A husband could satisfy a $120,000 installment payment he owed to his ex-wife under their divorce agreement by transferring some of his retirement benefits to her, a Virginia court recently ruled.
The wealthy couple’s divorce decree required the husband to pay the wife a total of $1.2 million in 10 annual installments.
To make his first installment payment, the husband transferred to the wife $120,000 from his rollover IRA and 401(k) plans.
The wife argued that this violated the divorce decree because, due to taxes and penalties, she would net only $61,000 if she cashed out the retirement benefits right away.
But the court sided with the husband. It said the installment payment was okay because the property he transferred to his wife had a value of $120,000 at the time of the transfer.
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Family law attorneys in Wake County are often more interested in posturing than in actually resolving family law disputes. As a result, they often employ hard bargaining tactics which emphasize the differences in their positions rather than seeking a common ground for settlement. This technique often results in one of the parties filing a Complaint in court which commences litigation. The high cost and long delays associated with theWake County Family Court Systemoften make litigation an impractical method for resolving disputes. Parties increasingly find that they are spending more time and money to litigate than the cost to settle the matter. The increasing number of lawsuits filed each year is indicative of the unwillingness or inability of parties and their attorneys to effectively utilize negotiation to resolve disputes. It is not uncommon for theNorth Carolina attorney’s fees, expert witness fees, jury fees, court reporter fees and other related costs to exceed the amount in dispute. However, theRaleigh Divorce Lawyers at The Law Corneroffer a practicable alternative: Mediation.
The Law Corner divorce attorneys in Raleigh can help explain the divorce process to you and help you with other divorce related issues, to include, but not limited to, the following:
Qualified Domestic Relations Order (QDRO)
The Law Corner Attorneys help people all over Wake County to include the following areas: Knightdale, Wake Forest,Raleigh,Morrisville, Apex, Wendell,Zebulon, New Hope,Cary,Rolesville,Fuquay-Varina, Holly Springs, andGarner.