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  • 1.  Alimony quickee

    Posted 12-23-2015 12:58 PM
    10 year marriage.
    Husband earns $240,000 plus gets stock & stock options in non-publicly traded company.
    Wife has been out of the workforce for 18 months or so, but in previous position she earned $175,000 (plus got stock that ended up in a $1 million windfall, but I concede that's non-recurring). Both have bachelor's degrees.
    No other unusual factors (parties in mid-40's, 1 child - 8 years old, no health issues, each receiving $350K or so in e.d.)

    What would you offer / seek on alimony -- how long and how much?






    <x-sigsep>

    David Perry Davis, Esq.
    ----------------------------------------------------
       www.FamilyLawNJ.pro
    ----------------------------------------------------
    112 West Franklin Avenue
    Pennington, NJ 08534
    Voice: 609-737-2222
    Fax:    609-737-3222

    </x-sigsep>


  • 2.  RE: Alimony quickee

    Posted 12-23-2015 03:19 PM

    Who has primary responsibility for the care of the child???

     






  • 3.  RE: Alimony quickee

    Posted 12-23-2015 04:19 PM

    Seems most quickee alimony calculations are done looking only at the earnings of each and the length of the marriage (with a glance at child care responsibilities).

    The "formula" is applied and that is that.  There is a reason the statute lists more than 3 factors to review in determining alimony.

     

    Look at the budget provided by both and adjust for the "Really?" exaggerations.  If Wife can pay all of her expenses on her salary, together with child support [if that is appropriate] then it can be said that Wife is able, without alimony, to maintain something close to the marital lifestyle with little or no alimony.  This is so regardless of whether Husband earns more than she does.   

     
    If Wife is on track to receive raises that keep pace with cost of living and can meet her current budget (as adjusted to account for living separately) some "token" amount of alimony (say, $1,000 - $1,300 per month) should be agreed upon for a short term of about 3 years (assuming she has been employed throughout the marriage, save the 18 months).  If Wife balks (can't see Husband complaining about that proposal) I'd suggest that a percentage of Husband's future stock receipts be distributed to Wife (in addition to the support) for the term of the alimony.  That, together with Husband's agreement to contribute a greater than pro rata share of the child's expenses should allow Wife to maintain her lifestyle and to share in the benefits derived from Husband's employment efforts during the last 10 years for a little longer.

     

    It looks like these folks are not  what I would call financially responsible.  Their combined income (before Wife stopped working) was about $400,000 annually.  Despite that, they managed to blow though one-third of the  $1,000,000 windfall in stock (if their assets now only total $700,000) in addition to their significant incomes.

     

    Lisa M. Radell, Esq.

    207 South Main Street

    Cape May Court House, NJ 08210

    Tel (609) 465-9910

    Fax (609) 465-9920

     






  • 4.  RE: Alimony quickee

    Posted 12-23-2015 05:04 PM
    Edited by System 12-28-2023 05:35 PM

    I would start with the following, and work from there:

    Aspiring recipient's economic status did not arise from the marital relationship. He or she would be in the same position s/he is in now with or without the marriage.

    In recognizing the need for limited duration alimony, the Commission to Study the Law of Divorce focused "‘upon the economic impact of the marriage on the parties by examining whether employment opportunities were lost or career opportunities delayed.’" Id. at 481 (quoting Report of the Commission to Study the Law of Divorce, Recommendation 13 at 46-47 (April 18, 1995)). It was contemplated that a court would determine whether "any economic dependency that might exist between the parties was created by the marriage or was the product of the parties’ disparate skills and educational opportunities, unrelated to anything that happened during the marriage. The court’s inquiry would focus not on the fact that the parties were married but upon the impact of the marriage on the parties . . . [and on] whether either of the parties were economically disadvantaged by child-rearing responsibilities for children of the marriage."

    [Ibid. (quoting Report of the Commission, supra, Recommendation 13 at 46-47).] J.E.V. v. K.V., 426 N.J. Super. 475, 489-91 (App. Div. 2012)

    Fundamentally, and most recently, in Gnall v. Gnall, 432 N.J. Super. 129 (App. Div. 2013), the court explained the purpose of alimony, as follows: We nevertheless emphasize that judges considering an alimony request must always keep in mind the primary "purpose of awarding alimony to a spouse is based on ‘an economic right that arises out of the marital relationship and provides the dependent spouse with a level of support and standard of living generally commensurate with the quality of economic life that existed during the marriage.’" Clark v. Clark, 429 N.J. Super. 61, 72-73 (App. Div. 2012)(quoting Mani v. Mani, 183 N.J. 70, 80 (2005) (internal quotation marks and citations omitted)). The economic dependence created as a result of the marital relationship is a crucial finding necessary to impose the ongoing financial entanglement of an alimony award. The law attributes a party’s individual success to have been achieved by virtue of the joint union — "a shared enterprise, a joint undertaking, that in many ways… is akin to a partnership." Rothman v. Rothman, 65 N.J. 219, 229 (1974). See also Guglielmo v. Guglielmo, 253 N.J. Super. 531, 543 (App. Div. 1992) ("We are entirely satisfied that a spouse who maintains the home while her husband’s career advances should share in the rewards of their combined efforts." (citations omitted)). Finally, a judge awarding alimony must methodically consider all evidence to assure the award is "fit, reasonable and just" to both parties, N.J.S.A. 2A:34-23, and properly balances each party’s needs, the finite marital resources, and the parties’ desires to commence their separate futures, N.J.S.A. 2A:34-23c. Parties must not forget, "alimony is neither a punishment for the payor nor a reward for the payee." Mani, supra, 183 N.J. at 80.

    [Other citations omitted.]

    And if that gets you nowhere, try this:

    There is a lengthy legal precedent, Your Honor, going back to 1789, whereby a defendant may claim self-defense against an agent of the government where the act is shown to be a defense against tyranny, a defense of liberty – Henry Ward Beecher proclaimed, in his Proverbs From Plymouth Pulpit back in 1887, that “Every American citizen is by birth, a sworn officer of the state. Every man is a policeman.” As for the other officers, even William Congrave said; “he that first cries out ‘stop thief’ is ‘oft he that has stolen the treasure.”

    I am afforded the right to speak in my own defense by our constitution, Sir. The same document which guarantees my right to liberty. “Liberty,” in case you've forgotten, is “the soul’s right to breathe, and when it cannot take a long breath laws are girded too tight. Without liberty, man is [in] a cinco [syncope].” Ibid. Your Honor.

    Julius Caesar proclaimed – Though he be wounded — “Magna...”

    Merry Christmas!

    ------------------------------
    Curtis Romanowski Esq.
    Senior Attorney - Proprietor
    Metuchen NJ
    (732)603-8585



  • 5.  RE: Alimony quickee

    Posted 12-24-2015 08:46 AM
    Well done curtis
    I clear read with entertaining last paragraphs 

    Sent from my iPhone





  • 6.  RE: Alimony quickee

    Posted 12-24-2015 09:36 AM

    Thanks, Judge!

    ------------------------------
    Curtis Romanowski Esq.
    Senior Attorney - Proprietor
    Metuchen NJ
    (732)603-8585



  • 7.  RE: Alimony quickee

    Posted 12-28-2015 01:58 PM
    Curtis - Wow - Thanks.  Super-helpful on the serious portion and LOL on the remainder... But you forgot to throw in the 13th Amendment prohibition on involuntary servitude; another favorite of the pro se litigant fighting a support order.  :-)

    Lisa - I agree that it's not a "formula" kind of case. Although I support the idea of having a formula in the statute, this is a perfect example of when it shouldn't be applied to the benefit of the potential payor (in contrast to where a formula would hurt the recipient, when, for example there's disability or an industry that collapsed while she was out of the workforce) ... or maybe a formula should just be made complex enough to take facts like these into account. The offer I'm reviewing with the client is almost to the dollar exactly what you suggested, for the term you suggested, with a share of the options / equity interest.

    Sharon - mom definitely has taken on more of the parenting responsibilities. Dad travels internationally a lot. Although dad is loving and involved and has a good relationship with the child, he's away a decent portion of the time and mom's career was adversely affected by the marriage.That was part of the motivation for offerring some kind of term alimony - the Cox analysis of a "transfer of earning power" would support it and client wants to make a fair offer up front and hopefully end it with a minimum of counsel fees and acrimony (of course, the old quandry of making a fair offer up front -- will the adversary take it as the "opening offer" and automatically want to exceed it? So, start with a "no alimony" opening and then negotiate up from there?)


    Please confirm that you received this email and referenced attachments (if any).

    - Dave

    David Perry Davis, Esq.
    ----------------------------------------------------
       www.FamilyLawNJ.pro
    ----------------------------------------------------
    112 West Franklin Avenue
    Pennington, NJ 08534
    Voice: 609-737-2222
    Fax:    609-737-3222


    And if that gets you nowhere, try this:

    There is a lengthy legal precedent, Your Honor, going back to 1789, whereby a defendant may claim self-defense against an agent of the government where the act is shown to be a defense against tyranny, a defense of liberty – Henry Ward Beecher proclaimed, in his Proverbs From Plymouth Pulpit back in 1887, that “Every American citizen is by birth, a sworn officer of the state. Every man is a policeman.” As for the other officers, even William Congrave said; “he that first cries out ‘stop thief’ is ‘oft he that has stolen the treasure.”

    I am afforded the right to speak in my own defense by our constitution, Sir. The same document which guarantees my right to liberty. “Liberty,” in case you've forgotten, is “the soul’s right to breathe, and when it cannot take a long breath laws are girded too tight. Without liberty, man is [in] a cinco [syncope].” Ibid. Your Honor.

    Julius Caesar proclaimed – Though he be wounded ­ “Magna...”

    Merry Christmas!
    ------------------------------
    Curtis Romanowski Esq.
    Senior Attorney - Proprietor
    Metuchen NJ
    (732)603-8585
    ------------------------------
      Reply to Group Online   View Thread   Recommend   Forward  
    -------------------------------------------
    Seems most quickee alimony calculations are done looking only at the earnings of each and the length of the marriage (with a glance at child care responsibilities).

    The "formula" is applied and that is that.  There is a reason the statute lists more than 3 factors to review in determining alimony.

    Look at the budget provided by both and adjust for the "Really?" exaggerations.  If Wife can pay all of her expenses on her salary, together with child support [if that is appropriate] then it can be said that Wife is able, without alimony, to maintain something close to the marital lifestyle with little or no alimony.  This is so regardless of whether Husband earns more than she does.  
     
    If Wife is on track to receive raises that keep pace with cost of living and can meet her current budget (as adjusted to account for living separately) some "token" amount of alimony (say, $1,000 - $1,300 per month) should be agreed upon for a short term of about 3 years (assuming she has been employed throughout the marriage, save the 18 months).  If Wife balks (can't see Husband complaining about that proposal) I'd suggest that a percentage of Husband's future stock receipts be distributed to Wife (in addition to the support) for the term of the alimony.  That, together with Husband's agreement to contribute a greater than pro rata share of the child's expenses should allow Wife to maintain her lifestyle and to share in the benefits derived from Husband's employment efforts during the last 10 years for a little longer.

    It looks like these folks are not  what I would call financially responsible.  Their combined income (before Wife stopped working) was about $400,000 annually.  Despite that, they managed to blow though one-third of the $1,000,000 windfall in stock (if their assets now only total $700,000) in addition to their significant incomes.

    Lisa M. Radell, Esq.
    207 South Main Street
    Cape May Court House, NJ 08210
    Tel (609) 465-9910
    Fax (609) 465-9920





  • 8.  RE: Alimony quickee

    Posted 12-28-2015 02:02 PM

    Thanks for your kind comments, David. Appreciated and always my pleasure.

    ------------------------------
    Curtis Romanowski Esq.
    Senior Attorney - Proprietor
    Metuchen NJ
    (732)603-8585



  • 9.  RE: Alimony quickee

    Posted 12-23-2015 04:43 PM

    David,

    I have a lot of questions. 

    You represent him? 

    Will she be imputed at $175k?  Why is she unemployed?  Was it voluntary?  Has she tried finding similar employment?  Is there an employability issue?

    Her attorney will likely ask for her coverture fraction of the stock options.

    What are her monthly/yearly expenses?  If you impute her at 175,000 (if that's fair), what's her remaining need?  Can it be covered by her fair share of deferred comp or a combination with lower alimony?

    If she's the PPR, and the child's only 8, I think her starting point will be to ask for 10 years of alimony (until the child graduates), but you would obviously go in with a shorter term (maybe 3-5 years).

    If she can't find employment this year and she's been looking, and everyone agrees she needs a year to find something comparable, go off her CIS (assuming she's not inflating it). Make her needs alimony for year 1, then do step downs while imputing her at what everyone can agree on is fair if she's confident she can't make $175,000 plus her previous deferred comp packages (excluding the $1M windfall). It allows her to get on her feet if she's having an employability issue. There's lots of ways to be creative.

    If I represented her, I would have questions about his earning potential over the next 5 or so years (what if his salary sky rockets in the next year or two and it's attributable to the marriage; did she take off this last 18 months to support his career growth? A geographic move to support his career?). Then maybe her request for a longer term is fair or the step downs are less drastic. That's getting complicated for this email, but you see where I am going.

    Misty

     


    3314.gif

    Misty A. Velasques Avallone, Esq.

     

    t 609.683.7400   f 609.921.8982

    e [email protected]   w www.hananisaacs.com

    4499 Route 27, Kingston NJ

     

    Who has primary responsibility for the care of the child???

    Family Law

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    Re: Alimony quickee

    Dec 23, 2015 3:19 PM

    Sharon B. Ransavage, Esq

    Who has primary responsibility for the care of the child???

     




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    10 year marriage.
    Husband earns $240,000 plus gets stock & stock options in non-publicly traded company.
    Wife has been out of the workforce for 18 months or so, but in previous position she earned $175,000 (plus got stock that ended up in a $1 million windfall, but I concede that's non-recurring). Both have bachelor's degrees.
    No other unusual factors (parties in mid-40's, 1 child - 8 years old, no health issues, each receiving $350K or so in e.d.)

    What would you offer / seek on alimony -- how long and how much?







    David Perry Davis, Esq.
    ----------------------------------------------------
       www.FamilyLawNJ.pro
    ----------------------------------------------------
    112 West Franklin Avenue
    Pennington, NJ 08534
    Voice: 609-737-2222
    Fax:    609-737-3222



     

     

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