How Facebook Might Hurt Your Family Law Case

Social media outlets can give Family Law attorneys and their clients the ammo they need to fight their opposition.  Anywhere from pictures to status messages, this evidence can be used against you in court.

If you are in a child custody dispute and use social media websites like Facebook or Myspace, make sure that you are careful when you post pictures and comments.  Do not post anything you would not want a judge to see.  Use privacy settings to minimize who has access to your profile and your information.

If you are a blogger, be careful what you blog about.  Your words may come back to haunt you.  Avoid even the implication that you are attacking the other parent’s character or parenting style.

There are cases all over the country where social media evidence was introduced to the Judge and the Judge heavly weighed that evidence against the parent.  Be careful what you post!

If you have questions about your family law case please contact David Lutz at 248-624-5500

or visit our website www.ambrosefamilylaw.com

Failure To Pay Child Support = Felony

If you are ordered by the court to pay child support and you do not pay the support in the amount or at the time stated in the court order, you’ve just commited a felony.   This felony is punishable by up to 4 years of imprisonment, by a fine of up to $2,000, or both. MCL 750.165

In order to bond out before the arraignment, you will be required to post a bond of 25% of the arrearage or at least $500.00, whatever amount is higher.  If you are unable to do so, the court will address the issue of bond at the arraignment and preliminary examination.  Unless good cause is show on the record, the court has to order the bond to continue at the amount of 25% of the arrearage or at least $500.00, whatever amount is higher.

If convicted the court may suspend your sentence if you file with the court a bond with the amount and sureties the court requires.  At minimum, the bond must be conditioned on your compliance with the support order.

If the court does suspend your sentence, but you do not comply with the support order or another condition of the bond, the court may have a show cause hearing where you will have to appear and show cause why the court should not impose the sentence and enforce the bond.  After the hearing, the court may enforce the bond, impose the sentence, both, or may permit the filing of a new bond and again suspend the sentence.

This felony child support statute is one of strict liability, this means that a defendant cannot assert a defense at trial of the inability to pay.

If you have questions about child support please contact David Lutz at (248) 624-5500

Are You Required to Pay Child Support after Involuntary Termination of Parental Rights?

On March 4, 2010, the Michigan Court of Appeals made a ruling in the case of In re Beck Minors, which required the father to continue child support payments even after his rights were terminated by the court.

The court stated that the duty to pay survives a termination of parental rights and advances the goal of creating stability and permanency in the child’s life.

The court also stated that if the parent was not required to pay child support after a termination of rights, it may force the one parent to avoid reporting any abusive or neglectful behavior of the other parent in order to preserve financial support.

However, this case has not been finalized.  The Michigan Supreme Court  has granted leave to appeal.

What do you think about this?  What do you think the Michigan Supreme Court will rule?

If you have questions about your parental rights contact David Lutz at (248) 624-5500 or visit our website www.ambrosefamilylawattorney.com

What Happens If Your Business Fails

What happens when you own a business and it has grounded to a halt and you’re deeply in debt?

In today’s economy many people find themselves in this situation. When you started the business you may have signed personally for leases, materials, and business credit cards. Even though the card is in the name of the business, it is most likely guaranteed by the business owner, aka you.

You can first try to sell your account receivables or ask clients who owe you money to pay you now for a discount. You might also try to sell equipment.

Bankruptcy is expensive, painful and should only be considered when all other options have failed or are not reasonable. Consulting with an attorney is the best thing to do. You might have to file a bankruptcy both personally and for the business. Usually business owners file a chapter 7 or a chapter 11. If you decide to shut your doors down, then a 7 is probably better. A trustee will take and sell any un-exempt assets and pay your creditors.

At Ambrose Law Group we look to file a personal bankruptcy first and determine if the business has any assets that creditors can go after. If the client is sued on the business and there are assets worth protecting we may file a bankruptcy on the business then.

If you think your business will survive then a chapter 11 is the best option. You will need to come up with a plan for a reorganization to repay outstanding debts and continue to operate as a business. You may need DIP debtor in possession financing to keep the business afloat while in the bankruptcy. If your in a chapter 11 and cannot obtain the financing, then you may convert to a chapter 7 liquidation.

If you have any questions concerning bankruptcy please contact David Lutz at (248) 624-5500 or by email at David@ambroselawgroup.com

Child Custody: How courts determine the best interest of the child

When courts are hearing custody disputes, the court looks at what is in the “best interest of the child.”  The court weights 12 factors to determine if placing the child in a certain environment will be within that child’s best interest.  M.C.L. 722.23 defines what the 12 best interest factors as follows:

(1) The love, affection, and other emotional ties existing between the parties involved and the child.

(2) The capacity and disposition of the parties involved to give the child love, affection, and guidance and to continue the education and raising of the child in his or her religion or creed, if any.

(3) The capacity and disposition of the parties involved to provide the child with food, clothing, medical care or other remedial care recognized and permitted under the laws of this state in place of medical care, and other material needs.

(4) The length of time the child has lived in a stable, satisfactory environment, and the desirability of maintaining continuity.

(5) The permanence, as a family unit, of the existing or proposed custodial home or homes.

(6) The moral fitness of the parties involved.

(7) The mental and physical health of the parties involved.

(8) The home, school, and community record of the child.

(9) The reasonable preference of the child, if the court considers the child to be of sufficient age to express preference.

(10) The willingness and ability of each of the parties to facilitate and encourage a close and continuing parent-child relationship between the child and the other parent or the child and the parents.

(11) Domestic violence, regardless of whether the violence was directed against or witnessed by the child.

(12) Any other factor considered by the court to be relevant to a particular child custody dispute.

If you have any questions on child custody please contact David Lutz at (248) 624-5500 and visit our website at www.ambrosefamilylawattorney.com

What To Expect At Your First Divorce Consultation: What Happens At The Meeting

During your initial consultation with a matrimonial attorney, expect the attorney to provide

you with an overview of what to anticipate relative to at least the following five issues:

(1) the divorce process,

(2) matters pertaining to any minor children of the marriage,

(3) division of your assets and liabilities,

(4) support (both child support and spousal support),

(5) the related attorneys’ fees and costs.

In order to be able to address these five primary issues for you and provide you with a potential gameplan, it be will necessary for the attorney to make a substantial inquiry into all sorts of matters.

Some of the questions will be name, rank, and serial number types of questions; other questions

will pertain to minor children; additional questions will be related to financial

matters; and other questions will be of a more personal nature in terms of any

precipitating events and “who did what to whom.”

Know that when answering these questions the attorney-client privilege is in effect,

meaning anything you tell to the attorney will not, and cannot, be repeated to

anyone without your permission. With that understanding, it is imperative that you

tell the attorney the truth and provide all of the related details.

The quality of the advice you receive will be directly proportional to the candor with

which you answer the attorney’s questions.

If you have any divorce questions please contact Ambrose Law Group at (248) 624-5500

www.ambrosefamilylawattorney.com

What To Expect At Your First Divorce Consulation: What To Bring

There is nothing that you must bring with you to your first meeting. In fact, most people do not bring anything with them at all.

While it will be your attorney’s job to gather all of the relevant net worth, income, and expense information during the pendency of any case, it is often helpful to have copies of recent tax returns, paystubs, bank statements, and other documents bearing numbers that may be lying around your home or office.

Types Of Child Custody In Michigan

Legal Custody: If a parent has legal custody, that means that he/she has authority to make important decisions that affect the welfare of the child or children. For example: educational decisions, non-emergency health care decisions, and religious decisions.

1. Sole Legal Custody: This is where one parent has the authority to make all the decisions concerning the welfare of the child.

2. Joint Legal Custody: Joint legal custody means that both parents share authority in making important decisions that affect the welfare of the child.

Physical Custody:If a parent has physical custody, that means that the child is physically staying in the home with that parent

1.   Sole Physical Custody: This is where only one parent has physical custody of the child.  However, the parent who does not have physical custody can still be alloted “parenting time.”  Parenting time is time set aside by the court for the parent and child to spend tim together.

2.  Joint Physical Custody: In a joint physical custody situation, parents share actual physical custody of the child or  children. (For example, an arrangement where the child alternates staying with one parent or the other every-other week)

Sole Custody: According to the Michigan Custody Guideline,  “sole custody occurs when primary physical custody and legal custody are given to one parent.”

If you have questions on Child Custody please call David Lutz at (248) 624-5500 and visit our website www.ambrosefamilylawattorney.com

FTC Bars Up-Front Fees For Debt Settlement Companies

Have you ever seen  those ads on late night television that offer to settle your debt for less than you owe? They charge up front fees to their clients. Some offer money back if they do not get the desired result. Well beginning October 27, 2010, those companies will no longer to charge those up-front fees.  The FTC Federal Trade Commission said they are cracking down on the debt-settlement industry. This industry flourished during the economic downturn as borrowers struggled to pay their bills.

Now debt settlement companies will only be able to charge a fee once a customer’s debt has been reduced, settled or renegotiated. Many customers’ of debt settlement companies complained they ended up deeper in debt or were sued by the creditors after failing to make payments.

These companies now have to disclose to customers how long it will take to get results, how much it will cost and any negative consequences that could arise from the process.  These companies tell their clients to stop making payments on their outstanding loans, such as credit cards, personal lines of credit and medical bills. Once a customer stops paying their credit card bills, the credit card companies add on late fees and increase their interest rate, leaving the borrower in a worse situation.

In addition, if the credit card company relieves more than $600 of debt, they can be required to send the borrower a 1099. That means that on the next years tax return the borrower will have to pay the amount of debt reduced, times their income tax rate. So if you owe the creditor $10,000 and the debt is negotiated down to $6,000, and you are in the 30% tax bracket, on next year’s tax return you will owe $4,000 X .3 = $1,200. This must be disclosed to customers.

Fine violations for these companies will cost up to $16,000 per violation. These rules apply to for profit companies. The FTC also promised to go after companies who pose as non-profits.

If have questions on bankruptcy please email David at:

David@ambroselawgroup.com or call (248) 624-5500

Home Affordable Foreclosure Alternatives Program

Short sales or deed in lieu of foreclosure can be used if borrowers :

Do not qualify for a Trial Period Plan

Do not successfully complete a Trial Period Plan

Miss at least two consecutive payments during a HAMP modification or

Request a short sale or deed in liu

With either the HAFA short sale or DIL, the servicer may not require a cash contribution or promissory note from the borrower and must forfeit the ability to pursue a deficiency judgment against the borrower.

HAFA considerations for this program state the borrower must be considered fro HAMP first and that data can be use for the HAFA information

1. If the borrower can provide documentation that they were required to relocate at least 100 miles from the property for new employment or employment transfer and there is no evidence that he borrower purchased a new property 90 days prior to the short sales agreement or request of DIL, then the property can be vacant for 90 days prior to the agreement.

2. The mortgage must have originated on or before Jan 1, 2009.

3. The mortgage must be delinquent or in imminent default

4. The Unpaid principal must be less than or equal to $729,750.

5. The total monthly housing related debt must exceed 31% of borrower’s gross monthly income.

6. Borrowers in active bankruptcy can be considered for HAFA

Evaluation for potentially eligible borrowers

If the servicer has not discussed a short sale or DIL with the borrower they must notify the borrower in writing and allow the borrower 14 days to contact the servicer for HAFA consideration.

If a HAFA short sale or DIL is not available the servicer must notify the interested borrower in writing.

The short agreement must include along with some other details:

A termination date of not less than 120 days.

Listed with local licensed realtor

List price and net sales price approved by servicer

Real estate commission not to exceed 6%

An agreement that borrower is entitled to a relocation incentive of $3,000 upon a successful closing. Deducted from gross sale proceeds at closing.

Borrower must sign and return with 14 days along with broker listing and junior lien holder info.

The short sale can terminate for several reasons.

In approving the short sale the borrower must provide the executed agreement to the servicer with in 3 business days and the servicer must approve or disapprove within 10 days of receipt.

DEED in lieu for foreclosure

This requires marketable title meaning there are no other liens,taxes owed and other items.

Written agreement

Specified vacate date

$3,000 relocation assistance

Terms and conditions:

Reduced payments during the consideration period  31%

No subordinate liens. Borrower is responsible for clearing junior liens.

A Servicer  with special circumstance can accept a DIL without the 90 day marketing period.

If you have any questions please contact David@ambroselawgroup.com or call 248-624-5500