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Does spousal maintenance have to be paid monthly?
Being ordered to send monthly spousal maintenance payments may be a hindrance for some former spouses because they want to be free of any reminders of their former marriages. Others might simply be worried about accidentally missing a payment. Those who are divorcing in Illinois and are negotiating spousal maintenance could avoid monthly payments by paying it all in a lump sum.
Illinois is one of several states that allow spouses to pay spousal maintenance in a lump sum if the court and the recipients approve it. Taking advantage of this is similar to winning the lottery in that the party receiving the maintenance is paid in full with one transaction rather than having the payment spread over several years. However, the total amount of maintenance that the obligor pays has to equal the total amount of the would-be future payments.
One of the big reasons some people want to avoid paying monthly spousal maintenance is because they are worried about forgetting to make a payment or are concerned that the recipient will ask the court for the payments to continue when the obligation is coming to an end. Opting to make a lump sum payment allows the obligor to avoid these issues. There are also advantages for those who are receiving lump sum payments. They do not have to worry about the obligors missing a payment, and they could end up receiving more money. Lump sum payments have to equal what the party would receive if future payments were made but could end up being more because the transaction is not discounted according to present value.
How does bankruptcy affect child support?
Bankruptcy is a common means of wiping out debts, but many Illinois parents who have gotten a divorce may wonder what a bankruptcy filing will do to their child support obligations. Before filing for bankruptcy, understanding how bankruptcy laws affect child support obligations is important.
The fact is that filing for Chapter 7 or Chapter 13 bankruptcy will do little to affect child support obligations or the legal processes that lead up to child support, such as determining paternity. Filing for bankruptcy is an important financial decision, and a parent may need to file for bankruptcy given their current situation. A parent should not, however, file for bankruptcy for the sole purpose of abolishing a child support obligation. What a possible bankruptcy situation will do is give the parent strong reason for requesting a modification of child support. A decision to file for bankruptcy indicates that the parent's financial status has significantly changed, and this is the primary grounds on which to pursue modifications.
What happens to inherited assets in a divorce?
Individuals who are going through a divorce in Illinois might wonder how cash or other property that they inherited at some point will be treated during the property division phase. Whether an inheritance was acquired before or during a marriage, the inheritance will generally be considered the separate property of the recipient. As separate property, an inheritance will not be subject to equitable distribution during the divorce proceedings.
Although an inheritance is usually retained by one spouse, there are some ways that an inheritance could lose its status as separate property. This could happen if the spouse who received the inheritance commingled the assets with the couple's marital funds. For instance, if inherited money was placed in a joint bank account owned by both spouses, a judge may rule that the inheritance became marital property through commingling.
In certain circumstances, a court may decide that an inheritance that was commingled is not marital property. Depending on the situation, a spouse may be able to retain all or a portion of their inheritance even after it has been used in that manner. However, the spouse who received the inheritance must be able to demonstrate that they never had the intention of sharing the inherited funds with their spouse. After placing an inheritance in a joint bank account, proving that the funds were not meant to be shared can be difficult.
What happens to a 401(k) in a divorce?
Some readers from Illinois may wish to learn more about what can happen to a 401(k) in the event of divorce. In general, 401(k)s are subject to distribution during divorce under similar guidelines as other assets; however, the extent of each spouse's contribution can inevitably provoke a significant impact.
In order to determine the extent to which a 401(k)'s assets can be redistributed, a court may issue a qualified domestic relations order. A QDRO is intended to set the terms under which someone other than the original owner may benefit from the assets available in a 401(k). There are specific legal procedures for verifying and drafting a QDRO, and if these are not adhered to, the QDRO may not be considered valid.
To be considered legally valid, a QDRO must have been properly submitted to the 401(k) administrator. The administrator would then need to have notified both the original payee and the alternate beneficiary that the order was received. In addition, the administrator would be required to validate the QDRO's authenticity and provide information to both original and alternate payees of this fact within at least 18 months. Moreover, a QDRO must contain information about the payee in order to be considered valid, including the individual's name and last known mailing address, the percentage of the account subject to distribution and other relevant information.
Paternity and fathers' rights
Under Illinois law, paternity is a term that refers to the biological relationship between a father and his child. This relationship also has legal implications. Paternity is used to determine matters such as child support, custody, visitation and inheritance.
When a married couple has a child, the husband is assumed to be the biological father and is granted paternity. An unmarried couple will find themselves in a different situation. If they get married after the birth of the child, then the husband will be legally presumed to be the biological father of their child. If they do not get married, they may opt to submit a form which voluntarily establishes the paternity of the father.
If none of these options are used, the mother of the child or the court may file a paternity action against the alleged biological father. This action will require the alleged father to appear in court as well as undergo DNA testing. If the results of the DNA test indicate that the man is the biological father of the child, he will be granted paternity and will then be required to abide by the court's orders regarding child support.
Establishing paternity and fathers' rights
In Illinois divorce cases, establishing paternity can be one of the most important steps for determining certain important issues. Paternity refers to the biological relationship between a father and a child. Under the law, the biological father of a child is also the legal father of the child, regardless of the marital status of the father. This means that fathers' rights and obligations, such as visitation and child support payments, are a part of paternity.
In some circumstances, a man may wish to challenge paternity in a custody case. This can be done for multiple reasons. A man may believe that he is not the biological father of a child and therefore should not be granted fathers' rights, obligations and responsibilities. In other cases, a man who has not been granted legal paternity may believe that he is actually the biological father of the child and may wish to challenge the paternity status of the legal father.
In order to formally challenge paternity, it is necessary to file a court complaint. This will initiate a suit to establish paternity. As part of the investigative process, the court may order blood tests, DNA tests and other medical procedures to discover biological paternity. Once the evidence has been collected and analyzed, the court will issue a ruling establishing paternity and granting fathers' rights to the biological father.
Dividing real estate during a divorce
When Illinois couples seek a divorce, figuring out what to do with real estate may be difficult. Real estate is typically jointly owned. However, if the couple no longer wishes to manage the property together, one party might offer to buy out the other party's interest in the asset.
Debt obligations or a mortgage may be a reason to divest in a certain property. Because of an existing mortgage, the party that no longer lives in the family home may find it difficult to negotiate another loan on a new residence. The only ways to change this situation are through selling the house or refinancing the mortgage in a way that removes one party from liability. Using gift funds to buy out a former spouse is also a possible option.
For example, consider a case where both spouses put a certain amount of money toward the house. The spouse leaving the property may want to have that money reimbursed. The spouse staying in the property may refinance the mortgage, cash out that amount of money, and pay the party who is leaving the property. If the value of the property has gone up or down drastically between the joint purchase and the divorce, gift funds may be used to offset the difference.
How is property divided in Illinois?
Individuals who are going through a high-asset divorce in Illinois may be interested in learning about how marital property is divided in the state. In Illinois, the concept of community property is not recognized as it is in some of the other states. This means that property that has been acquired during a marriage will not necessarily be divided equally between the two divorcing spouses.
If there is a dispute over the division of marital property, a judge will make a ruling about property division that is considered equitable. The equitable division of marital property in a divorce settlement is not equal, but it is what a judge considers to be fair based on several different factors.
Some of the factors that a judge may consider while determining how to divide marital property equitably include the value of the property and the contribution of each spouse to the purchase of the property. When spouses are fighting over a house, a judge will often consider children in the marriage and which spouse has physical custody of the children. A judge may also consider the economic circumstances of each spouse, the length of the marriage and any tax consequences that could result from property division.
Ex-wife of oil tycoon appealing $1 billion settlement
Illinois residents who have been following the divorce of oil tycoon Harold Hamm may be interested to know that a court ruling has awarded his former wife, Sue Ann Hamm, nearly $1 billion. Mrs. Hamm, however, is not satisfied with amount and is appealing the decision. Her lawyers contend that she deserves a larger share of Mr. Hamm's $20 billion worth.
Mrs. Hamm, who held executive positions in her husband's company, was married to Mr. Hamm for 26 years. According to her lawyers, Mrs. Hamm's support as her ex-husband's longtime marital and business partner contributed to his wealth growing. However, Mr. Hamm's lawyers argue that his wealth was primarily the result of market conditions and largely out of his control. The oil company was owned by Mr. Hamm for 20 years before the two became a couple.
A third of the money ordered by the court ruling is to be paid out before the end of the year. The rest is to be paid in monthly installments of $7 million. Experts who followed the trial predicted a higher payout between $4 to $8 billion. Such a sum would have been the largest divorce settlement in history. The couple did not have a prenuptial agreement.
What are the visitation rights of a non-custodial parent?
In Illinois, when a court orders one person to have custody of a child, it will also normally award visitation to the non-custodial parent. Non-custodial parents are typically entitled to visitation with their child unless the court determines that visitation would pose a danger to the child's mental, emotional, physical or moral health.
Visitation includes in-person visits between the parent and child. A visitation order may also mandate electronic communication via telephone or email at specified and reasonable times.
If the court holds a hearing and determines that unsupervised visits with the parent would pose a danger to the child, the court may order the parties to come up with an alternative arrangement for visitation. Alternative arrangements include such things as supervised visitation by a third party, visits at public places or supervising agencies and other controlled visitation. Courts generally want to encourage the child's ability to develop and continue a good relationship with both parents. It is extremely rare for the court to prohibit one parent from having any visitation rights at all, but it can occur in egregious cases.
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