Private placement is a common method of raising business capital by offering equity shares. Private placements can be done by either private companies wishing to acquire a few select investors or by publicly traded companies as a secondary stock offering. When a publicly-traded company issues a private placement, existing shareholders often sustain at least a short-term loss from the resulting dilution of their shares. However, stockholders may see long-term gains if the company can effectively invest the extra capital obtained and ultimately increase its revenues and profitability. Private placement is an issue of stock either to an individual person or corporate entity, or to a small group of investors. Investors typically involved in private placement issues are either institutional investors, such as banks and pension funds, or high-net-worth individuals. A private placement has minimal regulatory requirements and standards that it must abide by. The investment does not require a prospectus and, quite often, detailed financial information is not disclosed. For an individual investor to participate in a private placement offering, he must be an accredited investor as defined under regulations of the Securities and Exchange Commission (SEC). This requirement is usually met by having a net worth in excess of $1 million or an annual income in excess of $200,000. Private Placement and Share PriceIf the entity conducting a private placement is a private company, the private placement offering has no effect on share price because there are no pre-existing shares. With a publicly-traded company, the percentage of equity ownership that existing shareholders have prior to the private placement is diluted by the secondary issuance of additional stock, since this increases the total number of shares outstanding. The extent of the dilution is proportionate to the size of the private placement offering. For example, if there were 1 million shares of a company’s stock outstanding prior to a private placement offering of 100,000 shares, then the private placement would result in existing shareholders having 10 percent less of an equity interest in the company. However, if the company offered an additional 1 million shares through the private placement, that would reduce the ownership percentage of existing shareholders by 50 percent. Motivation for Private PlacementThe dilution of shares commonly leads to a corresponding decline in share price at least in the near-term. The effect of a private placement offering on share price is similar to the effect of a company doing a stock split. The long-term effect on share price is much less certain and depends on how effectively the company employs the additional capital raised from the private placement. An important factor in determining the long-term share price is the company’s reason for the private placement. If the company was on the verge of insolvency and did the private placement as a means of avoiding bankruptcy, it would not bode well for the company’s shareholders. However, if the motivation for the private placement was a circumstance in which the company saw an outstanding opportunity for rapid growth that simply required additional financing, then the eventual extra profits realized from the company’s expansion may push its stock price substantially higher. Another possible motivation for doing a private placement could be that the company cannot attract large numbers of institutional or retail investors. This might be the case if the company’s market sector is currently considered unattractive, or there are only a few analysts covering the company. At the Investment Risk Analysis stage, the investor will determine a credit rating for the company issuing the private placement, which reflects how capable the issuer is of making interest and principal payments. This process is similar to how rating agencies determine ratings for public bond issuers. The lender will ask questions such as: Next, during the Pricing step, the investor determines what interest rate is needed to compensate for the associated risk. Private placements are priced similarly to public securities, where pricing is typically determined by adding a credit risk premium (or spread) to the corresponding U.S. Treasury rate. Once the company and the investor agree to a spread, they move to the Rate Lock step. This is when the private placement investor and the company agree to lock-in the interest rate (or coupon) based on the agreed upon spread and the prevailing U.S. Treasury rate at a specific day and time. For non-USD financing, the multi-currency swap would also be executed at this stage. The final step, closing, is the formal exchange during which the actual transfer takes place between the company and the lender; the issuer transfers the security that was offered to the investor in exchange for the capital the investor agreed to pay for it. The steps to closing very much resemble the process for establishing a line of credit with banks. Types of Private Companies• Sole proprietorships put company ownership in the hands of one person. A sole proprietorship is not its own legal entity; its assets, liabilities and all financial obligations fall completely onto the individual owner. While this gives the individual total control over decisions, it also raises risk and makes it harder to raise money. Partnerships are another type of ownership structure for private companies; they share the unlimited liability aspect of sole proprietorships but include at least two owners. Why Companies Stay PrivateThe high cost of undertaking an IPO is one reason why many smaller companies stay private. Public companies also require more disclosure and must publicly release financial statements and other filings on a regular schedule. These filings include annual reports (10-K), quarterly reports (10-Q), major events (8-K) and proxy statements. Another reason why companies stay private is to maintain family ownership. Many of the largest private companies today have been owned by the same families for multiple generations, such as the aforementioned Koch Industries, which has remained in the Koch family since its founding in 1940. Staying private means a company does not have to answer to its public shareholders or choose different members for the board of directors. Some family-owned companies have gone public, and many maintain family ownership and control through a dual-class share structure, meaning family-owned shares can have more voting rights. Going public is a final step for private companies. An IPO costs money and takes time for the company to set up. Fees associated with going public include an SEC registration fee, Financial Industry Regulatory Authority (FINRA) filing fee, a stock exchange listing fee and money paid to the underwriters of the offering. Advantages of a Private Limited CompanyA private limited company (pvt ltd company) is the most common vehicle to carry on business for an entity intending to make a profit and enjoy the benefits of an incorporated entity, particularly limited liability. Besides, limited liability and minimal statutory compliances, pvt ltd companies offer the following advantages: Separate Legal EntityAn entity means something which has a real existence; a thing with distinct existence. A company is a legal entity and a juristic person established under the Act. A juristic person is a person who is not a natural person or human being. Therefore a company form of organization has wide legal capacity and can own property and also incur debts. The members (Shareholders/Directors) of a company have no liability to the creditors of a company for such debts. Hence, a pvt ltd company is a legal entity separate from that of its members. A company has ‘perpetual succession’, that is continued or uninterrupted existence until it is legally dissolved. A company, being a separate legal person, is unaffected by the death or other departure of any member but continues to be in existence irrespective of the changes in membership. Perpetual succession is one of the most important characteristics of a company. Limited Liability means the status of being legally responsible only to a limited amount for debts of a company. Unlike proprietorships and partnerships, in a limited liability company the liability of the members in respect of the company’s debts is limited. In other words, the liability of the members of a company is limited only to the extent of the face value of shares taken up by them. Therefore, where a company is limited by shares, the liability of the members on a winding-up is limited to the amount unpaid on their shares. Shares of a company limited by shares are transferable by a shareholder t any other person. The transfer is easy as compared to the transfer of interest in business run as a proprietary concern or a partnership. Filing and signing a share transfer form and handing over the buyer of the shares along with share certificate can easily transfer shares. A company being a juristic person, can acquire, own, enjoy and alienate property in its own name. No shareholder can make any claim upon the property of the company so long as the company is a going concern. The shareholders are not the owners of the company’s property. The company itself is the true owner. To sue means to institute legal proceedings against or to bring a suit in a court of law. Just as one person can bring a legal action in his/her own name against another in that person’s name, a company being an independent legal entity can sue and also be sued in its own name. In the company form of organization it is possible for a company to make a valid and effective contract with any of its members. It is also possible for a person to be in control of a company and at the same time be in its employment. Thus, a person can at the same time be a shareholder, creditor, director and also an employee of the company. A company enjoys better avenues for borrowing of funds. It can issue debentures, secured as well as unsecured and can also accept deposits from the public, etc. Even banking and financial institutions prefer to render large financial assistance to a company rather than partnership firms or proprietary concerns. The growth of trade and business led to many problems that traditional forms of business did not solve. For example, the unlimited liability feature of a sole proprietorship form of business resulted in people forming partnerships, but even that proved to be too inadequate and risky. This is when the concept of companies emerged, and private companies form of business is the oldest example of it. The Companies Act has provided certain privileges and exemptions to private companies that public companies do not possess. These privileges accord them greater freedom in conducting their affairs. Here are some examples of them: Free Initial Consultation with LawyerIt’s not a matter of if, it’s a matter of when. Legal problems come to everyone. Whether it’s your son who gets in a car wreck, your uncle who loses his job and needs to file for bankruptcy, your sister’s brother who’s getting divorced, or a grandparent that passes away without a will -all of us have legal issues and questions that arise. So when you have a law question, call Ascent Law for your free consultation (801) 676-5506. We want to help you!
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8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506 The post Can A Private Company Do Private Placement? first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/can-a-private-company-do-private-placement/
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• Utah County is located 44 miles south of Salt Lake City, Utah. • Utah County is part of the Provo-Orem, UT Metropolitan Statistical Area as well as the Salt Lake City-Provo-Orem, UT Combined Statistical Area. Best Interest of the ChildUtah family courts, like those in most states, determine child custody matters using the “best interests of the child.” The factors considered by the judge include: What Does it Cost to File for Custody in Utah?The filing fee for a child custody case in Utah is $360. There are also costs associated with service. See, once you file your initial custody documents with the Court, you have to have someone serve your soon-to-be ex with those documents. The Utah Rules of Civil Procedure specify you can’t do that personally (too much room for monkey business), so you should have a professional process server do it. That might be a constable with the sheriff’s office, or a company that serves these sorts of documents regularly. Either way, the cost will likely range from $15 to $30. All told, the cost to file and serve a custody case averages around $400. Parental Alienation and Co-ParentingWhen one of the parents is manipulative and he or she uses these tactics to alienate the children from his or her former spouse, there is a chance he or she will lose the custody. Co-parenting is sometimes the best option in some scenarios as it allows parents that can’t get along to follow a strict joint custody schedule. Free Initial Consultation with LawyerIt’s not a matter of if, it’s a matter of when. Legal problems come to everyone. Whether it’s your son who gets in a car wreck, your uncle who loses his job and needs to file for bankruptcy, your sister’s brother who’s getting divorced, or a grandparent that passes away without a will -all of us have legal issues and questions that arise. So when you have a law question, call Ascent Law for your free consultation (801) 676-5506. We want to help you!
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8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506 The post Custody Lawyers In Utah County first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/custody-lawyers-in-utah-county/ Utah Code 30-3-32: Parent-Time — Intent — Policy — Definitions1. It is the intent of the Legislature to promote parent-time at a level consistent with all parties’ interests. (c) “Extended parent-time” means a period of parent-time other than a weekend, holiday as provided in Subsections 30-3-35(2)(f) and (2)(g), religious holidays as provided in Subsections 30-3-33(3) and (17), and “Christmas school vacation.” Children and Separation or DivorceWhen parents separate or get a divorce, their children are affected in many different ways. Get information to help you understand what your children may be going through so you can help them cope with your separation. You know your children best and you can use the information provided here to help them and come up with a parenting plan that is in their best interests. Parenting PlansA parenting plan, also called a “custody and visitation agreement” or a “time-share plan,” is the parent’s written agreement about how much time the child will spend with each parent, and how the parents will make decisions about the child’s welfare and education. Learn what you should think about when deciding on a parenting plan that is in the best interests of your child, what should be in your parenting plan, and how to write up your parenting plan. Children are entitled to financial and emotional support from both parents. In 2011, 23.4 million children under the age of 21 lived with just one parent and in 2014; approximately 40 percent of births were to unmarried mothers. While many states allow for child support to be adjusted based on the amount of time each parent spends with the child, most child support orders established by the public child support system do not include a corresponding parenting time order or arrangement. In fact, nearly 7 of 10 parents involved with the public child support program do not have an official parenting time order. The primary reason for this disconnect is that Title IV-D of the Social Security Act, which governs the public child support enforcement system, does not allow expenditure of federal funds for the establishment or negotiation of parenting time arrangements. With the passage of the Preventing Sex Trafficking and Strengthening Families Act of 2014 (PL113-183) Congress specifically addressed the issue of parenting time with the following Findings and Sense of Congress (§303): • the separation of a child from a parent does not end the financial or other responsibilities of the parent toward the child, and The Act also expresses the sense of the Congress that: Married vs. Unmarried ParentsWhen a married couple is ending their relationship, the state is generally responsible for formalizing the dissolution of that relationship. When a married couple with children gets divorced, state family law statutes have procedures for determining child support and parenting time as part of a unified court process. States may require mediation, parent education classes, or development of specific parenting plans as part of the divorce process all based upon the presumption that both the mother and the father will continue to have ongoing contact and time with their children. In general, only in unusual or extreme situations (e.g. abuse or neglect, domestic violence) is the presumption of ongoing contact overcome. Conversely, unmarried parents do not require the state to end their relationship. And unlike divorcing couples, state family law varies widely in its presumptions related to the parenting rights of unmarried fathers. Unmarried parents needing assistance with paternity establishment and child support can, at little or no cost, receive assistance from the state child support agency, but there is no similar resource available to assist unmarried parents with establishing parenting time arrangements. In addition, unmarried parents generally must navigate an entirely different court process than the one through which they received a child support order. This can be costly, confusing and time consuming. The different family law processes specific to unmarried parents frequently begin at birth. Married fathers are automatically presumed to be the child’s father while unmarried fathers must sign a voluntary acknowledgement of paternity or prove their legal standing as a father some other way. In addition, state laws give married fathers equal custodial and decision-making rights as mothers (because it is assumed that married parents live together). This is not the case with unmarried parents. In fact, in 14 states (Arkansas, Arizona, Florida, Georgia, Iowa, Maryland, Massachusetts, Minnesota, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Wisconsin), when a child is born to unmarried parents, even though the father signs a paternity acknowledgment form, the mom is automatically given sole custody. In the other 36 states, unmarried fathers who sign a paternity acknowledgment form are given the same legal presumptions to custody as married fathers. Many states have attempted to address the disparate treatment of unmarried fathers by granting those fathers, once they have legally established paternity, with similar rights and responsibilities as married fathers. Most recently, Nevada enacted 2015 Assembly Bill 263 which specifically expands the applicability of the custody and visitation laws to all children regardless of whether they were born to parents who were married or unmarried. The bill defaults the custody arrangement to joint legal and physical custody until or unless a court orders otherwise. State PoliciesStates that address child support and parenting time together do so in various ways. The majority of states provide an adjustment in their child support guidelines for parenting time. Some states provide limited assistance to parents interested in parenting time orders through court-based self-help services or family law facilitators, and a few states provide methods for addressing both child support and parenting time in the same order, or at the same time. Child Support Guideline Adjustments for Parenting TimeApproximately 36 states and D.C. have an adjustment in the child support guidelines for parenting time. This means that if the parents have established a parenting time order, the amount of time that each parent spends with the child will impact the amount of child support he or she pays or receives. Many jurisdictions will allow parents to informally agree on the amount of time the child spends with each parent to facilitate determination of child support obligations, but these informal agreements are not legally enforceable orders. In Utah, there are minimum schedules for parenting time based on whether the child is under 5 years of age or between the ages of 5 and 18 As with most parenting-time laws, these schedules are applicable in the case of divorce, and do not necessarily apply to unmarried parents. These minimum parenting time schedules have the potential to provide the type of consistency that the Texas standard possession order affords parents, allowing them to rely on predictable parent-time orders if they are not able to come up with an agreement otherwise. During the 2015 legislative session, Utah enacted an optional schedule for parenting-time for children 5 to 18 years of age and includes a provision for child support adjustments based on this schedule. The bill states that any child support calculation should be consistent with the rules regarding joint physical custody in the child support guidelines. Promote Parenting TimeSome states, through federal grants, have developed resources to address child support and parenting time issues simultaneously. The federal Office of Child Support Enforcement (OCSE) administers an Access and Visitation program which provides total pool of $10 million in formula grants to states each year. The grants are designed to facilitate noncustodial parents’ access to and visitation with their children. States are permitted to use the grant funds for: Utah Divorce LawyerWhen you need a Utah Divorce Lawyer, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
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The post Utah Divorce Code 30-3-32 first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/utah-divorce-code-30-3-32/ North Salt Lake is a city in Davis County, Utah, United States. It is part of the Ogden–Clearfield, Utah Metropolitan Statistical Area. The population was 16,322 at the 2010 census, which had risen to an estimated 20,850 as of 2018. North Salt Lake is located in southern Davis County; it is bordered to the north by Woods Cross, to the northeast by Bountiful, and to the south by Salt Lake City in Salt Lake County. According to the United States Census Bureau, North Salt Lake has a total area of 8.6 square miles (22.2 km2), of which 0.1 square miles (0.2 km2), or 0.80%, is water. How To Serve Foreclosure Documents ProperlyService of process and protecting due process rights is always an important part in any legal matter, but knowing how to serve foreclosure documents requires additional expertise and knowledge. To serve foreclosure documents properly, it is important to have a process server you can trust. The Impact Of Defective ServiceOnce it’s been determined service is defective or improper, cases generally need to start over from the beginning no matter how far they are into the case. From the perspective of the lender and the attorney there are significant cost ramifications for delaying the timeline. Not only will additional time need to be spent on the case exceeding what was originally planned, in the instance of vacant and abandoned properties there is also the cost of maintenance. The longer these homes and buildings sit the longer there is the possibility for additional issues to arise from lack of use. Strict Court Foreclosure RequirementsGiven the magnitude of foreclosures in terms of both monetary value and emotional impact, courts have set a very high bar for what constitutes proper service. A lack of due diligence or a challenge to service is going to be thoroughly examined. No matter what documents being served in a foreclosure matter they should all be given the same level of attention. Multiple attempts at different times of the day, efforts to locate an alternate address if the subject has moved and thorough documentation are all necessary from your process server. How To Serve Foreclosure DocumentsEvery single day matters when it comes to timelines and costs. A foreclosure process server should have thorough knowledge of the rules and laws to avoid any possibility of defective service. They should be skilled in how to prove due diligence, making multiple attempts at different times of the day in an effort to complete personal service. When choosing a process server, it’s also important to select one who will be able to back up their service attempts in court. Should they be in called in for a Traverse Hearing a professional demeanor, detailed notes and ability to recall the service will go a long way toward proving service was actually completed in accordance with all rules. Foreclosure of loan: Here’s how to do itAn outstanding home loan calls for monthly PMI. In case a person receives a lump sum amount, he can choose to foreclose the existing home loan to be financially debt free. To foreclose a home loan, you must follow the procedure detailed below. What Is a Notice of Intent to Foreclose?In general, as a project participant on a construction project, you can file a mechanics lien. This process of filing a mechanics lien secures the right to file a claim against the property in the event of non-payment. If filing a mechanics lien does not spur payment, you have the option to initiate a lawsuit, but this article will discuss a better option than initiating a lawsuit. You can instead send a Notice of Intent to Foreclose which is not only a powerful collection document, it also helps the claimant avoid having to file a lawsuit to enforce the lien. Mechanics Liens – Not Ideal, But Sometimes NecessaryNobody likes liens, but if you’re not getting paid on a construction project – money that you’ve already earned – then sometimes, filing a lien is necessary. When it gets to the point that a lien is filed, this significant step is usually enough to get the attention of the interested parties on the project and to prompt payment. However, if filing the lien does not prompt payment, then the claimant always has the option to initiate a lawsuit to enforce the lien, which is also known as a foreclosure action. We already know that everyone hates liens, but guess what? Everyone really hates litigation. Initiating a foreclosure action is not very attractive because it is costly and risky. But don’t worry there is an option that may help claimants avoid court. It’s a document, a “warning letter” called a Notice of Intent to Foreclose. What Is a Notice of Intent to Foreclose?A Notice of Intent to Foreclosure is a cost-effective way to provide one last warning prior to initiating a lawsuit. It is a voluntary warning letter that clearly states that if payment is not made then the claimant will initiate a lawsuit. And since we already know how much everyone hates lawsuits, sending a Notice of Intent to Foreclose can be very effective at prompting payment (so that a lawsuit can be avoided). Sending a Notice of Intent to Foreclose is a cost-effective tactic because it adds pressure on property owners due to the threat of pending litigation, on top of the lien filing which is already on their property. This pressure on property owners gives more incentive to the interested parties to satisfy the lien. This also avoids litigation costs for both sides – by avoiding legal costs associated with litigation such as court costs and legal fees. This warning letter is optional. That being said, if you choose to send a Notice of Intent to Foreclose, the main requirement is that there has to be an existing, filed mechanics lien to foreclose upon. Or in other words, sending an optional Notice of Intent to Foreclose has to come after a mechanics lien has been filed. Then, there are other deadlines on your mechanics lien so the best practice is to send the Notice of Intent to Foreclose well before the lien’s deadline-to-enforce date. So, to recap, the window of time to send a Notice of Intent to Foreclose is after a lien has been filed, but well before the deadline to enforce the mechanics lien. And you’ve got to be careful here because these deadlines vary greatly from state-to-state and according to several other factors. Notice of DefaultThe Notice of Default starts the official foreclosure process. This notice is issued 30 days after the fourth missed monthly payment. From this point onwards, the borrower will have 2 to 3 months, depending on state law, to reinstate the loan and stop the foreclosure process. Redemption PeriodThe redemption period allows homeowners to remain in their property without risk of eviction after the foreclosure has been completed. Furthermore, the redemption period also gives the homeowner an opportunity to buy the property back by at the “redemption price,” which is the price the property sold for at the foreclosure sale. The amount of time allowed is dependent on state law. However, if the property was purchased using a deed-of-trust, the homeowner forfeits this provision; though, in some deed-of-trust sales such as in California, a judicial foreclosure is still possible, and through this the redemption period still exists. Call your bank or mortgage lending company immediately after you receive a foreclosure notice. You may not want to do this. You may be embarrassed. But your lender is in the best position to help you avoid foreclosure. Don’t forget that banks and lenders are not in the business of owning homes. They don’t want to have to sell your residence. It’s in their best interests to keep you in your residence and making payments. Your bank or lender might be able to work out a compromise that result in lower monthly payments for you. Compose a Hardship LetterYour lender will listen to you if you’ve suffered a financial hardship that makes it impossible for you to pay your monthly home loan payment. You may have lost a job. You may have taken on a new job, out of necessity, that comes with a lower annual income. Maybe you’ve suffered a serious illness that kept you from working. When you call your lender, explain your financial setback. Your lender will most likely ask you to write a financial hardship letter. Use this letter to explain the financial problems you now face. Your lender will consider this letter when deciding whether to modify your mortgage loan to one with a lower monthly payment. To prove that you’ve suffered a financial hardship, you’ll have to make copies of several important financial papers. These include your last two paycheck stubs, your last two federal income tax returns, your current credit card statements and the statements from any student, auto or personal loans that you may hold. You want to show your lender that while your monthly debt obligations have not changed, your gross monthly income has plummeted, making it impossible for you to pay your mortgage bill each month. If your lender agrees, it may reduce your interest rate, rework the terms of your loan or even forgive a portion of your principal balance, all of which would result in lower monthly payments. The federal government offers a Home Affordable Modification under its Making Home Affordable program; this provides incentives to lenders to negotiate with homeowners who are delinquent on their payments for more affordable mortgage payments. The federal government also offers a Home Affordable Foreclosure Alternatives program. This program provides financial incentives to mortgage servicers who agree to complete short sales or deeds-in-lieu of foreclosure for homeowners who would otherwise lose their homes to foreclosure. In a short sale, homeowners agree to sell their homes for less than what they owe on their mortgage loans. Their loan servicers have to agree to this, which is why the government is offering these institutions financial incentives to approve short sales. In a deed-in-lieu of foreclosure, the owners of a home voluntarily transfer ownership of their home to their servicer. Before a bank can sell your house at a foreclosure sale, you will get some sort of formal notice about the foreclosure. The kind of notice you’ll get depends on whether the foreclosure is judicial or non-judicial, and what your state’s foreclosure laws require. Utah Foreclosure AttorneyWhen you need legal help with a bankruptcy or foreclosure in Utah, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
Ascent Law LLC
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The post Foreclosure Lawyer North Salt Lake Utah first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/foreclosure-lawyer-north-salt-lake-utah/ Utah Code 30-3-18: Waiting Period For Hearing after Filing for Divorce — Exemption — Use Of Counseling and Education Services Not To Be Construed As Condonation or Promotion1. Unless the court finds that extraordinary circumstances exist and otherwise orders, no hearing for decree of divorce may be held by the court until 30 days has elapsed from the filing of the complaint, but the court may make interim orders as it considers just and equitable. 2. The use of counseling, mediation, and education services provided under this chapter may not be construed as condoning the acts that may constitute grounds for divorce on the part of either spouse nor of promoting divorce. The Divorce ProcessA divorce starts with a divorce petition. The petition is written by one spouse (the petitioner) and served on the other spouse. The petition is then filed in a state court in the county where one of the spouses resides. It does not matter where the marriage occurred. The petition includes important information regarding the marriage. It names the husband, wife and any children and states if there is any separate property or community property, child custody, and child or spousal support. Serving the Divorce PetitionThe petition (or the divorce papers) must be served on the other spouse. This phase of the process is called “service of process.” If both spouses agree to the divorce, the other spouse only needs to sign an acknowledgement of the receipt of service. However, if the other spouse refuses to sign or is difficult to locate, you can hire a professional process server to personally deliver the papers. Completing service of process starts the clock running on your state’s waiting period. It also sets automatic restraining orders on the spouses and helps establish the date of separation. At this point, the spouses are not permitted to take any children out of state, sell any property, borrow against property, or borrow or sell insurance held for the other spouse. Divorce Petition ResponseThe other spouse is known as the “respondent.” Although it’s not required, the respondent can file a response to the petition saying he or she agrees. Filing a response shows both parties agree to the divorce. This makes it more likely the case will proceed without a court hearing, which could delay the process and cost more. Generally, if a response is not filed within 30 days, the petitioner can request that a default be entered by the court. The responding spouse can also use the response to disagree with information presented in the petition. Final Steps of a DivorceBoth spouses are required to disclose information regarding their assets, liabilities, income and expenses. If the divorce is uncontested and the spouses can agree on the terms of the divorce, there is only a bit more paperwork to file. Once the court enters the judgment, the divorce is final. However, the marriage is not formally dissolved and the spouses cannot remarry until the end of the state’s waiting period. If there are disputes that cannot be resolved, court hearings and maybe even a trial will be required. What Issues Does A Dissolution Or Divorce Case Deal With?Both cases end the marriage and divide marital property and debt (including retirement accounts). When the couple has children, both cases also decide a parenting plan which is the custody and visitation arrangement and issue a child support order. What Is The Difference Between A Dissolution Or Divorce Case?The difference is whether the couple agrees or disagrees about the issues. If they agree on all issues, they can file a dissolution case together. If they don’t agree, one spouse can file a divorce case. What Forms Do I Need To File For Divorce?To start a case in court, you must file a document called either a complaint or a petition, and required attachments. The kind of complaint or petition you file will depend on your situation. Is There A Residency Requirement To File?Either you or your spouse may file to end your marriage in Utah as long as the filing spouse is a resident of the state. Generally, you are an Utah resident for the purposes of filing for divorce or dissolution if you are in Utah when you file and intend to stay as a resident. Also, if you don’t live in Utah and were married outside of Utah, but your spouse is an Utah resident, you can file in Utah. Just because you file in Utah, does not mean the court has jurisdiction or authority over all issues that may be in your case. For example, there is a law that states that the children need to live in Utah for at least the last six months for the court to have authority to make decisions about them, although there are exceptions to this requirement. Also, if you have property such as a home outside Utah, the court may not have the authority to enforce any orders regarding that property. If the other side has never been to Utah or no longer lives in Utah, it is possible he/she will ask the court to dismiss the case. The law is that the court has jurisdiction over the people in the divorce case if the married couple lived in Utah for at least six consecutive months within the six years before filing for divorce. Jurisdiction is a very complicated subject and you should talk to an attorney to figure out whether Utah is the right place to file your case. Am I Required To Go To Any Parenting Classes Or To See A Video If We Have Any Children?It depends. Many courts require that you view the Listen to the Children video, and some courts also require a special class or workshop. What If I Cannot Find My Spouse?If you are married and cannot find your spouse, you can still get divorced but only after you have made what is called “diligent inquiry,” which means looking really hard for your spouse. After you have completed your diligent inquiry you must submit an affidavit explaining how and where you looked, and ask for permission to serve that missing spouse by publishing notice in a newspaper or posting in certain places. Your missing spouse may be easier to locate than you think, and you may very well find them after you do your diligent inquiry. Once you have done your diligent inquiry, you have these options: Utah Divorce AttorneyWhen you need a divorce lawyer, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
Ascent Law LLC
4.9 stars – based on 67 reviews
The post Utah Divorce Code 30-3-18 first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/utah-divorce-code-30-3-18/ The Department of Banking has started licensing “Debt Negotiators.” Licensed Debt Negotiators, for a fee, offer the services of assisting a consumer faced with significant debt or negotiating on behalf of a consumer, the terms of a consumer’s obligation to a mortgagee or creditor, including: Consumer ProtectionsDebt Negotiators are required to provide in each debt negotiation contract the following consumer protections: • Complete and detailed lists of services, costs, and statements of the results to be achieved. • A statement that the Debt Negotiator has reviewed the consumer’s debt and an individualized evaluation of the likelihood that the debt negotiation services will reduce the consumer’s debt or, if applicable, prevent foreclosure of the consumer’s home. • A three-day right of rescission along with the statement: “If you wish to cancel this contract, you may cancel by mailing a written notice by certified or registered mail to the address specified below. The notice shall state that you do not wish to be bound by this contract and must be delivered or mailed before midnight of the third business day after you sign the contract.” “ Business day” means any calendar day except Sunday or any of the following business holidays: New Year’s Day, Washington’s Birthday, Memorial Day, Independence Day, Labour Day, Columbus Day, Veterans’ Day, Thanksgiving, and Christmas. Any debt negotiation contract that does not comply with Connecticut Banking Law will be voidable by the consumer. In addition, the Banking Commissioner has established a schedule of maximum fees that the debt negotiator may charge for specific services. The Commissioner has the authority to review any fees and charges assessed by the debt negotiator and order the reduction of such fees that the Commissioner deems to be excessive. Avoid Foreclosure “Rescue” ScamsBe aware of foreclosure rescue scams that target homeowners having serious problems making their mortgage payments. In these “rescue” scams, a con artist promises to help you save your home, but is actually intent on stealing your home or most of the equity you have accumulated in your home. • The foreclosure prevention specialist: The “specialist” really is a phony counsellor who charges hefty fees in exchange for making a few phone calls or completing some paperwork that a homeowner could easily do for himself. None of the actions result in saving the home. Turning to a HUD-approved counsellor for assistance is one way to avoid this type of fraud. • The lease/buy back: Homeowners are deceived into signing over the deed to their home to a scam artist who tells them they will be able to remain in the house as a renter and eventually buy it back. Usually, the terms of this scheme are so demanding that the buy-back becomes impossible, the homeowner gets evicted, and the “rescuer” walks off with most or all of the equity. • The bait-and-switch: Homeowners think they are signing documents to bring the mortgage current. Instead, they are signing over the deed to their home. Homeowners usually don’t know they’ve been scammed until they get an eviction notice. Debt SettlementDebt settlement occurs when a debtor successfully negotiates a payoff amount for less than the total balance owed on a debt. This lower amount is agreed to by the creditor or collection agency and is fully documented in writing. Ideally, this lower negotiated amount is paid off in one lump sum, but it can also be paid off over time. Negotiating and paying lower amounts to settle debts is far more common than many people may imagine. Why Would a Bank Settle Debt for Less?At first blush, it may appear surprising that banks would be willing to settle for less than what is owed them. However, banks are aware of the statistical certainty that not all borrowers to whom they extend credit will pay them back. This bank’s carefully formulated lending model accounts for defaults. Knowing this makes it easier for a debtor to understand that there are numerous opportunities available for settlement. From a bank’s perspective, as an account grows more and more delinquent, the probability of receiving even one more payment on it progressively diminishes. In fact, roughly 80% of all accounts that go unpaid for more than ninety days and are then dispatched to collection agencies, law firms, or sold to debt buyers never result in any further payments being made on them. Banks and other creditors, therefore, are focused on losing as little as possible, recognizing that taking a smaller piece of the pie is better than not receiving anything back at all. Basics of Debt SettlementOne of the basics of settlement is to focus primarily on unsecured debt, such as credit cards. This type of debt is known as unsecured because there is no collateral behind it that can be seized in the event it goes unpaid. Now, when it comes to deciding which cards you should settle, there are several things to consider and to be aware of. Importantly, be aware in advance that debt settlement will only take place on an account in which you have already fallen behind three months or more. In fact, the best savings are often realized when an account is closest to charge-off status and a bank is eager to negotiate and collect a settlement. Because it takes several months of missed payments for an account to approach charge-off status, it is best to leave cards with low balances of $1,000 or less out of any settlement plan. This is because the late fees that accrue with the resultant higher interest rates that often result from missed payments will disproportionately raise the debt balance on a percentage basis. This often makes any eventual settlement close to a break-even (or worse) than your out-of-pocket costs would have been had you simply maintained making relatively small payments while doing no further damage to your credit score. However, if you have small balances that are already charged-off, then you should include these in your settlement plan, as the balances have already risen due to late fees and the damage to your credit score has already taken place. Subtleties to be Aware of during NegotiationsThe existence of balance transfers on your card balance can impede the effectiveness of any potential settlement. Both the recency and size of balance transfers are considered. Banks may frown upon settlement (or raising the percentage of debt owed that they may ultimately accept) on accounts that show balance transfer activity within 12-24 months of when payments stopped being made or when the percentage of balance transfers held on the card approaches 20% of the total card balance. Similarly, cards that show aggressive recent purchasing activity will likely be less eligible for settlement. In these type situations, it can make better sense to wait to settle with an outside collection agency than with the original creditor bank that issued the card. It may also make sense to keep one or more of your accounts open. Part of keeping a reasonably healthy credit score is maintaining open and active revolving accounts within your credit profile. Keeping open one or two accounts with low balances that you can then use responsibly will help mitigate the damage that settlement on other accounts may do to your credit score. Don’t Pursue Settlement Too SoonA basic fundamental to debt settlement is that creditors won’t show a willingness to settle until the debtor has already demonstrated an inability to pay. If you fall behind on payments temporarily as a result of a relatively brief rough patch, then the debt settlement process might not be your best option, given its irreversible quality once it has begun and the negative consequences it can have on your credit profile. Individuals in this situation should consider a credit counselling service or investigate short-term hardship plans that a creditor bank could make available. However, if you’ve already fallen behind on payments by four or five months and there isn’t much light showing at the end of the tunnel, it could be time to start negotiating directly with your bank for the best settlement before it assigns your account to a collection agency. This is often the sweet spot in terms of timing – the bank still controls your account but also knows that the clock is ticking closer to charge-off, the point at which it would likely never recover anything from the account again – and your credit score takes a hit. This moment in time is a win-win for all involved – the debtor pays less than is owed while limiting credit score damage, and the creditor loses the least by recovering some value from a delinquent account that would otherwise be recognized as a loss on its books. Get Your Settlement Documented in WritingIt is important to understand that a settlement agreement is not fully closed until it is agreed upon in writing. In other words, a verbal agreement with a creditor simply is not enough. Reaching a settlement agreement rarely happens in a single phone call to a creditor, rather, it usually evolves over several well-placed calls spanning several weeks or months. However, once a deal has been struck, be certain to get all of the following critical information drafted into a dated settlement letter: A reputable debt settlement company will never guarantee a specific settlement amount, but rather, it will provide a realistic estimate and time frame for making offers to creditors that can ultimately result in settlements that save you significant amounts of money. Since creditors actually have no legal obligation to settle, any debt settlement company that goes so far as to guarantee settlement is acting dishonestly. When contacting a debt settlement company, expect all fees and costs to be disclosed up-front, and look for clear written guidelines regarding their debt resolution program. You should be provided with an estimate of how much time may elapse before settlement offers are made on your behalf, and how much money you must save up before these offers will be made. Finally, make certain that the settlement company has a practice of sending all settlement offers to you, its debtor customer, for your approval, prior to them being sent to creditors. A reputable debt settlement company staffed with experienced credit counsellors who have relationships with major credit card lenders and an understanding of the marketplace can help you wade through these waters. A settlement company can also advise you as to how much money you should put aside in advance of negotiations and set up an escrow account in your name that will be managed by a trustee or administrator. Depending on your individual budget constraints and size of your settlement, you will make regular monthly payments into this FDIC insured bank account for several months or years until your debt is fully paid. However, there are a few more things to consider. Debt settlement companies often charge a fee equal to 25% of the amounts saved in your settlement, or 15% of the original total debt load. Additionally, the IRS recognizes forgiven debt as taxable income, so if you save anything over $600, you will have to pay taxes on it. Be especially wary of any debt settlement company that promises to settle your debt for “pennies on the dollar.” With rare exceptions dating back to the financial crisis of nearly ten years ago, these claims have almost always proven too good to be true. If you decide that a debt settlement is the right move, the next step is to choose between doing it yourself or hiring a professional debt negotiator. Keep in mind that your credit card company is obligated to deal with you and that a debt professional may not be able to negotiate a better deal than you can. Furthermore, the debt settlement industry has its fair share of con artists, rip-offs, and scams, which is why many people choose to try it on their own first. Debt settlement can adversely impact your credit score, making it more difficult to borrow money at affordable interest rates in the future. Whether you use a professional or not, one of the key points in negotiations is to make it clear that you’re in a bad position financially. If your lender firmly believes that you’re between a rock and a hard place, the fear of losing out will make it less likely that they reject your offer. If your last few months of card statements show numerous trips to five-star restaurants or designer-boutique shopping sprees, your lender will be unlikely to view you as being in need or worthy of sympathy. To raise your chances of success, cut your spending on that card down to zero for a three- to six-month period prior to requesting a settlement. On the same note, if you’ve been making your minimum payment (or more) on time every month, you will look like someone who is attempting to walk away from your debt obligations. Your debt settlement offers should always be directed toward companies with which you’ve fallen behind on your payments. Start by calling the main phone number for your credit card’s customer service department and asking to speak to someone, preferably a manager, in the “debt settlements department.” Explain how dire your situation is. Highlight the fact that you’ve scraped a little bit of cash together and are hoping to settle one of your accounts before the money gets used up elsewhere. By mentioning the fact that you have multiple accounts on which you’re pursuing debt settlements, you’re more likely to get a competitive offer. Offer a specific dollar amount that is roughly 30% of your outstanding account balance. The lender will probably counter with a higher percentage or dollar amount. If anything above 50% is suggested, consider trying to settle with a different creditor or simply put the money in savings to help pay future monthly bills. Last but not least, once you’ve finalized your debt settlement with your lender, be sure to get the agreement in writing. It’s not unheard of for a credit card company to verbally agree to a debt settlement only to turn over the remaining balance to a collections agency. Be sure the written agreement spells out the amount you have to pay in order to have your entire balance excused from further payment. While the possibility of negotiating a settlement should encourage everyone to try, there’s a good chance you’ll hear a “no” somewhere along the way. If so, don’t just hang up the phone and walk away. Instead, ask your credit card company if it can lower your card’s annual percentage rate (APR), reduce your monthly payment, or provide an alternative payment plan. Often your credit card’s debt settlement representative will feel bad for having had to reject your offer and may be willing to agree to one of these other options. Debt Negotiation LawyerWhen you need help to negotiate a debt or to file for bankruptcy, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
Ascent Law LLC
4.9 stars – based on 67 reviews
Foreclosure Lawyer Heber City Utah Charitable Contributions For Taxes The post Residential Debt Negotiation first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/residential-debt-negotiation/ Utah Code 30-3-11.4: Mandatory Orientation Course for Divorcing Parties — Purpose — Curriculum — Reporting(1) There is established a mandatory divorce orientation course for all parties with minor children who file a petition for temporary separation or for a divorce. A couple with no minor children is not required, but may choose to attend the course. The purpose of the course is to educate parties about the divorce process and reasonable alternatives. (2) A petitioner shall attend a divorce orientation course no more than 60 days after filing a petition for divorce. (3) (a) With the exception of a temporary restraining order pursuant to Rule 65, Utah Rules of Civil Procedure, a party may file, but the court may not hear, a motion for an order related to the divorce or petition for temporary separation, until the moving party completes the divorce orientation course. (b) Notwithstanding Subsection (3)(a), both parties shall attend a divorce orientation course before a divorce decree may be entered, unless waived by the court under Section 30-3-4. (4) The respondent shall attend the divorce orientation course no more than 30 days after being served with a petition for divorce. (5) The clerk of the court shall provide notice to a petitioner of the requirement for the course, and information regarding the course shall be included with the petition or motion, when served on the respondent. (6) The divorce orientation course shall be neutral, unbiased, at least one hour in duration, and include: a) options available as alternatives to divorce; (7) The course may be provided in conjunction with the mandatory course for divorcing parents required by Section 30-3-11.3. (8) The Administrative Office of the Courts shall administer the course pursuant to Title 63G, Chapter 6a, Utah Procurement Code, through private or public contracts. 9) The course may be through live instruction, video instruction, or through an online provider. (10) (a) A participant shall pay the costs of the course, which may not exceed $30, to the independent contractor providing the course at the time and place of the course. b) A petitioner who attends a live instruction course within 30 days of filing may not be charged more than $15 for the course. (11) Appropriations from the General Fund to the Administrative Office of the Courts for the divorce orientation course shall be used to pay the costs of an indigent petitioner who is determined to be impecunious as provided in Subsection (10)(e). Purpose Of The Orientation CourseThe course informs parents about resources to improve or strengthen the marriage. Resources to resolve custody and support issues without filing for divorce. The positive and negative consequences of divorce Divorce Education CourseThe other mandatory class is the education course. This course strives to help parents understand how their divorce may impact their children and to appreciate their children’s reactions to the divorce. Children of different ages may have different ways of sharing their feelings, including their pain, fear, confusion and loss that may result from their parents divorcing. This education course hopes to better equip parents in supporting their children as they adjust to the changes while helping them build coping skills to help move forward in a healthy manner both during the divorce proceedings and after finalization. Class for ChildrenThere is also a free, voluntary course offered for children of divorce. This class recognizes that children typically need help and encouragement in getting through a family break or divorce, just like adults do. The Divorce Education for Children class is for adolescents between the ages of 9 and 12 years. The teacher is a mental health professional. He or she promotes skill development in the areas of improved communication of the children’s feelings to their parents. The hope is to reduce any negative effects the divorce process has on the children. Parents themselves play an incredibly important role in how their children learn to transition through a divorce, particularly when sharing living time between both parents, an adjustment that is easier with proper education for both parents and children. How Can We Change The Court System In Order To Make Divorces Easier On The Children?• Institute a “loser pays the prevailing party’s attorney’s fees” rule. What can the penalties be for violating child custody orders?Generally speaking: What is the “right of first refusal”? Is it a statutory right in Utah?Many of you dealing with child custody disputes may have heard the time “right of first refusal” in the context of child care. This “right of first refusal” or “first right of refusal” is shorthand for a provision that goes into many child custody and parent-time orders. What it means is that if a parent is unable to provide personal care and supervision for the children when they are scheduled to be with that parent, then the other parent has the “first right” to pick up the children and provide that care for the children, instead of having a babysitter, daycare provider, or other surrogate care provider take care of the children, until the parent with whom the children are scheduled to stay can again provide personal care and supervision. The principle behind the right of first refusal is that the parents, not surrogate, should be providing as much care for their own children as possible. A good example of this would be when a parent who is scheduled to have the children for particular week or weekend has to go into work to deal with an emergency or out of town for a business trip. A lot of mean-spirited and malicious parents get very territorial with their custody time and want to limit the amount of time the other parent has with the kids to the bare minimum. In response to this problem, the right of first refusal clause was invented. It requires: 1. a parent who is going to be away from the children to notify the other parent that he or she will be away from the children for certain period of time and Utah Divorce LawyerWhen you need legal help with a Utah Divorce, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
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8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506 The post Utah Divorce Code 30-3-11.4 first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/utah-divorce-code-30-3-11-4/ Heber City is a city in northwestern Wasatch County, Utah, United States. Heber City was founded by English immigrants who were members of The Church of Jesus Christ of Latter-day Saints in the late 1850s, and is named after the Mormon apostle Heber C. Kimball. It is the county seat of Wasatch County. The original Heber City town square is located on the west side of Main Street between Center Street and 100 North and currently houses city offices as well as the historic Wasatch Stake Tabernacle and Heber Amusement Hall. The city was largely pastoral, focusing largely on dairy farms and cattle ranching, and has since become a bedroom community for Orem, Provo, Park City and Salt Lake City. Heber City is currently governed by Mayor Kelleen Potter along with City Council Members. Within the city limits are Heber Valley, Old Mill, Daniels Canyon and J.R. Smith Elementary Schools, Timpanogos Middle School, Rocky Mountain Middle School, Wasatch High School, and Wasatch Alternative High School. An additional school in the Heber Valley is Midway Elementary School. All of these schools are part of the Wasatch County School District. Utah Valley University maintains a satellite campus just north of Heber City along the US-40 corridor. Heber City supports five LDS stakes, as well as congregations of Southern Baptists, Catholics as part of the Diocese of Salt Lake City, and Jehovah’s Witnesses. How Foreclosures WorkThe most obvious effect of foreclosure is that you now find yourself without a home. Many people rely on family at this point to get them through the coming months. Some people are able to afford to move into an apartment while they get their finances back on track. Sadly, some people that suffer foreclosure find themselves homeless. Most states have homeless prevention programs that assist people who are down on their luck and in need of a boost. If you’ve been foreclosed on and have no housing options, check with your state and local department of human services to see if they can assist you. Your credit rating is another way foreclosure can affect you. While being foreclosed on does have a negative impact on your credit rating, it doesn’t damage it beyond repair. Credit ratings are based on your credit history, so the foreclosure will be factored in along with everything else. If you had a good rating before you fell behind on your loan, you might be surprised at how high your credit score is after you foreclose. The most obvious effect of foreclosure is that you now find yourself without a home. Many people rely on family at this point to get them through the coming months. Some people are able to afford to move into an apartment while they get their finances back on track. Sadly, some people that suffer foreclosure find themselves homeless. Most states have homeless prevention programs that assist people who are down on their luck and in need of a boost. If you’ve been foreclosed on and have no housing options, check with your state and local department of human services to see if they can assist you. Your credit rating is another way foreclosure can affect you. While being foreclosed on does have a negative impact on your credit rating, it doesn’t damage it beyond repair. Credit ratings are based on your credit history, so the foreclosure will be factored in along with everything else. If you had a good rating before you fell behind on your loan, you might be surprised at how high your credit score is after you foreclose. Strategic Default: Should You Walk Away From Your Home?If your home has become a bad investment, you might be considering defaulting on your payments—even if you can still afford to make them—and letting a foreclosure happen. This tactic to rid yourself of a bad real estate investment is called a “strategic default.” Strategic defaults were common during the foreclosure crisis that happened from around 2008 to about 2014, though they’re less frequent now. Downsides to Walking AwayIf you’re contemplating a strategic default, you should know the consequences and consider them as part of your decision-making process. How Much Will a Foreclosure Affect a Tax Refund?Foreclosure is one of those difficult experiences certain homeowners may have to go through. Not only does foreclosure affect your credit rating, but it also can make it difficult to purchase another home in the immediate future. Additionally, there may be tax consequences attached to your foreclosure. In certain cases, foreclosed homeowners have been hit with a significant tax bill that often reduces or eliminates any tax refund due. Avoiding TaxationFederal law considers debt discharged in bankruptcy, including potentially taxable forgiven mortgage debt, to be non-taxable as a result. Insolvency immediately before mortgage debt is forgiven also could exempt you from taxation of that debt. According to the IRS, insolvency is when the total of your liabilities exceeds the fair market value of your assets. Consult a tax professional if you’ve recently experienced foreclosure in order to discuss any income tax and tax refund implications. Judicial Foreclosure vs. Non-Judicial ForeclosuresNot all foreclosures are created equally, and you have a better chance of fighting some than others—with or without an attorney. Non-judicial foreclosures can move very quickly because they don’t have to involve the court system. The procedure isn’t exactly the same in all the states that allow for these foreclosures because the rules depend on state law, but in many cases, your lender need only file a notice of default or similar document with the county recorder’s office. It will then publish a date on which it intends to sell your home, typically at auction. Unfortunately, the majority of states—29 of them and the District of Columbia—recognize this type of foreclosure as of 2019. You might be subject to it if you have a deed of trust rather than a mortgage, and if the deed of trust includes a “power of sale” clause. A judicial foreclosure must move through more restrictive legal channels. Your lender must first file a lawsuit against you, and you have the right to respond to that lawsuit in court. The lawsuit will effectively ask the judge to allow the lender to take possession of and sell your home, and the lender can’t do so without a judge’s permission. You can sometimes make the lawsuit go away if you can catch up your late mortgage payments within 30 days. Foreclosure Lawyer Heber City UtahWhen you need a foreclosure lawyer in Heber City Utah, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
Ascent Law LLC
4.9 stars – based on 67 reviews
The post Foreclosure Lawyer Heber City Utah first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/foreclosure-lawyer-heber-city-utah/ Utah Real Estate Code 57-1-21: Trustees of Trust Deeds — QualificationsThe trustee of a trust deed shall be: (C) deliver funds by a bidder at a foreclosure sale to pay for the purchase of the property secured by the trust deed; Naming a Trustee in Your Deed of TrustA trust deed with an unqualified trustee or without a trustee shall be effective to create a lien on the trust property, but the power of sale and other trustee powers under the trust deed may be exercised only if the beneficiary has appointed a qualified successor trustee under (4) Section 57-1-22 . If you use a deed of trust, either to purchase real estate or to borrow money using your property as collateral, a proper trustee must be part of the transaction. Most states that commonly use deeds of trust instead of mortgages have laws regarding the qualifications of the trustee. Using a Deed of TrustA deed of trust is a legal document used in a real estate transaction either when the purchaser is borrowing funds for the purchase or when an owner of real estate borrows money and uses the property as collateral for the loan. While most states usually use a mortgage instead, a deed of trust is commonly used in some states, so check local laws to find out what is applicable in your situation. Your bank, savings and loan, credit union, or a local title insurer or real estate broker may also be able to give you this information or even help you find a trustee. A deed of trust involves three parties: the borrower, the lender, and the trustee. In a deed of trust, the borrower is called the trustor and the lender is the beneficiary. The trustee holds title to the property until the trustor has fully repaid the loan to the beneficiary, at which time the lender notifies the trustee, who then transfers full title of the property to the trustor. Although deeds of trust are sometimes called mortgages, the two documents are actually quite different. With a mortgage, there are only two parties: the borrower, known as the mortgagor, and the lender, or mortgagee. The borrower holds title to the property and the lender has a lien on the property until the loan is fully repaid, at which time the lender executes and records a release of the mortgage. Deeds of trust are usually preferred by lenders since they may offer simpler foreclosure procedures in the event of default by the borrower. Commercial Lenders and Private TransactionsIf you borrow from a commercial lender, it is most likely that the lender will determine the trustee, which is typically a title company, professional escrow company, or other company in the business of serving as a real estate trustee. Sometimes a real estate broker or an attorney serves in this role some states have laws governing who may or may not serve as a trustee in a deed of trust. Generally, the trustee must be an attorney, title insurance company, trust company, bank, savings and loan, credit union, or other company specifically authorized by law to serve as a trustee. Other states have no limitations. If you borrow from the seller of the property or another private party, you and the lender need to agree upon a third-party trustee. As with a commercial lender, you may be able to use a title company, escrow agent, real estate broker, or attorney for this purpose. Whether your trustee is a person or company, you need to make sure they can be relied upon to act impartially and to fulfill the necessary duties and responsibilities. Assistance with property transfers may also be obtained from an online service provider. How to become a Licensed Insolvency TrusteeThe Superintendent of Bankruptcy has the authority, under the Bankruptcy and Insolvency Act (BIA), to grant licenses to Licensed Insolvency Trustees. Before granting a license, however, the Superintendent must be satisfied that candidates meet certain qualifications. They must, for example: Main Duties of a TrusteeA trustee is an entity or person formally appointed to manage the assets of a trust for the benefit of its beneficiaries in accordance with the terms of the trust. A trustee owes fiduciary duties to the beneficiaries. These duties are typically set out in the trust deed or provided by Statute. Duty of loyaltyTrustees have a fiduciary duty towards beneficiaries. A trustee must administer the trust solely in the interest of the trust beneficiaries and cannot place his or her interest in conflict with beneficiaries. Trustees should not profit personally from their role as trustees other than a fee which they may receive for their trusteeship. Duty to manage the trust efficientlyTo manage a trust efficiently, a trustee must be very familiar with the terms of the trust, the trust’s assets and liabilities, the circumstances of the beneficiaries and the purpose of the trust. Effective management systems should be in place to ensure that the appropriate decisions are made in a timely manner and taking into account the terms of the trust and the interests of the beneficiaries. This also includes effective communication with related parties and proper record keeping. A trustee also has a duty to invest prudently on behalf of the trust and should diversify the investment of trust assets in the interest of beneficiaries. Duty to act personallyTrustees act personally and must be involved in decision-making in respect of a trust. While trustees are typically permitted to engage advisers such as lawyers and financial advisers, the final decision on trust matters should be made by the trustee. In certain circumstances, trustees may delegate powers to third parties by power of attorney or deed of delegation. This must be permitted by the trust deed. For example, delegating powers to an agent to purchase or sell property overseas. The trustee is still obliged to properly instruct and supervise the agent. Where there is more than one trustee, decisions must be made unanimously unless otherwise permitted by the trust deed. Duty to consider the beneficiariesA trustee must act impartially with respect to the beneficiaries by considering all beneficiaries in their decision making. They should also not follow the instructions of the settlor but may give consideration to the wishes of the settlor which is not binding unless included in the terms of the trust. Duty to accountUnless otherwise provided by a trust, a trustee must keep trust accounts and other records. They must also respect beneficiaries’ rights with regard to requests for trust information. Generally, beneficiaries have a right to receive information about the trust but not the decisions of the trustee. What Powers Are Granted to a Trustee?The powers the grantor gives you, the trustee, in a trust instrument include the buying and selling of assets, determining distributions to the beneficiaries, and even the hiring and firing of advisors. Distributions to beneficiaries will include income distributions and principal distributions. Your powers as trustee enable you to determine what the beneficiaries receive from the trust and when, and give you the administrative powers ensure the smooth running of the trust. Powers of a trustee: Buying and selling assetsYou, as trustee, typically have the power under the trust instrument to buy and sell assets (except for any unusual asset the grantor wants retained in the trust). Aside from any other specific directions in the trust instrument or state law, you must follow the prudent man rule that is, to act as a prudent person would in managing their own affairs. In addition, most states have a legal list of investments that are suitable for trusts. The grantor can determine the frequency and amount of the distributions to the beneficiaries in the terms of the trust, or he or she can leave it to your discretion as trustee. If the grantor leaves it to your discretion, your job includes observing any guidelines in the trust instrument and adhering to the overall intent of the grantor. Some of the types of distributions you may need to make as a trustee include income distributions and principal distributions. Trusts contain different standards for when principal distributions can be made to a beneficiary based on whether the trust has an independent trustee. The following are two reasons for different standards for principal distributions: • With no independent trustee: If there isn’t an independent trustee (and the trust is for the benefit of someone other than the grantor), the IRS has identified certain “magic words” that restrict the distribution of principal and keep the trust from being included in the beneficiary’s estate for estate tax purposes. The magic words that keep this trust out of the beneficiary’s estate are “health, education, maintenance, and support,” which constitute an ascertainable standard. This structuring may seem extremely technical, but it’s an important point, especially for the beneficiary and his or her heirs. • With an independent trustee: Comfort isn’t one of the IRS’s magic words. Using the word “comfort” makes a trust taxable in a surviving spouse’s estate. Because many grantors feel the ascertainable standard described previously is too limiting, especially in a trust for the surviving spouse, grantors frequently elect to have an independent trustee. This enables the grantor to bestow broader powers of principal distribution without causing adverse tax consequences. Hiring and firing advisorsThe grantor and the person drafting the trust instrument understand that not every trustee will be a wizard at all aspects of trust administration. Trust instruments typically give the trustee the power to hire and fire advisors. Your grantor wants you to have any advice you need to run the trust and fulfill your fiduciary duty. If an advisor isn’t working out, including one whom the grantor has chosen, you need the power to let the advisor go whether for personal incompatibility with the trustee or a question of competence. If you feel you’ve given an advisor a fair chance to prove himself to you (and fair is defined by you as trustee, unless your trust instrument provides otherwise), then by all means, fire him and hire another one of your choice. What Happens When a Will and a Revocable Trust Conflict?A will and a trust are separate legal documents that typically share a common goal of facilitating a unified estate plan. While these two items ideally work in tandem, due to the fact that they are separate documents, they sometimes run in conflict with one another either accidentally or intentionally. By definition, a revocable trust is a living trust established during the life of the grantor, and may be changed at any time, while the grantor is still living. Since revocable trusts become operative before the will takes effect at death, the trust takes precedence over the will, when there are discrepancies between the two. Terms Used In Utah Code 57-1-21• Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Real Estate AttorneyWhen you need real estate help, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
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The post Utah Real Estate Code 57-1-21 first appeared on Michael Anderson. via Michael Anderson https://www.ascentlawfirm.com/utah-real-estate-code-57-1-21/ Utah Real Estate Code 57-1-20: Transfers in Trust of Real Property–Purposes–EffectAll right, title, interest and claim in and to the trust property acquired by the trustor, or the trustor’s successors in interest, subsequent to the execution of the trust deed, shall inure to the trustee as security for the obligation or obligations for which the trust property is conveyed as if acquired before execution of the trust deed. Transfers in trust of real property may be made to secure the performance of an obligation of the trustor or any other person named in the trust deed to a beneficiary. Preparing the DeedFirst, get a deed form. Try to find one that is specific to your state. You should be able to find one online. Or you may be able to get one at a local law library; look for books on “real property” that have deed forms you can photocopy. You can use a “quitclaim” or “grant” deed form. Deed forms vary somewhat, but they all require the same basic information. • The current owners’ names: If you are the sole owner, or if you and someone else co-own the property and you are transferring just your share, only your name goes here. If you and your spouse own the property together and are transferring it to a shared trust, type in both of your names. Use exactly the same form of your name as is used on the deed that transferred the property to you and you used in your living trust document. • The new owner’s name: Fill in your name(s), as trustee(s) exactly as it appears in the first paragraph of your trust document, and the date you signed the trust document in front of a notary public. • The “legal description” of the property: Copy the description exactly as it appears on the previous deed. If you co-own the property with someone and are transferring only your share, you must also state, with the legal description, that you are transferring only that share (a one-half interest, for example) or that you are transferring “all your interest” in the property. After everything is filled in, sign and date the deed in front of a notary public for the state in which the property is located. Everyone you listed as a current owner, who is transferring his or her interest in the property to the trustee, must sign the deed. Recording the DeedAfter the deed is signed, you need to “record” it that is, put a copy of the notarized deed on file in the county office that keeps local property records. In most places, the land records office is called the county recorder’s office, land registry office or county clerk’s office. Just take the original, signed deed to the land records office. For a small fee, a clerk will make a copy and put it in the public records. You’ll get your original back, stamped with a reference number to show where the copy can be found in the public records. Changing Ownership to the TrustWhen you transfer assets to a living trust you are changing legal ownership of your assets from your name to that of the trust. Most people create a living trust with themselves as trustee, so you will still be able to use and control your assets, but they will technically be owned by the trust. When funding a living trust, ownership will be transferred from you to (Your Name), Trustee of the (Your Name) Living Trust. Note that items in the trust will continue to be assigned to your Social Security number. To get started, you’ll want to make a complete list of the assets you want to transfer so that you are sure you don’t leave anything out. Transferring Real Property to Your TrustOne of the largest assets most people own is their home and this is likely an asset you want to transfer into your trust. You can transfer your home (or any real property) to the trust with a deed, a document that transfers ownership to the trust. A quitclaim deed is the most common and simplest method (and one you can do yourself). Alternatively, a warranty deed ensures you have good title when you transfer it and may make it easier for your trust beneficiaries to sell the home down the line. You will want to check with an attorney about which type of deed is best in your situation. Some states require that all deeds be prepared by attorneys so you may not have a self-help option. Once the deed form is prepared, a real estate deed must be filed with your county and you will need to pay a filing fee. A deed transfer should not affect your mortgage, even if you have a due on sale provision. You should check on your title insurance (if you have any) though. You may be able to simply transfer it to the trust, or your title insurance company may require that the trust buy a new policy. Once the deed is transferred, you may need to change your homeowner’s insurance to indicate the trust as owner of the property. If you receive a real estate tax exemption, you will want to make sure that is properly applied by showing documentation of the trust to the taxing authority, such as a certificate of trust (a document your attorney can create that certifies the existence of the trust). Can a Quit Claim Deed Transfer Property to a Trust?A quitclaim is commonly used to transfer personal ownership of real estate into a trust. Without putting the property in the trust, it remains subject to probate timelines and fees. While a quitclaim deed is commonly used, it isn’t the only deed that places the property into the trust. Funding the Trust with a Quitclaim DeedFunding a trust means assets are properly titled so the trust, not the trustees or original owners, own the asset. Quitclaim deeds can fund the trust with real estate. A quitclaim deed relinquishes all rights to the property without warranty. The person signing the deed gives the property to the new person or entity named on the deed, in this case the trust. To properly fund the trust, you must first have the valid trust established. It must identify the property by legal description and address. This information corresponds with the information needed on the quitclaim deed. Complete the quitclaim deed with all pertinent information including the grantor’s legal name and title, the new owner’s name and title, and the property description. The grantor gives the property. The grantee gets the property. In this case, the grantee is the trust. Quitclaim deeds must be notarized and filed with the county recorder or assessor’s office. Potential Problems with Quitclaim DeedsWhile a quitclaim deed is common and easy to do, it has some limits to guaranteeing the chain of title. In the case of individuals funding a trust, this isn’t usually an issue, but it can become problematic down the road if the property is sold. A better option is the warranty deed, which provides assurances of a clean title. If and when beneficiaries choose to sell, the warranty deed includes a title search; therefore it takes more time and involves other expenses. Otherwise, the recording process is the same as a quitclaim deed. Reasons to Start a TrustWhile trust funds, or trusts, may seem the province of the wealthy, there are actually many benefits to creating them, even if you’re not a multimillionaire. Trusts can help you manage your property and assets, make sure they are distributed after your death according to your wishes, and save your family money, time and paperwork. Simply put, a trust is legal document established by an individual or corporation known as a grantor. The trust holds property or assets for a specific person or group, called the beneficiary. Control of the trust is maintained by a trustee in some cases the grantor is the trustee, and in others the grantor names a trusted family member, friend or professional. There are many reasons to set up a trust, including avoiding probate, providing for your family after your death, and stating exactly how, and when, your descendants receive their inheritance. But not everyone should establish a trust for some; a standard will is a better choice. Although do-it-yourself kits are available, the applicable laws are complicated, and anyone considering a trust should consult a lawyer. But before calling your attorney, read on to learn a bit more about the advantages of a trust. • Trusts Are Private: Trusts offer greater privacy than wills because trusts don’t go through probate, so there usually aren’t any public records of them. This means your assets and whom you leave them to are kept private. In a few rare cases, there will be a public record, such as if a trust is funded from a pour over provision in a will this is when items are transferred from a probate estate into your trust. Also, in some states, you may have to register a trust if it contains such items as real estate and securities, and this will create a public record. However, there may be a way around these obstacles. By placing assets in the name of a partnership instead of a trustee (called nominee partnership) you can protect your privacy. In this case, the assets in the trust are controlled by the partnership, but are still owned by the grantor. • Help Managing Your Affairs: Trusts can help you manage your affairs if you become unable to do so. Many people set up trusts to prepare for the possibility that they may become disabled or ill before their death, and thus unable to manage their assets properly. To obtain this protection, you need to set up a revocable living trust and name a trustee who will manage it. The trustee can take over managing, not only your affairs, but also those of any beneficiaries you’ve been providing for. Having a living trust and choosing your own trustee avoids a situation where the courts must appoint someone to manage your assets for you. In addition to taking away control of your affairs, a court-appointed guardianship can involve extensive paperwork, delays and other complications. • Eliminate Family Feuds: Trusts can minimize possible conflict between heirs when an estate is being settled. They are highly customizable, allowing grantors to tailor the document to the needs of their own situations. A grantor can detail the exact items and monetary amounts to be left to each beneficiary. This is particularly helpful when dividing items that heirs may argue over, or items that may have sentimental value. A grantor can decide to leave, for example, a painting to a child who particularly appreciated it, an item of furniture to a relative who is a collector and a car to a grandchild who admired it. With all of the specifics spelled out, heirs have little reason to argue over “who gets what.” Trusts offer more control than wills in complex family situations, such as when leaving assets to a married beneficiary. Unlike a will, a trust can be customized so that a beneficiary’s spouse cannot gain access to the inheritance without the beneficiary’s consent. • Dividing Assets and Property: Having what’s known as a living trust can help determine how difficult-to-divide assets should be split up. In the case of real estate, for example, a living trust can be highly advantageous. With a house, a living trust offers more control than a will in spelling out how such property should be transferred after the grantor’s death. A living trust can detail who inherits the property, as well as who has the right to use it and under what conditions; whether the property can be sold, and if so, how the proceeds should be distributed; and how the inheritors of the house can buy each other out if they choose to do so. This way a grantor can ensure that each beneficiary receives equal access to the property. Other assets that could be placed in a trust might a boat or a car that are intended to be used by all of the beneficiaries, or any other property that the grantor might want them to share. • Reduce Estate Taxes: An estate tax is a tax on your right to transfer property after your death. A trust can provide a way to avoid or reduce estate taxes because assets and property placed into a trust are not subject to these taxes. For example, with a children’s trust, a grantor can make tax-free monetary gifts from an estate to children or grandchildren. By making these gifts, the donor is reducing the overall taxable amount of the estate, and thus lowering tax liability. • Charitable Trusts: A charitable trust is a popular way to donate to charitable organizations. A grantor can transfer assets such as money, real estate or art to a charitable trust, and designate that they eventually be given to a specific organization. In the meantime, however, the grantor can continue to use the property. If the assets in the trust are, for example, a summer home or a favorite painting, they can be enjoyed just as much after being put in a trust as they were before and possibly more, because the grantor knows that the property will ultimately go to support a worthy cause. And what’s more, these kinds of charitable donations are often tax-deductible. • Higher Education: Another common reason trusts are established is to pay for education. Whether the grantor is paying for one child or several, a college trust fund offers flexibility in how and when money is disbursed for educational expenses. Typically, an education trust will specify that each child’s full tuition and college expenses be paid, after which any remaining assets in the trust can be split evenly among all of the children. In some cases, the children will have different financial needs — for example, if one child attends medical school, while another simply earns a bachelors degree. The person setting up the trust may decide to give each child the same amount, regardless of the cost of their education, or provide varying amounts depending on each child’s educational costs. • Flexible Distribution: Trusts offer flexibility in how assets are distributed. The grantor of a trust can set out in detail how his or her estate is to be distributed to beneficiaries. For beneficiaries who are unable to effectively manage money or who can’t be relied on to make sound financial decisions, a trust gives the grantor the option of disbursing funds to the beneficiary in smaller, regular amounts instead of one large lump sum, so the beneficiary can’t spend all the money at once. The grantor can also specify how the funds can be spent, for example on rent, food, healthcare, and other necessary or unexpected expenses. • Contest-resistant: A trust gives you greater protection than a will against legal action from anyone who is unhappy with the distribution of assets and decides to challenge it. This benefit alone may make some people consider a trust a good option. However, the fact that a trust is difficult to contest doesn’t mean it is impossible. There are two main ways to challenge the legitimacy of a trust. The complainant can claim that the grantor was mentally incapacitated when setting up the trust essentially, that the grantor didn’t have the ability to fully understand the responsibilities, risks, benefits and other aspects of setting up the trust. And a trust can also be contested on the grounds that the grantor was under duress or “undue influence” when setting up the trust and didn’t do so freely. But a trust is still more difficult to contest that a will. • Avoid Probate: Often cited as a key reason for establishing a trust, avoiding probate can mean substantial savings in time, legal fees and paperwork. If your assets and property are to be distributed according to your will, probate is the process by which a judge determines the will’s validity. A trust allows your descendants to bypass this process and gain access to the assets and property more quickly. Plus, your family can avoid probate fees, which can be as much as 5% of the value your estate. The probate process is also a long one, and can take up to a year or even two to finalize, during which time your family can’t touch their inheritance. In some states, however, the courts allow beneficiaries a certain amount of money for living expenses while they wait for their inheritance to become available. Terms Used In Utah Code 57-1-20• Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Real Estate AttorneyWhen you need a Real Estate Lawyer, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.
Ascent Law LLC
8833 S. Redwood Road, Suite C West Jordan, Utah 84088 United States Telephone: (801) 676-5506
Ascent Law LLC
4.9 stars – based on 67 reviews
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