We lawyers have an inside joke:  “Criminal lawyers see bad people on their best behavior. Divorce lawyers see good people on their worst behavior.”

Many divorce clients say to me “I’ve never been through this before.  I don’t know what to do.”

I assure them I have been through it many times. I will be their guide through the jungle of laws, rules, and cases of divorce.

I tell them I have never lost a client yet and it may get worse before it gets better, but it will get better.

Then I give them the Latin slogan of the great explorer, Sir Frances Drake: Per Aspera Ad Astra. It means “Through adversity to the stars.”

People ask if I find divorce work depressing.

Actually, I find divorce cases extremely interesting.

I see them as jigsaw puzzles where the pieces must fit together perfectly to satisfy the husband, wife, children, opposing counsel, judge, and in some newsworthy cases, the press.

Each new case makes my heart race as I gather and organize the facts.

When the case comes in, I shout like Sherlock Holmes, “The Game is Afoot”.

That was carved into the mantel around the fireplace in the student lounge of my law school.

My business card says, “Counselor and Attorney at Law”.

I am the Attorney at Law when litigation is called for. But I also get paid for my advice as a Counselor at Law.

I like the understatement of Sherlock’s card which read:

Sherlock Holmes
221B Baker Street, London
Private Investigator
Consultant to Scotland Yard

Kathy, a divorce client in Maryland, writes, “I just got a settlement from a car accident I had in 2020. It’s all non-marital isn’t it because it was for my personal injury?”

My Response

Kathy, I’m afraid not.

In Dearing v. Dearing, 292 Md. 115 (1981), the Maryland Court of Appeals (now Supremember Court of Maryland) established the “analytic approach.” Courts must allocate the award component by component rather than all or nothing.

Personal injury awards in divorce must be broken down with each element classified based on what it replaces or compensates. Income that would have been marital property is marital. Pain and suffering compensate the individual spouse personally. Therefore, it is not a substitute for any marital asset.

In Maryland, personal injury awards are part marital and partially non-marital property. It depends on what the damages compensate for.

Not marital property (exempt from equitable distribution):

  • Pain and suffering
  • Disability/disfigurement
  • Loss of consortium (the injured spouse’s personal claim)

Marital property (subject to equitable distribution):

  • Lost wages or earning capacity (income that would have been marital)
  • Medical expenses paid with marital funds
  • Loss of services to the marital unit

Deering remains the controlling Maryland authority on personal Injury awards in divorce. It also reflects Maryland’s broader equitable distribution philosophy. Courts look through the label to the economic substance of an asset.

Litigation note

Unallocated lump-sum settlements create the biggest headaches under Deering. The burden of tracing falls on the spouse claiming non-marital character.

Practical note

If the award is a lump sum with no itemization, courts will apportion it. Settlement agreements and jury verdicts that break out damages by category are much easier to handle in divorce proceedings. If you’re dealing with an unallocated settlement, expect a fight over what portion represents wage replacement vs. pain and suffering.

U.S. District Judge Bierly has provided an excellent example this weekend of how to write like a lawyer in his Order setting the five year old boy with a bunny ears hat and his father free from ICE detention.

The Order is a tour de force in legal writing,  It draws on the Declaration of Independence, the Fourth Amendment to the U.S. Constitution, and the Magna Carta.  It also quotes Thomas Jefferson, Benjamin Franklin, William Blackstone, and the Bible.

It is set out here in its entirety.

Matthew 19:14: “But Jesus said, Suffer little children, and forbid them not, to come unto me: for of such is the kingdom of heaven.”

John 11:35: “Jesus wept.”

The controversy over ICE’s breaking into houses with an administrative or internal warrant not issued by a judge takes me back to Professor Hunvald’s criminal law class. It was my first year of law school.

In order to write like a lawyer, you must learn to think like a lawyer. Law school teaches you how to think like a lawyer. It does this by using the Socratic Method. The Socratic Method allows the teacher to always ask questions. Answers are supplied by the student.

This can be quite maddening. But it teaches you to think, speak, and write, on your feet, no matter what a witness, opposing counsel, or judge throws at you.

Professor Hunvald was a master. First he wore a cape. Yes a cape. It made him look like a giant vampire as he stomped back and forth across the raised stage at the front of the room.

As he flew to my side of the room, I silently prayed, “Please don’t call on me.”

He called on me.

When called upon, we had to stand up and answer the professor’s questions until he was satisfied he had made a fool of us in front of all our fellow students.

“Mr. Gross”, he announced loudly, “Your roommate tells you the police are looking for him. Suddenly there is a knock on the door. You open it and it’s the police. They ask if they can search your apartment for a fugitive. Do you allow them to come in?”

“Yes.” says I, naively,

“Congratulations, Mr. Gross, you have just lost your first criminal case.” shouts Professor Hunvald, maniacally. He turns to torture another student, cape aflying.

Later I learn in Constitutional Law Class that the fourth amendment provides for residents of the US to be safe in their homes and papers. The US Supreme Court has ruled that a police officer needs permission or a judicial warrant to come into your apartment or even open the trunk of your car.

There are exceptions if the police are in hot pursuit of a criminal or enter to prevent a criminal act from taking place. But if the police didn’t show me a warrant signed by a judge, I should have said, “No, you cannot come in.”

As a sign from the Universe that I should continue teaching you how to think and write like a lawyer, I received a letter from my health insurance carrier today.

This is a perfect example of how NOT to write like a lawyer.

My last post said you should always begin with this first sentence — “the purpose of this letter is to”.

This will:

  • Get to the heart of the matter
  • Eliminate much verbal throat clearing and three-page letters about who is, and who is not, returning phone calls
  • Streamline your message

The health insurance began its letter with a sentence telling me what a good company it had been during its many years of service.

What if I wrote you letter telling you my law firm was great and had served the public for over 50 years? I almost stopped reading.

The purpose of a letter or email can be to:

educate,

explain,

inspire,

teach,

persuade,

call for action,

or any other purpose.

But it you can’t come up with a purpose, maybe think twice about writing it.

Three paragraphs later, I found the purpose of the insurance company writing me was to explain benefit changes next year and that I needed to take no action.

To be continued.

In Lisann v. Lisann, Virginia’s Supreme Court has added a requirement to the standards for no-fault divorce: not only must a couple live apart for a year (or six months if they have no minor children and sign a separation agreement),  but one of them has to continuously intend, for the one-year or six-month period before filing, a permanent separation.

But it is important for people contemplating or facing divorce to understand that this rule is not a reason to wait until you think you have divorce grounds before seeing a lawyer or trying to reach a pre-court agreement on all the issues in a divorce. Those include child custody, parenting time, support, property, debts and retirement.

People who consult us are often overly focused on “How fast can I file for divorce?” A far more important question is, can the couple work out an agreement on all these issues to avoid having a trial about them? What methods should they use to try to reach that agreement? And what will the agreement — or the court’s order after a trial — decide about those issues?

Our current Virginia clients’ cases are not in any danger from the Lisann decision, because we were already treating “continuous intent” as a requirement, out of an abundance of caution. And depressingly, it’s exactly such prudent practices — adding extra facts in our filings just in case an over-imaginative judge or law clerk treats them as requirements — that the Court cited in its decision: “a plethora of family law practice handbooks in  Virginia have recognized this principle in sample complaints for divorce.” It also cited a 1997 state bar report opposing Covenant Marriage legislation, which casually included a phrase about continuous intent when describing Virginia no-fault divorce’s requirements.

This decision violates the excellent advice and example that the Court provided in Canody v. Hamblin (2018) where it refused to elevate some lawyers’ preferred “best practice” — having a testator initial every page of the will — into an additional requirement that would have invalidated all the wills made without doing that. It really is a disturbing dynamic — you add extras to your contracts, pleadings and evidence to defend against a few judges who invent additional requirements; but that defensive prudence makes it more likely that people will treat those things as mandatory, and simpler, human-scale drafting as negligence.

As public policy, the decision also seems mostly wrong on the substance. It depends on what the purpose of these separation/waiting periods is — a “cooling-off” period to give couples time to reconcile if possible? Or a “frozen” period where you have to show that you’ve gone a year without even considering reconciliation?

The continuity requirements discourage reconciliation attempts, by saying that if you try to reconcile and fail to, even without ever moving back in together, your one-year wait has to start all over again. They are even more anti-family when they impose that consequence on couples who simply act civil and child-focused: those who have a child’s birthday party together instead of holding two competing ones, get together with family on holidays, or do anything together with the children. But still, the benefit of doing those things far outweighs the slight danger that judges will do that, if they even hear about them.

On the other hand, it does make sense to require a clear intent of marital separation — not just physical absence for military, employment, travel, medical or elder-care reasons — to have been communicated at some point at least one year before filing. Without that, things that were not the kind of separation that the no-fault divorce law has in mind would get used to blindside the other spouse with a divorce, or to impose an inaccurately early date of separation for purposes of classifying property and income as separate property, immune from division.

But once that kind of separation has begun, with both spouses clearly understanding that that’s what it is, reconciliation attempts should be encouraged, not punished. A truly exemplary family law attorney and mediator, Brian Hirsch, praises the new rule as reducing “gamesmanship.” But I have more often seen gamesmanship in fake reconciliation attempts that appear designed only to re-start the clock on when property and income are separate versus marital —and, much worse and much more often, in people being wary of reconciliation attempts because they suspect that that’s what they may turn out to be.

So should you avoid reconciliation attempts because of this odd wrinkle in the law? Absolutely not. But use your head and your heart, stay situation-aware, and consider the track record and character of who you’re dealing with.

In many divorce cases, the parties overlook the most valuable assets in their marital estate.  No, its not the house.  Retirement accounts are frequently one of the larger assets to be addressed as part of a divorce. Sometimes the account is through one spouse’s employer. Often, one spouse contributes directly through their payroll.

When it comes to this issue, I have good news and bad news for clients. First, the bad news.

In Marriage Income Is Not Mine Nor Yours

Many clients will believe contributions to the retirement account came from their income and therefore should not be a shared asset. Not so.

Unless you had a “Jim-Gross-Bullet-Proof-Prenup” when you got married, the law considers all property acquired during the marriage to be marital property. Retirement income is marital to the extent it is earned during the marriage.  There is no my savings when you are married.  It is all our savings no matter who earns it.

Now, for some good news.

Dividing Retirement Accounts Is Not Always 50-50

To determine who gets what when it comes to retirement accounts, the split is not always equal.

Retirement accounts can be part marital and part non-marital.

The balance of a 401(k) or an IRA and other defined contribution plans at the date of marriage is pre-marital and therefore non-marital property.  So are the interest, dividends and appreciation.

The division of defined benefit plans is more complicated than that and will usually require an actuary to value.

Details, details. Getting the best results from your divorce is often a matter of addressing all the right details. There are many issues to consider as you define the right marital settlement agreement.

Over the years, I have developed some checklists to help clients make sure they answer all the important issues.

This checklist covers some important items that need to go into your settlement agreement.

Children

[x] Where will the children go to school?

[x] Who will decide if they go to public or private school?

[x] What about tutors and extra-curricular activities?

[x] Who will decide about the need for the children’s medical and dental care?

[x] What doctors and dentists will they see?

[x] What medications will they take?

[x] Who will decide if they need braces, cosmetic treatment, or therapy?

[x] What religion will the children be raised in?

[x] What will be their last names?

[x] Who will give consent if they want to get married or join the armed services before age 18?

[x] Who will select a lawyer if the children have a lawsuit?

[x] Where will the children live most of the time?

[x] What will be their routines at each house, for homework or television or going to bed?

[x] What will be the schedule for timesharing or visitation?

[x] What will the schedule be for each week, holidays, vacations, and summer?

[x] What will happen to these arrangements if one parent relocates?

Child Support

[x] How will the financial needs of the children be supported?

[x] Who will pay child support and how much?

[x] Will it be paid directly to the other party by personal check or through a court order?

[x] Will it be paid once a month or twice a month or every two weeks and on which day(s) of the month?

[x] Will it be adjusted each year for inflation or not?

[x] When will child support stop?

[x] Who will pay for health insurance?

[x] What about uncovered medical expenses?

[x] Who will pay for day care and summer camps?

[x] What about extra-curricular activity expenses like piano, soccer, ballet, or karate?

[x] Who will pay for religious celebrations, weddings, or automobiles?

[x] How will college expenses be handled?

Note: The court always has the final say on child custody, visitation, and child support. It cannot delegate this authority to the parties or a third party mediator or arbitrator. The court can consider the opinion of the parties and third parties, and often follows these recommendations. However, the court must make its own decision based on the best interest of the child. And the court can always modify custody, visitation, and child support if circumstances change and that would be in the best interest of the child.

Alimony

[x] Is any type of spousal support needed

[x] How much and for how long?

[x] Should there be a cost of living escalation?

[x] When does spousal support terminate?

[x] Is it modifiable or non-modifiable in the future?

[x] Who will pay the legal fees for the divorce?

[x] Is there life insurance to secure child support and spousal support?

[x] What about health insurance for each spouse?

Property

[x] What will happen to the marital home?

[x] If it is to be sold, when will it be listed for sale, at what price, and when?

[x] How will the sales proceeds be divided?

[x] If one spouse buys the other one out, what is the price and what are the terms for payment?

[x] How will you deal with the mortgage if it is in joint names?

[x] Who will draft the deeds and pay the costs for transfer?

[x] What happens to the automobiles, household furniture, furnishings, jewelry, clothing, and other personal items?

[x] How will bank accounts and stock be divided?

[x] What happens if there is a family business?

[x] How will retirement funds be divided? Will there be a survivor annuity and who will pay for it?

[x] Whose lawyer will draft the court order for dividing retirement funds and who will pay for it?

Taxes

[x] Will you file joint or separate returns?

[x] Who will prepare the returns or pay for their preparation?

[x] Who will get the tax credits and head of household tax status for the children??

[x] Who will pay if there are taxes due?

[x] How will a refund be divided?

[x] What happens if there is an audit for past years?

[x] Who will pay any taxes due on sale of the house, stock, or distribution of pensions?

 

Agreeing on these details now can save you a lot of additional legal proceedings down the road.

“You did my sister’s divorce,” the caller said. “And she was very happy with the result.  “So now I need you to do mine.”

I put my phone on speaker.  “Ok, I replied turning to my computer to take some notes. “Let me ask you a few questions.”

Then she asked me, “Can my sister be on this call with me?”

The Attorney Client Privilege

Whatever you say to your attorney and whatever advice your attorney gives you is confidential and privileged. You may have seen in the news recently that former Vice President Pence is asserting some similar privileges to keep from testifying against former President Trump. What the privilege means is that your attorney will keep any advice and discussion with you secret and no one can drag it out of us – not opposing counsel, the judge, nor even six white horses.

The Practical Effect

The purpose of the privilege is to allow people to speak freely with their attorneys without fear that their conversations may be made public. This privilege covers you as well as your attorney so you don’t have to answer any questions like, “What did your attorney say?” or “What advice did your attorney give you?”

Attorneys watch for these type of questions. If you hear us say, “Objection!”, stop talking.

Attorney Client Privilege Waiver

The librarian gives the new students a tour of the library on the first day of law school that usually begins, “The laws are on this side of the library, and the exceptions are on the other side.“  The main exception to the attorney client privilege you have to worry about is waiver.

Attorney-client conversations and advice remain confidential and privileged so long as you discuss them only with your attorney  That is why you can expect opposing counsel to ask you fairly early in your deposition if you have discussed the case with anyone else besides your lawyers.

If you have, the next  questions will be “What did you discuss?”  Then, “What did you say and what did  they say?”  If you talk about conversations with your attorney with anyone else, whether in person, by email or otherwise, opposing counsel will claim you are not treating the information as confidential and privileged. And, whether you meant to or not, you will have waived the privilege.

If the judge agrees you have waived the privilege, opposing counsel can ask you what advice your attorney gave you, such as trial strategy, and you will have to answer.

Even Worse

If you waive the privilege for one little confidential fact, the judge can find that to be a global waiver of the privilege for everything in the case.