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High-asset divorce need not cause financial ruin

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On behalf of Laughlin & Company Lawyers Mediators posted in High-Asset Divorce on Wednesday, December 28, 2016.

One of the primary concerns of people in British Columbia who are considering divorce may be the cost. Contested divorces — especially a high-asset divorce — can cost tens of thousands of dollars and in some cases even hundreds of thousands. However, some steps can be taken to limit the costs — before, during and after the filing.

Before filing for a divorce, each spouse may want to prepare him or herself financially by educating themselves about all their debts and assets. Then, they should draft a budget based on the money currently spent on all expenses, followed by a post-divorce budget. This must include rent, vehicle costs, living expenses, child-care charges and — where applicable — spousal and child support. Not only assets are split in the property division process, but also debts, so attention should be paid as to how that will be divided. Discussing the divorce options with an experienced divorce lawyer can further help to identify ways to save time and money.

It may be best to try to check emotions during this time and avoid any actions that involve revenge, payback or settling of scores. Couples who can communicate and compromise to reach mutual agreements can bring about significant savings. During negotiations, it is important to understand how the court will determine child support and an estimate of the amount the court will order. Also, remember that spousal support is not guaranteed and settling that in negotiations may be wise. Each party may benefit from adding professionals, such as tax and property advisors, to their respective support teams to provide advice on tax implications and more.

During all the preparation and negotiation proceedings, each spouse’s legal counsel can provide valuable support. The time and money involved in a high-asset divorce depend largely on the ability of the parties to resolve contentious issues. However, with the professional guidance of a seasoned British Columbia divorce lawyer, a divorce that fits the family dynamics while being financially fair at the same time can prevent either party from going broke in divorce.

Source: business.financialpost.com, “Divorce is never easy and your heart may be broken, but that doesn’t mean your wallet needs to be too“, Melissa Leong, Accessed on Dec. 24, 2016

Coquitlam, British Columbia Lawyers

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
www.laughlinlaw.ca/

The family court can address child support evasion

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On behalf of Laughlin & Company Lawyers Mediators posted in Child Support on Wednesday, December 21, 2016.

Many British Columbia parents remain committed to the best interests of their children. However, in some cases, a divorced parent may hold back on paying child support to punish a former spouse. Sadly, the children may be the ones who are impacted. Fortunately, the custodial parent can resort to the court if timely payments are not made.

Parents who want to avoid paying child support can be resourceful. The family court requires a non-custodial parent to provide a financial statement upon which the child support order is based. Some parents will do what they can to lower the amount of income recorded. Some quit their jobs or go back to school to avoid pay cheques of which a portion may have to be paid to the custodial parents.

A common tactic is to work for an employer who will pay unrecorded cash or other types of remuneration. However, the custodial parent may be able to expose such behaviour. The deceiving parent’s standard of living will likely be an indication of unreported income. The custodial parent may be able to use advertisements offering employment to show that jobs are available for non-custodial parents who claim to be unemployed.

Trying to gather evidence of a former spouse’s real income may be challenging for a custodial parent who may have to work long hours or multiple jobs to earn enough to take proper care of the children. Help and support are available from an experienced family law lawyer who can assess the struggling parent’s circumstances and help find evidence to prove to the court that the other parent is concealing income. The British Columbia family court may determine an imputed income on which it will base a court order for child support — regardless of the income shown on the financial statement.

Source: lukesplace.ca, “What the court do when a father evades child support?“, Accessed on Dec. 17, 2016

Coquitlam, British Columbia Lawyer

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
https://www.laughlinlaw.ca

Division of property can do with appropriate help

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On behalf of Laughlin & Company Lawyers Mediators posted in Division of Property on Sunday, December 11, 2016.

Couples in British Columbia may not realize that the lasting effect of the trauma of a divorce can be lessened by taking proper care of themselves. Emotions and anxiety can be overwhelming during this time, and adequate rest, healthy eating, enough activity and both moral and legal support can ease the process. Along with issues related to child custody, the division of property can become contentious if not handled carefully.

It may be beneficial for a divorcing couple to work toward reaching agreements in negotiations to avoid stress over the high costs of litigation. Reportedly, most couples choose to jointly manage their finances by combining their incomes to pay both personal and household expenses. Upon divorce, they must separate their finances, and each spouse must evaluate his or her financial positions and assess any future needs.

However, most couples seem to work toward settlements through communication and compromise. Statistics show that about half of divorcing couples in British Columbia manage to avoid court proceedings — often even after one spouse started the process by going to court but then agreed to resolve issues. The percentage of couples who ultimately reach settlements through litigation is insignificant — only six in every 100 couples.

While some British Columbia couples choose to navigate their divorce proceedings on their own, many others have found that the support and guidance of a skilled divorce lawyer can be invaluable when it comes to the division of property.  Along with the legal advice that a seasoned lawyer can offer, he or she can prepare the client for what to expect. Such a professional can provide valuable input based on his or her years of experience to ensure a smooth transference into a new chapter of life.

Source: justiceeducation.ca, “Family Law Basics“, Accessed on Dec. 9, 2016

Lawyers in Coquitlam, British Columbia

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
www.laughlinlaw.ca

High-asset divorce: Hidden assets can be discovered

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On behalf of Laughlin & Company Lawyers Mediators posted in High-Asset Divorce on Monday, December 5, 2016.

During the process of divorce in British Columbia, each spouse must provide full disclosure of all his or her assets. Sometimes, one spouse may try to slant the property division for his or her personal benefit by hiding assets. Although this is not a phenomenon limited to a high-asset divorce, the many levels of investments held by affluent couples may make it easier to leave some assets undisclosed.

With the appropriate legal assistance, a British Columbia spouse can ensure his or her spouse does not hide any assets. The spouse who handled the family finances and taxes may have an advantage when it comes to identifying assets for property division. Both spouses are expected to provide asset declarations voluntarily, but it is advisable to study such a document carefully. If any omissions of errors are present, the suspecting spouse can demand copies of financial records for which court-issued subpoenas may be required.

A spouse also has the right to serve an ex with interrogatories — written questions that require truthful answers — within a specified time. He or she may personally inspect assets or use the services of professional appraisers if values of assets are disputed. In addition to being required to answer questions in writing, an ex can be compelled to give sworn testimony. Called a deposition, this testimony is typically admissible in court.

If a spouse suspects an ex of hiding assets, the most appropriate step may be to consult with an experienced divorce lawyer. The attorney will know which discovery tools are appropriate for achieving a fair outcome. With a seasoned lawyer’s guidance, a divorcing spouse may receive a fair share of property — regardless of whether it is a high-asset divorce or not.

Source: FindLaw, “Legal How-To: Finding Assets in a Divorce Case“, Daniel Taylor, Accessed on Dec. 2, 2016

Lawyer in Coquitlam, British Columbia

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370

Unable to pay child support? Modification can be sought

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On behalf of Laughlin & Company Lawyers Mediators posted in Child Support on Saturday, November 26, 2016.

While most British Columbia parents who have to pay child support want the best for their children, some may find it tough to keep up with the payments. The problem is often not a case of the inability to pay, but rather a negligence, such as forgetting to pay on time or spending the child support money on something else. However, falling behind with child support can quickly lead to significant amounts of debt, and the other parent may pursue legal action.

Arranging an automatic payment through a bank account and drafting a proper budget may remedy these issues. Maintaining careful records of all payments made is vital. There are various ways in which such records can be kept, and some online payment methods may include a program to keep these files. In the event of the other parent claiming non-payment or late payment, accurate records can provide the necessary proof.

Life sometimes has strange and unexpected turns, and an unanticipated surgical procedure, illness or job loss can make it impossible for a parent to pay child support. That parent may seek a child support modification through the court. By providing proof of the reason for the financial difficulties, the court may agree to modify the court order.

It may only be a temporary problem, and, although parents may be able to negotiate a more affordable amount until circumstances improve, they may want to avoid making verbal agreements. Utilizing the services of an experienced British Columbia family law lawyer to help draft a documented agreement may be more appropriate. A lawyer can then present such a request for modification of child support to the court, and with both parents already in agreement, the court may issue a modified court order without any delay.

Source: marriage.com, “Strategies for Paying Child Support“, Accessed on Nov. 25, 2016

Lawyers Coquitlam, British Columbia

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370

Protect combined funds during the division of property

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On behalf of Laughlin & Company Lawyers Mediators posted in Division of Property on Sunday, November 20, 2016.

When British Columbia couples get married, many changes take place in the lives of both parties. Along with having to get used to each other’s habits and ways of life, the unique financial profiles of two entirely different people are combined — often with the little prior discussion. Finances are blamed for many arguments in marriages, and if these issues are left unaddressed, it may even lead to divorce. What makes decisions about combining funds difficult is the fact that couples who are very much in love must also consider the possibility of divorce and division of property in those proceedings.

Although the dynamics of each couple are unique, a professional financial advisor says that allowing each spouse to maintain some economic freedom may avoid serious arguments. Some prefer to have their separate accounts with an arranged list of financial obligations for each spouse. Others find that a “yours, mine and ours” system works best for them. This allows each partner a personal account and some independence while they pay household expenses from a joint account.

Another option that works for some is for each spouse to be allotted a weekly or monthly amount of money — similar to an allowance — to do with as they please. Spouses can use this to treat themselves or to treat each other with a special gift or surprises. In cases in which one spouse tends to be a spender, this may be an effective way to control such habits without making it feel like punishment.

While each couple can work out a financial strategy that works for them, it may be wise to record the arrangement in a prenuptial agreement. This may avoid contention during the division of property in the event of a divorce. The assistance and experience of a British Columbia divorce lawyer to provide advice can prove to be invaluable.

Source: businessinsider.com, “Here’s how to combine your money when you get married, according to a financial planner“, Tanza Loudenback, Accessed on Nov. 18, 2016

Lawyer Coquitlam, British Columbia

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370

How do the British Columbia courts handle division of property ?

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On behalf of Laughlin & Company Lawyers Mediators posted in Division of Property on Thursday, November 17, 2016.

Dividing property in a divorce or separation of common law partners may sound like a simple process. However, in real life, it is a stressful and emotional process and could be as difficult to navigate as child custody issues. In British Columbia, laws related to the division of property apply to married spouses and common-law couples who have lived together as spouses for two years or more.

For the process of equal property division, certain assets do not qualify. The excluded property typically comprises everything each partner brought into the marriage or relationship. Also excluded are inheritances, gifts, and awards for damages. However, if, for example, one partner owned the family residence before the couple moved in together, that person will be entitled to the value of the property before they got married or became a couple. In the event the marriage or relationship ends, the partners will share the amount by which the value of the house had increased over their time together.

In contrast, if a couple purchased a family home during the marriage or common-law union, it will be considered the marital property to be divided. The couple can sell the house and share the profits, or one partner can buy the other’s share and keep the residence. In addition, Registered Retirement Savings Plans, investments, and bank accounts will be shared equally, along with pensions, insurance policies and business interests.

Couples may negotiate a property division plan and present it to the court for approval. If they fail to come to an agreement, the court will determine the division of property. However, couples may be proactive and sign agreements such as prenuptial, postnuptial or cohabitation agreements to protect the interests of both parties in the event a relationship does not last. To ensure such agreements comply with legal requirements in British Columbia and will hold up in court, the guidance of an experienced divorce lawyer may be necessary.

Source: gov.bc.ca, “What happens to family property when spouses separate?“, Accessed on Nov. 11, 2016

Coquitlam Law Firms

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370

Child custody and relocation — how is it handled?

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On behalf of Laughlin & Company Lawyers Mediators posted in Child Custody on Wednesday, November 9, 2016.

Working out parenting plans that suit both parents and their children after a divorce can be challenging. If one parent intends to relocate after the divorce, matters can be complicated. Spouses can become ex-spouses, but children can never become ex-children. Regardless of who has child custody, one parent relocating may not compromise parent-child relationships.

Under British Columbia Family Law, any parent who considers relocation must provide written notice 60 days in advance. This document must inform other guardians and people who have contact with the children according to a court order of the plans to relocate. This procedure is mandatory; even it is the non-custodial parent who wants to move.

The court may waive the need for the written notification in certain circumstances. If such information can give rise to abuse or violence or if there is no existing relationship between the children and the parent who will be separated from them, the court may make an exception. Also, if all parties agree, and parenting plans that ensure the preservation of parent-child relationships are in place, written notices may not be necessary.

However, a guardian or parent may file a motion in court to object such a move, and the court will consider various aspects to determine whether the relocation will still protect the best interests of the child. British Columbia parents who need legal advice or representation in a case of one parent wanting to relocate may benefit from consulting with an experienced family law lawyer. Regardless of whether guidance is needed by a parent with child custody who intends to move to a different location, or by a parent or guardian who wants to object to such a move, a skilled lawyer can advocate on behalf of the client.

Source: gov.bc.ca, “What happens if one parent wants to move?“, Accessed on Nov. 9, 2016

Coquitlam Law Firm

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
https://www.laughlinlaw.ca

How is division of property handled in common-law break-ups?

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On behalf of Laughlin & Company Lawyers Mediators posted in Division of Property on Wednesday, November 2, 2016.

Residents of British Columbia who have been in common-law relationships for two years are regarded by law as the same as married couples. However, they may not be aware that it is not the case in other provinces. In fact, the laws related to cohabitating couples vary from province to province. In the case of such a relationship ending in British Columbia, the division of property will be handled according to the same laws as those covering a divorce.

In a common-law break-up in this province, assets acquired during the period of cohabitation will be divided equitably between the two parties. Assets owned by one party before the couple moved in together will remain that person’s property — unless the value of that asset was increased during the common-law relationship, in which case the growth amount will be divided. How will the property be divided if a couple who has lived together under British Columbia laws relocates to another province and then the partners decide to go their separate ways?

Even if domestic partners meet the requirements of their province to be recognized as common-law partners, this will have no impact on the division of property in the event of a break-up. In any other province, a partner must prove ownership of any assets he or she claims after the end of a relationship. This is required except when the couple signed a legal cohabitation or other agreement, which will determine how the property will be divided.

Common-law partners in British Columbia may benefit from each consulting with an experienced divorce lawyer who can explain the applicable laws and assist with the drafting of a cohabitation agreement, if necessary. This will provide protection of each party’s interests during the division of property in the event of a break-up. The court typically requires such an agreement to comply with applicable laws, and the legal counsel of each party must have been present during signing to prove neither party signed the agreement under duress.

Source: CBC News, “4 myths about common-law relationships“, Alexandra Kazia, Accessed on Oct. 29, 2016

Law Firms Coquitlam

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
https://www.laughlinlaw.ca/

Property division in British Columbia must follow certain rules

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On behalf of Laughlin & Company Lawyers Mediators posted in High-Asset Divorce on Friday, October 28, 2016.

Divorcing your spouse means that you will have to divide your property based on the laws that pertain to your case. Some property, such as the marital home, are always divided. Other property, such as certain inheritances, aren’t subject to the property division property.

In British Columbia, the property division process sets some specific property as separate property that doesn’t have to be divided. This includes money that is received or is payable through an insurance policy, a settlement or award that is compensation for an injury, inheritances to one spouse, a property that was owned before the relationship began and property that is in a discretionary trust for one spouse.

It is also possible that gifts would be considered separate property if those gifts were specifically given to one spouse. In many cases, how the property is handled once it is given to a spouse matters. If the property is held with marital property or if it is cared for by marital funds, it might be considered marital property during the property division process.

No matter how property is obtained or when it is obtained, the presence of a valid marriage contract means that the property would be divided how the contract notes it should be divided.

As you can imagine, the dividing property can be complex in some cases. If you and your spouse have considerable assets, this might be the case. It is crucial that you have a complete understanding of how different assets and liabilities should be handled in your case so that you can know what decisions you need to make.

Source: FindLaw Canada, “Gifts, inheritances and other excluded properties,” Miriam Yosowich, accessed Oct. 28, 2016

Law Firm Coquitlam

Laughlin & Company Lawyers Mediators
2755 Lougheed Hwy #710, Port Coquitlam, BC V3B 5Y9
(604) 945-4370
www.laughlinlaw.ca