July 2012

Generations.jpgWhat are the support rights and obligations of a couple who have habitually lived often the generosity of their parents?

That was the question Monroe County Suprme Court Justice Richard A. Dollinger answered in his July 23, 2012 decision in G.R.P. v. L.B.P. when determining temporary support.

The divorcing couple have been married for 20 years and have 3 children. Throughout the marriage, they enjoyed a “substantial” lifestyle: a comfortable home, country club and health club memberships, annual vacations in resort communities including skiing in Colorado and winters in Florida.

However, that lifestyle always exceeded the couple’s earned income. The husband had been employed as a photographer in a business owned by his father, but the business stalled and was closed in the last 18 months. The husband claimed $8,470 in annual income as of July 2011. Although the husband held two undergraduate degrees, he never earned significant sums, with annual earnings in 2000-2009 approximating $35,000. The husband provided no evidence of his efforts to find employment, except a “meek statement” of trying to find work as a self-employed photographer.

In considering his obligation to support his family, this court declines to give any significant credence to the husband’s employment efforts. Again, the only reasonable conclusion is that the husband’s parents have financed most of, if not all, the family’s expenses for at least two years, if not significantly longer.

The wife, who also held an undergraduate degree, earned $25,000 annually from her employment.

Nonetheless, the husband in his statement of net worth listed expenses of $94,812 annually. The wife estimated expenses at more than $107,000 annually. Moreover, neither party’s budget included any expenses for the education of the oldest child, now attending college.Continue Reading When Divorcing Parents Live Off Their Own Parents

Scheinkman photo 2.jpgFrom the “You Can’t Make This Stuff Up” Department:

During the course of this Westchester County divorce action, Elizabeth Perry “engaged in inappropriate litigation behavior.” She refused to comply with court orders to produce documents or to submit to an examination before trial, she secreted assets (including millions of dollars of cash assets), and she apparently illicitly acquired documents and computer files belonging to her husband, Jeffrey.

The July 17, 2012 decision of Supreme Court Justice Alan D. Scheinkman (pictured) in Perry v. Perry, resolved a motion prompted by the wife’s alleged transmission to the husband of an unsigned, haphazardly redacted and truncated letter from an undisclosed attorney writing to “confirm” an understanding with the wife and which recommended the filing of a civil RICO action against the husband in the United States District Court.  The document suggested that the litigation would be based on the husband’s failure to fully disclose his income and assets on his Statement of Net Worth.

Mr. Perry alleged that at the outset of the case, his wife’s first of 11 attorneys in this 19-month pending action made similar allegations. Although the husband attested to having provided tens of thousands of pages of documents, the wife refused to provide any.

It was also alleged that the wife had intercepted some nine boxes of files intended for the husband and hid them. Ms. Perry apparently orchestrated the hacking of her husband’s computer, including privileged matter. Mr. Perry alleged that in order to circumvent a restraint imposed by the Court, his wife put the housekeeper in a disguise and directed her to take a taxi to a storage unit in order to remove a suitcase full of jewelry. It was also claimed that Ms. Perry emptied a money market account of $5 million and removed valuable furniture, artwork and mirrors from the marital residence. Further, recent bank information indicated that of the approximately $11.5 million held in a particular Chase account of the wife in April 2012, there is only just over $1 million left.

On non-financial matters, the wife attempted to involve the police and commenced a now-dismissed family offense proceeding when her husband technically violated a driveway-pickup order when he entered the former marital residence in Scarsdale in order to convince his daughter to go with him on a planned vacation trip to Australia. As it happened, his wife’s absence from the home was also likely a violation of that portion of the order that required her to be inside the residence. While Ms. Perry’s effort to involve the police was not wholly successful (she did get Homeland Security officials to detain Mr. Perry and the children briefly upon return to this country), she obtained an ex parte Family Court temporary order of protection, which she used to derail the husband’s access to the children for a time.

Mr Perry also believed it was his wife, after Justice Scheinkman previously directed that Mr. Perry have custody of the children, who anonymously complained to Child Protective Services that the children were being held against their will at Mr. Perry’s residence. This claim was investigated and found to be unfounded.Continue Reading Divorce Court Will Not Enjoin Wife From Commencing Federal RICO Action Against Husband

Islam symbol.jpgIt seems that every decision after trial rendered by Kings County Supreme Court Justice Jeffrey S. Sunshine is a divorce law treatise. His July 4, 2012 decision in Mojdeh M. v. Jamshid A. is no exception.

In addition to issues of property division, spousal maintenance for the husband, child support, and insurance, Justice Sunshine also…

Update: In a decision issued December 6, 2012, the Appellate Division, Third Department, disbarred Mr. Melendez for his failure to disclose to the Committee on Professional Standards his child support arrears and other related misconduct:

Respondent is guilty of very serious professional misconduct. He exhibited a lack of candor on his application for admission.

…

Father and daughter.jpgParents sometimes enter child support agreements which track the presumptive formula set out in New York’s Child Support Standards Act (Family Court Act §413; Domestic Relations Law §240[1-b]). However, parents in their agreements often deviate from the presumptive formula to reflect various considerations. That deviation for a married couple may reflect the delicate balancing of property rights, spousal maintenance and child support.

For example, parents may reduce the presumptive child support amount where the child(ren) spend more time with the “non-custodial” parent than what might be considered the “normal” alternate weekends and a mid-week dinner.

May the non-custodial parent’s failure to fully exercise visitation rights under an agreement serve as a basis to increase child support?

In its July 11, 2012 opinion in McCormick v. McCormick, the Appellate Division Second Department said, “Yes.” It found that the substantial reduction in a father’s visitation with his child warranted an upward modification of the father’s child support obligation. That reduction in visitation provided the substantial change in circumstances needed to justify a support modification.

[T]he mother established that an increase in the father’s child support obligation was warranted by a change in circumstances … Specifically, the substantial reduction in the father’s visitation with the child, which significantly reduced the amount of money the father was required to spend on the child, “constituted an unanticipated change in circumstances that created the need for modification of the child support obligations.”

The Second Department was quoting from the 2002 decision of the Court of Appeals in Gravlin v. Ruppert, 98 NY2d 1, 743 NYS2d 773. That case also addressed a father’s failure to live up to his scheduled substantial parenting time.Continue Reading Father's Failure To Visit Child Is Grounds To Increase Child Support

Collaborative Practice Logo.jpgMonica and Mitchell Mandell were married in 1998. They have three children. After Mr. Mandell moved out last year, his wife retained attorney Ellen Jancko-Baken to represent her. Ms. Mandell was interested in pursuing the “Collaborative Law” process.

After three perhaps “preliminary” meetings, the contemplated Collaborative Process fell apart. Ms. Mandell used her same attorney to commence a divorce action. Her husband, then, looked to disqualify his wife’s lawyer, claiming such representation was barred by the rules of Collaborative practice.

As noted by Westchester Supreme Court Justice Alan D. Scheinkman in his June 28, 2012 decision in Mandell v. Mandell, the Collaborative Process is a form of dispute resolution in which the parties retain counsel specially trained in collaborative law and enter into a contract to negotiate a settlement without involving the Court.

As Justice Scheinkman noted, one of the principal features of the Collaborative Process is that, if the matter is not resolved, the attorneys who represented the parties in the unsuccessful effort to reach a settlement may not thereafter represent the parties in contested litigation. Among other benefits, this hallmark of the process:

  • eliminates pre-litigation posturing;
  • provides clients with a greater degree of influence in candid negotiations in which the clients participate directly;
  • motivates the parties to continue working toward a mutually agreeable resolutiont due to the prospective expense of having to hire new lawyers if the matter has to go to court;
  • makes it clear that counsel are committing themselves to the process of dispute resolution by having counsel agree to absent themselves from any future litigation;
  • gives counsel an economic incentive to stick with the process;
  • discourages counsel from abandoning the process since their role, and their fees, would end; and
  • conversely, provides counsel with no personal monetary incentive to encourage litigation.

In light of his wife’s interest in using the Collaborative Process, the husband retained Neil Kozek. Both Ms. Jancko-Baken and Mr. Kozek are members of the International and New York Associations of Collaborative Professionals.Continue Reading Counsel Not Disqualified From Litigation Where Collaborative Divorce Participation Agreement Not Signed