New York Child Support & Trust Agreements Part I

New York Child Support and Trust Agreements Part I

Can a money judgment be executed on a trust to satisfy

New York child support arrears of an income beneficiary?

The enforcement of child support obligation can sometimes be frustrated when the payor parent’ hide or underreport income.  However, collection of child support can get complicated if the payor parent’s means of support is from a trust agreement where income disbursement is subject to distribution by a trustee.

New York has defined income broadly to include “any earned, unearned, taxable or non-taxable income, regardless of source including workers’ compensation, disability benefits, unemployment insurance benefits and Federal Social Security benefits as defined in 42 USC § 662 (f) (2), but excluding public assistance benefits paid pursuant to the Social Services Law and Federal Supplemental Security Income.

CPLR § 5241 (a) (5) (iii) includes under the definition of “income payor”, “any person, corporation, trustee, unincorporated business or association, partnership” (emphasis added) while CPLR 5241 (g) directs an employer or “income payor” served with an execution to commence deductions from income. Therefore, the trustee is similar to any employer who must made income deductions. According to CPLR 5241(b)(1), the amount to be withheld must be enough to “ensure compliance with the order of support, and shall include an additional amount to be applied to the reduction of arrears.”

Consequently, you can obtain an income execution order upon a trust pursuant to CPLR § 5241.  The order will direct the trustee of the trust to make payment pursuant to the income execution order pursuant to CPLR § 5241(b).  The trustee’s failure to comply with the income deduction order may subject the trustee to contempt of court.

If you need additional information regarding New York child support please contact the Law Office of Bryan J. Hutchinson, PLLC at (718) 671-0900 or visit our website at www.DivorceX.com.

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Valuing Businesses in Divorce

Valuing Businesses in a Divorce

New York Domestic Relations requires mandatory disclosure in all contested divorce action.  While negotiating a divorce, it’s critical for both spouses to be as open and honest as they can be about placing a proper valuation on any businesses that they’ve been running separately or together.  New York courts take a very dim view of spouses who try to mislead them regarding business assets.

As your New York family lawyer can tell you, complications often develop when divorcing spouses try to determine the proper valuation of one or more businesses.  For example, some authorities claim value should be based on what the business is worth to its owner, while others claim value should be based on what the business would be worth to someone other than the owner (perhaps someone without the same level of knowledge and expertise).

How Some Spouses Choose to Resolve Differences Involving Business Valuations

Whenever possible, divorcing parties should consider hiring a neutral expert to provide an open accounting and valuation of all businesses assets that are a part of the marital estate.  However, matters can remain rather complicated since the term “fair market value” can be interpreted in various ways.  Some financial experts actually claim that the “fair value” standard is the proper one.

If you don’t have a New York family lawyer by your side to advise you, it can be very difficult to obtain a completely fair and honest valuation of your marital business properties.  Always keep in mind that what courts consider “fair” valuations can differ from one part of the same state to another.  Furthermore, various financial experts and judges may interpret business valuations differently.

If you would like to find out more information on a New York divorce give the Law Office of Bryan J. Hutchinson, PLLC a call us at (718) 671-0900 or visit us at www.Divrocex.com.

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Consequences of Hiding Assets in a New York Divorce

What are The Consequences of Hiding

Assets in a New York Divorce?

Hiding assets in a divorce or support proceeding in New York is a bad idea.  New York Domestic Relations Law requires compulsory disclosure in all contested divorce proceedings.  Noncompliance with the compulsory financial disclosure requirements of the Domestic Relations Law is punishable by any or all of the penalties prescribed in the Civil Practice Law and Rules.

New York Judiciary Law § 553 (A), which provides, in relevant part:

“A court of record has power to punish, by fine and imprisonment, or either, a neglect or violation of duty, or other misconduct, by which a right or remedy of a party to a civil action or special proceeding, pending in the court may be defeated, impaired, impeded, or prejudiced, in any of the following cases:  . . .  3. A party to the action or special proceeding  . . . for any other disobedience to a lawful mandate of the court “.

If the court finds that you have demonstrated behavior that is calculated to or did defeat, impair, impede or prejudice the rights of your spouse the court may punish you in the following ways, including but not limited to, striking your pleadings, finding you in contempt of court, imposing sanctions you or your attorney or awarding attorney fees to your spouse.

In order for the court the find you in contempt of court, it must be determined that a lawful order of the court, clearly expressing an unequivocal mandate, was in effect.  It must appear, with reasonable certainty, you disobeyed the court’s order.

Some court have held that intent or willfulness need not be established to support a finding of civil contempt; simple disobedience of the relevant order is all that is necessary if the court found that your spouse was prejudiced by your bad behavior.

Therefore, hiding assets in a New York divorce could cost you more at the end of the divorce than simply compliance. If you would like to find out more information about a New York divorce visit our website at WWW.DivorceX.com. If you would like to retain our services call us at (718) 671-0900.

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Termination of Child Support: Constructive Emancipation of Child

How does Constructive Emancipation affect a New York child support order?

Under certain circumstances in New York a noncustodial parent can get child his child support terminated without changing custody or waiting for the child to reach the age of 21.  If the court finds that your child is constructively emancipated it may issue an order terminating your New York child support obligation.

New York law requires parents to be financially responsible for their children until the age of 21. However, a child may be considered constructively emancipated if the child:

1)     Marries;

2)     Enlist in the military services of the United States;

3)     Is of employable age and actively abandons the noncustodial parent by refusing contact or visitation; or

4)     Engages in full time employment, but not employment limited to vacation or summer periods.

If you are asserting that your child has abandoned the parent child relationship the law places the burden on you the noncustodial parent.   However, to be successful you cannot engage in conduct or behavior that the court would find that you were really the one responsible for the deterioration of the relationship with the child.

If you would like to find out more information about a New York child support case visit the Law Office of Bryan J. Hutchinson, PLLC at DivorceX.com or call us at (718) 671-0900.

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How Can a New York Divorce lawyer Help You?

How Can a New York Divorce lawyer Help You?

Perhaps you are facing a difficult divorce situation or a child custody dispute. Maybe
you need help with a child adoption or elder care issue. Whatever your situation is,

you need a New York family lawyer with not only the requisite experience necessary

to handle your case but also the compassion and counseling skills you need as you

navigate a sensitive family issue.  A New York family lawyer will assist you with your

case from the initial filing until the ultimate resolution, explaining each step of the

way in an easy-to-understand, friendly manner.

One of the most common misconceptions about New York family lawyers is that they
only handle divorces. Family lawyers can help you with any domestic situation
you are involved with, whether it pertains to your children, spouse, ex-spouse,
parents or any other familial relationship. With regard to a divorce situation,
your New York family lawyer will help you file the appropriate paperwork and advocate

on your behalf at any divorce or child custody proceedings. If you have been married
for a significant number of years, your divorce proceedings may be more complex
than couples married a few short years. If you have children with your spouse,
your New York family lawyer will also help advocate on your behalf for child custody

and visitation rights.

New York family lawyers also help with issues relating to adoptions, guardianships
or any other necessary legal proceedings under New York law.  Some family law
issues require the filing of a substantial amount of paperwork.  Your attorney
will make sure that all your paperwork and filings are submitted in a timely
manner.  If you are looking for a New York family lawyer with experience on
these issues, contact Bryan J. Hutchinson today at (718) 671-0900 or
Divorcex.com.

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