing their parents’ marriage is like losing a part of their well-established life, so they’ll need to go through the grieving process.
Being willing to answer their questions: Given that their sense of the world will be shattered to a certain extent, your children are going to have a lot of questions as they try to process what’s happening around them. Be able and willing to answer questions about your marriage and divorce while being honest. Just don’t be so honest as to negatively impact your child’s perception of you or their other parent.
Avoiding blaming the other parent: Your children are probably going to have a relationship with their other parent, regardless of how you feel about your former spouse. That relationship very well could be beneficial to your children, which is why you don’t want to disrupt it. So, avoid playing the blame game or talking badly about the other parent when around your children. Laying blame on your former spouse or talking bad about them can backfire and cause damage to your relationship with your children, too.
Helping your children find stability: Your divorce is going to feel chaotic to your children, and they’re going to feel like their future is riddled with uncertainty. But you can help your children find the stability that they need. Talking to the other parent about this might help provide consistency and routine between two households, as you and the other parent can then take similar approaches to household rules, discipline, and daily structure.
Reminding your children that they’re not to blame for the divorce: Children tend to internalize the bad things that go on around them. Don’t let your kids feel like they’re to blame for your divorce. You’ll need to tell them that directly so that they understand and aren’t left wondering what they’ve done wrong. Remind your children that you love them regardless of what happens moving forward, too, as they’ll need that comfort and reassurance.
Don’t lose focus on yourself: If you want to be a good parent to your children, then you have to take care of yourself. Try to get plenty of rest, seek out emotional and mental health support, and find hobbies that renew your interests in life. You should also avoid drug and alcohol abuse that could jeopardize your relationship with your children and any pending custody orders.
Craft the divorce legal strategy that works for you
Your divorce strategy can have a direct impact on your children’s well-being. That’s why now is the time to start thinking about how to successfully dissolve your marriage. But you’ll have to carefully craft your strategy if you want to protect your children’s well-being throughout the process. If you’d like to learn more about how to do that, then please consider browsing the rest of our website and educating yourself on what the divorce process entails.
]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479412023-08-25T16:59:26Z2023-08-25T16:58:56ZRetirement account savings
A couple's retirement earnings during their marriage are community property in California and are usually subject to equal division, like a joint bank account or any other asset acquired during the marriage.
Marital assets are community property
Suppose one spouse's name is on a retirement account. Even in that case, it is still considered marital property if the funds were acquired during the marriage. Any assets accrued when a couple is married belong to both spouses.
Equal division of assets
California courts divide marital assets equally, including retirement accounts. This means that any asset acquired during the marriage, whether acquired by the husband or the wife, is subject to equal division at the time of divorce. This does not include retirement funds obtained before the marriage or after the date of separation or divorce.
Separate property
A spouse who acquired retirement funds before marriage or after separation can keep those funds. The funds will not be subject to division by the court because they are not community property.
When the time comes to divide retirement accounts, dates matter. The court will look at the assets, including the value of the accounts on the date of the marriage, separation, filing, and at the time of final settlement.
Divorce is difficult enough without considering finances. Unfortunately, finances, including retirement funds, are an important aspect of the divorce process and the parties must unsure they look at their finances closely to ensure the proper division of assets.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479362023-08-14T20:30:52Z2023-08-14T20:28:35ZThe location of the divorce matters.
Divorce is a family law issue, governed by state law. That means it may progress through the legal system differently in each state.
California is a community property state. As such, each spouse owns an equal portion of all marital assets. When it comes to traditional businesses, this can mean that the non-owning spouse has a right to half of the business, but this is not always true regarding a medical practice. This is because, in California, only physicians can own a medical practice.
Divorce can still impact a medical practice.
This does not mean the medical practice will remain untouched by the divorce. Although not directly impacted, other tertiary effects can include:
Valuation. The division of assets when a private practice is involved includes more than just a review of the physician’s income — it also includes the worth of the practice. Getting an accurate valuation of the practice is important to help guide negotiations. This process generally requires a deep dive into the practice’s financials and goodwill.
A shift in financial stability. The practicing physician will likely need to propose other assets of similar value in exchange for the retention of the private practice during the divorce. If not done wisely, this can result in some financial instability. Physicians can account for this risk by including a mix of liquid assets and investments in the final split.
Distraction. It is very difficult to stay focused when going through a divorce. Although there are various tips to help remain productive at work, it is important to realize that the divorce may translate to a dip in productivity. Try to account for this and take steps to mitigate any adverse effects to your practice.
Other factors, like how long you owned the practice before the marriage, can also play a role in these discussions.
There are ways to better ensure the business continues smoothly, even during divorce. An attorney experienced in these high-asset matters can review your situation and discuss the best strategies to help protect your practice as you navigate a divorce.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479342023-07-14T17:03:20Z2023-07-26T17:01:20Zclear understanding of where they stand financially, which is why hiring a forensic accountant may really make a big difference in your divorce. The forensic accountant can help you to ensure that you are aware of your assets so that you can protect them.
Forensic accountants with a good amount of experience in divorce matters are commonly hired either by you or by your divorce attorney. The accountant will do a thorough financial analysis, which will hopefully help your divorce to go smoothly. This is especially relevant (and useful) in divorces in which there are a great deal of valuable assets at stake.
Exactly what is forensic accounting?
After the other financial details have been worked out in a divorce, such as monthly expenses for various things, the accountant will look into financial records and will do an audit if they think that it is necessary. Typically, the accountant will look into the finances of both spouses, examine bank account(s) and credit card statements and determine if the two spouses have written off anything major.
The forensic accountant will probably also look at public records, including property deeds. If one of the spouses is trying to hide something, they might transfer some of their property to another member of the family or a close friend with the plan to reclaim the property after the divorce is final. If one or both spouses owns a business, the accountant will search financial statements at the Secretary of State's office, where the records are retained for five years.
Is it worth your hiring a forensic accountant?
If you are in the middle of your high-asset divorce and you suspect that your spouse is hiding assets, a forensic accountant may prove to be valuable. It may be a good way to level the playing field. After all, full disclosure from everyone concerned is the only way that things will turn out to be fair. If you feel that working with a forensic accountant will make your divorce agreement turn out to be more fair and even, it may be worth hiring one so that you have peace of mind going forward and your divorce agreement is one that you can live with without regrets.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479322023-06-19T17:40:57Z2023-06-28T17:32:37ZDebts incurred after separation
Most California couples separate for a period while their divorce is pending. Debts a spouse incurs after the date of separation are not considered community debts. This means they will remain the responsibility of the spouse that took them out.
The date of separation can be somewhat difficult to discern. California uses a two-prong test to determine when a couple separated.
The first prong is the date of physical separation -- when did one spouse move out of the shared home?
The second prong is the date one or both spouses decided to divorce. A trial separation, for example, might not be done with the explicit intent to end the marriage.
There are more community debts than assets
Under California law, an unequal distribution of debts is warranted when the value of community debts is greater than the value of the community assets. In this situation, the spouse who is better-off financially will usually be assigned the surplus debt, even if it is technically community debt.
Student loan debt
Unless the parties agree otherwise in writing, student loan debt will generally be assigned to the spouse who took out the loan, even if the loan was taken out during marriage. However, if both spouses benefited from the loan, then the loan might be divided as community debt between the spouses in a divorce.
The spouses have a prenuptial agreement
These days, it is not unusual for a couple to sign a prenuptial agreement before marrying that assigns certain debts to one spouse or the other in the event of a divorce, regardless of who incurred them and when. Assuming the prenuptial agreement is valid, it will be honored when it comes to the division of debts in a divorce.
Complex division of debts in a divorce
As this shows, the division of debts in a California divorce is more complex than it may appear on its face. It is a faulty assumption to believe that every single marital debt will automatically be divided equally between spouses.
There are exceptions to this general rule carved out in California law that should be recognized, to ensure the division of debts is fair to both parties.]]>On Behalf of Family Law Group, INC.https://www.cafamilylawgroup.com/?p=479252023-05-04T06:09:12Z2023-05-29T09:08:10Zstate law for support.
How will the court decide on how to maintain a lifestyle with spousal support?
The court will want both sides to be able to maintain their standard of living from the marriage. A key part of that is to assess their earning capacity. Marketable skills for both sides are primary factors in that determination.
For example, if the earning spouse is prominent in entertainment, sports or business, they are likely to have accrued massive income and assets that the other person benefited from during the marriage. Based on maintaining the lifestyle from the marriage, they are likely to be expected to pay a vast amount in support even if the other person has marketable skills and abilities for which they can earn an income on their own.
Not every person who achieves great success does so without help from anyone. In many marriages, the person who ends up as the lesser-earning partner in the marriage played a role in the other party achieving their success. That could be a vital point for a higher amount in spousal support than the surface information would suggest should be paid.
There will be needs each side has that were established while they were married. Even wealthy people have obligations and assets. That will include separate property that the sides might own. If the couple was married for a short time, it will be markedly different in terms of spousal support than it would be for a longer marriage. Older people particularly might have a more difficult time finding the means to maintain their marital lifestyle on their own.
To receive a fair amount to maintain the marital lifestyle, it is wise to have help
Since this can be such a complicated area of divorce and people are likely to have radically different viewpoints as to what would be a fair amount in spousal support, it is essential to have guidance throughout the process. Of course, that includes having proof of earnings, income and financial statements.
High-asset divorces can be costly and take a long time to navigate. In some cases, the sides can negotiate and reach an agreement they think is fair. In others, they cannot. Having experienced assistance that is well-known in San Francisco and other areas of the Silicon Valley can make a big difference in reaching a good result.
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