Help for Houston Families Seeking Health Plans

One of the largest challenges for families is locating affordable, quality health insurance.

Recently, Houston Mayor Bill White, launched a web site HoustonHealthChoice.com to assist individuals, families, and small business in locating just that.

When families are in the transitional process of divorce, and children are involved, the family court will require that the parents provide health insurance for the minor children.

I am hopeful that Mayor White's web site will offer a useful tool for families who earn too much to qualify for CHIP but who cannot afford to buy a private policy. For more information on Mayor White's health insurance web site, see the article from The Houston Chronicle from Wednesday, April 30, 2008.

Tip: Families looking for a DWI and Criminal Defense Lawyer in Houston

At times in my family law practice, a family member will call me seeking a reference for another area of law such as DWI or criminal defense. I do not practice in those areas of law myself so I typically refer them out to another attorney.  My next door neighbors are Houston DWI lawyers and criminal defense specialists which have members on staff that are board certified in those areas. The Grant Scheiner Law Firm, PC is a great source if you are looking for assistance in those areas.  Link: Grant Scheiner Law Firm, PC

My Spouse And I No Longer Want Our Premarital Agreement. Can We Simply Destroy It?

It is a common misconception that either party can simply tear up, shred, or otherwise destroy a premarital agreement to nullify it. To properly revoke the premarital agreement, both parties must execute a written agreement (using the same formalities as in executing the pre-marital agreement) to property revoke. 

It does not matter if one or both of the parties is certain to have destroyed all the copies.  Usually the attorneys for the husband and wife retain an executed copy. If the revocation of the premarital agreement is not handled properly, either party may seek to enforce pre-marital agreement.

Before attempting to revoke or amend a pre-marital agreement, it is best to seek assistance of a licensed attorney familiar with such agreements.

How do same sex couples divorce? They don't in Texas.

Texas voters overwhelmingly approved a constitutional amendment prohibiting marriage between individuals of the same sex, and about 43 other states also prohibit same sex marriage. However, nine other states recognize civil unions, and in 2004 Massachusetts approved provisions allowing same sex marriage.

The questions are (1) if same sex partners can marry or enter into civil unions in certain states, how can these marriages and unions be undone; and, (2) what is the impact if the parties relocate to other states? These are not easy questions to answer, as an April 15, 2008 article in The Houston Chronicle noted.

Same sex couples married in Massachusetts are finding that other states will not permit them to seek dissolution. Additionally, couples who later relocated to another state find that if they do not meet the domicile and residency requirements under the Massachusetts family code, the state will not permit dissolution suits to move forward. While this may seem to be an unnecessary road block, the state has a legitimate interest in denying relief to parties who are not domiciled in the state. There are also constitutional considerations – the court can only adjudicate a matter if it has jurisdiction over the parties and issues. According to sources at The Houston Chronicle, to establish domicile in Massachusetts one must reside there for at least 12 months.  

Though same sex marriage and civil unions are hot topics, they recognized by a minority of US jurisdictions. With a highly mobile society, many of couples will find themselves relocating from the states where they entered into the marriage or union, and perhaps seeking assistance under the law to terminate the relationship. It is just a matter of time and parties making a constitutional argument. At some point laws of the various states (Texas included) must address issues of division of property, conservatorship and custody in same sex marriages/unions.

Texas WIFE - Women's Institute for Financial Education

During the divorce process many women find themselves in uncharted financial territory.  Sometimes, the husband is the individual in the marriage who takes point in managing the the budget, taxes, investments, estate planning and/or retirement planning. 

If this is describes your situation and you are in the midst of a divorce, now is the time to get a handle on financial issues. 

Fortunately, there is a not-for-profit organization in the Houston area to assist women going through this life changing event.  For more information, visit www.texaswife.org or contact Texas WIFE at (713) 599-1225.

Things to know before tapping your 401(k) for a distribution or loan

With the present credit pinch and looming economic downturn, people are looking for an asset they may liquidate or borrow against to ease money woes. Often, this asset is an individual’s retirement plan. An article published in The Houston Chronicle on March 17, 2008 by Shannon Buggs provides excellent insight about the ups and downs of using a 401(k) plan. For a complete text of Ms. Bugg’s article, visit: http://www.chron.com/disp/story.mpl/business/buggs/5621877.html.

From the perspective of dividing assets upon divorce, there is another factor the article did not address, and that is what to do with a loan against a 401(k) plan. Before the plan administrator will make a division, the issue of the outstanding loan must be addressed. For instance: Will the plan participant take his/her portion of the 401(k) subject to the loan? Will the loan balance be deducted equally from each party’s portion? Or, will some other formulation be implemented in the division?

Before taking making important decisions about borrowing against or liquidating a 401(k) account, make sure to obtain all the information you can from your plan administrator, discuss your options with a financial planner, and know the consequences for taking such action. 

Health care coverage -- not just a national political issue

During the divorce process, many of my clients are concerned about having to obtain their own health insurance if they will no longer be able to have coverage through their spouse’s employer. If your spouse provides health insurance for you, it will be important to find out the terms of the COBRA coverage which may be available to you. However, if you are in the position of having to obtain your own health insurance, a web site sponsored by the Texas Department of Insurance can be helpful in assisting you make consumer health care decisions. For more information call (800) 252-3439, or visit: TexasHealthOptions.com

Use caution when refinancing your mortgage!

When couples divorce, often the largest asset subject to division is the home. When the home is subject to a mortgage, often the party awarded the home must refinance the note into his/her name in order to absolve the other spouse of financial responsibility. I saw a disturbing story on the CBS News Early Show just this morning about a California woman who refinanced her home following her divorce. When she refinanced her home 2 years ago, the mortgage lender suggested she use an interest only adjustable rate mortgage (ARM). This type of mortgage is reportedly one of the most nefarious lending tools. The consumer now owes more on her home than she did two years ago, and worse yet, the balance owing is more than the value of the home if she could sell it. 

The moral of this story – when refinancing be VERY careful, analyze all documents with care, ask questions, and do not sign on the dotted line if you do not have a good understanding of the financial transaction. Some consumers feel awkward asking questions, or even asking for a second explanation. Take a firm stand and insist that your mortgage lender explain the terms to you for any instrument you sign.

For more information on the mortgage crisis, visit: www.cbsnews.com/sections/i_video/main500251.shtml

Nation's Top Divorce Lawyers Note Dramatic Rise in Electronic Evidence

According to data collected by the American Academy of Matrimonial Lawyers (AAML), 88% of the country’s divorce lawyers cite an increase in the number of contested divorce cases using electronic data as evidence in the past 5 years. 

Though e-mail is the most frequently used form of electronic evidence, other forms of data used in divorce proceedings includes text messages, instant messages (IM), internet browser history, social networking site information, photos from camera phones, toll tag, and data from vehicle and stand alone GPS devices. 

Technology has become so ingrained in our daily lives that it follows us to the courthouse in family matters.

All of our federal tax refund was intercepted to pay for back child support owed by my spouse. What can I do?

Federal law allows states to collect income tax refund checks from parents who are behind in their child support. If you and your spouse filed a joint federal tax return, and all or part of refund was intercepted to pay for your spouse’s past-due child support, you may be an injured spouse and may be eligible to file an Injured Spouse Claim with the I.R.S. You can make an injured spouse claim if you are not legally obligated to pay the past-due child support, and if you made and reported income and payments, such as federal income tax withheld from your wages or estimated tax payments. During the tax year, if you were a resident of Texas, a community property state, you are eligible to file for an Injured Spouse Claim even if you did not report any income and payments on your tax return. You can make an Injured Spouse Claim by filing IRS Form 8379. For each year that you meet the conditions of an injured spouse, you can file IRS Form 8379 with your joint tax return or amended joint tax return, or you can file it afterwards by itself.