In a decision to be released next week, Keller vs. Keller, the Connecticut Appellate Court has overturned a hefty order of alimony and support entered by a Superior Court judge.
The Defendant husband held a law degree from Columbia University and was licensed to practice in two states. After a brief practice, he had gone into finance and most recently had owned a hedge fund that had , at first, done very well but had later turned sour. At the time the order entered, the fund was closed. The evidence showed that Attorney Keller had no income and the family was living on borrowed money and the last of their liquid assets.
In Connecticut and elsewhere, judges may make orders of alimony and support based on a finding that the payor has earning capacity even if he or she is unemployed or underemployed. Tn the Keller case, the judge did just that, finding that Attorney Keller had a gross earning capacity of $25,000 per month. Based on that finding, the court ordered him to pay combined alimony and support of $9,000 per month during the pendency of the case.
The Appellate Court overturned the order, not because the lower court did not have discretion to consider earning capacity but because the court failed make a finding as to Attorney Keller’s net earning capacity. Under Connecticut law, orders of alimony and support must be based on net income whether that income is real or merely imputed.
The lesson for litigants hoping to obtain orders against their unemployed or underemployed spouse is to present evidence specifically on the subject of what they believe their spouse could earn after taxes.
The New London Day reports the State of Connecticut Bond Commission has approved $291 million in bond allocations that will result in construction work in Southeastern Connecticut for public housing projects. This is welcome news for area contractors and workers dealing with a tight economy. Contractors should make certain they are ready to bid on projects as they are funded by having all their organizational paperwork in order including insurance and contracts. This is a good opportunity for contractors to explore and I will post more information as it becomes available.
A new article on Forbes.com by Attorney Jeff Landers gives a nice overview of the reasons to gear up early once you sense that divorce may be one outcome of your marital problems.
While Jeff seems to suggest that divorce dirty tricks are the exclusive province of men, in our experience the risks and considerations he outlines in this otherwise informative article apply to both genders.
Landers points out that consulting an attorney early can not only provide you with a crucial checklist for contingency planning, but can also assure that your spouse won’t beat you to the punch by consulting several of the best area lawyers simply to disqualify them from representing you. He also notes that starting the action assures that if the matter goes to trial down the road, you will be the one, as the plaintiff, to present your case first.
Our clients in Connecticut should also know that by filing for divorce certain Automatic Orders take effect the moment the divorce papers are served on their spouse. These orders prevent the other party from doing a number of things including moving out-of-state with children, hiding assets, taking sole ownership of joint assets, changing locks on the marital residence, changing beneficiaries on existing insurance policies and more. The full text and a summary of the Automatic Orders can be found here on the Connecticut Judicial Website.
Bottom line? While you’re hoping for the best and working on your marriage it also makes sense to prepare well for the worst