Category Archives: Family Law

A ward is someone placed under the care or protection of a legal guardian. A minor or an incapacitated person could be a ward. The protected individual may be legally incapable of caring or acting for themselves. Here is what you should know about legal guardianship in Louisiana.

Overview of Adult Legal Guardianship in Louisiana

Guardianship is a crucial legal responsibility for any individual. A probate court usually appoints anyone as a legal guardian. Guardianships authorize a court-appointed guardian to make choices for another person (ward). Legal guardianship is the relationship between a ward and a guardian. The guardian cares for the ward, while the ward is entitled to the guardian’s protection.

According to estimates, 1.3 million adults in the U.S. currently live under conservatorship or guardianship. As the data tells us, there are adults who need care, not just minors. A family can choose or appoint a guardian to assist with the person’s financial affairs, medical care, and physical requirements.

Who Is Eligible to Be A Guardian?

A guardian must be 18 years old and capable of providing care and protection to the ward. The following can be the ward’s guardian:

• Spouse

• Friend

• Neighbor

• Another family member

• A professional guardian (someone unrelated with special training)

A guardian doesn’t need to be an individual. It may be a private or public corporation or a non-profit agency. Louisiana courts can appoint a public guardian if an individual is incapacitated and the family can’t find a suitable guardian.

When choosing someone as a guardian, the court will first consider those who play a crucial role in the ward’s life. These could be individuals who are both sensitive and aware of the ward’s preferences and needs. The court can appoint co-guardians if two people decide to share guardianship roles.

What Documents Are Needed When Filing for Guardianship?

An individual must undertake a court process to be considered for Louisiana guardianship. The first step they will take is to file a petition. A doctor or other medical personnel will examine the individual who has Louisiana guardianship appointed on their behalf. After that, a report must be sent detailing the care they need. Judges will then assess the document and use it to decide when considering petitions for guardianship in Louisiana.

An individual considering the role of a guardian must maintain and file documents on their assets and that of the ward, including costs for care. The guardianship process can be daunting since an individual is taking responsibility for the welfare of another. Documents are necessary to create a guardianship record because guardians often work closely with their state or county courts.

The following are documents an individual may use when filing for guardianship:

• Investments and financial statements

• Trusts, wills, or any other documents on the ward’s inherited assets

• Documents on medical treatment or care, especially insurance details and invoices

• Invoices containing educational cost

• Receipts showing the purchase of necessities like clothes, food, household items, etc.

• Ledgers and banking statements

• Previous guardianship accountings, appraisals, and inventories prepared for the court

• Documents showing valuation and ownership of property the guardianship estate holds

According to Britney Spear’s conservatorship battle, guardianship encompasses a range of harmful conducts. A lawyer will represent the ward in court and ensure any appointed Louisiana guardian is in the ward’s best interest. This will help avoid any future detrimental acts, such as financial exploitation.

How Long Does It Take Before the Court Decides to Grant or Deny Guardianship?

An individual can obtain temporary guardianship quickly. Also, it’s possible to appoint a temporary guardian on the same day of filing a petition. The time needed for the guardianship process if there’s no emergency depends on the following:

• Availability of a judge

• Information needed to prepare court papers

• Existence of complex factors like controversial issues or disagreement among interested persons

• Type of notice needed to satisfy the constitution under the case circumstances

In most cases, getting the documents and gathering information for the case is time-consuming. Thus, an individual must investigate the case thoroughly before filing since one can only withdraw it with permission from the court.

The court doesn’t permit an individual to file a frivolous court case. After filing a case and investigation later shows that there’s no justification for the case, the petitioning attorney or the petitioner can face serious consequences. After filing, the court can take around 14 days to two months to reach a decision.

What Are the Alternatives to Legal Guardianship?

In most cases, an individual can use other legal means to get the privileges and rights of care over an adult who needs guardianship. Since guardianship involves a profound loss of dignity and freedom, Louisiana laws require that guardianship be imposed after trying and proving less restrictive options.

Here are the alternatives to guardianship:

Power of Attorney

A power of attorney (POA) is the legal authority given to an individual (attorney-in-fact or agent) by the principal. The agent or attorney-in-fact stands in for the principal and makes decisions on business, financial, or other matters. Even after effecting a POA, the principal may not want it to be effective until incapacitated.

Interdiction

Louisiana uses interdiction to refer to a combination of conservatorship and guardianship. Interdiction is suitable for people the court deems unable to handle their financial and personal affairs. During its proceedings, the court will appoint a guardian (curator) and an under-curator to undertake the health and financial matters of the incapacitated individual.

In most cases, the court can appoint a trusted friend or family member as the guardian in an interdiction. It now becomes the responsibility of the appointed person to oversee financial matters, healthcare decisions, and living arrangements for the individual in need of a curator.

Revocable Trust

In Louisiana, the revocable living trust is a popular estate planning trust. A “living” or revocable trust is a written document to determine how a family member, friend, or financial institution handles an asset after the owner dies. The grantor can place assets and properties and use them while still alive together with instructions on sharing after death.

Protective Payee or Representative

An individual is appointed to manage welfare, Veterans Administration, Social Security, Railroad Retirement, or other federal or state entitlement program payments or benefits for the individual.

Conclusion

Guardianship is a system where an individual becomes legally responsible for managing the affairs and caring for an incapacitated adult. It only grants specific responsibilities and rights related to the concerns and care of that person.

Guardianship is a challenging endeavor. Our attorney can help an individual ensure that a suitable guardian is appointed. Contact Stephenson, Chávarri & Dawson, LLC at 504-523-6496 or fill out our online contact form to request an initial consultation.

A personal injury settlement can get divided during a divorce in Louisiana. Divorce law is complex. Whether or not a divorcing spouse is entitled to the settlement and to what extent of the recovery they can claim will depend on the nuances of Louisiana divorce law. 

How is Marital Property Divided in Louisiana?

Louisiana is a community property state. In the U.S., the division of marital assets falls under one of two doctrines: equitable distribution or community property. While most states follow the equitable distribution doctrine, Louisiana is one of nine states to follow community property laws.

• Equitable distribution states seek to divide marital property fairly, though not necessarily equally. 
• Community property states divide marital assets evenly. 

The most significant difference between equitable and community distribution is how marital assets are defined. Under community property laws, assets are either considered separate property or community property. 

What is the Difference Between Community Property and Separate Property?

Marital assets are categorized as either separate property or community property. Only community property is divided evenly in a divorce. Separate property is not subject to equitable division laws. 

Community Property

Community property refers to the assets acquired throughout a marriage. Any asset or debt that does not qualify as separate property will be considered communal property and divided equally.  

Separate Property 

Defining separate property in Louisiana is complex. Generally, separate property refers to assets a spouse acquired before the marriage. For example, a spouse’s car or house would be considered separate property. 

A spouse can also gain separate property during the marriage. An inheritance or gifts received during the marriage is considered separate property. 

The complication divorcing couples often face is when separate property becomes community property. If a spouse uses their inheritance money to purchase a family home, or if the funds are placed in a joint account, it can be considered community property. Additionally, if a spouse lacks documentation or other supporting evidence that an asset is separate property, the court will likely consider it to be community property and subject to division. 

Exceptions to Communal Property Laws

Any contested divorce will be subject to community property laws with a few exceptions:

• A prenuptial or post-nuptial agreement is being challenged  
• The spouses have disproportionate earning capacities
• One spouse is the primary caregiver to their minor children
• A fault-based divorce
• A spouse failed to divulge all assets

The presiding judge has some discretion on how marital property is divided between spouses. Fault-based divorces can deviate from equal distribution. If one spouse attempts to hide assets during the divorce proceedings, they can be held in contempt of court. 

Is a Personal Injury Settlement Considered Community Property or Separate Property?

A personal injury settlement is considered separate property with a few exceptions. Personal injury settlements consist of monetary compensation for injuries incurred in a negligent accident. Recoverable damages involve economic and non-economic damages. 

Economic damages are subject to communal property laws. Non-economic damages are considered separate assets. 

Economic damages in a personal injury claim may include:

• Medical bills
• Property damage
• Lost wages or potential income

Non-economic damages involve:

• Pain and suffering damages
• Emotional distress
• Punitive damages
• Loss of consortium 

Since debts are considered community property, economic damages are split between spouses. However, only one spouse experiences the trauma and pain of the accident. Therefore, only the injured spouse is entitled to compensation for trauma and pain. Loss of consortium is the only exception to the rule.

What is Loss of Consortium?

Loss of consortium is a unique damage that compensates the spouse of the injured party for damages to the marital relationship. A spouse can claim loss of consortium for the deprivation of love, affection, or sexual relations. 

How Does Loss of Consortium Affect a Personal Injury Settlement?

When a spouse pursues a loss of consortium claim, the entirety of the settlement will be delayed. Loss of consortium frequently requires litigation. The uninjured spouse must prove:

• That the marriage was intact prior to the accident and the separation or divorce was not pre-existing 
• That their spouse’s injuries caused damage to the relationship

While only the injured spouse can agree to a settlement, both spouses must consent to the offer in writing. 

Can a Spouse Claim a Higher Percentage of a Personal Injury Settlement in a Fault-Based Divorce? 

A spouse cannot claim personal injury damages that are not considered a part of the communal property. However, a spouse may receive a higher percentage of the settlement indirectly.

How Fault Affects the Division of Communal Property

A fault-based divorce affects the division of communal property. A judge has the discretion to award a higher percentage of the total community property if one spouse is responsible for the end of the marriage. Economic damages from a personal injury settlement are considered community property. In a fault-based divorce, a spouse would indirectly gain a greater share of the settlement by receiving a larger share of the communal property. 

How Fault Affects Alimony

A judge also considers fault when awarding temporary or permanent alimony. Only a spouse that is found not at fault during a divorce can pursue alimony. Generally, the duration and amount of alimony awarded are based on a spouse’s needs, the ability of the other spouse to pay, and the length of the marriage. However, a judge may award additional punitive alimony in a fault-based divorce. 

Can How a Personal Injury Settlement is Paid Affect Alimony? 

Personal injury settlements are paid out as either a lump sum or a structured settlement. If the injured spouse receives a lump-sum settlement, a non-injured spouse can argue that alimony can be paid in a lump sum. 

If the settlement is paid out as a structured settlement, the non-injured spouse can claim the economic damages are subject to communal property law and be granted a portion of the payments. 

Divorces are highly emotional and often contentious events. A Louisiana divorce lawyer from Stephenson, Chávarri & Dawson can represent a spouse’s best interests and secure the portion of a personal injury settlement they are entitled to. Schedule a consultation today by calling (504) 523-6496.

 

Amazon founder, Jeff Bezos, had to pay his ex-wife $35 billion when they divorced. Although this is the most expensive divorce in history, it is one of the endless examples of business owners who have to give profits to their ex-spouses when they split.

Louisiana is a community property state, which means the court splits shared assets between you and your spouse during a divorce. It’s not as simple when you and/or your spouse have a business, and one party contesting the divorce further complicates things.

 If you don’t have a prenuptial agreement with your spouse, or you haven’t specified ownership in the event of a divorce in a shareholder’s agreement, you risk losing your business or having to pay a large amount to hold on to it. Fortunately, an experienced divorce attorney can help protect your business during a contested divorce.

Community vs. Separate Property in Louisiana Divorces

Louisiana is one of several community property states in the United States. Under the state’s law, any property you or your spouse acquired during your marriage qualifies as community property, which you must split equally in the event of the divorce. It follows that if you started your business during your marriage, your spouse automatically gets half. However, dividing business interests is not as simple as dividing other property.

Specific factors your lawyer and the court will examine to determine if your spouse has a vested interest in the business include:

• Whether you were married when you started the business
• Who provided startup funding for your business
• The physical and financial contributions you and your spouse made to the business during your marriage

Choosing the Right Path for Your Business During a Divorce

You and your spouse can take three paths with your business during a divorce. The path you choose hinges on the type of business you own and how contentious your divorce is.

• Co-ownership. Even in a contested divorce, some spouses manage to keep the bitterness to a minimum. If you and your soon-to-be-ex get along fairly well, it might be possible that you can continue to own and operate the businesses after you dissolve your marriage. However, this is not common because many who do not make good marriage partners also struggle to make good business partners. 
• Sell the business. Selling your business to a third party could be an option if you do not wish to keep your business. If you sell, you will have to split the proceeds of the sale with your spouse. The percentage split will depend on whether the court deems the business as community or separate property. If there are multiple owners or investors, this may not be the right choice for your situation.
• Buy out your spouse. Those who want to keep their business during a divorce, often choose to buy out their spouse’s interest in their business. This could include paying a lump sum or cash payments for a specified amount of time. If cash is not an option, you still might be able to buy out your spouse by negotiating with other assets. For example, you could offer your half of your house, vehicles, and other high-ticket assets to cover your spouse’s half of the business.

Business Valuation During a Divorce

If you are amidst a contested divorce, you can be sure your spouse will want the value of the business to be as high as possible. Regardless of whether you sell or buy out your spouse’s interest, you need a proper business valuation to ensure you are working with current and fair numbers.  You can find a wide range of consultants or companies to perform a business valuation. They will use one or more of the following three different common methods to assess the value of your business.

• Market approach. This valuation method compares your business to a similar business that recently sold. The goal is to find a comparable business that shares many of the same characteristics of your business, including location, industry, and size. The market approach is especially common when you are in a competitive industry with plenty of market data to support the valuation. 
• Income approach. The income valuation approach requires estimating future earnings or cash flows. These projections provide a present value based on future income. However, projections must also take into account taxes, cost structure, growth rates, and other relevant factors.
• Asset approach. A valuation of your business based on the asset approach is the simplest of the three approaches. Your business’s value is equal to your assets minus your liabilities. However, the difficulty lies in deciding which assets and liabilities to include in the valuation. For example, some analysts include intangible assets that are not listed on your balance sheet such as patents, trademarks, and other intellectual property. 

Business Goodwill as an Intangible Asset

Goodwill is the name analysts use to indicate a company’s reputation, especially when a business has a good name and high name recognition. Goodwill is considered an intangible asset, making it difficult to quantify. However, analysts typically calculate goodwill by subtracting the difference between the fair market value of a business and its purchase price. Ultimately, it’s the premium someone will pay for your business that goes above and beyond the books.

In the context of a divorce, business goodwill can increase the valuation and also factor into decisions about how to proceed with dividing the asset. Goodwill impacts a business on a personal level and on an enterprise level. On a personal level, it matters who qualifies as the face of your business. If your spouse is the face of your business, buying out their interest means your company won’t be the same after they leave. Enterprise goodwill refers to a business’s reputation and branding. The loss of an employee or executive has little or no bearing on this type of goodwill.

Let an Experienced Business Attorney Help You During Your Divorce

If you are worried about losing your business during a contested divorce, let an experienced business lawyer help. The legal team at Stephenson, Chávarri & Dawson understands the importance of protecting your business during this difficult time. Contact us today online or at 504-523-6496 to share the details of your divorce and discuss the best path to protect your business.

 

If you are going through a divorce, the end of a relationship, or a child support case, you may be wondering how your case will be affected if you are currently paying child support but have suspicions that you are not the father.

Many parents are unaware that to obtain court ordered child support, paternity will need to be established. Figuring out who the child’s father is may be more complicated than many families think. This is, in part, because there are so many potential family dynamics out there.

Establishing Paternity in Louisiana

The process of establishing paternity is used when the Louisiana family courts need to determine who a child’s biological father is. Only after paternity has been established will the courts give the child’s father their rights and responsibilities to the child.

This means that unless the court system has officially recognized you as being the child’s father, you do not have any legal obligation to spend quality time with them, enjoy child custody or visitation rights, or have any duty to pay child support to the child’s parent.

The only way child support orders can be issued is if either parent asks the court to intervene. If this happens, the first step in getting a child support order is to establish paternity. 

Voluntary Acknowledgment of Paternity

Many people are quick to assume that the only way to establish paternity is by getting a DNA test. But for unmarried parents, a biological father has the opportunity to acknowledge their paternity voluntarily and in writing. This is often referred to as a voluntary acknowledgment of paternity affidavit, or an affidavit of parentage.

If both parents agree that this is the child’s father, and the father voluntarily acknowledges their paternity, they may be ordered to pay child support until the child reaches that legal age limit. This is often true even if it is later determined through a DNA test that the father was not the child’s biological parent.

Alleged Father

The alleged father is any man who is unmarried who the court believes could be the biological father of a child. The alleged father is often named by one parent attempting to establish paternity in the hopes of obtaining a Louisiana child support order.

Some alleged fathers will attempt to avoid having to submit to a DNA test to avoid having to pay child support. But if you fail to reply to the petition, then a default judgment could be issued against you, and the judge may determine that you are the child’s father without having to obtain an official DNA test.

Under LA Civ Code 141, both of a child’s biological parents have an obligation to provide them with the financial support that they need. For this reason, in cases where One parent is seeking public assistance, The state will require them to pursue paternity establishment and a child support case to ensure that the alleged father is held accountable financially as well. 

Presumed Father

Under LA Civ Code 185, in Louisiana, when a couple is married, any children born while the couple is married are presumed to be the biological children of the husband. 

If a married man has reason to believe that they are not the biological father of a child, they may be able to disprove paternity by filing a request with the Louisiana family courts.

It is important to take steps to review presumed paternity if you hope to avoid being ordered to pay child support for a child that is not biologically yours.

Stepfather

A stepfather is a mother’s spouse. But there is no financial obligation under Louisiana law that requires a stepfather to financially support his wife’s children. However, if you hope to adopt your wife’s children, then you may become financially obligated to them, even if you and your spouse wind up divorcing later on.

Equitable Parent

There have been many situations in which a person who is not a biological or adoptive parent of the child may be deemed an equitable parent. Equitable parents are a concept that describes a close relationship between a parent and a child, and consider themselves to be a parent and child, despite not being biologically related or having been through adoption.

By establishing yourself as an equitable parent, you may be able to obtain your child custody or visitation rights. But equitable parents may also be ordered to pay child support, as parents of children do have a financial obligation to them.

Is There a Child Support Order in Place?

Ultimately, if there is not a child support order in place, you will not be obligated under the law to continue paying child support. The only way that a child support order can be established is if paternity is also established. 

If paternity has been established in your case, through any of the following ways above, and a New Orleans or Louisiana family court has determined that you are the child’s paternal father, or otherwise financially responsible for them, then a child support order may be issued.

If a child support order is in place, even if you are not the child’s biological father, the court has found you financially responsible for them as a paternal parent. For this reason, you will need to continue paying child support until the child reaches the age of eighteen, or while they are still in high school, until they reach the age of nineteen.

Contact a Family Law Attorney in New Orleans Today 

If you have a paying child support, and you suspect that you are not the child’s biological father, or that you should otherwise not be financially obligated to support the child, you need an experienced New Orleans family law attorney to take on your case. 

Contact Stephenson, Chávarri & Dawson to schedule your no-risk case review today. You can give our office a call at 504-523-6496 or fill out our convenient contact form when you are ready to get started on your case.

Over the last several years, digital assets, Bitcoin, Ethereum, Dogecoin, and other cryptocurrencies have dramatically increased in popularity. Now, tens of millions of Americans own cryptocurrency. When you purchase cryptocurrency as a married couple, this becomes a marital digital asset.

When your marriage falls apart, splitting your cryptocurrency holdings can become quite contentious. This level of complexity should be handled by a knowledgeable and experienced divorce attorney to ensure that your interests are protected.

What is Cryptocurrency?

If you, like many Americans, are unaware of what cryptocurrency is, but have suspicions that your spouse may be hiding valuable assets in your divorce, you may need a simple breakdown of what cryptocurrency is and why it is becoming an issue in your divorce settlement.

Cryptocurrency is a type of virtual or digital currency. It is protected by cryptography. This means that it is impossible to counterfeit. They are operated by decentralized networks that allow them to exist beyond the control of central authorities or the government.

Many people find cryptocurrency attractive because money transfers are cheaper and can occur instantly. Not to mention the fact that their decentralized systems do not fall apart at one sign of failure. However, cryptocurrency can be quite volatile. If you are going through a divorce, this volatility could have a significant impact on what you are awarded in your divorce settlement.

It is important to know that cryptocurrency is not a type of currency that is often, or ever, used for retail transactions. Instead, they could be used for cross border transfers and trading instruments.

Trouble Dividing Cryptocurrency in Your Divorce

There are many issues that occur when spouses divorce and attempt to divide cryptocurrency. Although many states follow equitable distribution laws to divide marital assets and property in divorce, this is not how divorce works in the state of Louisiana.

Here, under LA Civ Code 2338, we follow community property laws. This means that each spouse is entitled to half the marital debts and assets when the marriage ends. This means that the value of your cryptocurrency is also subject to community property laws in your divorce.

One of the biggest challenges surrounding cryptocurrency in divorce is determining whether it even exists. As previously mentioned, many spouses are unaware of their spouse’s digital purchases. You may be able to find out whether your spouse purchased crypto, Bitcoin, or other digital assets by combing through your bank statements and financial records.

If your spouse suddenly has extra money to make large purchases, without a reasonable explanation, then that may be assigned that they have access to hidden funds, possibly from cryptocurrency. Your attorney may need to file a subpoena to obtain access to your spouse’s electronic records and devices to uncover hidden crypto.

How to Divide Crypto the Right Way in Your Divorce 

As you go through your divorce and attempt to work with your spouse to resolve the terms of your divorce settlement, you must remember that all of your marital debt and assets should be divided 50-50. 

This means that both spouses are entitled to half the value of your cryptocurrency, as long as the cryptocurrency in question is considered a marital asset.

Any investments or assets purchased in the course of the marriage may be considered marital assets unless otherwise explicitly stated. Since cryptocurrency can be so volatile, your attorney may suggest that you add a volatility formula into your divorce contract. 

Then, if the value of the cryptocurrency changes by a certain percentage, the way that you divide your other digital assets, or other marital assets will then also change with this volatility. 

Do Not Forget Tax Implications 

It is also important to consider the tax implications of cryptocurrency. There are major concerns both spouses could face when divorcing with crypto. 

For example, if one spouse has seen significant growth from their crypto, both spouses may be subject to significant long-term capital gain taxes when you sell in your divorce.

You should also consider what happens if one spouse failed to report income made from cryptocurrency. When the IRS catches up to you, both spouses could be held accountable for any money owed to the treasury department.

Can You Transfer Crypto?

Once you and your spouse have worked out the terms of your divorce settlement, you will need to figure out how to transfer your crypto. Many investment companies will be able to help you figure out how to make this exchange. 

But the cryptocurrency exchanges are likely to have virtually zero customer service teams available to help you transfer your cryptocurrency from one spouse to the other.

If you want to be sure to protect yourself, your attorney can help you retain a financial professional who will protect your private keys, so you do not lose access to your digital funds. But remember, these keys provide access and management to your cryptocurrency. Keep the access to these keys, especially in your divorce, to a minimum.

What Happens If You and Your Spouse Do Not Agree on How to Divide Cryptocurrency 

It is more common than you might think for spouses to be unable to work together to determine how to divide their cryptocurrency and other marital assets. The division of marital property and assets is one of the biggest points of contention in any divorce. 

It is usually in both spouses best interests to work together to resolve the terms of your divorce settlement. If you can figure out how to divide your cryptocurrency and other marital assets between the two of you, then the judge will not have to step in and make these important decisions on your behalf. 

No one knows your marital property and assets like you and your spouse do. Do not let the demise of your marriage prevent you from obtaining the assets and property you need to move forward with your life.

Contact a Divorce Attorney in New Orleans 

If you have reason to believe that your spouse is hiding digital assets or cryptocurrency, or if your spouse has accused you of hiding crypto, and you want to protect your interests in your divorce, get the legal help and support you need.

Schedule your initial consultation with a dedicated New Orleans divorce attorney at Stephenson, Chávarri & Dawson when you complete our quick contact form or give our office a call at 504-523-6496.

A legal separation is a court action involving the physical and financial separation of married couples. Separation differs from divorce in that it does not end a marriage.  A Louisiana separation attorney can help protect your best interests by ensuring your separation is fair and meets court requirements. Get help for the complex legal process of your separation by reaching out for a free case consultation today.

Louisiana Legal Separation Process

A separation agreement is a legally binding document signed by both spouses. A legal separation involves such matters as the division of assets and addresses issues of child custody.

Because a separation does not end a marriage, spouses may not remarry until they file for divorce and the divorce is final. Separation gives each a break from the marriage and time to decide if a divorce is what they want.

Some couples choose separation because of religious reasons. A divorce is sometimes not an option due to their faith — a separation allows them to live apart but maintain certain benefits of a marriage, like taxes or health care coverage.

Louisiana marriage licenses have an option for a covenant marriage. This option is rare, with only three states: Arizona, Arkansas, and Louisiana. If you’re in a covenant marriage and wish to legally separate, a family law attorney can help you better understand how the process works.

Stephenson, Chavarri, & Dawson, LLC are deeply committed to helping clients through a legal separation. Whether your marriage is its 20th year or second year, we can ensure your separation follows state law requirements.

Understanding Louisiana Covenant Marriage

Couples who marry in Louisiana can choose to enter a  covenant marriage. An agreement between two parties to enter such an agreement includes a Declaration of Intent.

The Declaration of Intent involves the following terms:

• An agreement to live as husband and wife forever
• The couple has carefully chosen one another and shared personal information that may affect the marriage.
• An agreement to make all reasonable efforts to save their marriage, including marital counseling
• The couple must receive premarital counseling from a priest, minister, marriage counselor, or similar party.

The next step upon completion of the premarital counseling is the Affidavit and Attestation document. Couples entering into a covenant marriage must complete the following information on a notarized affidavit:

• The serious implications of covenant marriage
• Acknowledge that marriage is a life-long commitment
• An obligation to seek counseling if troubles arise within the marriage
• That they received the Covenant Marriage Act pamphlet published by the Attorney General

The legality of a covenant marriage is a serious matter, making it imperative that you comply with state requirements regarding separation. At Stephenson, Chavarri & Dawson, LLC, our team understands covenant marriage and how it applies to Louisiana law. Let us get to work for you by contacting us today for a free case consultation.

Legal Separation in a Covenant Marriage

When one party seeks to separate from their spouse in a covenant marriage, they must seek counseling. Additionally, the spouse must prove:

• Habitual intemperance, such as drug or alcohol abuse, cruel treatment, or severe ill-treatment by the other spouse
• Adultery by the other spouse
• Commission of a felony by the other spouse and an extensive prison sentence
• Physical or sexual abuse to either the spouse seeking the separation or a child of either spouse
• The couple currently lives apart and has done so for two years.

Legal separation from a spouse under covenant marriage law is a complex process. Separating from a spouse is an emotional and stressful time. It is not the time to tackle Louisiana marriage law on your own. How you protect your best interests now can impact your future, should your marriage end in divorce.

To legally separate, you must provide proof and not mere accusations of the offenses listed above. Gathering such information can take time, and the process is best started as soon as you decide to separate.

Documentation of your counseling is easy to overlook as you focus on proving your spouse’s wrongdoing. However, an essential part of the overall requirements, proof of your counseling, is something you must present to the court for your separation.

Get Help From Stephenson, Chavarri, & Dawson Today

A separation is a serious and emotional process for Louisiana couples. While the legal process does not end your marriage, it does divide what was built together.

We understand the uncertainty you feel at Stephenson, Chavarri, & Dawson LLC as you face this life-changing event. In addition to your separation, you must continue with your daily tasks, such as work, school, and other obligations.

Just as your marriage was a legal act, so it is a separation from your spouse. As a result, significant decisions involving finances and your children occur and can leave you feeling overwhelmed.

Hiring a family law and Louisiana divorce attorney with experience is crucial for the best outcome possible. The team at Stephenson, Chavarri, & Dawson, LLC works hard on behalf of clients who face a separation.

Regardless of whether your case involves a covenant marriage, contacting our team can ease your mind. Reach out today for a free case consultation. The sooner we talk, the faster we can get to work on your behalf.

No one enters marriage expecting it to one day lead to separation and possible divorce. However, if you find yourself at a crossroads in life, let us help you through the legal process of separating assets and issues involving child custody.

Scheduling a free case consultation is easy, simply contact us online or call 504-523-6496 today. We proudly serve New Orleans and the surrounding region. French and Spanish-speaking clients are welcome.

Take your first step toward protecting what you deserve by contacting Stephenson, Chavarri, & Dawson, LLC as soon as possible. Our caring and compassionate team stands ready to assist you through this challenging time.

Getting a divorce is an already overwhelming process. When you throw taxes into the mix, it can cause everyone to experience a significant amount of uncertainty and stress. This is because many couples going through a divorce are not only struggling to figure out whether they are still supposed to file taxes together after they decide to divorce, but they often have no idea what tax write-offs they are able to pursue when filing these taxes.

That is why in this blog post, we will go over these various issues dealing with taxes and divorce in hopes of clearing up some of the confusion that is often involved with this topic. 

The Filing Status After Divorce

Typically, the marital status you indicate on your taxes will be determined at the end of the year. This means that if you are divorced by midnight on December 31 of the tax year, you will need to file separately from your former spouse. What’s more, if you are the custodial parent of your child, you may qualify for the favorable head of household status. However, if you are not, you may have to file as a single taxpayer even if you were married for part of the tax year. 

Deductions and Alimony — Is Alimony Still Tax Deductible? 

Since 1942, those individuals who paid alimony had been able to deduct alimony payments from their income, resulting in some tax savings. However, today, these laws are long gone. According to recent federal tax changes, alimony payments will no longer be deductible and will not count as income to the spouse that receives the alimony. This new rule applies to anyone that has been divorced beginning on January 1, 2019, or later. 

These updated regulations were implemented because lawmakers claimed that alimony deductions allowed divorced couples to get a better tax result than married couples. However, the loss of these tax savings from this deduction will likely end up causing lower alimony awards because there will be less income or money in play. 

Child Support Deductions — Is It Possible?

In general, the answer to this question is no. Since married couples cannot deduct the money they spend on their children, divorced couples also cannot deduct the money they spend on child support. 

Handling a Sale of the Home

For many couples, divorce means that they will need to separate their home into two households. Consequently, divorcing couples may decide to sell their home to start fresh, or when they cannot agree on who should keep the house.

However, if the ex-spouses sell their home for a profit, it can have significant implications on their taxes, as they now may owe capital gain taxes on their portion of the profit. This can become even more complex when the couple starts to factor in how long they owed the home and how much it was worth when they first bought it. As a result, it is essential to speak with an experienced divorce attorney during this process to ensure that your taxes are prepared correctly, and all the laws are taken into account.

Retirement Account Issues

Another significant issue that arises in divorce settlements is what happens to retirement accounts. For many couples that decide to divorce, they must divide the retirement benefits when their marriage ends. For instance, one spouse may be entitled to a share of the other’s workplace pension. However, since companies do not always pay this pension money immediately, couples may have to wait to get their respective shares. 

One way the court solves this problem is by issuing a domestic relations order or a qualified domestic relations order, also known as the QDRO. This order is a written set of instructions that are given to a plan administrator. These instructions refer to the terms and the conditions of how the two parties are dividing the pension benefits. The instructions will also lay out details like how much of the benefits need to be paid to each party, how the benefits will be paid to each party, and when the benefits should be paid. 

Legal Fee Deductions

Finally, one of the last deductions most ex-spouses want to know about is whether they can deduct the legal fees they had to pay to end their marriage. Unfortunately, the answer to this question is often no. In most cases, legal fees are not tax-deductible. 

In the past, couples may have been able to deduct legal fees they paid for regarding the tax advice they received in connection with getting a divorce or alimony, but the recent tax reform rules have changed things. That is why to verify what deductions you can take, you should speak to a skilled divorce attorney who can help you figure out what you can and cannot deduct. 

Filing Taxes After a Divorce? Get the Legal Help You Need

Nothing can stop the confusion and the pain that follows the ending of a marriage. However, when it comes to ensuring that filing taxes after a divorce is as stress-free as possible, then working with an experienced divorce attorney can be the answer you need. Especially since our country’s tax laws are constantly changing, making an already complicated process even that much more difficult. Fortunately, with these attorneys on your side, they can not only provide you the support you require during this challenging time, but they can help you get the tax benefits and advantages you need. 

For these reasons, do not wait to seek the legal help you need when going through a divorce. Instead, reach out to the law firm of Stephenson, Chávarri & Dawson, L.L.C. or call our office at 504-523-6496 to speak to one of our experienced divorce attorneys about your case. Our lawyers can go over all the questions you have and ensure you understand not only the specific issues regarding your situation but also how to file your taxes correctly.