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Arbitration and Local Rule 200 & Corporations and Limited Liability Companies

Wed, 13 Nov 2024 19:52:45 GMT

In most jurisdictions, there are local rules that assist in the administration of litigation, which may differ from one county to another, In Allegheny County, which is the County for Pittsburgh Pennsylvania and the surrounding area, Local Rule 200 allows Corporations, partnerships, LLCs, and unincorporated associations to be represented by “an officer or by a partner” in the following actions:

A civil action brought in or appealed to this Court in which the relief sought is monetary damages which do not exceed the jurisdictional limit for an action before an MDJ.
An appeal from a judgment entered in an MDJ Court in an action for the recovery of the possession of real property. (See Local Rule 200, Anna has the Local Rules in her office.)

If an appeal, is brought before an Arbitration panel, the case may be heard, subject to certain limitations relating to entities, such as corporations or Limited liability companies.

Despite the 2017 case of Nicholson Builder, LLC v. Jablonski , 163 A. 3d 1048 (Pa. Super. Ct. 2017), indicating that LLCs were required to be represented by attorneys in all circumstances, Local Rule 200 because of the 2021 Supreme Court case rendering the Nicholson holding ineffective. See Bisher v. Lehigh Valley Health Network, Inc. et. al , 265 A.3d 383 (Pa. 2021).

See also, the Honorable Patrick Connelly’s opinion in AHRCO-III Rivers Manor v. Chante Holmes , LT 21-170 (June 28, 2022,) where Judge Connelly wrote:

Our High Court held that the unauthorized practice of law (on behalf of an estate) did not raise questions of the trial court’s jurisdiction, but that the trial court, in its discretion, could allow the parties to cure deficient pleadings. Bisher v. Lehigh Valley Health Network, Inc. et. al , 265 A.3d 383, 405-407 (Pa. 2021). The ruling thus departed from a prior understanding that filings on behalf of a corporate entity represented “pro se” by an officer or employee were void ab initio and did deprive the trial court of jurisdiction. See e.g. Nicholson 163 A. 3d 1048, 1057. AHRCO-III Rivers Manor, v. Holmes , pp. 4, 5.

Local R. 200 nevertheless requires the corporation/partnership/LLC to be represented by an Officer or Partner. Accordingly, if a nonofficer, nonowner, non-partner property manager or maintenance person appears at an arbitration on behalf of the entity is NOT an attorney, that person could not present evidence, but the arbitration can go forward.

Can the panel hear the case? Yes. However, the Landlord may be precluded from presenting evidence, but the case can proceed. The tenant may present evidence.

Prenuptual Agreements and Estate Planning

Thu, 04 Apr 2024 03:50:16 GMT

It is important to remember that all marriages end at some point, either by divorce or the death of a spouse. So, planning a marriage and the ownership of assets moving forward can determine rights and duties for conducting the marriage and the estate after death. These laws can differ widely from state to state, and the state where a marriage begins may not be the state in which that marriage ends. A prenuptial agreement is a couple’s opportunity to decide what will happen should a marriage end, either by divorce or death, and relying on the consent of the persons as opposed to relying on state law.

Prenuptual Agreements

A prenuptial agreement is a contract between two soon-to-be-married individuals in which they agree upon the rules; especially with respect to their property. The agreement can set rules that apply during the marriage and following the termination of the marriage. with respect to the disposition of property.

Creating a successful prenuptial agreement can only be achieved when all parties understand the process and engage in good faith; trusting in open-mindedness with a commitment to resolving issues without hurt feelings and resentment.

Prenuptial agreements traditionally have been seen as symbols of mistrust and control. The historical negativity has rested in the provincial idea that people only married once and did not generally have children from various marriages. Yet the times have changed, and people may have more than one marriage, children from various marriages and are now marrying later in life, when assets have been accumulated prior to the marriage that is subject to such an agreement. Despite how uncomfortable conversations, prenuptial can serve several important purposes, including:

Keeping family wealth, however defined, within the family that generated it.
The protecting assets for many generations.
Establishing formalized rules, governing the disposition of wealth upon the dissolution of a marriage (either by divorce or the death of a spouse).
Providing a forum to discuss finances in an open and productive way.
Creating a philosophy and plan regarding wealth.
Laying framework of estate planning and understanding integration of families that previously did not have the same interests or point of view.

Who should consider a prenuptial agreement?

Any couple can create a prenuptial agreement. However, such prenuptial agreements should be considered particularly when:

One person (or one person’s family) has significantly more assets or debts than the other.
One person or one person’s family owns a family business.
One person or one person’s family has special assets (such as artwork, antiques or jewelry, among others) that they desire to remain with that family.
One or both persons have children from a prior marriage and desire to leave property to those children or grandchildren, only.
When one or both people are professionals with special education, credentials or licenses who desire their enhanced earnings and potential earnings to remain with them.

Prenuptual Agreements: Main Issues

Support Issues

While married, spouses must financially support one another and their children by providing the necessities of life. Spouses can agree as to how they will manage their finances and which spouse will pay which household expenses. Should the spouses divorce, a prenuptial agreement may require one spouse to provide financial support to the other. Spousal support, sometimes called maintenance or alimony, is a payment from one divorcing spouse to the other, usually for a term of years following the dissolution of a marriage by divorce. The amount of support, term of support, and any increases in support during such term are all separate nuances to consider.

Parents must also consider providing for their minor children. Agreements with respect to child support, especially upon termination of a marriage, are generally not permitted in a prenuptial agreement. It is possible, however, for spouses to agree upon financial arrangements that can be used for children, such as maintaining a certain amount of life insurance coverage, allocating certain private education costs, and requiring the creation of trusts.

Property

Absent a prenuptial agreement, state law defines how assets are divided upon divorce. There are two general systems for dividing property upon divorce: common law systems and community property systems. The nuances of each state’s law can mean that even states using the same general system (community property or common law) may classify property differently. It is critical before entering into any agreement to consult an experienced attorney licensed to practice law in the state in which the agreement will be governed. The division of assets when a marriage ends (either by divorce or at death) is another important part of a prenuptial agreement.

Generally, in community property states, assets acquired after marriage are owned by each spouse equally (no matter who has title). It operates with the notions of a partnership. Assets acquired before the marriage may be characterized as separate property or some type of mixed property.

In common law states, marital assets are generally divided equitably (equitable distribution). In essence, the court dissolving the marriage decides what constitutes a fair division of the property. Assets considered marital property are typically subject to division, while assets considered separate property are generally not subject to division.

A prenuptial agreement can change the rules of state law with respect to the division of property. The agreement can, for example, define which assets (or classes of assets) are separate property not subject to division; limit what property may be allocated to a spouse; include a sliding scale, with more property being allocated to a spouse in a longer marriage; or provide some other division unique to the couple and their assets.

When a marriage ends because of death of a spouse, then other property rights are considered. Almost every state forbids a decedent from completely disinheriting a spouse.

How the amount payable to a surviving spouse is calculated and what property is included in the calculation can vary significantly by state. Also, the concepts of marital and separate property may not apply when a spouse dies, as many states calculate the surviving spouse’s required share based on the value of all property owned at death. Note that leaving a trust for a surviving spouse may not satisfy the minimum required amount, possibly allowing the surviving spouse to make an election between accepting the trust or taking the minimum statutory amount outright.

Also, a surviving spouse’s rights can be waived in a prenuptial agreement. If one spouse has assets such as an interest in a business, an inherited home, family heirlooms, wealth acquired before marriage, etc. and desires to bequeath those assets to someone other than the other spouse, or if a spouse’s will leaves assets in trust for the surviving spouse, it is essential that a prenuptial agreement waiving spousal rights at death be executed.

Other Considerations

When a marriage ends there can be conflict, whether in a divorce or the deceased spouse’s children and the surviving spouse. Evidence can bring the prenuptial agreement into court with one side seeking to enforce it and the other side seeking to have it invalidated. There are some general steps that you can take to make your agreement more likely to be enforced, such as:

Failure to fully disclose assets when preparing a prenuptial agreement may jeopardize the agreement’s validity.
Waivers of rights are generally not valid if they are not made with full knowledge of what is being waived. Failure to fully disclose assets and expectancies, including their value, can invalidate the agreement.
Each person entering into a prenuptial agreement should be represented by a separate attorney. Failure to be adequately represented is often a factor cited when someone seeks to invalidate a prenuptial agreement. Further, the rules of attorney ethics would prevent the same attorney from representing both parties.
A court is more likely to uphold a prenuptial agreement when the parties have had “adequate” time to review the terms of the agreement with an attorney. What constitutes “adequate” is determined by the court reviewing the prenuptial agreement and the facts and circumstances of its execution.
The closer to the wedding an agreement is executed, the more likely a challenge will succeed.

Legal Representation

Each party will need assistance when discussing and preparing an effective prenuptial agreement. Of course, attorneys skilled in domestic relations law will be necessary. Also, the parties and their families may require the assistance of accountants and valuation experts to prepare adequate financial disclosures. Finally, the parties may desire to review their financial status with a financial advisor to determine if the financial arrangement each makes for the other will be adequate, presently and in the future.

Estate Planning for The Sandwich Generation

Mon, 25 Mar 2024 03:38:15 GMT

Life Expectancy Changes

Over the last few decades, life expectancy has increased dramatically around the globe. The average person born in 1960, the earliest year the United Nations began keeping global data, could expect to live to 52.5 years of age . In 2018, the average was 72. In 2024, it is nearly 80 years old. In the UK, where records have been kept longer, this trend is even greater. In 1841, a baby girl was expected to live to just 42 years of age , a boy to 40. In 2016, a baby girl could expect to reach 83 ; a boy, 79.

This dramatic change has caused a further need to appreciate where families are different. Think of the fact that a child may be old enough for Social Security, while the parents are still alive, and they too are receiving Social Security. The younger recipient may have children and grandchildren that they need to plan for, in addition to their elderly parent. This demographic is experiencing a rise due to later childbirth and an aging population, compounded by the recent pandemic’s impact on long-term care facilities.

Sandwich Generation

Understanding the demographics and trends is required for an increasing number of the sandwich generation. The sandwich generation, a term for individuals responsible for the care of their children and aging parents which causes them to face unique challenges. Estate planning is now more than ever, a multi-level management process, which includes a constant review of documents including the basic documents of as the Will and Testament, the Durable Power of Attorney, and the Medical Directives; sometimes referred to as the Living Will. Further analysis includes the interdependence of these documents as it relates to the executors and agents, who when drafted were appropriate may no longer be the right ones at some later date.

Significant societal trends influence the increasing numbers of the sandwich generation. Understanding these trends is essential for tailored estate planning strategies. Estate planning is crucial for the sandwich generation. It provides a structured approach to managing the complexities of caring for children and elderly parents. This planning can offer peace of mind and a clear path forward in challenging circumstances.

Legal Documents and Decision-Making Powers

Estate planning for the sandwich generation should include preparing legal documents that empower decision-making for aging parents and minor children. Powers of attorney and healthcare directives are examples of such documents. If the documents already exist, then the documents should be periodically reviewed; particularly when members of the Sandwich Generation paradigm unexpectantly pass away or become otherwise incapable of performing their duties. The dynamic nature of the sandwich generation’s responsibilities necessitates regular reviews and updates of their estate plans. This ensures that the plans stay relevant and effective in meeting the family’s changing needs.

Effective estate planning for the sandwich generation is critical in managing special factors that are not traditionally part of Estate Planning considerations.

Key Strategies

Prioritizing and Reprioritizing

Estate planning for the sandwich generation starts with effectively managing daily tasks.
Identifying urgent versus non-urgent tasks can help balance the care of children and elderly parents.

Self-Care as a Crucial Aspect of Estate Planning

Self-care is vital to avoid caregiver burnout.
Individuals in the sandwich generation need to maintain their well-being to provide the best care for their loved ones.

Understanding Legal Rights and Workplace Benefits

Knowing workplace rights, such as those provided by the Family Medical Leave Act (FMLA) , is an integral part of estate planning for the sandwich generation.
This knowledge can help caregivers maintain job security, while caring for their families.

Communication and Support Networks

Open communication within the family.
Maximizing access to support networks and forums for managing the expectations and responsibilities for the sandwich generation.

Financial Planning and Management

A crucial aspect of estate planning for the sandwich generation is evaluating financial resources.
Gaming a comprehensive understanding of the financial capabilities of aging parents and exploring public assistance or family contributions when needed.

Discussions with Aging Parents and Family Members

Conversations about care preferences and financial abilities with aging parents and family members are essential.
Preparing for the Future including the long-term considerations, like home renovations for elderly care, professional services and retirement savings, are essential in estate planning for the sandwich generation.
Insurance policies and emergency funds are critical to protecting the family’s future.

Gift Tax, What It Is, and How Much You Can Gift Tax-Free

Thu, 07 Mar 2024 03:29:33 GMT

What Is a Gift Tax?

A gift tax is a federal tax imposed by the Internal Revenue Service (IRS) on individual taxpayers who transfer property to someone else without receiving anything of substantial value in return. Gifts can take various forms, including cash, real estate, and other forms of property. However, the IRS limits how much you can transfer to someone as a gift.

In order to prevent people from avoiding paying income taxes, the federal government created the federal gift tax. This tax prevents undue hardship and obliges donors and recipients to honor IRS tax liability.

Any amount over this threshold must be reported and applied toward a lifetime gift tax exemption. Once you exceed this limit, the gift tax becomes payable. The gift tax can be imposed even if you never intended the transfer to be a gift.

How a Gift Tax Works

Since a gift may be anything of value that is transferred from one individual to another. Accordingly, the transfer may occur "either directly or indirectly, where full consideration, valued in money or worth) is not received in return."

Special Considerations

Gift tax is a federal tax levied on a taxpayer who gives money or property to someone else.
A gift is understood as anything of substantial value, such as cash and real estate, for which the donor doesn't get anything substantial in return.
The IRS sets limits on how much taxpayers can gift to others annually and over their lifetime without incurring the gift tax.
All gifts must be reported regardless of whether they trigger the gift tax.

Gift Splitting and Gifts Given in Trust

Gift splitting and gifts given in trust are two strategies to avoid incurring the gift tax. Property is considered a gift if it has value and is transferred to another individual without any significant form of compensation.

The IRS sets limits to how much people can gift annually and during their lifetime. I person can give up to $17,000 to most individuals in 2023 and $18,000 in 2024 without being taxed. There is no limit on the number of individuals you can gift in this manner in a given year. So if you have 10 children, you can gift as much as $18,000 per child in 2024 for a total of $180,000, without needing to pay a gift tax for the year (unless you surpass the lifetime limit). The lifetime limit is $13.61 million for 2024.

If you are a married couple, filing jointly, you can transfer up to $34,000 per individual in 2023, or $36,000 in 2024.5 You are taxed if you go over your annual exclusion limit and that amount counts toward your lifetime limit.

As a donor, you are responsible for reporting any gifts you make by filling out Form 709: United States Gift (and Generation-Skipping Transfer) Tax Return even if the gift falls under the annual limit. This form must be attached to your annual tax return by the tax filing deadline of the year after the gift was made, which is typically April 15

Gift tax rates are based on the size of the taxable gift and can range between 18% and 40%.7 In cases where the value is not immediately evident, such as art or stocks, you must use the fair market value (FMV) of the asset to assess your tax liability.

Special Exclusion: Non-Gift

An individual can gift an unlimited amount tax-free if your spouse is a U.S. citizen. If the spouse is not a U.S. citizen, then tax-free gifts are limited to an annually adjusted value— $175,000 in 2023 and $185,000 in 2024.

Some things are not gifts at all. These are:

Educational expenses for someone else
Medical expenses for someone else
Gifts and donations to political organizations

There are strategies for avoiding or minimizing the gift tax. The key ways to avoid this tax below.

Gift Splitting

One of the great benefits of being married is that it allows a doubling of gifts. Remember, the annual exclusion applies to the amount of gift that an individual can give someone else. This means that even if they file a joint tax return, spouses can each give $17,000 in 2023 and $18,000 in 2024 to the same recipient. This effectively doubles the allowable tax-free gift to an individual from a married couple. This strategy is known as gift splitting and enables wealthy couples to give substantial annual gifts to children,

grandchildren, and others. This gift can be in addition to, say, tuition paid directly to a grandchild’s school or college, which is exempted outright from the gift tax.

Trusts

The gift tax exclusion usually doesn’t apply to money distributed by gift in trust conveyances. But donors can give gifts in excess of the annual exclusion without paying taxes by establishing a special type of trust to receive and distribute the funds. There is a special version of a trust, referred to Crummey trust is the usual arrangement.

This allows the beneficiary to withdraw the assets within a limited time period such as 90 days or six months. This gives the beneficiary what the IRS calls a present interest in the trust and this sort of distribution can qualify as a nontaxable gift. Of course, the recipient can only take out a sum equal to the gift given to the trust.

An individual can gift more than the annual exclusion without reducing your lifetime gift tax exemption under certain 529 college savings plans. In these cases, you report this single large gift as being spread over five years on your tax return and file the form each year.

How Can Adultery Affect a Divorce in Pennsylvania?

Tue, 05 Mar 2024 03:21:12 GMT

PLAN YOUR LIVING WILL IN PA?

In Pennsylvania, as in all states, you need a legally accepted reason (or "ground") to get a divorce. The grounds for divorce in Pennsylvania include both fault and no-fault reasons . Among the fault-based grounds, you may get a divorce if the judge finds that your spouse has committed adultery. (23 Pa. Cons. Stat. § 3301(a)(2) (2022).)

Nearly two-thirds of marital unions result in divorce. If adultery has taken place in your marriage, there are several important things to know about how it’s going to impact your divorce. In Pennsylvania law, courts recognize adultery as a fault ground for divorce . When the cheating spouse is at fault because of his or her adulterous behavior, the penalty can be significant. When a divorce involves adultery, it can affect spousal support and alimony. The spouse who has committed adultery usually isn’t eligible for alimony in Pennsylvania.

Many people think of alimony as given to the woman, but it is actually given to the earner with the lower income. In Pennsylvania, alimony isn’t automatically given to the person of lower income. The court considers a wide range of factors before deciding whether or not a person must pay alimony to their former spouse.

The court examines these factors of both spouses, not just one side. These factors are:

Misconduct during the marriage,
Length of the marriage,
Financial need,
Assets and liabilities,
Education,
All sources of income,
Earning potential,
Potential inheritance,
Health,
Age.

Alimony in Pennsylvania doesn’t last forever. When the person receiving alimony improves his or her financial situation, the court may end payments. Sometimes, the court may rule that alimony must be paid for a certain period of time. Pennsylvania courts have the right to modify or end alimony based on the changing financial circumstances of both parties. However, if one party has committed adultery and the other spouse has not, then more than the adulterous party may likely to have to pay alimony because adultery falls under misconduct.

Adultery Affects Child Custody and Visitation

If a spouse’s infidelity has negatively impacted the children, then this can affect child custody and visitation rights. Without proof that a spouse’s adultery has negatively impacted the children, the adultery usually doesn’t influence a court’s decision on child custody and visitation.

Adultery Is Sometimes Not Considered Cause for Divorce

Pennsylvania law likely won’t recognize it as the cause behind your divorce if by words or by subsequent conduct the court can find that then adultery is forgiven or waived. Also, there might be a situation in which the state won’t acknowledge adultery when the cause for divorce is when both spouses cheated. However, alimony can still be given to the spouse with a lower income if both of you committed adultery. Further, a spouse having an affair with another isn’t adultery if consented to by the other spouse it or you received a benefit from it. An example of receiving a benefit from your spouse’s affair with another is knowingly spending money that was obtained from prostitution.

You Can’t Sue Someone for Adultery in Pennsylvania

People who commit adultery in Pennsylvania can no longer be prosecuted for it. However, a spouse can still be considered at fault for a divorce because of their infidelity. The court may give the adulterer a smaller portion of the property as a result of their infidelity.

However, when filing for divorce in Pennsylvania based on a spouse's adultery, the accuser needs to prove the adultery by "clear and convincing" evidence. (Crawford v. Crawford, 633 A.2d 155 (Pa. Super. Ct. 1993).) Circumstantial evidence (such as hotel receipts, phone records, emails, texts, and photos) may be enough to prove adultery. In other words, evidence does not need evidence of the actual sexual encounters, like video recordings.

If your spouse has accused adultery in the divorce papers, there are a number of arguments you can make to try to convince the court that adultery isn't a legitimate ground for divorce even if acknowledged that the accused had sex outside of your marriage.

To do this, you'd have to prove one of the following:

The accuser spouse also committed adultery,
The accuser spouse also engaged in sexual relations after your spouse learned of the adultery,
The spouse exposed the other to "lewd company" that led to adultery, or
if you engaged in prostitution, the other spouse either approved of it or accepted money resulting from it. (23 Pa. Cons. Stat. § 3307(b) (2022).)

Special Considerations

Under Pennsylvania law, judges may not consider consider adultery (as a form of marital misconduct) that happens after the spouses have permanently separated. (23 Pa. Cons. Stat. § 3701(b) (2022).) Although post-separation adultery, by itself, won't affect alimony decisions,

Pennsylvania law prohibits an alimony award to a spouse who cohabits with "a person of the opposite sex." Despite the statute's wording, which refers to entering into cohabitation "subsequent to the divorce", Pennsylvania courts have found that this prohibition also applies when a spouse who's seeking alimony lives with a new partner before the divorce is final, as long as their relationship is marked by "financial, social, and sexual interdependence." (23 Pa. Cons. Stat. § 3706 (2022); Moran v. Moran, 839 A.2d 1091 (2003).)

Pennsylvania is an equitable distribution state. This means judges will divide the couple's property in a way they believe is fair under the particular facts of each case. It's important to note that "equitable" doesn't necessarily mean an equal or “50-50” split. Pennsylvania law states that judges may not take marital misconduct into account when dividing the couple's marital property . Therefore, adultery won't play a role in a judge's decision about what would be fair when distributing the property. (23 Pa. Cons. Stat. § 3502(a) (2022).)

Gift and Estate Taxes & The IRS

Tue, 20 Feb 2024 03:10:40 GMT

IRS funding for the enforcement and collection of delinquent taxes was a significant part of the Inflation Reduction Act enacted in 2022. Included in the legislation was an appropriation of more than $45 billion that will be used to improve and expand IRS enforcement efforts, that is targeted specifically toward large corporations, large partnerships, and wealthy individuals. IRS audit rates are not expected to increase for those earning less than $400,000 a year. Notwithstanding consideration of the income level, essential valuations should allow taxpayers to strategically plan for the future since gift and estate planning strategies help individuals maximize their long-term financial success.

Part of this initiative, an increase in the enforcement of gift and estate tax returns. Gift and estate taxpayers can expect an increase in the IRS scrutiny with the additional funding allocated to enforcement efforts since during the past 10 years under 1% of total gift tax returns and approximately 10% of estate tax returns have been audited. This renewed focus will likely heighten valuation exposure since in many circumstances, valuations are required for gift and estate purposes, and a qualified valuator can leverage gifts through the application of various discounts.

For example, the value of a gift is determined at fair market value as of the date of the gift. For estate purposes, a fair market value is determined as of the date of the decedent’s death, or in some scenarios, an alternate date six months after the date of death. In some situations, such as with the business owned by the decedent, valuations are critically important and may require the engaging a qualified appraiser sine a failure to complete a proper valuation may lead to potential tax issues and exposure to IRS penalties.

As the IRS increases enforcement surrounding gift and estate filings, taxpayers should work closely with valuation professionals to ensure proper navigation of these complexities. For gift purposes, the annual exclusion and lifetime exemption are two planning strategies taxpayers should familiarize themselves with. In addition, individuals can avoid filing a gift tax return if the gift is less than the annual exclusion amount set by the IRS. For larger estates considerations, taxpayers are not required to pay gift taxes if their total lifetime gifts does not exceed the lifetime exemption limit.

Civil Cases: Mandatory Mediation Required in Court of Common Pleas of Allegheny County

Tue, 06 Feb 2024 03:09:04 GMT

The Court of Common Pleas of Allegheny County , which includes Pittsburgh Pennsylvania and the surrounding area, now requires mandatory mediation for most civil cases. This additional level of legal procedure is an attempt to settle civil cases; that are particularly complex and expensive to litigate. This mandatory requirement is a leading move toward alternative dispute resolution, which had been adopted and successful in federal courts that include the area of Allegheny County. With this new rule, parties must now factor mediation into litigation strategy. This mandatory procedure may be adopted by other counties over the next few years once they weigh in the success level in Allegheny County. It is always available by agreement of the plaintiffs and defendants in other counties, right now.

Under Local Rule 212.7 , parties must participate in a formal mediation process at least 45 days prior to the commencement of the assigned trial term. Parties may be excused from mediation only upon motion for “good cause” presented to the Judge in charge of calendar control or by agreement of all parties. Within 7 days of completing or waiving mediation, the plaintiff must file a certification with the Court that the claims were or are expected to be settled, or that the parties waived mediation. Further, upon motion, the same Judge may impose sanctions on parties or counsel for “failure to comply with this rule in good faith.” Areas that are exempt from this mandatory mediation requirement are arbitration appeals, asbestos cases, or landlord-tenant cases.

Naturally, timing is a key factor in making mediation more productive. It may be an incredibly useful tool since the economics of litigation and matters of judicial economy are factors to be considered. One should consider placing the mediation deadline after the close of discovery and filing of pre-trial statements, the new rule is designed to give litigants flexibility to choose the best time to mediate. However, some cases may benefit further by having earlier mediation to avoid significant discovery costs. On the other hand, cases that are more complex, such as those needing the exchange of expert reports, may require time and procedural adjustments before the parties would be ready to mediate.

The Worst Things You Can Do If You Inherit

Mon, 13 Nov 2023 02:06:27 GMT

When a person inherits from an estate, they receive a one-time windfall. While it can be beneficial, it comes with certain concerns relating to what you do, once you have received the inheritance. Consider the following:

Failing to Invest the Cash for the Long-Term

When you inherit, there is a good chance that you will inherit cash. There is a tendency to take that cash and keep it in the form of cash. However, the objective in most instances should be to get that cash invested to avoid the depreciating value of the relative inflation. When you invest funds in an alternative way, there may be a better opportunity, when leaving it in cash creates an opportunity cost. Lastly, the investment of the funds makes it less likely that you will spend the funds capriciously.

Refrain from Purchasing an Asset You Can't Afford or Maintain

One of the biggest mistakes heirs make with large sums of cash is buying an asset they can't maintain for the long term, such as an expensive home or a luxury item that one would not purchase normally. Remember, this is a windfall. The purchase is one thing. However, there are further costs of maintenance and the payments when you take the inheritance and use it as a down payment and then take on additional costs of financing.

Holding On to an Inherited Property You Can't Afford

Since not all inheritance comes in cash there may be a reason beyond an economic goal that makes one not want to otherwise liquidate it, even though liquidating it may be the right thing to do. An inheritance can be tricky, Often, heirs have an emotional attachment to an asset they can't afford to maintain. Consider the inheritance of the family home, which rests in the history of the heir, yet the home may require updating and maintenance that is risky when holding on to the asset in the future.

Failing to Diversify - Putting All Your Money in One Place

In general, putting all your money in one place, like a single stock or piece of real property, may be a bad idea. Make sure it is diversified even if you are considering real estate.

Speak to Your Lawyer or Find a Financial Advisor

If you've inherited money or an asset of some kind, speaking with a lawyer or a financial advisor may help you optimize your inheritance, so you don't risk losing it all or ending up in a worse financial situation than you were before the inheritance. Gaining advice on matters that you do not really understand is necessary, since the goal should be to help build a diversified portfolio that may include real estate or other big purchases, requiring money is sufficient to hold onto these assets for years to come.

Pennsylvania: WHAT YOU NEED TO KNOW ABOUT LIVING WILLS

Thu, 01 Jun 2023 02:48:42 GMT

PLAN YOUR LIVING WILL IN PA?

Creating a living will is an important step in ensuring that your healthcare preferences are respected in the event that you become unable to make decisions for yourself. By clearly stating your wishes in a legally binding document, you can help ease the burden on your loved ones during a difficult time. Don’t face the complex process of estate administration alone. From our office in Pittsburgh, Pennsylvania, our probate and estate administration attorneys proudly serve the surrounding areas of Greensburg, Washington, Waynesburg, Uniontown, and New Castle. For detailed guidance, reach out today, and schedule a meeting.

Living wills, also known as advanced directives , are legal documents that allow for specifying healthcare preferences in the event that an individual become unable to make decisions for end-of-life situations.

Living wills in PA are governed by the state’s Advance Directive for Health Care Act. This act defines the requirements for creating a valid living will and outlines the legal protections afforded to individuals who create them. Contact a living will lawyer at our law firm today for assistance in creating a valid living will.

CREATING A LIVING WILL IN PENNSYLVANIA

To sign a valid living will in PA, the individual must be at least 18 years old and of sound mind. It must also signed in the presence of two witnesses, who must also sign it. The witnesses cannot be your healthcare provider or someone who stands to inherit from an individual’s estate. A living will should clearly state healthcare preferences, including wishes regarding life-sustaining treatment. It is important to be as specific as possible, as this will help ensure that the relevant wishes are carried out, as intended. If preferences change, then one can update the document.

This document may include preferences for:

Resuscitation
Mechanical ventilation
Feeding tubes
Dialysis
Palliative care
Organ donation

WHEN DOES A LIVING WILL BECOME ACTIVE

Living wills in Pennsylvania become active when the attending physician determines that an individual is unable to make decisions and an individual has entered end-stage medical condition, is permanently unconscious, or have a serious illness or injury that is likely to result in death. An end-stage medical condition is defined as an incurable and irreversible medical condition in an advanced state caused by injury, disease, or illness. This condition is such that, even with the application of medical treatment, the individual’s life expectancy is limited, and the dying process has begun.

Examples are:

End-stage cancer
End-stage heart or lung disease
Extremely advanced Alzheimer’s disease or other forms of dementia
Final-stage kidney or liver disease

Once again, it is important to note that a living will only become active when the attending physician determines that there is an end-stage medical condition, a permanently unconscious, or have a serious illness or injury that is likely to result in your death. Until that point, you will be able to make your own healthcare decisions, and your living will does not come into effect.

LEGAL PROTECTIONS FOR LIVING WILLS IN PENNSYLVANIA

Pennsylvania law provides several legal protections for individuals who create living wills. These include:

Immunity from liability : Healthcare providers who act in good faith and in accordance with a valid living will are immune from liability for any resulting injury or death.
Informed consent : Before providing any treatment, healthcare providers must obtain informed consent from the patient or their healthcare agent unless the patient is unable to provide consent and there is no living will in place.
Dispute resolution : If there is a dispute regarding the interpretation or implementation of a living will, the case may be brought before a court for resolution.

What is a Reportable Defect that Needs Disclosed

Under Pennsylvania law, the Disclosure Statement makes it clear that a “defect” is a problem that would have a sizable impact on a home’s value or creates unreasonable risk . In other words, something like a missing section of baseboard wouldn’t be included, but a rotting roof would be. In most cases, it’s a situation of better safe than sorry. If on the fence about disclosing something, then one should definitely disclose, because it can protect you from future liability. It’s always safer and better to disclose than to not disclose. This duty includes the risk to the Seller’s agent.

The following are the exact topics that the State Real Estate Commission includes in the seller's disclosure document:

Seller's expertise in contracting, engineering, architecture or other areas related to the construction and conditions of the property and its improvements.
When the property was last occupied by the seller.
Zoning.
Condominiums and planned communities/details.
Home Owners” Associations (HOA) details.
Roof and attic condition and considerations.
Basements and crawl spaces.
Termites/wood destroying insects, dry rot and pests.
Structural items, Additions, remodeling and structural changes to the property.
Water supply.
Sewage systems or service.
Plumbing system.
Water heating.
Heating.
Air conditioning.
Electrical system.
Other equipment and appliances included in the sale.
Land/soils.
Flooding, drainage and boundaries.
Hazardous substances.
Miscellaneous threats to property.

Mutual Duty to Inspect: Disclosures Are Not a Substitute for Inspections by the Seller or the Buyer

The seller’s disclosure only contends with issues that the seller is aware of, or reasonably should be aware. A home with a leak, for example, can reasonably be expected to have a bad roof. So a seller needs to act reasonably to inspect the property being sold. As a result sellers are frequently advised to get a pre-inspection for their home so that they know beforehand what is likely to come up as an issue. Why not just wait for the inspection, considering the buyer will be less likely to back out at that point? A listing agent can advise the best path forward, but this way, sellers have a chance to fix the problem at their own pace, rather than having to pay premium contracting prices while under contract. Buyers should do their due diligence when buying a home, considering it’s one of the largest investments of their life.

A seller’s disclosure is not a substitute for an inspection, and shouldn’t be treated as one. An inspection can often and typically will uncover problems the seller wasn’t aware. However, waiting for the inspection to reveal problems can lead to a hurried resolution and require the seller to drop the home’s price by more than they were hoping.

Disclosure Helps the Seller Protect Themselves

It’s not uncommon for homeowners to push back against their agent’s advice for disclosure. Naturally, the Seller should not want to jeopardize their home’s ability to sell especially if it’s in regard to an issue they’ve already solved. So the disclosure is ultimately there to protect the seller, as well. Some sellers are hesitant because they think it will harm the potential salability of their home. Yet, it may or it may at the suggested selling price. However, the risk of the cost of litigation needs to be considered in the balance. Even brand new homes have problems. You’re just protecting yourself by disclosing. Therefore, noting something in the disclosure is unlikely to dissuade serious buyers, because every single house they look at has existing issues. They may not even care at all. But by informing them, a Seller is actively protecting yourself from future litigation.

Lying on the PA Disclosure Statement

Many homeowners may be wondering what happens if they fail to disclose. Because the stakes are so high in real estate, litigation is fairly common for failing in the duty to disclose. Failing to disclose something important about the property, is very likely that the Seller will either need to settle (which means paying to fix the problem), or hire a lawyer.

Misrepresentation and fraud are the two legal actions sought for failing to adequately disclose on a Seller’s Disclosure Statement. That misrepresentation can be either an omission which is failure to disclose, or, a commission which is trying to hide some material defect. Whether or not found to be at fault will depend on whether the new homeowner can prove the Seller reasonably knew there was an issue with the property. For example, if there was water damage to a wall and the Seller attempted to paint over it to hide it can be used as evidence against the Seller. A claim can also be made using information gathered from neighbors, insurance claims, and even utility bills.

If the court agrees that the Seller is at fault, one can be held liable not only for the cost of repair, but for other damages the owner experienced as well. PA does not allow punitive damages for disclosure, which means that you won’t be asked to pay additional money as a way to “send a message” to other home sellers. Of course, the representations that are not truthful can give way to a separate action of Fraud, which may allow for punitive damages.

In some of the more extreme cases, courts have allowed the reversal of a sale. PA does not require the seller, to pay the lawyer’s fees for the buyer if you lose, which helps to reduce frivolous claims.

Under section 7311 of the law, a buyer has two years to bring legal action for a disclosure issue.

Are Disclosures Still Required for Homes Selling As-Is or That Have Never Been Lived In?

Many sellers opt to sell a home “as is” to reduce the amount of time it takes to close the deal. These sellers are still responsible for disclosure. After all, disclosure doesn’t require the seller to fix the problem - one just need to inform the buyer it exists, so that they can make an informed decision about how much your home is worth. The same goes for homes that the seller has never lived in: a disclosure is still required as part of the sale. Even if never living in the home, such as if the one inherited or if you’ve invested in it, there needs to be a property disclosure on file. Even if the answer to these questions is ‘I don’t know,’ it is still needed.

Can the Inspector or Agent be Held Liable Instead of the Seller?

Although it's their job to inspect the home for the sort of structural, electrical, and plumbing problems that would lead a buyer to sue, inspectors are rarely held liable for not uncovering something. Even in cases where it might be obvious that they didn’t do the due diligence, home buyers often sign a contract with inspectors that limits the buyer’s ability to sue later.

Similarly, real estate agents cannot be held responsible unless they were informed of a major defect and chose to ignore it, or advised their client not to disclose it. Unfortunately home inspectors can and do miss things; sometimes from simple oversight, other times because problems are deep within the home’s structure and extremely difficult to observe.

What Will Not be Covered in a Pennsylvania Disclosure

Every state has a unique set of disclosure obligations. In PA, you are not required to disclose the presence of unsavory neighbors, deaths that took place in the home, crimes that occurred in the house, or paranormal activity. Disclosure also distinguishes between defects which is required, as opposed to normal wear and tear, which is not required. An appliance or feature nearing the end of its usable life isn’t considered a defect. If you’ve had your HVAC system for 17 years, one knows it’s probably going to need to be replaced soon. While this is useful information for the buyer and helps determine the home’s overall value, this is not regulated by disclosure laws. In other words, the disclosure statement is not a warranty.

Detailed Explanation of the PA Disclosure Form

PA Disclosure form Real Estate -- Residential

PA Disclosure form for Real Estate Statute

The main areas are as follows:

Seller's expertise in contracting, engineering, architecture or other areas related to the construction and conditions of the property and its improvements.

In most cases, the Seller would answer “no” to this section. The exception would be if you are actually an experienced architect, engineer, etc.

When the property was last occupied by the seller.

If the Seller is not currently occupying the property, that will require a disclosure of why not. This can mean the home has been empty, rented out, or if the property is an inheritance. Even if y the Seller has not lived in the home, the Seller still needs to fill out the form to the best of your knowledge and may mean further that there is an accessing of any existing repair/maintenance records.

Condominiums and other homeowners associations.

The Seller need to state whether your property is a condominium, cooperative or home owner association HOA and note the annual or monthly fee amount.

Roof and attic.

The Seller needs to note when the current roof was installed, whether or not documented, and whether or not there are any issues with leaking. Not surprisingly, this is important to buyers since roof problems can be expensive to fix or replace. Similarly any issues with downspouts and gutters need to be disclosed, as well.

Basements and crawl spaces.

When it comes to basements, the main concern is flooding and further, the issue of mold. The Seller needs to note whether there is a sump pump, whether there is any dampness, and whether you’ve ever done anything to control issues of flooding or dampness. Flooding and plumbing issues are among the most common disclosures.

Termites/wood destroying insects, dry rot and pests.

Termites cause $5 billion in damages every year to homes in the US. The Seller needs to note not only damages you’re aware of, but also note if you’ve had any pest treatments during the past five years.

Structural items.

Structural problems cover everything from a shifting foundation to wall deterioration. Past damage from a house fire or ice counts as a structural item. The Seller needs to note any external problems, like issues with driveways or patios.

Additions, remodeling and structural changes to the property.

Did you remodel or make an addition? It’s important to note that DIY updates that turn out to have been improperly done often turns up as issues in disclosure, and work done without permits can raise red flags.

Water supply.

Whether water is from a well, a community system or the public supply, Seller needs to note it. For non-public water, the Seller needs need to disclose the most recent testing results.

Sewage systems.

The property served by a sewage system; whether public, private or community, disclosure is required as to when it was installed or connected. Any tanks, cesspools, or sewage pumps on the property need to be noted.

Plumbing system.

If there have been any issues with plumbing including things like your hot water heater and bathroom fixtures.

Water heating.

The Seller needs to check off how your water is heated, whether that’s electric, natural gas, geothermal, etc., as well as record the number of water heaters and any existing problems.

Heating.

This section concerns the heating system - covering everything from fuel types such as electric, geothermal, wood, solar, etc. to system types as forced hot air, steam, radiant heat, and now solar. Also, disclosure is needed is whether you have any chimneys and the condition and whether they have been maintained.

Air Conditioning.

In this section, the Seller needs to note what type of systems exists -- whether central electric or central gas AC. Also, the Seller needs also to note which rooms of the property have no AC or heating. This section also covers water heating and cooling.

Electrical system.

Improper wiring or wiring not up to code are things that he Seller needs to note. Lawn sprinklers, smoke detectors, and security alarm systems also fall under this category, as well as all of the typical kitchen and washing appliances. You also need to note whether any appliances in the home are in need of repair or replacement.

Other Equipment and Appliances.

Every item that’s included with the property needs to be checked off. Items range from washers and dryers to pool covers and smoke detectors. Any issues or repairs with listed equipment also need to be noted.

Land/Soils.

If you know your home has something like expansive soil - which can create foundational issues for homes, even if it hasn’t yet - you’ll need to note it here. This section also concerns property rights, specifically when it comes to natural resources. If there’s ever been a transfer or lease of oil or timber on the property, for example, the Seller needs need to note it.

Flooding, Drainage and Boundaries.

If the Seller needs lives within a flood zone or wetland area, then this needs to be disclosed. The seller’s disclosure extends to other uses of property that would impact a homeowner’s experience. The Seller needs to note any boundary disputes such as your neighbor claiming that your fence is on their land, etc. If there’s a shared common area, like a driveway or a dock, you’ll need to both note the area as well as indicate any existing maintenance agreement you have with other homeowners.

Presence of hazardous substances.

This section pertains to hazardous substances like (but not limited to) lead paint, radon, and asbestos. If you’ve tested for these substances and the tests were negative, you’ll need to circle “yes.” If the home was built before 1978, both the seller and buyer need to sign a lead paint disclosure that says lead paint could have been used on the property. This is a federal law and true for every state.

Miscellaneous threats to property.

This is a catch all for everything else, and encompasses both liens and issues with the property’s title. In other words, if for some reason you’re not fully, legally entitled to sell the property, then the Seller needs need to note it. This section also requires you to note any material defects with the property that were not covered by the rest of the form. The legal test is whether or not the item can have a significant impact on the property’s worth, or presents an unreasonable risk to people living there. If the answer is “yes”, then disclose.

The Seller’s Disclosure is a Normal and Expected Part of Selling a Home

Home sellers shouldn’t worry about having to disclose. It’s a completely normal part of the home selling process, and buyers expect to encounter issues and are ready to deal with it. Better to disclose it because while disclosure protects the buyer, it also protects the seller. Ultimately, seller disclosure laws help reassure homebuyers that they understand what they’re buying into, while protecting sellers against unwarranted litigation. It is better to be honest that sorry.

Problems with Seller’s Disclosures Under PA Real Estate

Mon, 22 May 2023 02:36:20 GMT

Introduction

Since the sale or the purchase of a parcel of real estate tends to be the most significant asset and transaction the individuals will make, the risk of litigation can be the largest one that one will encounter. Historically, the risk of a bad purchase fell directly on the Buyer. Caveat Emptor - Buyer be Aware - was the standard in the law. However, the evolution of the law changed the risk to be one of a shared risk; where the Seller was given the duty to disclose to the Buyer certain matters, referred to as defects. The duty to disclose may be part of a commercial transaction, however, this type of transaction is less actionable because a commercial Buyer is viewed as being more sophisticated.

In Pennsylvania, home sellers are required by law to disclose the condition of their home. When selling a home, legal obligations exist when it comes to disclosure. In short, home sellers are required to inform potential buyers of all known defects with their property, including defects that may be hidden from the naked eye (like electrical or roof issues). Failure to do so can lead to expensive litigation, in addition the cost of fixing the problem.

What PA Seller’s Disclosures Covers

The Duty to disclose regarding Real Estate Transactions is quite comprehensive and states as follows: in Pennsylvania Stature § 35.284. Disclosures required by the Real Estate Seller Disclosure Law are, as follows:

(a) A licensee who represents sellers or a transaction licensee who has entered into an agreement with sellers shall:

(1) Advise sellers of their duty to disclose any known material defects with the property by completing a property disclosure statement that satisfies the requirements in 68 Pa.C.S. §7304 (relating to disclosure form).

(2) Provide sellers with a property disclosure statement that meets or exceeds the disclosures set forth in §35.335a (relating to seller property disclosure statement).

(3) Deliver the completed property disclosure statement or the property disclosure statement marked ‘‘refused’’ to the buyer, the licensee who represents the buyer or the transaction licensee who has entered into an agreement with the buyer prior to the execution of an agreement of sale.

(b) A licensee who represents buyers or a transaction licensee who has entered into an agreement with buyers shall:

(1) Advise buyers that the sellers have a duty to provide a completed property disclosure statement.

(2) Assure that the completed property disclosure statement or the property disclosure statement marked ‘‘refused’’ was delivered to the buyer prior to the execution of an agreement of sale.

(c) Licensees described in subsections (a) and (b) are required to disclose, to the buyer in writing, all material defects that are not otherwise disclosed and of which the licensee has actual knowledge.

(d) Licensees described in subsections (a) and (b) are not required to conduct an independent investigation to confirm seller’s disclosures on the property disclosure statement.

What is a Reportable Defect that Needs Disclosed

The following are the exact topics that the State Real Estate Commission includes in the seller's disclosure document:

Seller's expertise in contracting, engineering, architecture or other areas related to the construction and conditions of the property and its improvements.
When the property was last occupied by the seller.
Zoning.
Condominiums and planned communities/details.
Home Owners” Associations (HOA) details.
Roof and attic condition and considerations.
Basements and crawl spaces.
Termites/wood destroying insects, dry rot and pests.
Structural items, Additions, remodeling and structural changes to the property.
Water supply.
Sewage systems or service.
Plumbing system.
Water heating.
Heating.
Air conditioning.
Electrical system.
Other equipment and appliances included in the sale.
Land/soils.
Flooding, drainage and boundaries.
Hazardous substances.
Miscellaneous threats to property.

Mutual Duty to Inspect: Disclosures Are Not a Substitute for Inspections by the Seller or the Buyer

Disclosure Helps the Seller Protect Themselves

Lying on the PA Disclosure Statement

Under section 7311 of the law, a buyer has two years to bring legal action for a disclosure issue.

Are Disclosures Still Required for Homes Selling As-Is or That Have Never Been Lived In?

Can the Inspector or Agent be Held Liable Instead of the Seller?

What Will Not be Covered in a Pennsylvania Disclosure

Detailed Explanation of the PA Disclosure Form

PA Disclosure form Real Estate -- Residential

PA Disclosure form for Real Estate Statute

The main areas are as follows:

Seller's expertise in contracting, engineering, architecture or other areas related to the construction and conditions of the property and its improvements.

In most cases, the Seller would answer “no” to this section. The exception would be if you are actually an experienced architect, engineer, etc.

When the property was last occupied by the seller.

If the Seller is not currently occupying the property, that will require a disclosure of why not. This can mean the home has been empty, rented out, or if the property is an inheritance. Even if y the Seller has not lived in the home, the Seller still needs to fill out the form to the best of your knowledge and may mean further that there is an accessing of any existing repair/maintenance records.

Condominiums and other homeowners associations.

The Seller need to state whether your property is a condominium, cooperative or home owner association HOA and note the annual or monthly fee amount.

Roof and attic.

The Seller needs to note when the current roof was installed, whether or not documented, and whether or not there are any issues with leaking. Not surprisingly, this is important to buyers since roof problems can be expensive to fix or replace. Similarly any issues with downspouts and gutters need to be disclosed, as well.

Basements and crawl spaces.

When it comes to basements, the main concern is flooding and further, the issue of mold. The Seller needs to note whether there is a sump pump, whether there is any dampness, and whether you’ve ever done anything to control issues of flooding or dampness. Flooding and plumbing issues are among the most common disclosures.

Termites/wood destroying insects, dry rot and pests.

Termites cause $5 billion in damages every year to homes in the US. The Seller needs to note not only damages you’re aware of, but also note if you’ve had any pest treatments during the past five years.

Structural items.

Structural problems cover everything from a shifting foundation to wall deterioration. Past damage from a house fire or ice counts as a structural item. The Seller needs to note any external problems, like issues with driveways or patios.

Additions, remodeling and structural changes to the property.

Did you remodel or make an addition? It’s important to note that DIY updates that turn out to have been improperly done often turns up as issues in disclosure, and work done without permits can raise red flags.

Water supply.

Whether water is from a well, a community system or the public supply, Seller needs to note it. For non-public water, the Seller needs need to disclose the most recent testing results.

Sewage systems.

The property served by a sewage system; whether public, private or community, disclosure is required as to when it was installed or connected. Any tanks, cesspools, or sewage pumps on the property need to be noted.

Plumbing system.

If there have been any issues with plumbing including things like your hot water heater and bathroom fixtures.

Water heating.

The Seller needs to check off how your water is heated, whether that’s electric, natural gas, geothermal, etc., as well as record the number of water heaters and any existing problems.

Heating.

This section concerns the heating system - covering everything from fuel types such as electric, geothermal, wood, solar, etc. to system types as forced hot air, steam, radiant heat, and now solar. Also, disclosure is needed is whether you have any chimneys and the condition and whether they have been maintained.

Air Conditioning.

In this section, the Seller needs to note what type of systems exists -- whether central electric or central gas AC. Also, the Seller needs also to note which rooms of the property have no AC or heating. This section also covers water heating and cooling.

Electrical system.

Improper wiring or wiring not up to code are things that he Seller needs to note. Lawn sprinklers, smoke detectors, and security alarm systems also fall under this category, as well as all of the typical kitchen and washing appliances. You also need to note whether any appliances in the home are in need of repair or replacement.

Other Equipment and Appliances.

Every item that’s included with the property needs to be checked off. Items range from washers and dryers to pool covers and smoke detectors. Any issues or repairs with listed equipment also need to be noted.

Land/Soils.

If you know your home has something like expansive soil - which can create foundational issues for homes, even if it hasn’t yet - you’ll need to note it here. This section also concerns property rights, specifically when it comes to natural resources. If there’s ever been a transfer or lease of oil or timber on the property, for example, the Seller needs need to note it.

Flooding, Drainage and Boundaries.

If the Seller needs lives within a flood zone or wetland area, then this needs to be disclosed. The seller’s disclosure extends to other uses of property that would impact a homeowner’s experience. The Seller needs to note any boundary disputes such as your neighbor claiming that your fence is on their land, etc. If there’s a shared common area, like a driveway or a dock, you’ll need to both note the area as well as indicate any existing maintenance agreement you have with other homeowners.

Presence of hazardous substances.

This section pertains to hazardous substances like (but not limited to) lead paint, radon, and asbestos. If you’ve tested for these substances and the tests were negative, you’ll need to circle “yes.” If the home was built before 1978, both the seller and buyer need to sign a lead paint disclosure that says lead paint could have been used on the property. This is a federal law and true for every state.

Miscellaneous threats to property.

This is a catch all for everything else, and encompasses both liens and issues with the property’s title. In other words, if for some reason you’re not fully, legally entitled to sell the property, then the Seller needs need to note it. This section also requires you to note any material defects with the property that were not covered by the rest of the form. The legal test is whether or not the item can have a significant impact on the property’s worth, or presents an unreasonable risk to people living there. If the answer is “yes”, then disclose.

The Seller’s Disclosure is a Normal and Expected Part of Selling a Home

Marital Misconduct and Alimony in Pennsylvania

Wed, 23 Nov 2022 03:10:44 GMT

Marriages can end without fault. Agreeing to merely move forward in life is the best thing to do under the circumstances. However, a marriage may also end because one spouse or the other did something that significantly eroded the relationship to the point that it could not be repaired. Commonly, it is referred to as marital misconduct and this may alter the outcome of your divorce in Pennsylvania. More specifically, marital misconduct can be taken into account when a judge determines alimony.

Generally, marital misconduct is committed by one spouse and leads to an intolerable condition for the other. As a result, the eventual breakdown of the marriage cannot be fixed or repaired. You may first think of extramarital affairs. However, it may include other types of things that are not what one would think about at first glance. While relationships outside of the marriage are certainly a common type of marital misconduct, other things include; alcoholism, drug addiction, physical and emotional abuse, desertion, and bigamy are also examples of marital misconduct. Additionally, one individual being imprisoned for committing a crime may be considered misconduct, as well as extreme financial distress caused by an individual’s reckless spending or destruction of assets.

Marital Misconduct Affects Alimony

Under Pennsylvania Code Section 3701(b), a court can take the marital misconduct of your or your spouse into consideration when deciding if alimony is necessary, as well as making a further determination of the amount of alimony and how long is may last. If alimony is at issue, then a spouse’s misconduct, may be considered by the court which means it may consider an affair, addiction, or abuse when granting financial support. If you seek alimony and committed the misconduct, your actions may reinforce a denial.

In Pennsylvania, the statute lays out 16 other factors that are relevant when deciding to grant alimony, the amount, and duration, including:

Each person’s earnings and earning capacity
Each person’s age and physical, mental, and emotional health
Each person’s sources of income, including insurance, retirement, and other benefits
Any expected inheritances
The length of the marriage
The contribution of each person to the other’s education, training, or greater earning capacity
Whether and how much a person’s financial obligations and earning capacity will be affected by serving as primary custodian of a child
The standard of living during the marriage
The education of each party and the time the party seeking alimony would need to acquire necessary education or training to gain employment
The assets and liabilities of each person
The property each person brought into the marriage
The contribution of a spouse as a homemaker
The needs of each person
The tax consequences of alimony on each person
Whether the person asking for alimony lacks property to provide for his or her needs
Whether the person asking for alimony is capable of supporting his or herself through appropriate employment

Marital Misconduct and Property Division

According to Pennsylvania Code Section 3502(a), the court will equitably divide the marital estate without regard to marital misconduct. Under the law, the court will not award you more of the marital estate if you were negatively affected by marital misconduct. However, there is a rare exception, in which the court considers infidelity if it negatively impacted your marital finances. For example, if in an affair considerable amounts of marital funds were used in order to support the third party or purchase the third-party lavish gifts or vacations, then the court may reduce or otherwise adjust that infidelity of that spouse’s portion of the marital estate by that amount.

My Parent Remarried. Will the New Spouse Inherit Everything?

Thu, 22 Sep 2022 01:59:29 GMT

The remarriage of a parent can sometimes be stressful for the kids. Even if you are happy that your parent moved on and found a new spouse, the remarriage may trigger a number of questions. One of them is, “ Will the new spouse inherit everything now that my parent is remarried? ”

Can the remarriage of a parent affect the inheritance rights of children from a previous relationship or marriage? That is a tricky question to answer because everyone’s situation is different. You may want to speak with an experienced estate planning attorney to discuss your parent’s remarriage and inheritance rights.

At Luvara Law Group LLC, our attorneys are dedicated to helping clients in Pittsburgh, Pennsylvania, and the neighboring areas address their concerns regarding inheritance rights. From our office in Pittsburgh, we also serve clients in New Castle, Washington, Greensburg, Uniontown, and Waynesburg.

Dying Without a Will in Pennsylvania

Dying without a will is referred to as “dying intestate” in Pennsylvania and other states. Contrary to popular belief, intestate succession does not mean that the state will inherit everything when a person dies without a will. Instead, probate courts in Pennsylvania follow the laws of intestate succession to distribute the decedent’s property to their heirs.

Intestate succession laws are designed to protect the inheritance rights of the surviving spouse and children. If your parent dies after remarriage and their new spouse is not your parent, getting a fair share may become more complicated. However, it does not mean that you, as a child, do not have inheritance rights just because the surviving spouse of your parent is not your parent.

Pennsylvania Intestate Succession Law

If you want to understand your inheritance rights under Pennsylvania’s intestate succession law, you need to know which assets are subject to succession when a person dies without a will. Intestate succession law only affects the assets that pass through probate. Examples of assets that do not go through probate and will not be subject to intestate succession laws include:

Assets transferred into a living trust
Securities held in transfer-on-death accounts
Funds in retirement accounts and life insurance proceeds with a named beneficiary
Property owned with other individuals in tenancy by entirety or joint tenancy
Real estate with a transfer-on-death deed
Automobiles with a transfer-on-death registration

The assets above will pass to the named beneficiary or surviving co-owner of the asset if a person who owns them passes away.

Will a Decedent’s Spouse Inherit Everything if There Are Surviving Children From a Previous Relationship?

As a child of a parent who has recently remarried or passed away after marrying someone who is not your parent, you may wonder if you still have any inheritance rights or if the parent’s new spouse will inherit everything.

Fortunately, Pennsylvania law provides legal protections for a decedent’s children in such situations. Under the state’s intestate succession law, the surviving spouse is entitled to the first $30,000 of the decedent’s estate and 50% of the remaining estate as long as all surviving children are the surviving spouse’s children.

What if there are surviving children from a previous relationship or marriage? Under Pennsylvania law, if at least one of the surviving children is not a surviving spouse’s child, the surviving spouse will not receive the first $30,000 of the estate. In that case, the surviving spouse will receive only 50% of the estate.

Pennsylvania law provides special protections for children from previous relationships/marriages because it presumes that the deceased person’s new spouse may not care and provide for the decedent’s kids after the spouse’s death.

Get Compassionate Legal Advice

If your parent remarried, you might fear that you could be left out of your parent’s estate. In that situation, you may need to seek legal advice from an experienced estate planning attorney to navigate the intricacies of intestate succession laws in Pennsylvania. Our attorneys at Luvara Law Group LLC can address your concerns regarding your parent’s remarriage and inheritance rights. Contact our office in Pittsburgh, Pennsylvania, for a case evaluation.

What If I Don’t Agree With the Executor of the Estate?

Sat, 27 Aug 2022 01:52:46 GMT

When a person dies, another individual will be appointed to serve as the executor of the estate to deal with the deceased person’s property and money. However, the person appointed to that role may not be the best candidate for the job, which is why disputes and disagreements may happen.

If you do not agree with the executor of your loved one’s estate, you may want to explore your options for seeking the removal of the executor. Contact an estate planning attorney to discuss the steps you can take to remove the executor of the estate if there are valid grounds to do so.

With more than 75 years of combined legal experience, our attorneys at Luvara Law Group LLC can advise you on the appropriate course of action in your particular case. From our office in Pittsburgh, Pennsylvania, we serve individuals and families throughout the state, including Washington, Uniontown, Greensburg, New Castle, and Waynesburg.

Valid Reasons to Remove an Executor

Even if there are valid grounds to remove an executor, you must have “standing” to petition the court for the removal of the executor. In legalese, “standing” refers to the legal right of a particular individual to initiate legal action.

In cases involving the removal of an executor, people who want to have the executor removed must be any of the following “interested parties”:

Beneficiaries of the estate
The deceased person’s heirs
Creditors

Once you establish standing, you must show that there are valid reasons to remove the executor of the estate. Valid grounds to remove an executor include but are not limited to:

Incompetence . You can remove the executor of the estate if you can prove that the person appointed to that role is not qualified (or not competent) for the position.
Misconduct or failure to perform duties . The executor of the estate has an obligation to perform specific duties. If an executor fails to carry out their duties or engages in misconduct or mismanagement when doing their job, interested parties can seek their removal.
Conflict of interest . An executor of the estate must handle estate assets appropriately and comply with applicable laws. If an executor has a conflict of interest (e.g., they act in a self-interested way when administering assets), they can be removed.

Just because you do not agree with the executor of the estate does not mean that you can seek their removal. To remove the executor, you must (1) have standing to initiate legal action and (2) establish one of the valid grounds for the removal.

Taking Action if You Don’t Agree With the Executor

When managing estate assets and supervising the distribution of the deceased person’s property, the executor of the estate has a fiduciary duty to act reasonably and in the best interests of the estate and its beneficiaries. Unfortunately, that is not always the case.

It is not uncommon for beneficiaries to disagree with the executor of the estate. If you do not agree with how the executor performs any of their duties or oversees the affairs of your loved one’s estate, you may be able to take legal action. However, the best thing to do before initiating removal proceedings is to communicate with the executor and make your complaints known to them.

If talking to an executor does not solve the problem, you can proceed with a petition to the probate court. When asking the court to remove the executor of the estate, you need to clearly identify the reasons for the removal.

Once the court receives your petition, it will evaluate the situation to determine whether there are valid grounds for the removal. If the executor is removed, the court will appoint a successor executor named in the deceased person’s will. If the decedent did not name a successor, the court would appoint another competent person to serve as the executor.

How Legal Counsel Can Help

If you do not agree with the executor of the estate, consult with an experienced attorney to determine whether you have valid grounds to initiate removal proceedings. Our estate planning attorneys at Luvara Law Group LLC can review the details of your case and advise you of your options. We have an office in Pittsburgh but serve clients throughout the state of Pennsylvania. Contact us today to talk about your situation.

What Happens to a Reverse Mortgage After Death?

Sat, 09 Jul 2022 01:47:38 GMT

In Pennsylvania, a reverse mortgage loan is available to seniors who are 62 years or older. By taking out a reverse mortgage, a homeowner can obtain a home loan with no monthly mortgage payments while using their property as security. However, when the consumer dies, the surviving loved ones may be concerned about the outstanding loan. An experienced Pennsylvania real estate attorney can enlighten you about what happens to a reverse mortgage after the borrower’s death.

At Luvara Law Group LLC, we’re dedicated to offering experienced legal counsel and reliable advocacy to clients in real estate legal matters, including reverse mortgages. Our skilled attorneys can enlighten you about how a reverse mortgage works and explore your possible options to satisfy the debts or loan balance when the borrower dies. We’re proud to serve clients across Pittsburgh, Uniontown, Greensburg, Waynesburg, Washington, and New Castle, Pennsylvania.

How a Reverse Mortgage Works

A reverse mortgage can be described as a financial arrangement that allows eligible homeowners – 62 years or older – to convert their home equity into an installment or lump-sum payment. The purpose of a reverse mortgage is to help retired seniors with supplementary income to meet their living and healthcare expenses using the accumulated wealth in their property. As long as the borrower continues living in their home, they don’t have to make any monthly mortgage payments.

Who Is Eligible?

In order to be eligible for a reverse mortgage, you must meet the following requirements:

You must be at least 62 years old.
You must be living in your home as your primary residence.
You must be the outright owner of the property.
You must have enough financial resources and assets to pay for property taxes, homeowners insurance, and HOA fees.

If you are an eligible homeowner who is looking for cash to meet your everyday living expenses, you can use your house as an advantage by applying for a reverse mortgage. The major benefit of getting a reverse mortgage is that you don’t need to pay back the loan until it becomes due and payable.

What Happens After Death

The loan balance on a reverse mortgage becomes due and payable following the passing of the borrower and eligible non-borrowing spouse. Upon their death, the heirs will receive a due and payable notice from the creditor or lender. The survivors or heirs will have up to 30 days from receiving the notice to pay off the reverse mortgage and settle the outstanding debt.

The available options to pay off the reverse mortgage after the death of the borrower include:

Purchasing the home
Selling the property to satisfy the mortgage balance
Turning the property over to the lender by providing them with a deed instead of foreclosure

Essentially, a reverse mortgage isn’t free money. The recurring payments made to the borrower by the lender have to be repaid. The heirs may have to sell or vacate the property. In the event that the reverse mortgage property is inherited, the beneficiary – spouse, family member, or friend – will be responsible for the loan when it becomes due and payable.

How a Knowledgeable Attorney Can Help

Seniors may be eligible to take out a reverse mortgage loan by converting their home equity. However, a reverse mortgage isn’t free money and must be paid back once the borrower dies, sells, or vacates the property. An experienced real estate and family law attorney can explore your available options to resolve the loan balance when the borrower dies and help you determine the best course of action.

At Luvara Law Group LLC, we have the diligence and expertise to advise and guide clients in complex real estate matters involving the repayment of reverse mortgage loans. As your legal counsel, we can review your unique situation and help determine the best way to satisfy the loan balance once the borrower passes away. Also, our attorneys will work diligently with the non-borrower spouses and heirs to resolve reverse mortgage disputes peacefully and quickly.

Contact Luvara Law Group LLC today to schedule a simple case assessment with knowledgeable real estate attorneys. Our trusted team can offer you the personalized legal guidance and brilliant advocacy you need. Our firm proudly serves clients across Pittsburgh, Uniontown, Greensburg, Waynesburg, Washington, and New Castle, Pennsylvania.

Does a Spouse Inherit Everything in Pennsylvania?

Thu, 09 Jun 2022 01:42:04 GMT

If you lose a spouse, unless there is a living trust, you and any other remaining family members will have to undergo probate proceedings to distribute the decedent’s assets to beneficiaries.

If your spouse left a will, then that document will ultimately determine who gets what, but if your spouse dies without a will – called dying intestate – then the probate court – called Orphan’s Court in Pennsylvania – will divide the estate according to the state laws of intestacy or inheritance.

Not every asset is considered part of a person’s estate upon death. Jointly held assets, insurance, and retirement policies with a named beneficiary pass directly to the other spouse, named co-owner, or beneficiary. Only assets held in the decedent’s own name are subject to probate.

If you’ve just lost a spouse in or around Pittsburgh, Pennsylvania, and are facing probate and have questions, contact the probate administration attorneys at the Luvara Law Group LLC.

With more than 75 years of combined experience, our attorneys can answer all your questions and help you navigate the probate process to protect your interests. We proudly serve clients in Greensburg, Washington, Waynesburg, Uniontown, and New Castle, Pennsylvania.

Which Assets Are Subject to Probate?

If your spouse dies with a will, that document will generally be the final word on who gets what. As noted earlier, however, certain assets transfer immediately without going through probate proceedings in an Orphan’s Court. These assets include:

Property held in joint tenancy or tenancy by the entirety
Life insurance proceeds with a named beneficiary
Funds in a retirement account such as a 401(k) or IRA with a designated beneficiary
Payable-on-death bank accounts
Securities held in a transfer-upon-death account

These assets will pass to the other spouse or named co-owner or beneficiary without the need for probate. Only assets held solely in the decedent’s name are subject to probate and division by the law of intestacy if your spouse dies without a will.

Understanding Intestate Succession

If your spouse dies intestate – without a will – the probate judge will use its law of intestacy to determine who gets what, usually by percentage. In Pennsylvania, what portion of the estate the spouse receives under intestacy depends on whether the deceased had living parents or descendants – children, grandchildren, or great-grandchildren.

The shares distributed are pretty straightforward under two circumstances: First, if there is a surviving spouse but no parents or descendants, and second, if there are children but not a spouse. In the first case, the spouse gets everything, and in the second case, the children get everything.

After those simple scenarios, things get a bit more complicated. If there is a spouse with descendants from the spouse and the deceased, the spouse inherits $30,000 plus one-half of the remaining estate. The children get the other half.

Suppose a spouse dies with $450,000 in assets. The spouse would get $30,000 plus half of the remaining $450,000, or $210,000. The children would get the other $210,000 split among them.

The same formula applies if there are just a spouse and parents surviving the deceased spouse. The spouse would get $30,000 plus one-half of the remaining estate, and the parents would get the other remaining half.

If there is a spouse and surviving descendants from the deceased and someone other than the surviving spouse, then the current spouse inherits one-half of the estate, and the descendants get the other half. If there are parents but no surviving spouse or descendants, the parents get everything. If there are siblings but no spouse, parents, or descendants, the siblings inherit everything.

Seek Reliable Legal Guidance

Probate proceedings can be lengthy and costly if heirs, would-be beneficiaries, or creditors raise objections, but without a will, the state will pretty much decide everything. To protect your own interests, however, it is advisable to seek legal guidance as you navigate probate.

If you’ve just lost a spouse in or around Pittsburgh, Pennsylvania and you’re about to enter probate, contact us at the Luvara Law Group LLC. We can help you exercise your rights and protect your interests. Reach out to us immediately, we also serve clients in Greensburg, Washington, Waynesburg, Uniontown, and New Castle, Pennsylvania.

Are Handwritten Documents Valid in Estate Planning?

Wed, 04 May 2022 01:36:46 GMT

Estate planning documents are best handled with the assistance of an experienced Pennsylvania estate planning attorney. However, if you have a will or found a will belonging to a deceased person, you may be wondering whether it is valid, especially if it is a handwritten document.

With more than 75 years of combined experience and a record of successful representation of estate planning clients in Pittsburgh, Pennsylvania, and surrounding communities including New Castle, Greensburg, Uniontown, Waynesburg, and Washington, Luvara Law Group LLC can answer your questions. We are here to listen and help.

Are Handwritten Wills Even Valid?

Handwritten estate planning documents are those usually written by the person who owns the estate, referred to as the “testator.” They may be printed, written in cursive, or a combination of the two, but they are not typed on a typewriter, computer, or other instruments.

Wills are the most common handwritten instruments. They are called “holographic wills” and are not legal in every state. They are, however, legal in Pennsylvania probate jurisdictions if executed properly.

What Is Required for a Handwritten Will to Be Valid?

In Pennsylvania, a handwritten will may be written by the testator or by someone else at the direction of the testator. To make it valid, the testator must meet the minimum requirements of all will creators. They must be at least 18 years of age, of sound mind with the capacity to understand the contents and ramifications of the will, and they must sign it with their name or mark.

Handwritten wills must be signed by two people who witness the testator’s signature. The testator must tell the witnesses the document is their last will and testament and sign the will in front of the witnesses. Then, the witnesses must sign their names attesting to the authenticity of the document. The actual contents of the will are not reviewed by the witnesses, but only the declaration of the testator and the writing of the testator’s signature.

A handwritten will that is not witnessed and signed by those witnesses after they watch the testator sign the document renders it invalid. Two witnesses are required, so one does not suffice. Moreover, the witnesses must have no interest in the estate. In other words, neither can be a beneficiary of the estate.

What Challenges May Arise With a Handwritten Will?

The fact that the probate court with proper jurisdiction accepts the validity of a handwritten will does not mean those with an interest in the estate are excluded from challenging its validity. Handwritten documents are challenged far more often than those that are typed and executed under the guidance of an estate planning attorney.

Some of the more common challenges raised to render a will invalid include:

Although the will does not need to be in the handwriting of the testator, it may be more easily challenged if it is not.
If anything is written after the signatures of the testator and the two witnesses, the addition may be challenged. Only what appears above the signatures is assumed to be valid.
If any evidence exists that indicates the testator was coerced or forced to sign the will or was misled as to the contents of the will prior to signing, it may be rendered invalid.
If either witness is determined to have an interest in the estate, the validity of the will may be challenged.
The validity may be challenged by evidence of the testator’s lack of mental capacity to create a will.

How an Experienced Attorney Can Help

A will declared invalid is like having no will at all. To protect your will and other estate planning documents from challenges, you should work with experienced estate planning attorneys to make sure they comply with Pennsylvania law.

If you are ready to begin estate planning (it’s never too early) or if you have questions about the validity of someone else’s handwritten will in or around Pittsburgh, Pennsylvania, call Luvara Law Group LLC.

ESOP is Not a Fable

Thu, 14 Apr 2022 01:30:25 GMT

President Joe Biden’s proposed tax plan has created both an opportunity and some concerns about the prospective increase in capital gains tax and the impact on ESOP formation which is one of the key tax benefits to current sellers in the 1042 rollover. IRS Code Section 1042 is an elective provision that allows individuals, partnerships, trusts, and estates that sell shares of stock of a C-corporation to an ESOP to choose not to recognize the long-term capital gain realized in connection with the sale for federal income tax purposes by investing in eligible US securities. By doing so, the recognition of the capital gain is deferred until a future point in time. Under the code it is currently, the 1042 rollover allows the seller to defer tax on the sale of the company stock if the transaction closes as a C corporation if they invest in stocks and bonds. Then, at the time of an owner’s death, the estate has a stepped-up value that essentially eliminates capital gains.

Should this provision be eliminated, it would take away an ESOP transaction’s competitive advantage compared to a third-party purchaser. The Biden Administration has been viewing changes because of its acumen to have employees more empowered and participating in the growth and profitability of companies where they work. As of February 2021, the Secure Act extends the 1042 benefits to S corps owners and makes two ESOP incentives accessible in a single transaction. Companies can sell to an ESOP trust and become income-tax-free entities as 100% employee-owned S corps. At the same time, the selling shareholders can defer and potentially eliminate their capital gains burdens into the future.

The elimination of the stepped-up value at death could put a damper on ESOP transactions. While some pundits believe the elimination of the stepped-up value will decrease the incentives to form ESOPs, other authorities believe that, in an increased tax environment, any opportunity to defer taxes is a benefit. Further changes may take place since to goal of the Biden Administration is to be pro-labor and as well looks to disseminate corporate governance away from the hands of a few.

While a critical aspect of the proposed Biden tax plan is an increase in corporate taxes and since currently, ESOP contributions are tax-deductible, while there has been no suggestion that this status will change, expect there to be adjustments in favor of the ESOP participation qualities and the use of ESOP as a tool of corporate ownership since the use of pre-tax dollars in the ESOP transaction potentially creates a competitive advantage for ESOP-run companies.

Increased ESOP Formation May be the Wave of the Future

Studies show that employee-owned companies are more productive, grow faster, experience less employee turnover, and are more profitable than other companies. Because of these dynamics, it only makes sense that there will be an acceleration of ESOP activity. However, understanding the implication ESOPs have on the insurance market since the ESOP structure requires that the ESOP shares shall not be owned by employees, but rather, by an ESOP Trust formed and formulated in favor of the employees.

ESOP trustees have the following significant responsibilities:

Maintaining ERISA compliance of the plan based on the process agreement between the ESOP and the Department of Labor.
Monitoring the board of directors during the year and representing the best interest of all parties.
Performing due diligence for the transactions, including hiring the third-party appraiser for the fairness opinion and fair market value for the ESOP transaction.
Appointing the board of directors. If a company is 100% owned by an ESOP, the ESOP trustees have significant control of the board.

Remember, there will be a Board of Directors for an ESOP, separate and apart for the Board of Directors of the participating entity that has invited the use of an ESOP. Likewise, it therefore has similar obligations as all board of directors, including Duty of Care, Duty of Loyalty, and Duty of Obedience, yet, are separate, apart and unique in its perspective of these duties to protect those who are the participants in the ESOP.

However, differences in an ESOP structure create more exposure that may be subject to understanding ESOP laws, valuation and repurchase of stock, stricter consideration for executive pay, and balancing the needs of a founder if they still own a percentage and the beneficiaries of the ESOP. Therefore ESOP disclosures are crucial to helping employees understand the ESOP rollout, ESOP liquidity, and ESOP taxation that are part of good governance.

Prospective ESOP Issues Under the Biden Tax Plan

Expect the Biden Administration to initiate bold initiatives to empower ESOP participation for employees, so as to make it more efficient and manageable; even for smaller companies. Some macro-economic changes will be made. First, if there is an increase in ESOP transactions, there currently are not enough third-party trustees to support the growth. Secondly, consider in this difficult insurance market is that the number of insurers who are willing to underwrite both the ESOP transaction and the independent ESOP trustees has been reduced. Finally, the limits of liability the carriers are willing to provide is a challenge. However, this could create a new industry to empower ESOP participation, including an extension of the insurance from the instituting company of the ESOP to provide insurance protection since it will have an insurable interest.

Family Law FAQs

Tue, 12 Apr 2022 01:25:44 GMT

At Luvara Law Group LLC, we’re committed to hearing your side of the story so we can fully understand your needs and help you recognize what options are in front of you. Whether you’re going through a divorce, child custody negotiation, or any other aspect of family law, we’re here to help. When life throws you a curveball, you need someone on your side who knows how to listen and help.

Luvara Law Group LLC proudly serves clients in Pittsburgh, Pennsylvania, and throughout the surrounding areas including Greensburg, Washington, Waynesburg, Uniontown, and New Castle. Call us today to get started.

Family Law FAQs

I was just served with divorce papers. What are my next steps?

If you’ve been served with divorce papers, you have 90 days to respond. At this point, there is nothing you can do to stop the divorce from happening, but you do have an opportunity to have your voice heard. The best thing you can do is meet with an attorney who can help you understand the terms your spouse has laid out and assist you in submitting your response. Most importantly, since this tends to be an emotional time, someone needs to listen to you and help you process the steps that are going to take place and which ones you can affect. You need to know what to do and what not to do.

How long will it take to get divorced in Pennsylvania?

This will depend on the terms of the divorce and whether it’s contested or uncontested. An uncontested divorce can take as few as 90 days, while a contested divorce could take a year or longer. If a couple is unable to communicate with one another and can’t come to agreements on alimony, child support, asset division, and other matters, the process can be drawn out for several months and at times, for years. The goal at Luvara Law Group is to reduce the time of this litigation in order to keep your legal costs lower. We believe that if we help you accomplish this, you will be more apt to refer us to others you know who need legal help.

What is the difference between a legal separation and a divorce?

A legal separation is not as binding as a divorce, but it can often be the first step. A legal separation is more of a factual separation and is not recognized as being legal within the statutes of Pennsylvania. However, separation allows any agreements on joint assets to end and can allow couples to draw up agreements on child custody and support that can be used in the interim before the final divorce.

When is mediation a good option?

Mediation is often a preferable way to go about divorce in Pennsylvania, especially if you’re on decent speaking terms with your spouse (even if they’re not your favorite person right now) and if you’re trying to save money. During this process, a divorcing couple meets with a trained, neutral mediator, who may or may not be an attorney, and who helps to facilitate building an atmosphere of understanding of the respective issues in conflict and allows the litigants to come to agreements on asset division, spousal support, child support, custody, and more.

Who gets to keep the home during a divorce?

Pennsylvania is an equitable distribution state which means that assets are split fairly but not necessarily equally, and this applies to homes as well. If your home was jointly owned and considered marital property (meaning it wasn’t acquired before the marriage or called out in a pre-or post-nuptial agreement), a judge can allow one partner to live there, but this will usually mean the spouse who stays must buy the other one out. You may also choose to sell the house and split the proceeds evenly. Additionally, if one gets the house, the other may get an offsetting asset or series of assets. The debt on the house may need to be addressed as part of the negotiation or litigation.

How do I make or modify a child visitation schedule?

Once a child visitation schedule is confirmed by the court and put into place, it’s very important that it’s followed. Withholding visitation for reasons like missing alimony payments or late child support is strictly prohibited and could jeopardize your custody arrangement. Your first step if you want to modify your schedule is to talk with your co-parent. If you both agree on a new schedule, a judge will almost always approve it. If your co-parent does not agree to a change, you can request that the court review your schedule.

I'm not sure I'm the child's father. What are my options?

The issue of paternity must be resolved for issues concerning child custody, visitation, and support. If you have doubts about whether you’re the biological father, you should file a "Petition to Determine Paternity" with the courts where you can take a DNA test to establish (or disestablish) paternity.

Family Law Attorneys in Pittsburgh, Pennsylvania

If you’re looking for a family law attorney you can trust in the Pittsburgh, Pennsylvania area, call Luvara Law Group LLC. We have over seven decades of combined experience working with clients in our community. Let’s discuss your situation today. Let us listen to you.

Pennsylvania Covenants Not to Compete

Tue, 22 Mar 2022 01:19:27 GMT

With the recent realignment of business as a result of the pandemic, restriction over employee changes in employment have caused a rash or legal conflicts. It seems to be as a result of business owner and management attempts to protect against the hemorrhaging which occurred in sales and profitability because of the crisis of COVID.

Increasingly, the circumstances surrounding the employee’s separation or termination from employment are also a factor that must be considered to determine if the non-compete restriction should be enforced. As a general matter, restrictive covenants are considered a restraint of trade and are looked upon unfavorably

In Pennsylvania, there is no statute that specifically addresses restrictive covenants. Instead, courts decide the reasonableness of the restrictions under traditional contract law principles in deciding whether a non-compete and non-solicit agreement is valid and enforceable.

Employers engaged in enterprises that involve trade secrets and confidential or proprietary business information are increasingly entering into agreements with employees that include confidentiality provisions, covenants not to compete, and covenants not to solicit. But in these difficult economic times, when employees are involuntarily separated from their employers in a reduction in force or downsizing, is that non-competition agreement enforceable?

Increasingly, the circumstances surrounding the employee’s separation or termination from employment are also a factor that must be considered to determine if the non-compete restriction should be enforced. In Insulation Corporation of America v. Brobston. Brobston, a longer-termed salesperson, was knowledgeable about confidential corporate information such as overhead costs, profit margin, dealer discounts, and customer pricing, marketing strategy and customer contract terms of his employer. Information of this nature was a business interest able to be protected under the “non-disclosure” covenant of the employment contract.

The Superior Court reversed the trial court’s injunction against Brobston’s competing with the company, stating that the “salesman, discharged for poor sales performance, cannot reasonably be perceived to pose the same competitive threat. The employer’s business interests as the salesman whose performance is not questioned, but who voluntarily resigns to join another business in direct competition with the employer.”

Cases after Brobston find Pennsylvania courts suggesting that employees who leave their employers through no fault of their own may also escape the restrictions of their non-compete agreements. In All-Pak, Inc. v. Johnston, the Superior Court was sympathetic to employees terminated for reasons beyond their control, perhaps opening the door for employees affected by downsizing or layoffs to claim that their non-compete agreements should not be enforced. This is not to say that the attitude of the court will not be susceptible to countervailing arguments, since compelling arguments in challenging economic times, as have recently transpired due to COVID, maybe employers’ legitimate business interests are even more in need of protection from competition than ever.

In the end, there are two over-riding areas of conduct that may allow for a first impression analysis, two trends emerge from these cases. Terminating employment for poor performance relative to the company’s legitimate business interests cannot turn around and prevent that former employee from competing with them. On the other hand, an employee terminated for misconduct or disloyalty will not be able to avoid his non-compete obligations.

The First 72 Hours After

Mon, 21 Mar 2022 01:17:47 GMT

Being involved in a motor vehicle accident, getting served with divorce papers, or being arrested or indicted for a crime can be difficult and overwhelming experiences. The moments following any of these incidents or events can be confusing to sort through. However, what you do – or fail to do – in that period can significantly determine the aftermath. An experienced Pennsylvania attorney can help you understand your unique situation and determine the best way to protect your legal rights.

At Luvara Law Group LLC, our attorneys have the diligence, resources, and skills to assist, support, and guide clients through difficult situations in their lives. As your legal counsel, we will review and investigate all of the facts of your case and explore your possible legal options. Also, our trusted team can offer you the comprehensive legal guidance, advocacy, and vigorous representation you need to pursue fair financial compensation for your injuries and damages, navigate crucial decisions in your divorce, or defend yourself against any criminal charges.

Luvara Law Group LLC proudly serves clients across Pittsburgh, Uniontown, Washington, Waynesburg, New Castle, and Greensburg, Pennsylvania.

The First 72 Hours After an Accident

The moments and hours following an auto accident can be really emotional and unsettling. However, what you do – or do not do – within the first 72 hours after the incident can have a massive impact on the outcome of your personal injury claims. When involved in an accident, you should take the following steps where possible:

Remain calm.
Get to safety and help other victims to safety, if you can.
Call 911 to get emergency medical help for injuries to yourself and other accident victims. Notwithstanding the extent of your injuries, you should still get adequate medical treatment from a qualified physician for your overall health and safety, for property documentation, and to avoid possible issues with the insurer.
Report the accident to the police or law enforcement agency. Under Pennsylvania law, all accidents that cause injury, death, or vehicle damage must be reported within five days of the crash.
Collect all relevant personal information and vehicle information. Personal information includes the other driver’s name, phone number, address, license number, and insurance policy number. Vehicle information includes the vehicle’s make and model, license plate number, and Vehicle Identification Number (VIN).
Document the police report, accident scene pictures, and witness testimonies and statements.
Document your medical bills, medical treatment, doctor’s appointments, personal account of the incident, and how it has affected your daily life.
Notify your insurance company about the auto accident. Some insurance companies require accident victims to notify them within a specific time period.
Hire an experienced attorney to help file your injury claims, negotiate a fair settlement with the insurer, or take additional legal action where possible.

It is important that you take these steps sooner rather than later to avoid forgetting crucial details or misplacing important documents. A skilled Pennsylvania personal injury attorney can help protect your legal rights and seek rightful compensation for your injuries.

The First 72 Hours After Being Served/Serving Divorce Papers

Divorcing be an overwhelming experience for all parties involved. With heightened emotions and the psychological toll involved in a marital dissolution, someone going through a divorce can easily make costly mistakes without proper guidance or experienced legal representation. Here’s what to do during the first 72 hours after serving or after being served with divorce papers:

Hire a well-informed divorce attorney to help evaluate your unique circumstances and explore your available legal options.
Review, serve, or respond to the divorce papers and make a counterclaim.
Protect your assets and legal rights and manage your finances.
Gather and document all required information and documentation from your spouse.
Review options with legal counsel, including uncontested divorce, contested divorce, or mediation.

A divorce or legal separation can have huge long-term implications on different aspects of your life, including your family, children, finances, and assets. An experienced Pennsylvania family law attorney can offer you the detailed legal guidance and reliable advocacy you need to navigate important decisions in your divorce and help you move forward quickly.

The First 72 Hours After an Arrest

Every day, many individuals in the Commonwealth of Pennsylvania are arrested and charged with an offense. If you’re under investigation for a crime or if you are facing criminal charges, here’s what to do:

After your arrest and before any charges, you have the right to remain silent.
Retain a defense lawyer to investigate all the surrounding facts of your case and build your defense.
Avoid speaking to anyone without the consent or presence of your lawyer.
Be polite during the arrest or search process.
Document the events leading to your arrest.
Document what happened while you were in custody.
Ask the arresting officer about your charges.
Communicate effectively and work with your attorney to post bond or bail.
Do not post on social media or reach out to your accuser.
Do not hide or leave out any slight details from your defense lawyer.
Answer questions as truthfully as possible.
Keep your defense attorney up-to-date and well-informed about the entire situation.

Navigating the criminal justice system or defending your allegations without experienced representation can expose you to the possibility of suffering the maximum punishments. Therefore, when facing criminal charges, you need to hire an aggressive Pennsylvania criminal defense attorney to help strategize your defense and keep your record as clean as possible.

How Luvara Law Group LLC Can Help

The first 72 hours after being involved in a car accident, being arrested and charged with a crime, or being served with divorce papers are the most critical. How you respond and act during that time will significantly affect the outcome of your case. Moreover, defending criminal charges, pursuing injury claims, or resolving divorce issues often involve several complexities. Therefore, it is imperative that you retain an experienced attorney that fits your unique situation.

With over 75 years of combined experience, our attorneys have devoted their careers to providing knowledgeable and comprehensive legal services in several practice areas. Whether you are trying to pursue your deserved compensation for your injuries, make intelligent decisions regarding your divorce, or defend yourself against criminal accusations, we will fight diligently to protect your best interests and guide you through every phase of the legal process from start to finish. Having our team on your side can improve your chances of achieving the best available outcome in your case.

If you or someone you know was injured in a negligent car accident, thinking about filing for divorce, or facing criminal charges, contact Luvara Law Group LLC today to schedule a simple case assessment. Our trusted attorneys can offer you the highly-personalized legal guidance, support, reliable advocacy, and dedicated representation you need. We’re proud to serve clients across Pittsburgh, Uniontown, Washington, Waynesburg, New Castle, and Greensburg, Pennsylvania.

Privacy Article

Wed, 02 Mar 2022 02:05:44 GMT

Recently, candidates for Michigan's next attorney general said they believed that Griswold v. Connecticut , the 1965 Supreme Court decision that said contraceptive purchases which were shielded by a right to privacy was wrongly decided . One of the candidates stated that, “This case, much like Roe v. Wade, I believe, was wrongly decided because it was an issue that trampled upon states' rights," said former Michigan House Speaker Tom Leonard. "It was an issue that should have been left up to the states."

Griswold v. Connecticut is a landmark case that established U.S, citizens’ right to privacy under the Constitution. The case involved Estelle Griswold, the executive director of Planned Parenthood, and the Connecticut court, which found Griswold and other medical professionals in violation of a state law that criminalized counseling and other medical treatment regarding contraception to married couples. Griswold, argued that Connecticut’s law and subsequent punishment to Griswold was in violation of citizens’ privacy.

The case called into question whether the Constitution protects the right of privacy, specifically marital privacy, against state’s restrictions. In a 7-2 ruling, the Supreme Court concluded that Connecticut’s state law against contraceptives and counseling violated a “zone of privacy” that is inherent in the Constitution. Even though the Constitution does not explicitly protect a general right to privacy, there are various degrees within the Bill of Rights that create penumbras, or zone, and establish a right to privacy. It combined, the First, Third, Fourth and Ninth Amendments to create the reasoning for the constitutional right to privacy in marital relations. The opinion in Griswold rested and was inferred the right to privacy from the Ninth Amendment — which sensibly but somewhat ironically spells out that not all rights are spelled out in the Constitution.," The conservative move will be to eliminate the right to privacy, since some will look to the failure of the constitutional founders to announce the right as existing.

While other Michagan candidates following the same proposition, along with Mr. Leonard, attempted to walk back their statements and conveying that they have no interest in banning birth control, the ground is ripe for the next abridgment of women’s (and men’s) rights to contraception and the fundamental underlying right, an implied right under the constitutional decisions to privacy. They did not walk back the idea of limiting the holding in Griswold, which seems to be the way legislatures have moved of nearly fifty years against Roe v. Wade.

Ironically, privacy is being challenged during a time when privacy is such a concern from matters such as technology that can actually observe a person though its transactions, its telephone, through a GPS, and commands to devices within the confines of one own home to turn off the lights. When privacy would otherwise seem to be the subject of further protection, because of the” sex rights” derived from privacy, the idea of protecting privacy seems to be treated as a secondary concern. Yet it is privacy which is paramount.

Since Griswold has long been a thorn in the foot of conservative institutions, whether it is the Catholic Church or the conservative strains of a political movement, does that mean that privacy will be a collateral target; intended or otherwise? The rights of privacy associated directly or indirectly with sexual rights has been seen as a liberal seminole decision that gave root the ideology and the a foundation for the Supreme Court's later Roe v. Wade ruling guaranteeing abortion rights. The reactionary conservative reaction is really not that new since both presidential candidates, Mitt Romney and Rick Santorum, criticized the ruling during a debate. That same year, the late Justice Antonin Scalia went so far as to declare that "there is no right to privacy."

Whether the current Supreme Court agrees is an open question overturn Roe v Wade, or limiting Griswold, or curtailing the implied right to privacy remains to be seen. The recent ascendance of the court's 6-3 conservative supermajority places into question otherwise seemingly settled precedents; e.g., voting rights, religious freedom and other contentious issues. Looking at the law as vector of both direction and time, the direction for attacking privacy will continue until there is a reason to change. At this time, one should not expect a change from this conservative legal vector.

Oklahoma: Pregnant Women are Suspects of a Future Crime for Conduct Outside the State

Fri, 18 Feb 2022 02:01:13 GMT

The Oklahoma Legislature started its 2022 session with a slew of bills that might be characterized as anti-abortion bills. Eleven bills were filed before the legislative session even started and is therefore setting a tone that the abortion freedom rights are to be further attacked. The governor has promised already that he would sign any abortion restriction sent to him; even for bills which clearly go beyond what’s allowed by Roe v. Wade .

Normally, an evolving law from the bill, would immediately get bogged down in the court system. Yet the legal landscape has changed since women’s reproductive rights and their dominion and control of their own bodies could actually end and allow laws such as those in Oklahoma to become law given the looming U.S. Supreme Court ruling in Dobbs v. Jackson Women’s Health Organization , which could upend five decades of women’s rights.

Oklahoma seems to be filling its agenda with the aspiration that Roe v. Wade will be severely curtailed or even eliminated as a basis for a fundamental right for women’s protected reproductive rights. An Oklahoma Senator, has filed a bill that would track every woman who has an abortion. Under the Every Mother Matters Act , women will be required to register with pre-abortion services, which will attempt to dissuade them from having an abortion. The registered woman will complete a form for “an assessment of eligibility” and then the agency will advise them on things like housing, child care and job searches.

It appears that the women cannot use the “pre-abortion resource” anonymously, but on the hotline will have to provide their data and be given a “unique identifying case number” which will go on their medical files for seven years, creating a database of women who receive legal abortion care, even outside Oklahoma. Once again, this bill proposes a data base of women who are pregnant; as if to treat a woman as a prospective suspect of a crime for having a natural and legal condition of being pregnant and might decide to terminate.

According to the senator, “Many women facing unexpected pregnancies turn to abortion because they feel like they have no choice. We want to make sure they have an opportunity to connect with medical, financial and other resources that they may not know about. This legislation will do that as well as provide screening to identify those who’ve been victims of crime so that, with the woman’s consent, a report can be made to the appropriate law enforcement agency.” Yet, the use of the agency is not based on a “means test” for any of the alleged opportunities for services that it is supposed to provide; rather, it carves out the application to only those who re pregnant and creates a specialized subset.

Last year, Oklahoma passed a six-week abortion ban; a “trigger” ban if the high court rules against Roe v. Wade, a total ban and restrictions on medication abortion and other measures restricting reproductive rights ; although most of them have been blocked in lower courts. The 2022 pre-filed bills include two six-week abortion bans and a total ban with enforcement mechanisms similar to those in Texas, where deputized private citizens may sue to enforce the law. Other proposed measures give personhood status to fetuses, ban abortion at 30 days and add a constitutional amendment declaring Oklahoma does not protect the right to abortion.

Where will the effort to eliminate the women’s productive rights go from here? Could it be a revisit of the Dred Scott decision, which required that slaves be returned to their master in a state allowing slavery, even though they had entered the protection of a free state? While Dred Scott was much more comprehensive, it seems that the chipping away of women’s right is moving in a similar vector.

In Dred Scott v. Sandford , decided by the U.S. Supreme Court on March 6, 1857, declared that Black people, whether free or enslaved, could not be American citizens and were thus constitutionally unable to sue for citizenship in the federal courts . (The Dred Scott decision was eventually overturned by the 13th Amendment in 1865 and the 14th Amendment in 1868.) The leaving of a salve state and then entering a free state could not be a basis for questioning their status.

Dred Scott, the plaintiff in the case, was an enslaved man and his enslaver was John Emerson of Missouri. In 1843, Emerson took Scott from Missouri, a pro-slavery state, to the Louisiana Territory, where enslavement had been banned. When Emerson later brought him back to Missouri, Scott sued for his freedom in a Missouri court, claiming that his temporary residency in the “free” Louisiana territory had automatically made him a free man. In 1850, the state court ruled that Scott was a free man, but in 1852, the Missouri Supreme Court reversed the decision.

The case made its way to the United States Supreme Court, where Court announced its 7-2 decision against Dred Scott on March 6, 1857. In the Court’s majority opinion, Chief Justice Taney wrote that enslaved people “are not included, and were not intended to be included, under the word 'citizens' in the Constitution, and can, therefore, claim none of the rights and privileges which that instrument provides for and secures to citizens of the United States.”

In the Oklahoma legislation, which does have a strong chance of passing, the label of being “pregnant” requires a woman to register for having a mere natural condition of being with child and which is not illegal. The act of being pregnant is not illegal, but the surveillance of a legal condition is being inventoried and being done for a period of seven years; not much differently of blacks being inventoried as property. Leaving the state of Oklahoma for an abortion, then coming back afterward, would tend to allow a woman to then be followed or followed-up upon, to see if she is still pregnant after leaving a state where her status as having a less fettered right to have abortion access?

When a woman comes back, is she subject to a crime for what she did in another state? Will the Oklahoma legislature be prompted to further amend the legislation’s now instituted statute so as to allow such an application since the now no longer pregnant woman to return to a status associated with Oklahoma? Will the government or even regular citizens acting as a quasi-vigilante, now be able to maintain an action based on her returned status to Oklahoma and now not being pregnant; or, for leaving the state and changing her status? Is this an attempt to empower state-citizenship over being a citizen of the United States?

The evolution of the state legislating actions, whether Oklahoma or any other state, will continue to be a subject of review, in light of the current make-up of the Supreme Court and the rulings on pending cases and on others that may find their way to the Court in the future.

Athletic Competition and Institutionalized Manipulation from Gambling

Fri, 11 Feb 2022 01:54:32 GMT

Former Miami Dolphins head coach Brian Flores is suing the NFL , and various other teams for discrimination regarding coaching interviews and was treated unfairly by the Dolphins during his three seasons in Miami. Flores further alleges he was pushed to tank the Dolphins in order to improve their draft position.

During the 2019, Flores led the team to a 5-11 record, winning three of their last five games. Flores alleges that team owner Stephen Ross wanted him to intentionally lose games. He went on to say that Ross even offering a bounty for losses. Alleged is that Stephen Ross, told Mr. Flores that he would pay him $100,000 for every loss, and the team’s General Manager, Chris Grier, told Mr. Flores that “Steve” was “mad” that Mr. Flores’ success in winning games that year was “compromising [the team’s] draft position.”

Similarly, in the 2021 season, sportscasters were wondering why two teams playing during a certain game would not consider the idea on “taking a knee” so they could both get into the playoffs, as opposed to going for the win; thereby sacrificing the loser of that game and to allow the Pittsburgh Steelers into the chase for the Super Bowl? Is this a justifiable consideration? Is that decision as part of that game? Or, is there just too much money in the game and outside the game in the gambling world?

Is this business judgment flying in the face of sports integrity? If it is as was accused, is the long-term capacity of a team to win, and further, the gambling revenue from sporting events, institutionalizing manipulation.

The notion of sports integrity means playing the game according to the rules, resulting in “fair and honest performances and outcomes, unaffected by illegitimate enhancements or external interests. Sports integrity has both on-field and off-field components. Currently, for preserving the multibillion-dollar sports industry, it is essential for the public to believe in the integrity of the games or events. The outcome of a sporting competition needs to be genuine. A key characteristic of on-field integrity is outcome uncertainty. Competitive sport is supposedly unscripted, leaving open the possibility of an upset and a surprise.

Likewise, the very legitimacy of the “sport product” and its appeal to fans depends on this unpredictability and authenticity. Authenticity in turn requires that all game participants use their best efforts. It should be free from the manipulation of the competition. Therefore, competition manipulation has been defined as: “an intentional arrangement, act or omission aimed at improper alteration of the result or the course of a sports competition in order to remove all or part of the unpredictable nature of the aforementioned sports competition with a view to obtaining an undue advantage for oneself or for others.” COUNCIL OF EUROPE CONVENTION ON THE MANIPULATION OF SPORTS COMPETITIONS 3 (2014) . More to the point, match-fixing occurs when contestants are “willing to reduce their effort contribution for specific matches if the rewards for doing so are large enough” for example because gambling provides “an opportunity to generate returns on the insider information.” Ian Preston & Stefan Szymanski, Cheating in Contests, 19 OXFORD REV. OF ECON. POL’Y 612 (2003). 20 INT’L OLYMPIC COMM., HANDBOOK ON PROTECTING SPORT FROM COMPETITION MANIPULATION.

A competition “fix” may be motivated by financial gain, e.g., enabling a winning bet, or by sporting advantage, e.g., manipulating to affect seeding in a tournament or to guarantee advancement. But what if the logistics of a sporting league, such as the National Football League, does in fact allow or at least turns an eye to the notion that by creating a losing season when a winning season is currently not obtainable or will otherwise not result in a net gain beyond winning a game or games, constitutes justification for essentially throwing a game or two because of the standings and related drafting opportunities in the following season may be advantageous? Does this behavior or predisposition beyond the sporting event then being played, constitute a legitimate “business decision” for the long-term prospects for a team’s future, balanced against time when the eventual corruption is exposed and the values associated with sport are exposed as a farce?

Compare or contrast this to the notion of “sport spreads,” which is a way of handicapping a game so as to a balanced a sporting event for the purpose of betting? Can decisions even effect the game that is currently taking place, as it relates to the spread in that game, which can be justified by the decision to consider the drafting rights in order to turn around a bad or mediocre team into a better one?

Sports manipulation may becoming a “legal crime” that imposes tangible injury on real victims, namely the sport’s governing body, and its fans, sponsors, related industries, and non-complicit participants such as coaches of the various teams. Gambling, which ruined so many famous players’ reputations may find that what they did in their times, is now watered down by the merger of the sports being played and the wager. Bet on it!

The National Football League -- The Rooney Rule

Thu, 10 Feb 2022 01:49:24 GMT

The NFL adopted the Rooney Rule in 2003 based on recommendations made by the league’s Workplace Diversity Committee. It was named after then-chairman of the committee, Dan Rooney, the late owner of the Pittsburgh Steelers. In effect the NFL is attempting to do more than just placing the “End Racism:” logo on players’ helmets.

Over the years, the Rooney Rule has expanded to include a greater number of positions across NFL clubs. In 2009, the policy was amended to include general manager jobs and equivalent front-office positions, requiring each team to interview a minimum of two external minority candidates.

In November 2020, team owners approved a proposal rewarding teams who developed minority talent that went on to become GMs or head coaches across the league. If a team lost a minority executive or coach to another team, that team would receive a third-round compensatory pick for two years. If a team lost both a coach and personnel member, it would receive a third-round compensatory pick for three years. Then, in 2021, the NFL approved changes requiring every team to interview at least two external minority candidates for open head coaching positions and at least one external minority candidate for a coordinator job. Additionally, at least one minority and/or female candidate must be interviewed for senior level positions including for the club president and other senior executives. In recent years, the National Football League Workplace Diversity Committee has proposed additional changes to strengthen the Rooney Rule. The updates “bolster the current Rooney Rule requirements and are intended to create additional opportunities for diverse candidates to be identified, interviewed, and ultimately hired when a vacancy becomes available,” including:

Clubs must interview at least two diverse candidates from the Career Development Advisory Panel list, or a diverse candidate not currently employed by the club.
Clubs must conduct an in-person interview with at least one external minority candidate for any GM or head coaching interview.
Clubs must continue to consider multiple diverse candidates.
Clubs must maintain complete records and provide them to the league upon the Commissioner’s request.
If the final decision maker is involved from the beginning of the hiring process, they must be involved through the conclusion of the process.

In light of recent lawsuits, this Rooney Rule is going to be mentioned in the press and during virtually all professional football games and talk shows This attention on this Rooney Rule may permeate to practices in hiring beyond the hiring of management positions in professional sports. It may be adopted in areas of traditional business employment and hiring.

Finding Hidden Income and Assets

Fri, 04 Feb 2022 01:43:36 GMT

In a Pennsylvania divorce, couples are expected to divide marital assets equitably and fairly. Unfortunately, some spouses go to the extent of hiding assets and finances to avoid sharing them with their estranged spouses. Through discovery, divorcing spouses can find any hidden income and assets or get the other party to admit to specific statements. Our experienced Pennsylvania family law attorneys can help assist with the divorce discovery process and help you navigate crucial decisions.

At Luvara Law Group LLC, our attorneys have the expertise, diligence, and resources to help clients navigate the complexities of divorce and property division. As your legal counsel, we can help investigate all financial accounts, joint tax returns, personal and business transactions. Also, our skilled attorneys can seek to uncover any hidden income, property, and other assets and help recover what is rightfully yours. Our firm proudly serves clients across Pittsburgh, Washington, Greensburg, Uniontown, Waynesburg, and New Castle, Pennsylvania.

Division of Assets in Pennsylvania

Pennsylvania is an “equitable distribution” state. Under Pennsylvania divorce law, marital property – assets, income, and debts acquired during the marriage – must be divided equitably and fairly. In a contested divorce, the court will consider the following factors to determine equitable distribution.

The length or duration of the marriage
The age, health, income, and employability of each spouse
Whether either spouse was previously married
The contribution of each spouse to the acquisition, preservation, appreciation, or depreciation of the marital property
Whether one spouse contributed to the training, education, skill acquisition, or increased earning power of the other spouse
The standard of living established by the spouses during the marriage
Whether either spouse will have custody of any dependent minor children
The tax consequences of the property division

Our experienced property division attorneys can help enlighten you about the commonly hidden assets and fight compassionately on your side to protect your best interests and what belongs to you.

Commonly Hidden Assets or Income

Some commonly hidden assets or income before or during a divorce include:

Real estate property
Cash
Bank accounts
Stocks and bonds
Pension plans
Retirement funds
Life insurance with cash value
Supplementary income generated from investments, rentals, or royalties

A knowledgeable lawyer can help uncover any hidden asset and help you make critical decisions.

Uncovering the Truth

Hiding assets and income before or during a divorce are unethical, deceitful, and illegal. If you suspect your partner of committing financial infidelity, you need to communicate with one of our attorneys right away. Attorneys can work together with a forensic accountant and seek to evaluate and investigate:

Complete statements for all of your financial accounts
Joint income tax returns
All personal and business transactions
Any business or personal loans obtained recently

However, it is essential to ensure that you’re only looking in areas you have legal access to. Our attorneys can enlighten you about the divorce discovery process and help investigate financial accounts and transactions that you have legal access to.

The Divorce Discovery Process

The discovery is a formal, legal process in a divorce proceeding to obtain information and documents. Here are some methods to obtain the required information from your estranged spouse during the discovery process:

Request for Financial Documents : Attorneys can request certain financial documents from your partner, such as financial statements, account records, income tax returns, and loan applications.

Request for Answers to Written Questions : Your estranged spouse must provide answers to written questions known as “interrogatories” or “requests for admission.” Your spouse can either answer the questions in writing or admit to specific allegations that you believe are probably true.

Demand an Inspection : Also, you can seek to inspect possessions owned by your estranged partner, such as wine collections or safe deposit boxes.

Give Testimony Under Oath : This involves asking your estranged spouse to give testimony under oath through what is referred to as oral deposition. All parties involved, including you, your spouse, and legal counsels, will be required to appear before a court reporter. Your spouse is required under oath to answer all questions asked by your lawyer.

Our knowledgeable asset division attorneys can explore your available legal options and guide you through every phase of the discovery process from start to finish.

Working with Experienced Family Law Attorneys

Unfortunately, financial infidelity – lying about income and assets – can make achieving equitable and fair asset division impossible during a divorce. However, trying to uncover your estranged spouse’s hidden income and other assets often present different challenges. Therefore, you must retain one of our experienced divorce attorneys for detailed guidance and protection of your best interests. Our team can seek to protect your legal rights and help you recover your belongings.

If you suspect your spouse of financial infidelity or if you believe that your partner lied about their income and assets, contact us at Luvara Law Group LLC today to schedule a simple case assessment. Our skilled asset division attorneys possess the detailed legal counsel and vigorous representation you need to navigate key decisions in your case. We’re proud to serve clients across Pittsburgh, Washington, Greensburg, Uniontown, Waynesburg, and New Castle, Pennsylvania.

My Parent Remarried. Will Their Spouse Inherit Everything?

Thu, 27 Jan 2022 01:24:27 GMT

Your mom or dad has remarried. Regardless of whether you are happy for your parent or not, you might be wondering what happens to your parent’s estate if they die before the new spouse. Wondering about it can put significant stress on your relationship with your parent and their new spouse, even under the best of circumstances.

Of course, if your parent has an estate plan, they can direct what they wish to leave to you, the new spouse, and anyone else. Generally, the questions arise when someone dies without a will, or intestate succession. In that case, you may feel most vulnerable about being left out of your parent’s legacy due to their remarriage.

The best way to assuage your worry is to understand the law regarding estate inheritance. Luvara Law Group LLC can help. We listen to our clients from Pittsburgh, Pennsylvania, and surrounding areas, including Greensburg, Washington, Waynesburg, Uniontown, and New Castle, and then we make their voices heard. If you have questions about inheritance laws in Pennsylvania, we have answers.

What Happens if My Parent Dies Without a Will?

If your parent dies without a will in Pennsylvania, payment of their debts and distribution of their estate assets will be handled using the law of intestate succession. The law establishes who inherits what when the decedent did not execute the documents that would have allowed them to express their own wishes.

An estate will be opened in the probate court, and since there was no will in which an executor would have been named, the judge will appoint someone to serve in that role to administer the estate, often the surviving spouse or an adult child of the decedent.

In probate, the decedent’s assets subject to probate will be inventoried, heirs — as dictated by intestate succession — will be identified, and creditors will be provided notice to file claims against the estate. Once debts are paid, the residual of the estate’s assets will be divided among the heirs.

What Is Pennsylvania’s Intestate Succession Law?

Anything to which the decedent attached a title on death, a transfer on death, or a beneficiary will be given to the person designated. Examples include the beneficiary of a life insurance policy or retirement account, the transfer of a bank account to a named individual, or the transfer of the title and ownership of a vehicle.

If the decedent had a living trust at the time of death, which means they transferred ownership of assets to the trust during their lifetime, those assets are not subject to probate. Nor are properties owned by the decedent and someone else in joint tenancy or tenancy by the entirety. Tenancy by the entirety, reserved for married couples, provides that anything jointly owned when one spouse dies becomes the property of the surviving spouse. Such property is not subject to probate.

If the deed to the house your parent and the new spouse were living in was only in your parent’s name, that real property is subject to probate. The spouse does not automatically inherit the home unless their name is on the title to it.

If your parent is married at the time of death to someone who is not your parent, the surviving spouse inherits one-half of the estate, and you inherit the other half of the estate. If you have siblings who share the parent, you and your siblings inherit an equal division of your half of the value of the assets subject to probate. If a sibling predeceases the parent, their share will be divided equally among their children.

There Are Children’s Inheritance Rights in Pennsylvania

Pennsylvania law protects the rights of children to inherit from a parent’s intestate estate, so long as they meet the definition of being a “legal” child of the decedent. Children legally adopted by the decedent enjoy the same legal status as their biological children; however, those never legally adopted, such as foster children or stepchildren, do not have an inheritance right. Biological children of your parent who were legally adopted by someone else also do not have inheritance rights.

If your parent had a child with someone out of wedlock and claimed the child or paternity was proven, that child inherits from the estate. Children your parent had with the new spouse or an unborn child carried by a spouse at the time of death also have inheritance rights.

Hiring an Experienced Probate Attorney

An experienced estate planning attorney , such as those with Luvara Law Group LLC in Pittsburgh, Pennsylvania, can answer your questions about what happens with a parent’s estate following remarriage. We can also assist you with creating your own estate plan so your children never need to worry about their legacies.

Call our office now to schedule a consultation. We’re ready to listen to you.

Third-Party Creditor Actions Arbitration

Tue, 25 Jan 2022 01:05:32 GMT

Since legal costs rise and the level of verdicts seems to fall, Arbitration may be the better avenue to pursue a recovery. The higher damages levels causes a limitation may preclude Arbitration in many cases, if the determination may be less than thirty thousand dollars, Arbitration may be a better way to proceed. It helps to understand that this is a interim level of legal determination, which can still allow for an appeal to a higher court, which in Pennsylvania means that the appeal will take it back to the Court of Common Pleas in that county.

Certain type of legal cases seem to be prevalent in Arbitration: Landlord-Tenant matters as an appeal from a district magistrate, soft tissue personal injury cases, Lemon-law Cases, some real property disputes, and Collection of a Debt cases; which include collections for third party creditors. Remember that an Arbitration Board does NOT give a verdict. Only a judge can do that. Arbitration boards give an award; which are appealable to a higher court. In order to gain a verdict from an award there are extra septs that need to be taken.

The following is an overview in the form of a general outline, which applies to Third-Party Creditor Actions. A third party creditor is when some creditor has sold or otherwise transferred the rights under debt contracts to another collection company. In these situations, the paperwork of the third-party creditor tends to be deficient and the ability to give a true verification of the accuracy of the documentation generally falls short. However, the value of understanding the rules of Arbitration can be understood more clearly by reviewing the rules in this context can apply, in part, to considerations one needs to consider with regard to other actions; in particular to those that rely on documents as a significant part of the evidence to be presented.

The following outline can be helpful so that you can understand the complexities of a third-party collection case and may be helpful so that there is a working understanding of the Arbitration inner-workings.

Second Marriage and Estate Planning

Thu, 23 Dec 2021 01:03:19 GMT

Life does not stop after losing your spouse due to death or divorce. Many people get married for a second time because they want to make a lifelong commitment to their partner. While a second marriage may feel like a fresh start, it is still vital to consider creating an estate plan to protect your finances, legacy, and loved ones.

If you are thinking about setting up an estate plan before or after remarriage, consider contacting a knowledgeable attorney to advise you on your options. At Luvara Law Group LLC, our estate planning attorneys in Pittsburgh, Pennsylvania, assist individuals with putting together a solid estate plan to safeguard their assets and legacy. We also provide estate planning services to clients in Waynesburg, Greensburg, New Castle, Uniontown, and Washington.

Rights of a Surviving Spouse

The rights of a surviving spouse depend on state law and whether or not the decedent had a last will and testament. In Pennsylvania, the surviving spouse cannot be completely disinherited if the decedent leaves behind a will.

Under Pennsylvania law, a surviving spouse can exercise their right to receive an elective share (one-third) of the deceased spouse’s estate property. Thus, even if a spouse excludes their spouse from the will, the surviving spouse is still entitled to one-third of the decedent’s estate.

If a spouse dies without a will, intestacy laws will apply to determine the distribution of the decedent’s property. Pennsylvania’s intestacy laws include the following provisions:

The surviving spouse inherits everything if the decedent dies with no living children and parents.

The surviving spouse inherits the first $30,000 if the decedent leaves behind children but no living parents. The remaining assets in the estate are divided between the children and the surviving spouse. Half goes to the surviving spouse, and the other half goes to the kids.

The surviving spouse inherits the first $30,000 if their spouse did not leave behind children but has living parents. The remaining assets in the estate are divided between the parents and the surviving spouse.

However, if partners are divorced or not legally married at the time of the death, the surviving partner has no rights to inherit the decedent’s property.

Considerations When Creating an Estate Plan in a Second Marriage

Creating an estate plan when getting married for a second time requires several considerations:

Prenuptial agreement . Not all marriages last forever. For that reason, you might want to consider developing a prenuptial agreement to protect your assets in the event of divorce.

Protect the inheritance of your children . If you have children from the first marriage and let your new spouse inherit all of your assets, there is no guarantee that your spouse will share your property with your children after your passing. Consider setting up a trust to protect the inheritance of your children.

Change beneficiaries . It is critical to update your beneficiary designations when remarrying. If your spouse from the first marriage is still the beneficiary on your financial accounts, you need to update the designations to remove your previous spouse.

Long-term care . The chance that we might require long-term care increases as we get older. For this reason, you need to make sure that your estate plan includes your wishes regarding healthcare and plans for long-term care.

Common Mistakes to Avoid

It is not uncommon for people to make mistakes when establishing an estate plan upon remarriage. Some of the most common mistakes you should avoid when creating an estate plan for your second or subsequent marriage include:

Not changing beneficiary designations . Check the beneficiary designations on all of your financial accounts and life insurance. Make sure that the named beneficiaries are consistent with your current wishes.

Thinking that your second marriage will not fail . Even if everything about your second marriage seems ideal, there is no guarantee that it will not end in divorce years or decades from now. Keep this in mind when creating an estate plan.

Not hiring an attorney . If y ou are creating an estate plan for your second marriage, consider speaking with an experienced attorney to assist you with developing a legally binding plan that reflects your goals and wishes.

Get the Experienced Guidance You Need

If you are thinking about estate planning for your second marriage, consider contacting an experienced attorney to protect your loved ones and your legacy. At Luvara Law Group LLC, we use our 75 years of combined legal experience to assist clients in Pittsburgh, Pennsylvania, with their estate planning needs, whether they need to create or update their plan for the first, second, or subsequent marriage. Schedule an evaluation with our attorneys to discuss your specific case.