How do I assure compliance with a divorce settlement or court order?
Resolving child support and spousal support by court order or final settlement can be challenging enough in New Jersey. Divorcing spouses often disagree on their financial rights and responsibilities when it comes to these issues. However, for many divorcing couples, the true challenge begins only after a final judgment is in place. This is because many New Jersey residents struggle to comply with — or get their exes to honor — support orders.
The first step to assuring final judgment adherence is to consider putting certain measures in place during the settlement negotiations.
1. Alimony and Maintenance Trust. Some divorcing couples create a Section 682 Trust at the time of divorce. An alimony trust can be helpful for a recipient spouse who is concerned about the payor meeting his or her obligations. The payor spouse may also appreciate an alimony trust because it can help the individual obtain tax and economic benefits, in some cases. The payor spouse is able to transfer certain assets into the trust, and the trust is then used to distribute alimony as per the spousal support order or agreement.
2. Qualified Domestic Relations Order. QDROs are court orders that allow a person to receive a part of an ex’s retirement benefits. QDROS can also help secure child support and spousal support, as federal law states that retirement accounts can fund support orders when certain conditions apply. The divorce settlement could permit this to happen.
These are just two proactive measures that New Jersey residents should consider during the divorce process. There are also enforcement options and modification requests that can be made post-divorce, regarding changed financial circumstances and other life events.
Those who struggle to honor or enforce their divorce settlements or court orders could benefit from experienced Family Law counsel’s advice. The worst advice is to sit and do nothing — because when you do that, you lose control of your options. It is often best to move towards the problem and try to solve it for the benefit of both parties and their children.
Source: Forbes, “How To Get Your Ex-Husband To Honor The Financial Terms of Your Divorce Settlement ,” Jeff Landers, Feb. 9, 2014