Economic Issues Surrounding Marriage Termination*

Question 1

Separation agreements: can they be subsequently modified?

Answer 1

No, unless the agreement says it is modifiable (applies to all contracts).

Question 2

A waiver of child support in a separation agreement is valid. T or F?

Answer 2

False. It is void.

Question 3

Any provision relating to child support is _____ and subject to . . . .

Answer 3

Modifiable

Subject to judicial review

Question 4

Pennsylvania follows what system of property distribution?

Answer 4

Equitable Distribution

Question 5

What occurs to marital property under an Equitable Distribution scheme?

Answer 5

Marital property is divided by the court in a fair and equitable manner. Distribution is made

Question 6

Under an Equitable Distribution scheme, distribution is made with/without regard to marital misconduct.

Answer 6

Without

Question 7

Three mutually exclusive categories of property?

Answer 7

H’s separate property

W’s separate property

Marital property

Question 8

Anything that was acquired prior to the date of the marriage is _____ property.

Answer 8

Separate

Question 9

Any gift or inheritance after the marriage to one spouse is ____ separate property.

Answer 9

Separate

Question 10

Any property acquired after the date of a final separation (in anticipation of divorce) is _____ property

Answer 10

Separate

Question 11

Anything that the parties agree to treat as separate property is/isn’t considered separate property.

Answer 11

Is

Question 12

Federal veteran disability payments (to compensate for injury) are _____ property.

Answer 12

Separate

Question 13

Military pensions are _____ property.

Answer 13

Marital.

Question 14

Marital property is . . .

Answer 14

Any and everything acquired during the course of marriage. Doesn’t matter who paid for it, who earned the money, or whose name is on the title.

Question 15

*Appreciation in value on separate property items attributable to the period of the marriage is/isn’t a marital asset.

Answer 15

Is

Question 16

An asset that has yet to vest (expected inheritance) is ____ property.

Answer 16

Separate.

Question 17

When dividing marital property, the court uses ____ ____

Answer 17

Equitable discretion

Question 18

Marital assets can be divided in kind or in the form of ____

Answer 18

Cash

Question 19

To divide property “in kind,” a judge does what?

Answer 19

Assigns different pieces of property to the parties.

Question 20

What factors to consider when dividing up marital property?

Answer 20

Age and health of parties

Sources of income

Separate property

Custodian of minor children

Question 21

Can a property division award be modified?

Answer 21

No

Question 22

What immediate tax obligation triggered by martial property division award?

Answer 22

None

Question 23

A spouse receiving property in a marital property division takes a _________ basis in that property.

Answer 23

Carry over

Question 24

Alimony is the periodic payment of money for the _______ of the former spouse.

Answer 24

Maintenance

Question 25

Alimony is designed to make it easier to . . .

Answer 25

Transition back to single life

Question 26

Two types of alimony?

Answer 26

Alimony Pendente Lite (APL; Temporary alimony while case is pending) Regular alimony

Question 27

Temporary alimony terminates automatically when?

Answer 27

When the case is concluded.

Question 28

Permanent alimony is the post-divorce decree obligation to make . . . .

Answer 28

Periodic payments

Question 29

T or F? Alimony can be for a set period of time or can be indefinite.

Answer 29

True

Question 30

The amount of a p. alimony award is determined by consideration of factors. Name some?

Answer 30

Earning capacity Current earnings Age, physical health Expectancies/prospective inheritances Duration of marriage Property division award Time needed to obtain future education (and costs) Marital Misconduct

Question 31

T or F? Alimony awards permit consideration of marital misconduct.

Answer 31

True

Question 32

Modification of an alimony award requires a showing of . . .

Answer 32

Substantial change in circumstances.

Question 33

Modification of alimony is ____ only.

Answer 33

Prospective

Question 34

Automatic termination of alimony occurs when (2)?

Answer 34

Death of either party; or Remarriage of recipient.

Question 35

For the recipient, does cohabitation have the same effect as marriage?

Answer 35

Yes.

Question 36

Enforcement of alimony: Can assets be seized?

Answer 36

Yes

Question 37

Enforcement of alimony: Can wages be garnished?

Answer 37

Yes

Question 38

Enforcement of alimony: Can you lose your drivers license?

Answer 38

Yes, in PA.

Question 39

Enforcement of alimony: Can you go to jail? Explain

Answer 39

Yes. Contempt sanction

Question 40

What are the tax consequences of alimony?

Answer 40

Deductible from the payor Income to the payee.

Question 41

To be eligible for alimony, are you required to live apart?

Answer 41

Yes