How to Deal With House Debt in a Florida Divorce
Housing issues are a problem in most Florida divorces right now because a number of homes are upside down or underwater and in Florida, properties, assets and debts are to be divided equally. The courts struggle with this situation because even if the home is underwater it must still be factored into the equal distribution process. In addition, courts are aware that many people are now walking away from their homes and surrendering them into the foreclosure world. However, as a Jacksonville divorce lawyer, I prepare my clients for the house payments and associated insurance and related expenses because it is a factor in determining the outcome of the divorce and what debts may client may assume. Many people, even today, are hesitant to walk away from a house due to the impact it will have on credit and future purchases while trying to rebuild after a divorce.
Recently, a Florida appellate court evaluated this situation in Byrne v. Byrne, 3D10-2323 (Fla. 3rd DCA January 18, 2012). In the case, the parties had a condo that was $76,000 underwater. Originally, the Wife wanted to keep the home and make payments towards the property so as not to ruin her credit. She was initially awarded the home in the divorce, but was given no consideration by the court regarding the negative equity that she was taking ($76,000 would be owed upon sale). The trial court, in its initial decision, noted that there was a presumption that the Wife would actually turn the keys over the bank in foreclosure and would subsequently not lose the $76,000.
An appeals court is where one takes his/her case if the outcome of the initial case is factually or legally incorrect based on the evidence that is presented at court. Often, a transcript of the original trial will be necessary to preserve the evidence for the appeals court because the court transcript provides a formally written account of all statements made in the courtroom. Typically, a transcript is typed by a court reporter and since all witnesses are sworn in, their statements in court are sworn to statements that can be typed up and presented to the appeals court for review of all evidence.
In this case, the third district court of appeals in Florida considered the order entered by the trial court in the divorce and ultimately found that while the court was rational in its thought that many people are walking away from their homes. However, the appellate court also determined that there still must be consideration for the debt in the equal distribution of assets and debts because the bank may still come after the Wife for a deficiency (Husband too if the mortgage still has his name on it.).
The reality is that the judges are limited in their knowledge of the case because they only get to hear what is presented at court. While the parties may negotiate outside of the court and go to mediation, those negotiations are confidential and cannot be used at trial. Therefore, the judge may hear that a party, like the Wife, wants to keep the home, while in negotiations the Wife tried to give the debt of the home to the Husband because she did not want to have to deal with the mortgage, repairs and the like on a money pit. Ultimately, the courts have a duty to err on the side of the law and in Florida the law is for equal distribution of assets and debts regardless of what the party will actually do with the debts after the divorce (e.g. bankruptcy of all credit cards).
An award of alimony or spousal support in a Florida divorce does not mean that the award will be valid under any and all circumstances or that it is not modifiable. Support obligations are, unless waived by agreement, always modifiable in Florida. As a Jacksonville divorce
In a divorce or paternity case involving issues with children including time-sharing/visitation, parental responsibility or child support, the court may refer the parties to mediation. Florida law provides for the judge in such a proceeding to send the parties to mediation over disputed matters to determine if such things can be settled out of court, Florida Statute
In a divorce, often one party may have more financial security than the other party, either by income, inheritance, or the like, thus putting the other party in a financial situation that makes it difficult to pay attorney’s fees. When hiring a lawyer for a divorce or modification action in Florida, the concern is the price for an attorney and whether she or he will have the ability to pay for an attorney. The other concern is that, knowing the financial situation, the other party will have the money available to pay for an attorney and that will require the party without disposable income to borrow money from family or represent himself or herself. As a Jacksonville
Florida recognizes the use of premarital and post marital agreements when deciding the outcome or possible outcome of a divorce. In some cases, during the marriage the parties may find themselves thinking of divorcing and may enter into a marital settlement agreement, but ultimately not have the agreement entered with the court because they are able to reconcile the marriage, this too is valid in Florida. When parties decide to divorce any agreement between the parties, whether premarital agreement, post marital agreement or a prior marital settlement agreement that allows for enforcement later if the parties reconcile, can be construed as an enforceable contract in the divorce proceedings. As a Jacksonville divorce lawyer, issues can arise regarding the enforceability of the agreement and in order to fight the document, the parties may need to hire separate attorneys, potentially leaving one of the parties needing financial assistance during the contest of the divorce. Therefore,
Divorce cases in Florida often have an
A concern regarding child support and alimony, in Florida, is that once it is ordered, the other party will not pay. As a Jacksonville, Florida divorce and family law
As a Jacksonville divorce and family law
In some circuits in Florida, like Jacksonville, St. Augustine and other surrounding areas, cases involving divorce, paternity, child support or other
Florida divorces involving alimony issues have given rise to new legislation over the last few years and will continue into the near future. The alimony debate in Florida is based on a number of factors, including the lack of an alimony calculation that is state mandated in determining the amount of alimony to be paid. According to a press release on
Florida divorce and custody battles can impact the parent-child relationship and often raise concerns for both mother and father. Often, parties are concerned that since they may not see their child on a daily basis that the relationship with their child will lessen over time. While telephone communication is vital to maintaining the relationship with the parent and child, a parent that lives long distance from the child, especially, may miss the face-to-face interaction and want more than simple phone calls. With the invention of webcams and communication availability through things such as Skype, the courts have had to evolve to include such mechanisms. As a Jacksonville, Florida divorce and family
As a military town, Jacksonville divorce and family law
