What Happens to a Family Business When the Owners Divorce?

 Posted on December 00, 0000 in Property Division

The division of marital property can be a long and contentious process, as both parties attempt to secure the value of joint assets and obtain full or majority ownership of the property. This can be particularly when a married couple owns a business together, and that business becomes part of the divorce negotiations.

Keeping the Doors Open

It is not uncommon for a small, family business to close its doors forever as a result of a divorce. In addition to the stress and resentment this causes, a business closing also negatively impacts the employees who lose their jobs and even the community that relies on its services. Here are few tips to consider when taking steps to protect your business prior to or during a divorce.

• Keep accurate financial records, and do not allow business finances to mix with family finances.

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Who Gets the Pets in Divorce?

 Posted on December 00, 0000 in Property Division

As a couple goes through divorce negotiations and subsequent court proceedings many decisions are made as to who gets what, and how much they get. These decisions involve the house, children, savings and investments and other marital assets. Another decision that often results in much emotion is resolving the eventual resident of the family pet.

New Law Now in Effect

Previously, pets were treated as furniture or other inanimate possessions in divorce negotiations over marital property division. However, as of the start of 2018 in Illinois, a new law now gives a judge the right to determine if one spouse would be a better pet owner than the other. The individual who takes on more of the responsibility for pet care during the marriage now has a better chance of retaining ownership after the divorce.  Things to consider include:

• Who purchases the pet food and other care items.

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Pet Custody: Who Gets the Dog in an Illinois Divorce?

 Posted on December 00, 0000 in Property Division

For most pet owners, their pets are a part of the family. When a couple gets divorced, one of the issues that may arise is who gets to keep the pet. Prior to 2018, the state of Illinois treated pets like any other piece of property--it was awarded to one of the spouses during the allocation of the couple’s other assets. A new law that was put into place at the beginning of 2018 allows a judge to decide which spouse is the best owner for the pet. A Change in the Law Before the beginning of the year, pets were considered an asset in a marital estate. Usually, the spouse that paid for the animal or had the best financial situation for the animal was allocated the pet in the divorce. This led to some animals losing the pet parent that loved them the most and sometimes a spouse would even fight over the pet out of spite and end up with an animal they did not care about. The new law gives judges the ability to look at the situation and decide what is in the best interest of the pet’s wellbeing. This means that one spouse may end up with full ownership of the pet or both spouses could end up in a joint ownership situation, meaning the arrangement would function similar to a child custody arrangement and the time spent with the pet would be split between both spouses. Deciding Factors

The only animals that the law does not apply to are service animals. Though service animals are companion animals, they provide their owner with assistance and it is important for the animal to stay with the spouse that needs them. For all other animals, judges will look at which spouse provides the necessary elements for the pet’s wellbeing. This can include the judge looking at who:

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Asset Division in an Illinois Divorce

 Posted on December 00, 0000 in Property Division

When you are getting a divorce, you must come to an agreement with your spouse about how your assets will be divided. If you cannot come to an agreement, you will have to go to court and the judge will decide what is fair. Either way, dividing your assets can be a big headache, especially if you have large assets such as a house, cars, retirement or pension plans, stocks, brokerage accounts or businesses. It can be difficult to determine what is fair when it comes to distribution of your assets, but when it comes to Illinois law, there are certain criteria that judges use to make these decisions. Determining Marital Property vs. Non-Marital Property

The first thing a judge will do in a division of assets proceeding is determine which property and assets are marital property and which are not subject to division. The Illinois Marriage and Dissolution of Marriage Act outlines the types of assets and property that are considered marital and non-marital property. According to the act, marital property is any property, including debts and other obligations, acquired by either spouse during the marriage, except:

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Signs Your Spouse Might Be Hiding Assets from You

 Posted on December 00, 0000 in Property Division

It is extremely important to understand your financial situation, especially if you are getting a divorce. It is not uncommon for people to try to keep certain assets from their spouses when it comes to dividing them during a divorce. Unfortunately, nearly 15 million Americans reported that they have at least one bank account or credit card account that their live-in partner does not know about. Though you may think it is difficult to figure out if your spouse is hiding assets from you, it can become obvious if you know what you are looking for. Here are five signs that your spouse may be hiding something:

You Notice an Increase in Transactions on Your Bank Statements

You should know your spouse’s spending habits better than anyone. If you notice unusual transactions or purchases, it could be a sign that he or she is trying to cover their trail. An increase in large purchases, such as cars, artwork or jewelry could be a sign that your spouse is trying to convert their cash to physical assets. Unusual ATM transactions could be a sign that your spouse is moving money from a joint account to a secret account.

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Uncommon Assets That You May Need to Divide in Your Illinois Divorce

 Posted on December 00, 0000 in Property Division

When you are married for a long period of time -- even if it is just for a few years -- you are bound to have many shared assets that you have accumulated over time. Dividing your assets during a divorce can be messy and complicated, especially if both of you want the same things. Illinois courts prefer for couples to try to divide up their assets on their own before the responsibility goes to a judge, but sometimes a judge is very much needed to settle disputes. When they say everything must be split up, they mean everything -- even unusual assets that you may not think about much.

Marital vs. Non-Marital Property

Before you can divide anything in your marriage, you must first determine what property must be divided. In Illinois, only marital property is subject to division. Non-marital property remains with the spouse whose property it is. Marital property is any property, including debts and other types of obligations, that either spouse acquires during the marriage. The exception to that rule is non-marital property, which includes:

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Three Key Issues About Property Division in an Illinois Divorce

 Posted on December 00, 0000 in Property Division

Divorce brings with it a plethora of things that you must settle before you can finalize your divorce. Just one of the many things involved in a divorce is property division. When you are married, you and your spouse share almost every aspect of your lives together. Though this makes your life easier while you are together, it can make for a tough time when you get a divorce. Property division can often turn even the most peaceful of divorces into screaming matches. Here are a couple of things that you should know about Illinois property division before you settle your divorce:

Illinois Is an “Equitable Division” State

In the state of Illinois, property division is divvied up in a way that is equitable, rather than equal. This means that all factors will be looked at before determining which spouse gets which property. This also means that property division will not always be 50/50. If the judge feels that one spouse should receive more property than the other, then he can award that spouse more.

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Protecting a Business in a Divorce

 Posted on December 00, 0000 in Property Division

There were an estimated 27.9 small businesses in the United States in 2010. Owning a business can be a very rewarding and fulfilling experience, but it can also be scary if you get a divorce. Typically in Illinois divorces, the two spouses must split their assets according to Illinois’ equitable division guidelines. This does not necessarily mean that each spouse will get half of the marital assets, but it does mean that the judge will determine what is equitable. The only things that are subject to division are those that are considered marital property. Your business may or may not be considered marital property and figuring that out is your first step in protecting your business from your spouse. Here are a few ways you can protect your business and keep it in your control during your divorce:

Get Your Business Valued

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What Happens to the Family Home in an Illinois Divorce?

 Posted on December 00, 0000 in Property Division

While you and your spouse were married, you probably accumulated quite the collection of assets, which can range from money in the bank to vehicles and real estate. Many couples who divorce own a home together, which can be difficult to deal with when it comes time to split your assets during the divorce. If you and your spouse purchased the house during the marriage, your house will be considered marital property. If one of you owned the home prior to tying the knot, then your home may be considered non-marital property unless you and your spouse refinanced the mortgage or put both of your names on the deed to the home. There are basically three options that you and your spouse have when it comes to dividing the value of your home: you sell the house, one of you keeps the house, or you both keep the house. Everyone’s situation is different, so what may work for other people may not work for your family. Before you make the decision, you should weigh the pros and cons of each option. You Sell the House The easiest thing to do for most couples would be to sell the house, split the proceeds, and go their separate ways. This option is obviously ideal for couples whose home has appreciated in value, but couples whose home has depreciated in value may want to look at other options. If the house has appreciated in value, capital gains may be owed on the sale of the house and both spouses will be responsible for paying half of the bill. One Spouse Keeps the House This can be a tricky option. If one spouse wants to keep the family home, that spouse will have to become the sole owner of the home. To do this, the spouse will have to refinance the house with a new mortgage. The new mortgage would take the spouse’s own creditworthiness into consideration when refinancing and your interest rate could go up if this happens. You may also need to buy your other spouse’s half of the home from them, which could become expensive. You Both Keep the House Though it may be rather unusual, some couples may agree that the best option is to keep the home as a jointly owned asset. Most of the time, this is a short-term option for couples who either do not immediately qualify for a new mortgage, do not have the funds to buy out each other’s half, or just do not want to sell the house because of the children. Consult with an Aurora, IL Property Division Attorney

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How to Uncover Hidden Assets in Your Illinois Divorce

 Posted on December 00, 0000 in Property Division

There are many reasons why couples get divorced. Infidelity, financial problems, lack of commitment and different priorities are all common reasons why couples choose to get divorced, but they all typically contain one major common theme -- a lack of trust. When you no longer trust the person you are married to, it is difficult to have a successful marriage. During a divorce, it is not uncommon for one or both spouses to have assets that they have attempted to hide from the other. While this may seem like a good way to keep your spouse from getting certain things in a divorce, it is illegal. Full disclosure is required in divorces. If you feel like your spouse may be hiding things from you, here are a few ways you can try to uncover hidden assets in your divorce: Look Over Tax Returns A good place to start looking for hidden assets is on your tax returns. Pull your tax returns from the last five years and examine them carefully. You should be looking for any inconsistencies in the returns, such as inconsistencies in income, itemizations of assets, real estate taxes, mortgage interest. Keep an Eye on Your Bank Accounts Take a look at your joint bank accounts. Are there any canceled checks from your checking account? Are there unusual withdrawals or deposits into your checking or savings accounts? If so, you may be dealing with a spouse who has attempted to hide money from you. Make sure you get copies of all bank account statements to use in court. Utilize Public Records

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