Hello. My name is Scott Shaw, founder and principal of Shaw Law Firm, LLC. A law firm I founded in 1995. Child custody along with divorce and other areas of family law are our only area of legal practice. We don’t accept any other types of cases. In this video I will be discussing the topic of Lump Sum Alimony. When most people think of alimony, they think of a monthly payment to the other spouse.
Lump Sum Alimony is different though. It is different because it is a one time award of assets to the other spouse, and it’s a very dangerous thing to play around with. Lump Sum Alimony is so dangerous, because it is a way for a court or a jury to punish the other party, or to otherwise do equity. Because in a divorce, what usually happens is that each party is awarded their non-marital or premarital assets, and then the parties divide up the marital assets.
But what happens when most of the assets are one party’s non-marital assets, leaving very little to divide to the other party? In such a case, the court has the power to invade your non-marital estate even if you inherited it, owned it before marriage or whatever, and award some or all of it to your spouse. And a court can do so just because, in the right case it is a huge weapon and it should be scary to you.
One case where this came into great effect for me involved a jury trial in which the opposing party, which is the husband in that case, brought a few million dollars into marriage. And he married my client, where the time of marriage was a six figure per year consultant, while he is having an affair with another woman. A few years into the marriage, my client gave up her career in order to have a baby. The opposing party was still having this affair with this other woman, and in fact had another baby with this woman unbeknownst to my client.
Five years past, and by the time my client figured all this out, her job skills had antiquated. Yet most of the assets in the case were still the husband’s non-marital assets that he brought into the marriage to begin with. He thought he was looking pretty, and my client had no ability to be awarded those assets. Since most of the assets in this case were non-marital, there wasn’t a whole lot to claim as marital property. We could ask for monthly traditional alimony, but instead of doing that we in addition demanded a Lump Sum award of alimony from his non-marital estate. And we demanded the jury award it to us. Long and short, this case ended up settling because the husband’s attorney saw the very large liability he had for the jury awarding a portion of his client’s non-marital assets to my client.
This could have been millions of dollars and possible liability for him, because we had a great case for an award of Lump Sum Alimony under these circumstances. This is one of the nuance factors of family law and divorce law that most people aren’t even aware of. And at Shaw Law Firm this is all we do, and we welcome your inquiries and questions. Thank you.
By: Scott Shaw
Hello. My name is Scott Shaw, founder and principal of Shaw Law Firm, LLC. A law firm I founded in 1995. Child custody along with divorce and other areas of family law are our only area of legal practice. We don’t accept any other types of cases. In this video I will be discussing the topic of Lump Sum Alimony. When most people think of alimony, they think of a monthly payment to the other spouse.
Lump Sum Alimony is different though. It is different because it is a one time award of assets to the other spouse, and it’s a very dangerous thing to play around with. Lump Sum Alimony is so dangerous, because it is a way for a court or a jury to punish the other party, or to otherwise do equity. Because in a divorce, what usually happens is that each party is awarded their non-marital or premarital assets, and then the parties divide up the marital assets.
But what happens when most of the assets are one party’s non-marital assets, leaving very little to divide to the other party? In such a case, the court has the power to invade your non-marital estate even if you inherited it, owned it before marriage or whatever, and award some or all of it to your spouse. And a court can do so just because, in the right case it is a huge weapon and it should be scary to you.
One case where this came into great effect for me involved a jury trial in which the opposing party, which is the husband in that case, brought a few million dollars into marriage. And he married my client, where the time of marriage was a six figure per year consultant, while he is having an affair with another woman. A few years into the marriage, my client gave up her career in order to have a baby. The opposing party was still having this affair with this other woman, and in fact had another baby with this woman unbeknownst to my client.
Five years past, and by the time my client figured all this out, her job skills had antiquated. Yet most of the assets in the case were still the husband’s non-marital assets that he brought into the marriage to begin with. He thought he was looking pretty, and my client had no ability to be awarded those assets. Since most of the assets in this case were non-marital, there wasn’t a whole lot to claim as marital property. We could ask for monthly traditional alimony, but instead of doing that we in addition demanded a Lump Sum award of alimony from his non-marital estate. And we demanded the jury award it to us. Long and short, this case ended up settling because the husband’s attorney saw the very large liability he had for the jury awarding a portion of his client’s non-marital assets to my client.
This could have been millions of dollars and possible liability for him, because we had a great case for an award of Lump Sum Alimony under these circumstances. This is one of the nuance factors of family law and divorce law that most people aren’t even aware of. And at Shaw Law Firm this is all we do, and we welcome your inquiries and questions. Thank you.
By: Scott Shaw
Probably the next most common question I’m asked about equitable distribution is how do you handle 401ks, IRAs, and other retirement accounts? Well one thing to know is if you have a 401k account, it is subject to be divided during divorce at least the marital portion of it, and it can be divided tax free through what’s called a Qualified Domestic Relations Order or a QDRO.
IRAs on the other hand can be divided tax free again, but you don’t need a QDRO to do it. You can do it administratively and normally through whatever brokerage account holds your IRA account. Other pension plans say like a fixed benefit plan where you get a certain amount per year after you retire, those two are subject to be divided once you determine what the marital portion is, and usually those are divided again through a QDRO that is called the same thing but it’s a bit different than a QDRO used to divide a 401k. All these assets can be divided tax free in a divorce.
Probably the biggest issue is just determining what the marital portion of these accounts are. Do not assume just because you don’t have a 401k that your spouse does not because you have an equitable interest in any 401k amounts of money accumulated during the marriage.
By: Scott Shaw
Probably the next most common question I’m asked about equitable distribution is how do you handle 401ks, IRAs, and other retirement accounts? Well one thing to know is if you have a 401k account, it is subject to be divided during divorce at least the marital portion of it, and it can be divided tax free through what’s called a Qualified Domestic Relations Order or a QDRO.
IRAs on the other hand can be divided tax free again, but you don’t need a QDRO to do it. You can do it administratively and normally through whatever brokerage account holds your IRA account. Other pension plans say like a fixed benefit plan where you get a certain amount per year after you retire, those two are subject to be divided once you determine what the marital portion is, and usually those are divided again through a QDRO that is called the same thing but it’s a bit different than a QDRO used to divide a 401k. All these assets can be divided tax free in a divorce.
Probably the biggest issue is just determining what the marital portion of these accounts are. Do not assume just because you don’t have a 401k that your spouse does not because you have an equitable interest in any 401k amounts of money accumulated during the marriage.
By: Scott Shaw
Hello. My name is Scott Shaw, founder and principal of Shaw Law Firm, LLC. A law firm I founded in 1995. Child custody along with divorce and other areas of family law are our only area of legal practice. We do not accept any other types of cases.
In this video, I will be discussing the topic of appeals. What happens when the trial judge gets it wrong? It is very frustrating and can be very disillusioning actually, as we believe trial judges know the law and will apply the law properly. And for the most part they do. However when they don’t, what happens? The answer is you appeal.
In the past three months alone, we have won appeals and have overturned the decisions of three different trial judges. And we expect to win a fourth one shortly. In some of these cases, the law is rather plain and clear, at least to me, and yet the judge decided otherwise. So we appeal these cases to try to fix these things. It can be disillusioning to have to deal with an appeal. You feel like you did something wrong, or you lost the case. But that is not always the case.
As an example, one appeal that we just won involve a case where the trial court personally sanction me. Why? Because I made a legal argument that happened to be right. But the court thought it was wrong, and the opposing attorney to this day still does not understand it. Yet to me it was simple and straightforward, and I knew I was right. So sure enough we appealed it. And on appeal, not only did the judge of the supreme court overturn the sanctions against me, the court also said I was right. My client won the case.
So long and short, sometimes trial courts do not get it right. And when they do not, we still have our remedy, and we can still win the case. At Shaw Law Firm we have a track record of successfully handling appeals, and we welcome your inquiries regarding that. Keep in mind that to appeal the decision, there are tight deadlines. Usually you have to file your endorsed appeal no later than 30 days from the date of entry of the order that you want to appeal. We will be happy to speak with you regarding any potential appeal issue that you may have. Thank you.
By: Scott Shaw
Hello. My name is Scott Shaw, founder and principal of Shaw Law Firm, LLC. A law firm I founded in 1995. Child custody along with divorce and other areas of family law are our only area of legal practice. We do not accept any other types of cases.
In this video, I will be discussing the topic of appeals. What happens when the trial judge gets it wrong? It is very frustrating and can be very disillusioning actually, as we believe trial judges know the law and will apply the law properly. And for the most part they do. However when they don’t, what happens? The answer is you appeal.
In the past three months alone, we have won appeals and have overturned the decisions of three different trial judges. And we expect to win a fourth one shortly. In some of these cases, the law is rather plain and clear, at least to me, and yet the judge decided otherwise. So we appeal these cases to try to fix these things. It can be disillusioning to have to deal with an appeal. You feel like you did something wrong, or you lost the case. But that is not always the case.
As an example, one appeal that we just won involve a case where the trial court personally sanction me. Why? Because I made a legal argument that happened to be right. But the court thought it was wrong, and the opposing attorney to this day still does not understand it. Yet to me it was simple and straightforward, and I knew I was right. So sure enough we appealed it. And on appeal, not only did the judge of the supreme court overturn the sanctions against me, the court also said I was right. My client won the case.
So long and short, sometimes trial courts do not get it right. And when they do not, we still have our remedy, and we can still win the case. At Shaw Law Firm we have a track record of successfully handling appeals, and we welcome your inquiries regarding that. Keep in mind that to appeal the decision, there are tight deadlines. Usually you have to file your endorsed appeal no later than 30 days from the date of entry of the order that you want to appeal. We will be happy to speak with you regarding any potential appeal issue that you may have. Thank you.
By: Scott Shaw
Well, that depends. If you have an uncontested divorce in which all issues are settled, or if you have a case and were able to reach a settlement before the need to go to court, then you will not need to go to court except for maybe five minutes to take a routine final. But if there are contested issues in the divorce, yes, you will need to go to court.
You will testify, and other people may testify on your behalf. It just depends on the case. So you will need to expect to testify, but any good attorney will prep you for your testimony, and most of our clients do very well on the stand. The one thing to keep in mind is you need to tell the truth because not telling the truth can often be more harmful than telling the truth. But other than that, you will be prepped and prepared to testify.
By: Scott Shaw
Well, that depends. If you have an uncontested divorce in which all issues are settled, or if you have a case and were able to reach a settlement before the need to go to court, then you will not need to go to court except for maybe five minutes to take a routine final. But if there are contested issues in the divorce, yes, you will need to go to court.
You will testify, and other people may testify on your behalf. It just depends on the case. So you will need to expect to testify, but any good attorney will prep you for your testimony, and most of our clients do very well on the stand. The one thing to keep in mind is you need to tell the truth because not telling the truth can often be more harmful than telling the truth. But other than that, you will be prepped and prepared to testify.
By: Scott Shaw
Maybe the most common is what to do with the marital home and it’s not such an simple issue as one might think. Issues run the gamut. For example, what if one party wants to stay in the house, but the other party is the person whose name is on the mortgage? You don’t want to let that party stay in the house when they have no skin of the game. What if they don’t pay the mortgage? The other guy’s the one who’s going to be collected on and have their credit rating hurt. So, you need to address issues like that.
There’s also issues, how do you value the home? What if you want to sell the home? What’s the procedure to do it? You don’t want to happen what happened on one of the cases I had where previous counsel before me had agreed they’ll just average up the husband and wife’s selling price and sell it as an average. The home stayed in the market for 720 days. It deteriorated to practically nothing because the wife wanted to stay in there free. So, it was worth $2,000,000. The husband thought it was worth nothing, so it was worth $400,000. You average it together, it wasn’t worth anywhere near what the average was. So, you have to take into consideration things even as minute as the process to sell the home.
By: Scott Shaw
Maybe the most common is what to do with the marital home and it’s not such an simple issue as one might think. Issues run the gamut. For example, what if one party wants to stay in the house, but the other party is the person whose name is on the mortgage? You don’t want to let that party stay in the house when they have no skin of the game. What if they don’t pay the mortgage? The other guy’s the one who’s going to be collected on and have their credit rating hurt. So, you need to address issues like that.
There’s also issues, how do you value the home? What if you want to sell the home? What’s the procedure to do it? You don’t want to happen what happened on one of the cases I had where previous counsel before me had agreed they’ll just average up the husband and wife’s selling price and sell it as an average. The home stayed in the market for 720 days. It deteriorated to practically nothing because the wife wanted to stay in there free. So, it was worth $2,000,000. The husband thought it was worth nothing, so it was worth $400,000. You average it together, it wasn’t worth anywhere near what the average was. So, you have to take into consideration things even as minute as the process to sell the home.
By: Scott Shaw
Arizona Dissolution of Marriage
In divorce, many issues require a resolution. Those issues can be resolved either by you or by the court before you can…
Read MoreA Judge Can Order a Parent to Attend Counseling in Arizona
A Judge Orders a Parent to Attend Domestic Violence Counseling in Arizona Can a judge order a parent in a child custody…
Read More
