Law Talk

The thought of assigning a guardian to minor children is almost too much to bear for parents.  Facing morality is not easy for most people.  However, it could be the greatest gift you can give to your family before a life changing event occurs.  The guardian designation can be easily included in your estate planning documents.  Choosing a guardian over the person and property of your children is as important, if not more important, than providing for your material and financial possessions and can avoid family squabbles leading to family breakups.   Here are some tips to make the best choice for you and your family:

Make a list of all the people you would trust to raise your child.  Close family members will probably top your list but do not be afraid to consider friends, especially if your children do not have a close relationship with family members.

Focus on what kind of life your children will have rather than the current finances of the potential guardian.  Your estate will provide financially for the care of the children.  Will the guardians love your child as their own?  Will the children have to change schools?  Do they have the same values or philosophies as you with respect to religion, morals, social values, child rearing and education, just to name a few.

As the list of individuals or couples narrows, consider personality traits.  Compare them with your own.  Are they loving?  Is their household run similarly to yours?  Are they good role models?  Drastic changes to a child’s environment can be emotionally damaging and hamper their development and potential.  Also, what is the age of the guardian?  Younger caretakers/guardians may not be mature enough to handle the responsibilities of taking care of a child and older caretakers/guardians do not always have the energy to run around with a toddler or even have the desire to start over.

Choosing a guardian is not an easy task and finding the perfect one is even harder.  You and your spouse will need to agree on one individual or couple.  If children are old enough, ask for their input.  Just because a guardian looks great on paper does not mean they are “right” for your family.  Listen to your instincts and, of course ask the potential guardian if they would be comfortable acting as guardian. Once they agree, schedule an appointment with an estate planning attorney to document the guardian designee.

Ronald A. Luzim understands that the needs of his clients vary and offers personal service for each case.  He is a former estate and tax attorney with the IRS has been practicing law since 1974 and specializes not only in estate planning dependency but real estate, family law, real property, asset protection and bankruptcy.  Please contact his Coral Springs office at 954-755-1500 for assistance in protecting yourself, family and property.

Mediation allows opposing sides to come together, along with their attorneys and a certified mediator, to create an independent and tailored resolution and bring closure to a disagreement.  Courts may mandate mediation before the case is heard by a judge.  In most cases, mediation is less expensive than traditional court and can speed the legal process along since the number of court appearances may be reduced.

Once the mediation process begins, remain engaged.  This is an investment in your future.  Remain respectful and leave the anger outside.  Answer questions honestly and to the best of your availability.  Do not exaggerate.  Finger pointing and “right-and-wrong” will not be permissible.  Abide to the ground rules set forth by the mediator.  Mediation communications, particularly pursuant to Florida Statutes 44 are confidential and cannot be introduced into court proceedings without the express consent of all parties.

Having an experienced mediation attorney by your side is a good idea.  They have first-hand knowledge of how the process works and what should occur in addition to providing legal guidance and advice.

A mediator plays a neutral role in the mediation process and seeks a mutual benefit resolution.  Be prepared to make concessions on some issues but take the emotion out of the reasons you are standing firm on others.  Prepare a list that includes non-negotiable, “I can live with that” and the minimum you will accept before going to court for resolution.

During the mediation an experienced mediator will ask creative questions to attempt to get the parties to understand their true positions, risks and alternatives.  Questions may be repeated or worded differently.  Have patience.  In addition, try to understand how the other person is feeling.  You have seen how they behave but behavior does not always reflect true feelings.  Perhaps they are truly hurting where you thought they were just being a jerk.

Once a resolution has been reached, the meditator will prepare documents to be signed and submitted to the judge.  Commit yourself to keep your responsibilities of the agreement to prevent future returns to the courtroom.

Not only is Ronald A. Luzim an experienced practicing attorney since 1974, he also is a state certified family and circuit court civil mediator for over 25 years. He brings an integrative and holistic approach to help his clients take full advantage of the family laws to protect their rights and interests. Please contact his Coral Springs office at 954-755-1500 for your family law needs.

Vaccinations have been a source of controversy for many years and have spiked again due to an increase in reported measles cases.  According to the Center for Disease Control or CDC, “Measles can be prevented with the MMR (measles, mumps, and rubella) vaccine.  One dose of MMR vaccine is about 93% effective at preventing measles if exposed to the virus, and two doses are about 97% effective. In the United States, widespread use of measles vaccine has led to a greater than 99% reduction in measles cases compared with the pre-vaccine era”.  Measles is just an example but even with these statistics, parents are opting not to vaccinate their children.  Some worry about the side effects, others turn to their faith for direction.  All viewpoints are important in making medical decisions for children when parents separate or divorce”.

The ideal way to address medical concerns is to include them in the parenting plan.  Specifically reflect which parent is responsible for seeking medical treatment or preventative care and include vaccinations, life support and other health and safety concerns that are applicable to the child and for notifying the other parent. Florida law does not grant one parent with more authority than the other.  Parental responsibility is defined as “shared” pursuant to Florida Statute §61.13(2)(c)(2) (2014), “the court shall order that the parental responsibility for a minor child be shared by both parents unless the court finds that shared parental responsibility would be detrimental to the child.”

A clearly worded provision in the parenting plan should control but a judge will ultimately determine the outcome if the parents cannot agree at considerable more financial and economic cost. The judge may not rule on the specific concern i.e., vaccinations but rather decide which parent will and how carry out the medical attention in the best interests of the child. Not only will it be more costly but it will delay the medical attention for the child which may be time sensitive.

An experienced family law attorney can advise and guide parents in creating the “right” medical decisions for their children and how to properly express them.  As a state certified family and circuit court civil mediator as well as a proven and experienced attorney since 1974, Ronald A. Luzim brings an integrative and holistic approach to help his clients take full advantage of the family laws to protect their rights and interests. Please contact his Coral Springs office at 954-755-1500 for your family law needs.

Alimony reform has been a hot political topic in Florida.  A proposed bill to make radical changes in the state’s alimony law was vetoed by Governor Rick Scott in 2013 and now is likely to reappear during this year’s legislative session.  This new revised law contains many key changes from existing law such as:

Alimony formula – similar concept to the manner in which child support is calculated.  The formula would provide a start and end date for alimony payments.

Judge discretion – allows judges to make fair decisions in awarding alimony while striking a balance between those paying and receiving alimony.  Every family is different as are their financial needs.

More accountability for recipients living in a supportive relationship – the current law allows for changes in the amount of alimony paid if a recipient is proven to be in a relationship with someone who is financially supportive; payments are either reduced or terminated.  The new proposal would require the recipient to pay back the alimony received as a result of the financial supportive relationship along with attorney’s costs.

No increase in alimony amount if the former spouse receives a raise.

Reduction in alimony amount when payee reaches the age of 62.

Acknowledgment that a change in circumstances warranting a change in alimony exists at retirement.

The hopes behind this new reform is for spouses to know what is ahead in the divorce process, how much and how long financial support will last and provide more opportunity for mediation rather than lengthy court battles.

If you are experiencing a relationship crisis and considering filing for divorce or pursuing other family matters contact an experienced family law attorney who can advise you of all your options taking into consideration the emotional components as well as the legal issues. As a state certified family and circuit court civil mediator as well as a proven and experienced attorney since 1974, Ronald A. Luzim brings an integrative and holistic approach to help his clients take full advantage of the family laws to protect their rights and interests. Please contact his Coral Springs office at 954-755-1500 for your family law

Starting a business with a friend sounds like a fantastic idea.  You have a great relationship, are like-minded, and have certifications that together, make you a force to be reckoned with.  While this seems like a utopia, it is very important to protect yourself and the business.  Some things to consider are:

Perform a background check – you will both have access to money, accounts, and assets so it is wise to check for skeletons in their closet.  The results of a background check could be the first red flag about forming a business with a partner.

Chose the right entity to form – Corporation, Partnership, Limited Liability Company (LLC), etc. These are the most common forms of business entities (and there are others) and each entity has certain benefits and limitations which should be consistent with your intentions and goals.

A business agreement drafted by an attorney is commonly described as a partnership or buy-sell agreement.   It lays out the expectations of each partner, shareholder and/or member, profit shares or losses, responsibilities, and what happens to the business if one partner is no longer involved in the business.  Partnership agreements should also include the following:

The exact name of the business.  Verify with the state of registration that the name is available.

Start-up costs and assets.  Document the amount of cash, property, and items brought into the business and by which partner, shareholder, and/or member.  In the event of a dispute, this will prove the contributions of each.

Distribution of assets.  Describes the terms of receiving a paycheck or shares.  Detail how the shares will be allocated, a specific dollar amount or percentage, and how often.  Likewise, if there are losses in the company, how will those losses be handled and brought back into the accounts.

Authority.  State which partner, shareholder, and/or member has the authority to enter into a contract.  Sometimes all partners have to approve and sign all contracts.

Death.  Describe the method of how surviving owner maintains the business and compensating the deceased’s beneficiary’s for his interest in the business at death and how payment is to be paid (internally or insurance);

Resolving disputes.  Decide ahead of time how disputes should be resolved in the future.  Instead of heading straight to court, are you willing to try mediation?

A business arrangement can be compared to a high-profile marriage.  Performing due diligence prior to the beginning of the relationship can save money, frustrations, and relationships.  You may feel weird investigating your potential partner, shareholder, and/or member but you are not only protecting yourself but your future investment.

Having a knowledgeable business law attorney ready to guide you at all times can help your business run smoothly, keep your company healthy and your bottom line safe and secure.  If you are entering into a contract, barter, or any written agreement or have questions about IRS reporting contact an experienced business law and transaction attorney.  As a former accountant and attorney with the Treasury Department, Ronald A. Luzim is a proven and well-experienced business law attorney.  He brings an integrative and holistic approach to his law practice. Please contact his Coral Springs office at 954-755-1500 for all your business-related needs.

As the ban on same-sex marriages in Florida has lifted, many same-sex couples are finding their way to the altar.  These unions are now legally recognized in the eyes of the state and couples are now eligible for the same rights and benefits as heterosexual couples.  So what does this really mean?  The following are just a few examples of life changing benefits all spouses are now entitled to in the State of Florida:

• Filing a joint tax return
• Social Security Benefits from a deceased spouse
• Coverage for health insurance
• Military benefits
• Family medical leave benefits under the Family Medical Leave Act
• Estate tax and estate planning benefits
• Step-parent adoption for parental rights

Legalization of same sex marriage relieves child custody issues especially in cases when the biological parent dies.  In the past, a couple who raised a child together but the non-biological or non-adoptive parent lost custody because they never had legal rights to the child regardless of the amount of time spent raising the child.  Now through a step-parent adoption, custody will stay intact which is certainly best for the child in most cases.

Clearly the legal landscape has changed.  Many same-sex couples who live in Florida but were married in another state have stayed together because they were not able to divorce.  Now they can divorce and what is the state of divorce involving same-sex couples?  At this time it is still unclear whether same-sex couples married in another state and prior to the ban on “gay” marriages lifted in Florida can divorce.  It may seem so but there is Florida case law denying divorce.  Therefore until an Appeals Court or Supreme Court rules, one should research each county’s position on this issue before taking action.  If allowed to divorce, then all the typical issues such as property distribution, alimony, time sharing, parenting plans and child support will need to be addressed between the couple.

Legalization of same sex marriage relieves child custody issues especially in cases when the biological parent dies.  In the past, a couple who raised a child together but the non-biological or non-adoptive parent lost custody because they have never had legal rights to the child regardless of the amount of time spent raising the child.  Now through a step-parent adoption, custody will stay intact which is certainly best for the child in most cases.

With all of these life changes comes confusion and questions.  Which steps come first?  What is required?  Each situation is unique and answers vary.  A family law and/or an estate planning and asset protection attorney is a great place to start.  As a state certified family and circuit civil mediator as well as a proven and experienced attorney since 1974, Ronald A. Luzim brings an integrative and holistic approach to help his clients take full advantage of the family laws to protect their rights, interests and assist in the healing process. Please contact our Coral Springs office at 954-755-1500 for all your family law related needs.

 A single Dad dies without a Trust/Will (intestate), but owns a home.  One of his children would like to keep the house.  Is this a possibility?  Yes, but it may not be an easy feat.  Assuming the house is paid off and there are no other debts* to the estate, the property will belong to the heirs.  Each will receive 25% ownership of the home.  Upon the death of Dad, the property will automatically vest to the heirs who can:

• sell their 25% share; or
• give away their 25% share (not likely); or
• sell the home wherein each heir will receive 25% of the sales price, less expenses, at closing

What if the siblings do not get a long?  Would if more than one wants to keep the house?  Unrest and possible litigation can extend the closure process and irrevocably damage the family relationship.

* Note that Florida is unique in that it provides for the constitutional “homestead” for the owner if the home is the owner’s actual primary and personal residence, protecting it from claims of creditors.  If the owner has a spouse, then the spouse can elect to take a life estate in the home or a one-half interest therein.  If there are minor children, they would be entitled to the other half-interest should the spouse take that election.  If the owner dies with no surviving spouse, then the adult children will receive their statutory equal share, absent the existence of a Trust/Will.

In this situation, hiring an experienced estate attorney is strongly suggested.  Such an attorney works on behalf of the estate, advises of options for each circumstance and assist in facilitating a distribution plan.  The first step of the estate administration process is to begin the probate process.  Probate determines if a will is valid.  The administration then proceeds in identifying and taking inventory of the deceased’s belongings, has the home appraised, pays debts and taxes and distributes the remaining property.  Estate administration (probate) can be a long and expensive process but can be avoided and/or reduced by leaving a Trust/Will and naming a Successor Trustee and Personal Representative.

Had Dad died leaving a Trust/Will, then the instructions would have been left and recipients would receive designated assets, including real and personal property and/or instructions on how Dad’s property would be divided and distributed.  In addition to property, a Trust/Will encompasses naming a Trustee or Guardian for minor or incapacitated children, financial trusts, preparation for disability, inheritance tax, financial distribution and charitable donations.  Leaving a Trust/Will is a final gift you can give your family reflecting your intentions and removing any potential problems between surviving family members.  A Trust/Will should be made with a sound mind and heart as there is no substitute for planning before an unexpected event happens.

Ronald A. Luzim, a former estate and tax attorney with the IRS has been practicing law since 1974 and specializes not only in estate planning but real estate, family law, asset protection and bankruptcy.  Please contact his Coral Springs office at 954-755-1500 for assistance in protecting yourself, family and property.

The holidays are a special time of year for most families.  After all, this is the time we are supposed to express our gratitude for each other.  How does this work for families that are divorced or separated?

The most formal approach is to include holidays, summers and spring recess with dates, times and locations in a divorce Marital Settlement Agreement.  Both parents agree on the terms of the time sharing schedule.  Some parents have unconventional work schedules so a detailed agreement is necessary.  Not only will this keep both parents organized, it could reduce the cost of day care expenses.  This agreement is a legal document that has teeth in the courts and can hold a non-abiding parent accountable.   An experienced Family Law attorney can assist non-married parents with a similar agreement.

How do you decide with whom the child will spend each holiday? Very carefully.  This is one of those situations in which you must put the benefit of the children above your own feelings.

Consider alternating important holidays and years, mom has Thanksgiving and dad has Hanukah or Christmas, and switch the following year.

Review family traditions – Dad’s family always has Thanksgiving dinner at grandma’s house with all the cousins or mom always attends Christmas Eve mass.  Consistency allows children to adjust easier to change in the family dynamics.

Compare work schedules – kids are out of school for a longer period of time between Christmas and New Year’s.  Does mom have the time to take off from work?  Can dad afford childcare while he is at work?

What happens if parents are not able to come to an agreement?  The court will create the timesharing schedule in a more impersonal manner for the family.  It may or may not take in consideration your love for Thanksgiving dinner.  It will however ensure that equal time is spent with each parent.

An end to a relationship or marriage does not bring an end to parenting.  Parenting lasts forever.  Many parents are able to work out agreements which must be reduced to writing and meet the legal requirements on their own while others need outside assistance from a family law attorney.  Child support is based upon a formula which must include the overnights reflected in a timesharing and parenting plan.  for time sharing arrangements and parenting plans, child support, alimony, enforcement or modification, or other family issues.    Ronald A. Luzim has been providing presuit and postsuit mediation services as a state certified family law and circuit civil mediator for over 25 years.  Contact his Coral Springs office at 954-755-1500 for more information.

Have you noticed many stores are already decorated for the Holidays?  The shopping season seems to start earlier each year.  Follow these steps to enjoy your family and friends this season while preventing a financial hangover in January

• Make a list – write down each person you are shopping for and a few items they like or need. Include the highest dollar amount you are willing to spend on each person.
• Redeem credit card points – many credit card companies issue points for every dollar spent. Redeem these points for gifts or gift cards.
• Start early – Shop sales throughout the year for the Holiday Season. Keep a written log of each gift purchased to prevent duplicating.  Store items in a safe location and remember where it is.
• Request a wish list – ask those who you are shopping for a list of items they want or like. This is especially helpful for children.  If you are going to spend the time to shop, you probably want them to enjoy their gifts.
• Use debit cards – money is deducted from your checking or savings account without the interest expense of a credit card. You also are not able to spend more than what is available which can keep you on budget.
• Research best deals – read the Sunday paper or on-line circulars for sales of the week. Buying more than one gift at each store is more convenient too.  In addition, many on-line retailers offer lower prices than retail stores.
• Free gift wrap – many stores provide free wrapping for gift purchases. Using this service reduces your wrapping costs.  Some stores also allow non-profit or school organizations the opportunity to wrap gifts as a fundraiser.  Only a small donation is requested.  So not only are your gifts wrapped but you are giving to a good cause.

If your finances have reached an unmanageable level, you may need to speak with a bankruptcy or asset protection attorney.   Ronald A. Luzim understands that financial needs of each client is different and offers personal service for each case.  He works with his clients to ensure they understand all their options and risks and pursues the most effective path to debt relief.  Ronald A. Luzim, a former estate and tax attorney with the IRS has been practicing law since 1974 and specializes in the areas of asset protection, bankruptcy, business and estate planning and is also a certified family law mediator and approved insurance mediator with the Department of Financial Services.  Please contact his Coral Springs office at 954-755-1500 for assistance in protecting yourself, family and property.

 The condition of being bankrupt:  a condition of financial failure caused by not having the money that you need to pay your debts
Mirriam-Webster

Bankruptcy can be a very scary word, especially when it is not fully understood.  Some believe that individuals who petition for bankruptcy relief are poor while others feel so embarrassed at their situation that they stay frozen and remain cemented in debt and hardship.  In 2013 there were over 1 million bankruptcy cases filed in the US bankruptcy courts. If successful, Bankruptcy provides a fresh start enabling debtors to move forward free of debt and without their feet stuck in cement.

Here are a few tips to consider before filing for bankruptcy:

• There are 3 types of bankruptcy, Chapter 7, Chapter 11 and Chapter 13.
  • Chapter 7 is generally the preferred option for if successful, it allows a debtor to discharge all of their debts while retaining exempt assets.
  • Chapter 11 is used mostly by business and allows business and individuals to stay in business and reorganize their debts and organization.
  • Chapter 13 bankruptcy allows individuals who are wage earners to reorganize and retain their assets while paying upon a court approved payment plan which typically lasts for 3-5 years.
  • Bankruptcy will allow a debtor to start fresh but will be noted on a credit report for 7- 10 years.
• Not all debts are eliminated in bankruptcy including taxes, most school loans, child support, alimony, court fees, government-imposed fines, restitution or penalties, debts that were not dischargeable from another bankruptcy and debts not listed on the initial schedule filed (this is only a partial list).
• Filing bankruptcy is a constitutional right which presently can only be elected as permitted by law for those debtors who are eligible and qualify and helps debtors who have created or suffered financial mismanagement or hardship.
• In order to avoid financial problems in the future, individuals and companies must learn how to create and follow budgets, change spending habits and create safe guards or nest eggs.

Making a mistake in bankruptcy court can cause major damage leading to a dismissal of the case and possible criminal sanctions. Contact an experienced bankruptcy attorney to determine which bankruptcy is viable and if so which bankruptcy chapter is appropriate for your situation.  Your attorney will prepare and file all the legal documents on your behalf and will represent you in court.

Ronald A. Luzim understands that financial needs of each client is different and offers personal service for each case.  He works with his clients to ensure they understand all their options and risks and pursues the most effective path to debt relief.  Ronald A. Luzim, a former estate and tax attorney with the IRS has been practicing law since 1974 and specializes not only in asset protection, business and bankruptcy law and also a certified family circuit court mediator, family law and estate planning.  Please contact his Coral Springs office at 954-755-1500 for assistance in protecting yourself, family and property.