Divorce Terms Everyone Should Know

Divorcing from your spouse is not as simple as saying that the marriage is done and you both want to go your separate ways. There is a formal legal process that must be followed so that you and your spouse are no longer legally connected. An experienced divorce attorney can help you through the process and ensure that the right steps and actions are taken so that there are no hiccups in your case. While your attorney is on your side and explaining what is happening every step of the way, you might want to have a general understanding of some of the terminology associated with divorce proceedings so that you can best prepare for the road ahead. Knowing some terminology early on can also help you figure out which questions your want to ask.

 

The legal system in the United States is complex and can be confusing. Individuals can gain experience by going through different legal proceedings, but likely are only going to know a limited amount of information about their particular situation, not the system in general. The following are terms that often arise during divorce proceedings:

 

• Civil Procedure: Divorce proceedings are a part of civil court. In order for proceedings to go smoothly, both in divorce and other civil manners, there are certain rules that must be followed by all parties to be compliant with the law. Alabama has its own Rules of Civil Procedure. Included in these rules are the time frames in which documents must be served, the amount of notice that must be given to another party, filed document requirements, and many other rules that might apply in a particular case.
• Residency Requirement: In order to file for a divorce in Alabama, there are residency requirements that must be met. Both parties are not required to be a resident of Alabama. If the defendant is not a resident, the filing spouse, the plaintiff, must have been a resident of the state of Alabama before the divorce can be filed.
• Jurisdiction: Every case needs to be filed in the proper jurisdiction. In a divorce proceeding, there are different options that might be appropriate depending on the circumstances. A divorce can be filed:
  • In the county where the defendant to the divorce resides
  • The county where the couple seeking the divorce lived at the time of their separation
  • In the county where the plaintiff resides if the defendant is not a resident in the state of Alabama
• Legal Grounds for Divorce: In order to file for divorce, there needs to be a reason for it. Alabama recognizes the following as legal grounds for divorce:
  • Abandonment of marriage voluntarily one year before filing the case;
  • The court determining that the spouses are incompatible to live together any further;
  • The court determining there was a breakdown of the marriage that is irretrievable;
  • One spouse being incurably incapacitated after entering into marriage;
  • A spouse committing adultery;
  • Imprisonment of a spouse for at least two years of a seven year or greater sentence;
  • A spouse committing a crime against nature
  • Addiction to drugs, alcohol, or other impairing substances
  • Confinement in a mental hospital for five successive years, if incurably insane at the time of filing;
  • A wife being pregnant without the husband’s knowledge at the time of marriage;
  • Violence against a spouse; or
  • A wife living separate of her husband for at least two years, with no support given from the husband.
• Property Division: One of the biggest elements of a divorce is determining what happens to marital property. Alabama is an equitable distribution state. This means that whatever is deemed to be marital property will be split equitably among the spouses. It is important to note that equitable does not mean equal. The court will determine what a “fair” distribution of property will be. Spouses can come to their own agreement that is then approved by the court.

 

If you are considering filing for divorce and do not know where to start, the divorce attorneys at Massey, Stotser & Nichols, PC are here to help you. We know that it can be difficult to come to the decision to end a marriage. We want to help set you up for success in the next chapter of your life by representing you through divorce proceedings and reaching the best result possible under the circumstances. Contact us today for a consultation.

Divorce Terms Everyone Should Know posted first on https://www.msnattorneys.com

Can I Receive Gifts During Real Estate Closings?

Commercial real estate is a tough market for consumers. Anyone looking to put their property on the market can quickly find themselves bombarded with real estate agents looking to help them sell it. Licensed real estate agents need customers to work with. This includes both those looking to buy and sell property. One way in which a real estate agent might look to garner more clients is through various incentives like gifts, cash, prizes, or other types of valuable incentives. While this is great for prospective clients and the real estate agent garnering interest in their services, the legality of offering incentives must be examined under Alabama law.

There are both federal and state statutes that illustrate what a licensed real estate agent is and is not allowed to do regarding incentives that can be used in real estate transactions. State law prohibits the licensed real estate broker to give a rebate or receive a rebate in a transaction. Federal law prohibits “kickbacks.” The licensed real estate broker cannot receive unearned fees that are connected to a real estate transaction. These two laws may seem to contradict each other, but there are examples of “gifts” that might be permissible in a real estate transaction.

Any “incentive” that is being given during a real estate transaction can only be given to a party. Typically, this means that only a buyer, seller, lessee, or lessor may benefit from any incentive advertised. The following are incentives and gifts that are permissible during real estate transactions in Alabama:

• Owners of a property being paid cash when the property is listed for sale
• Offering a cash incentive to a buyer who is interested in buying a home, so that the sale will proceed
• Gifting a car to a customer as an incentive to buy a home
• Offering one month of free rent to a lessee interested in renting an apartment
• An agreement for any repairs that need to be made on a home to paid for by someone other than the buyer in an effort to close the sale.

It is not enough for an incentive to fall within these permissible categories. The way in which a gift is given also carries a lot of weight in a transaction. Other laws cannot be violated in an attempt to offer up an incentive to a party of a real estate transaction. The following are the main requirements for incentives during a real estate transaction:

• Every party to the transaction must be informed about any incentive or gifts being given
• The incentive needs to be given in advance of, or at, the closing of the sale.

If a licensed real estate broker fails to disclose an incentive, misrepresents it, or otherwise fails to disclose the transaction to an interested party, this is considered a violation. A violation could result in voiding a contract for sale or even criminal charges in some instances.

While it is helpful to know what is permissible under the law, it can be equally as important to know what to look out for, what red flags to be aware of. The following incentives are not permissible in a real estate transaction:

• Referral fees paid to a licensed real estate broker by a title insurance company, mortgage company, or homeowners’ insurance. A paid vacation to the licensed broker is also considered a rebate
• Referral fees paid to the licensed real estate broker by various contractors: pool installer, carpet installer, landscaper, etc.
• A license real estate agent paying a fee to another for referring a buyer or seller to them for business.
• Essentially, be wary of referral fees that are present in a transaction and make sure to find out if they are valid.

 

The real estate attorneys at Massey, Stotser & Nichols, PC are here to help you with your real estate closing. We have vast experience with real estate transactions, and we want to be sure that your closing goes off without a hitch. Buying a new piece of property is an exciting time. You should not have to worry about anything during this process, especially the validity of the closing agreement. Let us handle the legalities of closing and making sure that everything is done according to the letter of the law. Contact us today for experienced legal assistance.

Can I Receive Gifts During Real Estate Closings? posted first on https://www.msnattorneys.com

Two MSN Attorneys in the 27th Edition of The Best Lawyers in America

BIRMINGHAM, Ala. – Massey, Stotser & Nichols, PC, a law firm based in Birmingham, Alabama, has announced that two of its attorneys have been included in the 27th edition of The Best Lawyers in America. The Best Lawyers In America is a highly regarded peer-reviewed publication that has been highlighting the top private practicing attorneys in the US for more than 30 years.

Senior Partner Randy Nichols has been honored for his work in family law. He practices all aspects of family law litigation and appeals as well as mediates family law disputes. Born and raised in Virginia, he went to college at Duke University. He then went to law school at the University of Virginia School of Law. He moved to Alabama in 1986 to pursue a career in law.

Randy is a Certified Mediator for Appellate Courts. He has taught family law as an Adjunct Professor at the Cumberland School of Law and the Birmingham School of Law. In 2002 and again in 2019-20, he has served as president of the Alabama Chapter of the American Academy of Matrimonial Lawyers. He is a member of the Alabama State Bar Association and Birmingham Bar Association. He has been a partner at the firm for over 20 years.

Partner James A. Kee, Jr. has also been honored for his work in construction law. Mr. Kee’s practice is primarily in the area of civil litigation with an emphasis on insurance and corporate defense. He specializes in construction litigation (residential and commercial) and insurance coverage analysis/litigation as well as the defense of a variety of personal injury claims (product liability, construction accidents, automobile accidents, and premises liability). His litigation work includes significant state, federal, and appellate court practice.

Jim Kee graduated from Auburn University in 1981 with a Bachelor’s degree in Business Administration. He later graduated from the Cumberland School of Law at Samford University in 1985. He is a member of the Alabama State Bar Association. He has also held the Martindale Hubbell AV rating for 20 years. He is a member of or is associated with the Alabama Defense Lawyers Association, Defense Research Institute, Elite Lawyers of the South (ALM and Martindale), Alabama Super Lawyers (Construction/Insurance), and more.

We are so proud that Randy and Jim have been selected for this recognition. It is a true testament to their dedication to each of their practice areas and to making sure that our clients have the best representation,” said Rick Stotser, MSN Attorneys Senior Partner. “Their unwavering commitment to their clients is what has made them stand out year after year.”

Massey, Stotser & Nichols, PC, was founded in 1977 to provide legal services for individuals, families, and businesses in the Birmingham area. The firm offers representation in areas including business law, real estate law, mediation, insurance, construction, government, family law, estate planning, and probate. The firm’s team of Alabama trial and transactional attorneys has a broad range of knowledge and experience. In addition to its professional associations, the firm is also actively involved in supporting local organizations.

The Best Lawyers in America©, first published in 1983, has used a very strict peer-review process, consistently, to fulfill its core mission – to highlight the top legal talent in America. The scope and scale of the publication have dramatically grown over the past three decades. It continues to be a trusted and unbiased voice, respected by both clients and legal professionals all over the country. The 2021 Edition, which is also the 27th edition, is based on more than 8 million evaluations and recognizes just over 65,000 attorneys in 147 practice areas. It has been organized by state, city, and practice area for easy readability.

 

 

Two MSN Attorneys in the 27th Edition of The Best Lawyers in America posted first on https://www.msnattorneys.com

MSN Senior Partner Anne Lamkin Durward Is Appointed as Domestic Relations Circuit Judge in Alabama

BIRMINGHAM, Ala. – Massey, Stotser & Nichols, PC, is pleased to announce that Anne Lamkin Durward, a Senior Partner at the firm, has been appointed by Governor Kay Ivey to serve as a Domestic Relations Circuit Court Judge in Jefferson County, Alabama. Ms. Durward is honored to have been appointed to this position and looks forward to serving the citizens of Jefferson County.

Anne Lamkin Durward is from Birmingham, Alabama, and she attended Washington & Lee University in Lexington, Virginia. After that, she returned to Birmingham to obtain her law degree from Samford University’s Cumberland School of Law in 1995. She continues to serve as a coach for the National Moot Court Team of the Cumberland School of Law. Throughout her career, she has been involved in numerous organizations, including as a Fellow in the American Academy of Matrimonial Lawyers and the International Academy of Family Lawyers. She also has served on the board of several organizations and she has been very active in the legal community and Birmingham Bar Association.

MSN was established in 1977 to offer legal services to individuals, businesses, and families in the Birmingham area. The team of Alabama trial and transactional lawyers at MSN have a wide range of knowledge and experience. They cover many practice areas, including real estate law, business law, insurance, mediation, family law, government, construction, estate planning, and probate.

Senior Partner Randy Nichols has this to say about Anne Lamkin Durward’s appointment as a Domestic Relations Circuit Court Judge, “We know Anne will serve with distinction and wish her the absolute best in this new chapter of her distinguished career. No doubt she will perform well in her role as domestic relations circuit court judge. Our firm will miss Anne immensely, but the people of Jefferson County will benefit greatly.”

Those who wish to learn more about Massey, Stotser & Nichols, PC and the various legal services the firm provides can find more information on its website.

About Massey, Stotser & Nichols, PC:

Founded in 1977, Massey, Stotser & Nichols provides legal services for individuals, families, and businesses in the Birmingham area. The firm’s team of Alabama trial and transactional attorneys has a comprehensive range of experience and knowledge. Covering many issues in the legal arena, the firm offers representation in areas including business law, real estate law, mediation, insurance, construction, government, family law, estate planning, and probate.

 

MSN Senior Partner Anne Lamkin Durward Is Appointed as Domestic Relations Circuit Judge in Alabama posted first on https://www.msnattorneys.com

COVID-19 and Business Interruption Coverage

The restrictions put in place to halt the spread of COVID-19 including social distancing, stay-at-home orders, and quarantines are critically impacting businesses.  MSN is currently reviewing insurance policies for businesses who may have suffered financial losses due to business interruption caused by the coronavirus (COVID-19) and those that have been ordered to suspend operations by their local or state government.  Business interruption coverage is often included as part of a company’s business insurance package issued to businesses such as Business Owners Policies (known as ‘BOP’ policies). These Business Owners’ Policies typically also provide general liability coverage, commercial property damage coverage and business interruption coverage.  Additionally, most policies also provide coverage for losses due to governmental action or governmental shutdown. This coverage could extend to business closures, cancellations or inability to conduct normal business due to actions taken by governmental authorities. Every potential case depends on the language of the individual policy and all businesses suffering losses should be aware that coverage may be possible and we are available to assist you in reviewing your policy for coverage.

Additionally, the State of Alabama Department of Insurance issued an Order on March 30, 2020 recommending insurers to work with policyholders on cancellations as a result of the COVID-19 pandemic.

This Order states in part:

• In light of current circumstances, the Alabama Commissioner of Insurance hereby recommends insurers consider the following actions for applicable policies in force as of March 13, 2020;
• Relaxing due dates for premium payments,
• Extending grace periods,
• Waiving late fees and penalties,
• Allowing premium payment plans which will avoid a lapse in coverage,
• Expanding automobile coverage to allow personal vehicles to be covered while delivering food, medicine or other essential services for commercial purposes

If you are suffering business losses due to governmental closures, supply chain disruptions or illnesses related to the coronavirus, we are here to help by reviewing your insurance policy and in evaluating any potential claim.  Please contact us anytime.

 

COVID-19 and Business Interruption Coverage posted first on https://www.msnattorneys.com

Real Estate Closings During Covid-19

Massey, Stotser, & Nichols P.C. understands the current requirement and desire to remain in compliance with all current directives regarding the need for social distancing. In accordance with this, MSN is able to provide the option of a drive-up closing or video conferencing in our real estate closings. We look forward to working with all of our partners to provide the highest level of service to the community. Please contact us if you have any questions as to how we can assist you now and in the future.

For all amounts owed over $5,000.00 at closing, our office requires a wire transfer of funds. Please contact us for our wiring instructions if you are required to bring more than $5,000.00 for closing.

VERIFY WIRING INSTRUCTIONS BY CALLING (205) 838-9000

These Wire Instructions will not change. We are not responsible for misdirected funds.

IF YOU RECEIVE NEW WIRING INSTRUCTIONS ON THIS CLOSING, PLEASE NOTIFY ME IMMEDIATELY BY PHONE TO CONFIRM. OUR LAW FIRM DOES NOT ALTER ITS WIRING INSTRUCTIONS AND OUR WIRING INSTRUCTIONS ARE ONLY SENT THROUGH OUR SECURE EMAIL SYSTEM.

We appreciate your continued trust in our firm and we are grateful for your partnership through this growing global challenge.

Be safe, stay well, and know that we are here for you.

 

Sincerely,

Chesley P. Payne, Attorney

Direct:  205-838-9008

Facsimile:  205-838-9028

Main:  205-838-9000

Email: cpayne@msnattorneys.com

 

 

 

Real Estate Closings During Covid-19 posted first on https://www.msnattorneys.com

Small Business Coronavirus (COVID-19) Disaster Relief Assistance Loans

Here at Massey, Stoster & Nichols, PC, we understand how many small businesses and non-profits have been financially impacted by the Coronavirus (COVID-19) disaster and are here to help provide information and resources available to such small businesses and non-profits. We know you may have several questions involving COVID-19. That is why our attorneys have compiled the below information related to disaster relief assistance loans available to many small businesses and non-profits in Alabama.

SBA Disaster Relief Loan Basics

In response to the Coronavirus (COVID-19) outbreak, the federal government and many states, including Alabama, have developed paths towards economic relief for small businesses. On March 12, 2020, the U.S. Small Business Administration (SBA) announced that it will be offering federal disaster loans for working capital to small businesses that have sustained impacted substantial economic injury as a result of the coronavirus (COVID-19). Because small businesses makeup the backbone of Alabama’s economy, Governor Kay Ivey has announced that Federal disaster loans will be available to small businesses and nonprofits in Alabama. 

1. Does Your Business or Nonprofit Qualify for a SBA Economic Injury Disaster Loan?

In response to the Coronavirus (COVID-19) outbreak, the SBA has made Economic Injury Disaster Loans (“EID Loans”) available for qualifying businesses that have suffered economic injury as a result of the epidemic. Small businesses suffering from the economic downturn caused by the coronavirus outbreak can apply for Economic Injury Disaster Loans (EIDLs) to meet outstanding expenses and obligations. Both small businesses and nonprofits can apply for the loans.

If you own a small business, small agriculture cooperative, small aquaculture business or a private non-profit organization that has been directly or indirectly affected by the disaster, you may be eligible to apply for an EID Loan.

Before being approved for an EID Loan, the SBA will consider whether the following criteria:

1. Credit History – The SBA will consider whether your small business or non-profit has an acceptable credit history.

• Repayment – The SBA must determine that your small business or non-profit has the ability to repay the EID loan.

• Eligibility – Your small business or non-profit must be physically located in a declared county and suffered working capital losses due to the declared disaster. 

• What Are the Terms of the SBA’s Economic Injury Disaster Loans?

The SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance and can be paid over as much as 30 years, according to the federal Small Business Association (SBA). SBA says the payment rate is 3.75% for small businesses and 2.75% for nonprofits.

The loans can be used to pay fixed debts, payroll, accounts payable and other expenses that are difficult to pay during the coronavirus outbreak. Eligible small businesses and non-profits make also use the loan funds to pay other bills that could have been paid had the Coronavirus (COVID-19) disaster not occurred.

            Small businesses and non-profits will only have to offer up collateral if borrowing over $25,000.00. The SBA will not decline a loan for lack of collateral, but does require borrowers to pledge what is available. Applicants can have an existing SBA Disaster Loan and still qualify for an EIDL for this disaster, but the loans cannot be consolidated. There is no cost to apply. There is no obligation to take the loan if offered.

• How To Apply for a SBA Economic Injury Disaster Loan.

Applicants do not go through a bank to apply. Instead apply directly to SBA’s Disaster Assistance Program. Although paper applications and forms are acceptable, filing electronically is easier, faster, and more accurate.

Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure website at https://disasterloan.sba.gov/ela.

Paper loan applications can be downloaded from www.sba.gov/disaster. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.

      The documents required when submitting an application are:

1. Completed SBA loan application (SBA Form 5 or 5C). 


• Tax Information Authorization (IRS Form 4506T) 
for the applicant, principals and affiliates. 


• Complete copies of the most recent Federal Income Tax Return. 


• Schedule of Liabilities (SBA Form 2202). 


• Personal Financial Statement (SBA Form 413). 


Other information that may be requested:

1. Complete copy, including all schedules, of the most recent Federal income tax return for principals, general partners or managing member, and affiliates (see filing requirements for more information). 


• If the most recent Federal income tax return has not been filed, a year-end profit-and-loss statement and balance sheet for that tax year.

• A current year-to-date profit-and-loss statement.

• Additional Filing Requirements (SBA Form 1368) providing monthly sales 
figures. 


Birmingham Strong Small Business Loan Basics

            In addition to the SBA Economic Injury Disaster Loan, small business owners in Birmingham have another opportunity to receive an emergency loan through Birmingham Strong.

Birmingham Strong is a loan fund for those facing layoffs or other major financial burdens from Coronavirus (COVID-19) related closures. 

The loan fund is operated by the Community Foundation of Greater Birmingham. The Birmingham City Council approved $1 million for the loan fund. An additional $200,000 from Birmingham’s Office of Innovation and Economic Opportunity is expected to be approved for the fund.

1. Does Your Business Qualify for a Birmingham Strong Small Business Loan?

Licensed for-profit businesses with fewer than 50 employees within the Birmingham city limits that have been operating for at least one year are eligible for the Birmingham Strong Small Business Loan.

The Birmingham Strong Small Business Loan must be used to in payroll or to avoid staff cuts, maintaining business operations or funding a business model reconfiguration in response to COVID-19.

Applicants will be judged on certain criteria, including:

1. the business impact on neighborhood and community;

• the adaptability, innovation and responsiveness to COVID-19;

• on fiscal strength and operational stability;

• on historic contributions to the City of Birmingham as an employer and business; and

• on the ability to maintain operations and make payroll while limiting staff reductions.

• What Are the Terms of the Birmingham Strong Small Business Loan?

Loans of $10,000 to $25,000 are available under the Birmingham Strong Small Business Loan. Four loan sizes: one $25,000, $20,000, $15,000, or $10,000 per business. The loans are interest-free for 180 days. After that, a 24-month payment plan begins. 

The repayment structure of the Birmingham Strong Small Business Loan is as follows:

• $25,000: 3% interest after 180 days
• $20,000: 3.5% interest after 180 days 
• $15,000: 4.0% interest after 180 days
• $10,000: 5.0% interest after 180 days

• How To Apply for a Birmingham Strong Small Business Loan.

Applicants need to apply at www.bhamstrong.com. The deadline for the first round of applications is 11:59 PM CDT March 27. Businesses will be notified on April 3 if their loan application was approved or rejected. Loan documents will be signed and checks disbursed from April 6 to 15.

The documents required when submitting an application are:

• A written application;
• For Guarantors: (anyone with 20% or more ownership of the business)
  • Copy of driver’s license 
  • Personal financial statement
  • Most recent Federal tax return
• For the Businesses
  • Federal tax returns for the past two years (unless the business is only one year old)
  • 12/31/2019 Year-end financial statements (balance sheet and income statement)
  • Interim financial statements dated within the last 90 days
  • Supporting documents to statement of need outlined in the application
  • Copy of 2019 Birmingham Business License
  • Current bank statement

Need Additional Help?

            We at Massey, Stotser & Nichols understand that this can be a crazy time and we are here to keep you informed and up-to-date on the latest laws and resources surrounding the Coronavirus (COVID-19) disaster.

In addition to helping you and your small business and/or non-profit with applying for a disaster loan, we have talented attorneys that can also help and advise you regarding all of your needs during this time. If you have any questions regarding COVID-19 and your obligations as an employer, please do not hesitate to contact us.

Small Business Coronavirus (COVID-19) Disaster Relief Assistance Loans posted first on https://www.msnattorneys.com