Thursday, October 31, 2019

How Many Years Do You Have To Be Married To Get Alimony

How Many Years Do You Have To Be Married To Get Alimony

Alimony (also called aliment (Scotland), maintenance (England, Ireland, Northern Ireland, Wales, and Canada), spousal support (U.S., Canada) and spouse maintenance (Australia)) is a legal obligation on a person to provide financial support to their spouse before or after marital separation or divorce.

History Of Alimony

The Code of Hammurabi (1754 BC) declares that a man must provide sustenance to a woman who has borne him children, so that she can raise them:
137. If a man wish to separate from a woman who has borne him children, or from his wife who has borne him children: then he shall give that wife her dowry, and a part of the usufruct of field, garden, and property, so that she can rear her children. When she has brought up her children, a portion of all that is given to the children, equal as that of one son, shall be given to her. She may then marry the man of her heart. Obligation arises from the divorce law or family law of each country. Alimony is also discussed in the Code of Justinian.

The modern concept of alimony is derived from English ecclesiastical courts that awarded alimony in cases of separation and divorce. Alimony pendent lite was given until the divorce decree, based on the husband’s duty to support the wife during a marriage that still continued. Post-divorce or permanent alimony was also based on the notion that the marriage continued, as ecclesiastical courts could only award a divorce a Mensa ET thoron, similar to a legal separation today. As divorce did not end the marriage, the husband’s duty to support his wife remained intact.

Liberalization of divorce laws occurred in the 19th century, but divorce was only possible in cases of marital misconduct. As a result, the requirement to pay alimony became linked to the concept of fault in the divorce. Alimony to wives was paid because it was assumed that the marriage, and the wife’s right to support, would have continued but for the misbehavior of the husband. Ending alimony on divorce would have permitted a guilty husband to profit from his own misconduct. In contrast, if the wife committed the misconduct, she was considered to have forfeited any claim to ongoing support. However, during the period, parties could rarely afford alimony, and so it was rarely awarded by courts.

As husbands’ incomes increased, and with it the possibility of paying alimony, the awarding of alimony increased, generally because a wife could show a need for ongoing financial support, and the husband had the ability to pay. No-fault divorce led to changes in alimony. Whereas spousal support was considered a right under the fault-based system, it became conditional under the no-fault approach According to the American Bar Association, marital fault is a “factor” in awarding alimony in 25 states and the District of Columbia.

Permanent alimony began to fall out of favor, as it prevented former spouses from beginning new lives, though in some states (e.g., Massachusetts, Mississippi, and Tennessee), permanent alimony awards continued, but with some limitations. Alimony moved beyond support to permitting the more dependent spouse to become financially independent or to have the same standard of living as during the marriage or common law marriage, though this was not possible in most cases.

In the 1970s, the United States Supreme Court ruled against gender bias in alimony awards and, according to the U.S. Census Bureau, the percentage of alimony recipients who are male rose from 2.4% in 2001 to 3.6% in 2006. In states like Massachusetts and Louisiana, the salaries of new spouses may be used in determining the alimony paid to the previous partners. Most recently, in several high-profile divorces, women such as Britney Spears, Victoria Principal, and Jessica Simpson have paid multimillion-dollar settlements in lieu of alimony to ex-husbands. According to divorce lawyers, aggressive pursuit of spousal support by men is becoming more common, as the stigma associated with asking for alimony fades.

How long do you have to be married to get ailmony to Be Married to Get Alimony in Utah?

Alimony is one of the most discussed topics when people come in for their Roadmap and Recovery Sessions (i.e., new client consultations). And with good reason: it’s really important.

Alimony will affect how you and your soon-to-be ex will live for the next who-knows-how-many years.

It can be a lifeline for a spouse that has stayed at home and raised children. Conversely, it can be a serious burden to a spouse already paying child support.

Alimony is really a function of two things: (1) time and (2) need.
It’s about (1) that I want to spend a minute.

Time in the Marriage

Time in the marriage is the first consideration when discussion alimony. The reason for this is simple: if you haven’t been married long enough to warrant alimony, then figuring out need for alimony and ability to pay won’t matter.

My rule of thumb regarding how long you have to be married to get alimony in Utah is this:

(1) If your marriage is less than four years, it will be very difficult to obtain alimony.

(2) If your marriage is four or five years, it’s a toss-up.

(3) If your marriage is more than five years, it’s likely to end up with an alimony award.

The reason it’s difficult to obtain alimony if you’ve been married fewer than four years is because people (usually) can easily go back to work and live a normal single life on an average wage. The length of the marriage is so short that neither spouse has become dependent on a marital lifestyle.

No Hard-And-Fast Rules

Now, these are not hard-and-fast rules.

For example, if you’re married a year, become permanently disabled in an auto accident, and your spouse files for divorce that same year, your chances of getting alimony are probably pretty good.

Conversely, if you have been married for twenty years, make $200,000 per year, and have no need of alimony from your spouse to maintain your lifestyle, you don’t have a very good argument for alimony.

What I’m getting at is alimony is very fact dependent and fluid. You really need to sit down with an attorney and go over your particular situation to see where you stand regarding alimony.

Factors Considered for Payment of Alimony

Once the court settles the spouses’ property rights, it will consider a request for alimony. Generally, the court looks to the standard of living enjoyed at the time of separation to determine appropriate alimony, but it can also look at the situation at the time of trial if there has been a significant change in resources since the time of separation – the loss of a job, for example. If your marriage was short and there are no children, the court could use the standard of living at the beginning of marriage instead.

If a spouse is unable to meet the appropriate standard of living without help from the other spouse, then the court looks to a series of factors to determine the amount and duration of alimony. It evaluates the recipient spouse’s financial resources, needs, and earning capacity, as well as the payer spouse’s ability to pay. The court is not required to order an advantaged spouse to pay support if so doing means that the paying spouse won’t be able to be self-supporting. Likewise, the court can’t make the payer spouse pay more than what the recipient spouse needs to meet the marital standard of living, no matter how much money the paying spouse might be able to pay.

Other factors that the judge may consider are the length of the marriage, what the child custody arrangement is, and whether the payer spouse’s earning capacity increased because the recipient spouse contributed to education or training during marriage. If the marriage was long and one spouse is at the threshold of a major change in income because of the collective efforts of both spouses during the marriage, that change also will be a factor in the alimony award. The court has considerable discretion in awarding alimony and may look at the spouses’ relative fault in causing the marriage to fail as well.

Income Equalization Method

The court does not have to use a set formula – plugging in the spouses’ incomes and child-support obligation, among other elements – to come up with a payment amount. It can, however, order alimony based on an income-equalization calculation where neither spouse earns enough to be self-supporting nor also cover the other spouse’s needs.

For example, let’s say wife worked part-time during marriage, earning a net income (meaning, after taxes) of $800 a month and husband earned a net income of $2,600 a month. The court would attempt to equalize the incomes by adding them together for a sum of $3,400 and then dividing it by 2, for a quotient of $1,700. Then, the court would subtract wife’s net income ($800) from $1,700, leaving an alimony payment to wife of $900.

Taxes

If you are paying alimony, your payments are tax deductible. If you are receiving alimony, the IRS taxes what you receive as income.

Duration and Termination of Payments

In Utah, alimony payments usually last only as long as the number of years the marriage existed. The court could order them for a shorter or longer time, however, if the right circumstances exist. Also, payments automatically terminate when the recipient spouse remarries or wen either spouse dies. Where the recipient spouse doesn’t remarry but moves in with a new partner, the payer spouse can ask the court to terminate alimony obligations.

On the other hand, if the payer spouse remarries, there are some situations where the court could change the amount of alimony due based on the income of the payer’s subsequent spouse. For example, if a husband worked as a contractor and has an affair with an orthopedist that affects his marriage, the court could first order husband to pay his wife, a homemaker, alimony based on his resources as a contractor. Later, if he marries the orthopedist, the court could increase his payments to his first wife based on the second wife’s income because the orthopedist can contribute more to his household expenses and because there was an element of improper conduct (his affair).

Who is Eligible for Alimony in Utah and how is Alimony Determined?

While most people tend to think of alimony as something that husbands pay to wives, any spouse who otherwise meets the criteria can receive an award of alimony. What are those criteria?

As a general rule, the court takes into account the parties’ standard of living at the time they separated. The goal of alimony is to allow the parties to maintain their pre-separation standard of living. Also, according to Utah law, the duration of alimony cannot (absent exceptional circumstances) exceed the length of the marriage. Married for five years? Don’t expect ten years of alimony; it won’t happen.

There are factors the court must consider in deciding whether to award alimony (and how much, for how long), and other factors it may choose to take into account. According to statute, the court shall consider:

• the financial condition and needs of the spouse requesting alimony (the “recipient spouse”);

• the recipient spouse’s earning capacity, taking into account how time spent caring for a child of the payer may have affected that capacity;

• the ability of the payer spouse to provide support;

• the length of the marriage;

• whether the recipient spouse has custody of a minor child who needs support;

• whether the recipient spouse worked in a business that was owned or operated by the payer; and

• Whether the recipient paid for or enabled the payer to receive education during the marriage which directly contributed to an increase in the payer’s skills.

The court may also take fault into account when determining an alimony award. Fault includes:

• adultery;

• deliberately harming or trying to harm the other spouse or minor children;

• deliberately causing the other spouse or minor children to fear life-threatening harm; or

• Substantially undermining the other spouse’s or minor children’s financial stability in some way.

Remember, though, that the court does not use alimony as punishment (however much you might think your spouse deserves it!), so expect the focus to be on need and ability to pay.

As mentioned above, the court tries to allow the parties to maintain the standard of living they enjoyed just before they separated. In a very short term marriage with no children, the court might simply try to place the parties back in the positions they were in at the time of the marriage.
The court tries to allow the parties to maintain the standard of living they enjoyed just before they separated. If there is not enough money, the court may try to equalize the shortfall; the recipient may not get as much alimony as he or she hoped for, and the payer may have to write a bigger alimony check than he or she would like.

Alimony Attorney in Utah Free Consultation

When you need an alimony attorney in Utah, please call Ascent Law LLC at (801) 676-5506 for your Free Consultation. We want to help you.

Michael R. Anderson, JD

Ascent Law LLC
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States

Telephone: (801) 676-5506

Source: https://www.ascentlawfirm.com/how-many-years-do-you-have-to-be-married-to-get-alimony/

Criminal Defense Lawyer Lehi Utah

Criminal Defense Lawyer Lehi Utah

Certain criminal charges are serious charges. If you have been charged with a serious criminal offense like murder or rape, contact an experienced Lehi Utah criminal defense lawyer.

Since one of the main criteria for determining whether a defendant meets the standard for voluntary manslaughter is whether there was adequate (reasonable) provocation, it is important to identify the types of circumstances that might constitute adequate provocation. The following list, while not exhaustive, provides some guidance as to the kinds of circumstances likely to be considered adequate provocation.

• Discovering an unfaithful spouse in a “compromising position.” While the common law right to claim “heat of passion” was limited to husbands discovering wives in such circumstances, today it applies equally to wives as well. Additionally, “heat of passion” might be available for the discovery of unfaithful conduct in nonmarital relationships.

• Witnessing violence against a third party, usually a relative.

• Being the victim of an unprovoked and violent battery.

• Hearing about certain conduct that would constitute adequate provocation if actually viewed. For example, if the defendant hears about the violent battery of his mother, this might constitute adequate provocation.

Two circumstances that typically do not rise to the level of adequate provocation are hearing mere words (no matter how obscene or derogatory) and witnessing damage to property. The rationale for excluding mere words as adequate provocation is twofold. First, allowing a person to exact “punishment” on another for uttering mere words could potentially interfere with the victim’s constitutionally protected right to free speech. Second, it would be difficult, if not impossible, to determine exactly which words constitute adequate provocation in any given situation. While some words might be universally considered offensive, the meaning and impact of words change over time; even if a list could be compiled, it would have to be continually modified as society’s understanding and acceptance of terms changed.

The rationale for not allowing damage to property to serve as adequate provocation for voluntary manslaughter is simply that human life is to be valued over and above material possessions, no matter how valuable and cherished. Additionally, there are other mechanisms in place, both criminal and civil, for addressing the violation of property rights.

Cooling Off

As previously explained, a person who has been adequately provoked must not have cooled off in order to fit the criteria for voluntary manslaughter. The term “cooling off” generally means that the person has had sufficient time to recover from the disturbance that ignited the passion. As it is difficult to determine what constitutes sufficient time to cool off, each situation must be evaluated on its own facts. When considering whether a defendant has cooled off, it is necessary to examine all of the surrounding circumstances that provide evidence of the defendant’s mental state, as well as the amount of time that has elapsed since the incident that inflamed the passion. For example, did the defendant appear outwardly calm? Was he performing everyday activities in a seemingly normal fashion? Did he physically remove himself from the situation that inflamed the passion? Did he verbally indicate that he had calmed down? Were there any factors that could have reignited the passion?

These factors do provide circumstantial evidence from which we can begin to draw reasonable inferences with respect to the defendant’s mental state.

Voluntary Manslaughter and Causation

Causation is a particularly important issue in voluntary manslaughter cases because an unlawful killing may be reduced from murder to voluntary manslaughter if it is determined that the defendant’s conduct was caused or provoked by certain behavior. The circumstances must therefore be carefully analyzed to establish whether the “provocation” actually caused the violent reaction by the defendant.

Voluntary Manslaughter as a Defense

Because voluntary manslaughter allows conduct that closely resembles intentional murder to be reduced to a lesser offense based upon adequate provocation, it is often used as a defense to a charge of intentional murder. A defendant using voluntary manslaughter as a defense in a criminal trial essentially admits the wrongful act–the unlawful killing. However, the defendant argues that rather than being motivated by malice aforethought (the necessary element for murder), he was adequately provoked by the circumstances surrounding the crime, that is, he acted without malice aforethought. If, after examining the necessary requirements for adequate provocation and cooling off, the judge or jury believes this defense, then the defendant will be convicted of and punished for the lesser offense of voluntary manslaughter.

Involuntary Manslaughter

Involuntary manslaughter is an unintentional death that results from the commission of an unlawful act not amounting to a felony or from the commission of a lawful act in a criminally negligent fashion.

Unlawful Act Not Amounting to a Felony

One theory of involuntary manslaughter attributes moral blameworthiness to a defendant if a death results while the defendant is committing an unlawful act not amounting to a felony. The defendant’s unlawful act typically violates a misdemeanor statute that is designed to protect human life.

A Lawful Act Done in a Criminally Negligent Manner

A defendant may also be liable for an unintentional death caused while he is acting in a lawful, but criminally negligent, manner.

Involuntary Manslaughter and Causation

In cases of involuntary manslaughter, the defendant’s unlawful or negligent conduct must be the cause of the unintentional death. One area where this issue has become somewhat controversial is the context of driving while intoxicated.

Murder and Voluntary Manslaughter

The distinguishing factor between murder and manslaughter is the concept of malice aforethought. Murder is an unlawful killing with malice aforethought, while manslaughter is defined as an unlawful killing without malice aforethought. As discussed earlier in the chapter, there are two species of manslaughter: voluntary and involuntary. Voluntary manslaughter involves intentional conduct and, in many instances, closely resembles the conduct necessary for intentional murder. That is, the defendant intentionally commits an unlawful killing. However, in cases of voluntary manslaughter, depending upon the factual circumstances, the defendant will not be guilty of the greater crime of murder because the criminal law recognizes that human beings may occasionally be driven to act “in the heat of passion.”

Criminal sexual assault covers a broad range of sexual conduct that occurs by force and without the victim’s consent. The unlawful sexual conduct can be divided into two categories:

• Sexual intercourse, which is the most serious of the categories, includes nonconsensual vaginal and anal intercourse as well as oral-genital contact. For this offense, there is typically a requirement that some type of bodily penetration occur, no matter how slight. When these acts are combined with force and lack of consent, this conduct is commonly referred to as rape.

• Sexual contact, a lesser offense, includes nonconsensual sexual touching of the victim in certain areas (e.g., genitals, breasts, thighs) for the purpose of sexual arousal or gratification. Unlike sexual intercourse, there is no requirement that any type of bodily penetration occur, and the touching may occur over or under the victim’s clothing.

To be classified as criminal sexual assault, the sexual conduct must occur by force and without the consent of the victim.

Force

In rape cases, force can take the form of actual physical force, threat of force, or taking advantage of circumstances that render the victim helpless or somehow unprotected. A threat of force must usually be a threat of serious bodily injury and, therefore, does not include threats that involve the deprivation of property, such as loss of employment. Force may also include instances when the victim is in a helpless or unprotected state such that the rape can occur without actual or threatened force.

Without Consent

In addition to the element of force, the sexual conduct must occur without the consent of the victim. To determine whether there is lack of consent, the victim’s conduct must be examined. Since the primary focus of criminal law is punishment of those who are morally blameworthy, criminal cases almost always examine the conduct of the defendant in order to assess criminal liability. Therefore, one obvious question that arises in rape cases is, Why is there such a concern with the victim’s conduct? The answer to this question involves the nature of the underlying conduct. Because the underlying conduct, sexual intercourse, is lawful if engaged in by consenting adults, the question for purposes of criminal liability becomes: When does inherently lawful conduct cross the line to become unlawful conduct? Examining the element of force alone to answer this question would not yield an entirely reliable result because, theoretically, the parties could consent to the use of force in sexual conduct. Thus, we need to examine both force and whether there is a lack of consent in order to determine when lawful sexual conduct crosses the boundary and becomes rape or other unlawful sexual conduct.

Historically, lack of consent was measured by whether the victim resisted. Although at common law the victim was required to “resist to the utmost” (usually this meant physically resisting the attacker), today the law recognizes verbal resistance as well as circumstances when there may be a complete lack of resistance. This expanded definition of resistance acknowledges that victims of sexual assault should not be required to physically defend themselves in order to establish that a rape occurred, particularly when such physical resistance might result in greater harm to the victim.

Lack of consent may also be present if the victim’s consent is induced by fraud. It should be noted that in instances when the victim is induced by fraud to consent to sexual intercourse, although it appears that no force is used, in fact the force is “constructive.” Criminal law will imply the use of force in situations when victims are rendered helpless or unable to protect themselves for whatever reason, even if that reason is based upon what turns out to be misplaced trust in a preexisting relationship.

Date Rape

One of the most conceptually difficult and controversial categories of sexual assault is date or acquaintance rape. In these instances, the parties either have a preexisting dating relationship or have recently become acquainted prior to the rape incident. This preexisting relationship or acquaintanceship adds yet another layer of complexity to the determination as to when consensual interaction crosses the boundary into illegal conduct. One of the most troublesome evidentiary aspects of date/acquaintance rape cases is that the parties involved are highly likely to have diametrically opposed recollections of the events. Since the victim and the defendant are often the only witnesses to the events surrounding the date/acquaintance rape, the judge or jury must sort out all of the factual evidence presented and ultimately assess the credibility of the two individuals involved. In the end, the verdict will depend upon who presents the most credible version of events, considering all of the factual circumstances.

Although blaming the victim and/or forcing her to discuss her sexual history in open court can be a disturbing facet of any rape prosecution, it is particularly acute in cases of date/acquaintance rape. Because the prior relationship between the parties overshadows the issues of force and lack of consent, from an evidentiary perspective, it may appear that more force and more resistance are necessary to establish that consensual behavior has crossed the boundary into unlawful sexual conduct. Additionally, when refuting the evidence against him in a date/acquaintance rape case, the defendant may be able to introduce evidence of prior consensual sexual conduct with the victim. This will inevitably compel the victim to suffer the embarrassment associated with publicly revealing the intimate details of her sexual history with the defendant.

One practical consideration in these types of “close” cases when the evidence is sharply conflicting and the costs for the victim are unusually high is whether the criminal trial process is the most appropriate forum for resolving these issues. In other words, given the enormous potential for public humiliation of the victim and the uncertainty of the outcome at trial, would a private forum be more effective in terms of resolving the issues and reducing the victim’s potential exposure to further victimization? This private option for resolution assumes that in some instances, particularly if the parties had a dating relationship, the victim may not desire a public criminal prosecution of the defendant and the public humiliation often associated with that process. Instead, she may simply want to confront the defendant, force him to admit his guilt and accept responsibility for his behavior. In this private setting, it may be possible for the victim to regain the sense of power and control that she lost as a result of the defendant’s unlawful conduct. Moreover, knowledge that a private resolution option is available may encourage more victims of date/acquaintance rape to come forward because it removes the potential for further humiliation that undoubtedly deters many victims from reporting these offenses.

Obviously, a private resolution of the issues should only be considered an option for the victim and should not be considered if the victim desires a resolution through the criminal trial process.

Hire the services of an experienced Lehi Utah criminal lawyer. After studying your case, the lawyer can develop a successful defense strategy.

Lehi Utah Criminal Defense Attorney Free Consultation

When you need legal help from a criminal defense lawyer for drug crimes, sex crimes, DUI, larceny, theft, etc., please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.

Michael R. Anderson, JD

Ascent Law LLC
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States

Telephone: (801) 676-5506

Source: https://www.ascentlawfirm.com/criminal-defense-lawyer-lehi-utah/

Wednesday, October 30, 2019

How To Administer An Estate In Utah

How To Administer An Estate In Utah

Estate is everything involving the total assets of an individual, including all land, assets and different resources that the individual possesses or has a controlling enthusiasm for. The word estate is conversationally used to allude to the majority of the land and enhancements for a huge property, frequently some kind of ranch or residence, or the notable home of a noticeable family. In any case, in the money related and legitimate feeling of the term, an estate alludes to everything of esteem that an individual claims – land, craftsmanship accumulations, old fashioned things, speculations, protection and some other resources and qualifications – and is likewise utilized as a general method to allude to an individual’s total assets.

Lawfully, an individual’s estate alludes to a person’s absolute resources, less any liabilities. Estates are most significant upon the passing of a person. Estate arranging is the demonstration of dealing with the division and legacy of your own estate, and ostensibly speaks to the most significant money related arranging of a person’s life. By and large, an individual draws up a will which clarifies the departed benefactor’s aims for the conveyance of their estate upon their passing. An individual who gets resources through legacy is known as a recipient. In practically all cases, estates are partitioned between individuals from the perished’s family. This section of riches starting with one age of a family then onto the next tends to dig in pay in certain social classes or families. Legacy represents an enormous extent of complete riches in the United States and around the globe and is to a limited extent in charge of persevering pay imbalance (however there are, obviously, numerous different variables).
Incompletely as a reaction to the stagnation of riches development because of legacy, most governments require those in line for a legacy to make good on a legacy regulatory expense on the estate. This assessment can be exceptionally huge, here and there requiring the recipient to offer a portion of the acquired resources so as to make good on the regulatory obligation bill.

In the United States, if most of an estate is left to a mate or to a philanthropy, the estate assessment is commonly lifted. It is commonly prudent for both the individual drafting the will and the recipients of an estate to utilize the administrations of estate lawyers. Legacy expenses are famous for their intricacy and excessiveness, and the utilization of a lawyer guarantees that your legacy duties are paid effectively. On the drafting end, there are various estimates that can be taken to limit the measure of duty one’s recipients should pay, such as setting up trusts.

A probate is a legitimate procedure where a will is audited to decide if it is substantial and valid. Probate additionally alludes to the general controlling of an expired individual’s will or the estate of a perished individual without a will. The court delegates either an agent named in the will (or a chairman if there is no will) to manage the way toward gathering the benefits of the expired individual, paying any liabilities staying on the individual’s estate, lastly circulating the advantages of the estate to recipients named in the will or decided accordingly by the agent. A probate is the initial step taken in overseeing the estate of an expired individual and disseminating advantages for the recipients. At the point when a property proprietor passes on, his benefits are partitioned among the recipients recorded in his will. For some situation, the departed benefactor or expired does not leave a will which ought to contain directions on how his or her advantages ought to be appropriated after death.

Regardless of whether there is a will for direction or not, the benefits of a decedent’s estate might be required to experience probate. At the point when a departed benefactor kicks the bucket, the overseer of the will must take the will to the probate court or to the agent named in the will inside 30 days of the passing of the deceased benefactor. The probate procedure is a court-managed method in which the realness of the will deserted is demonstrated to be substantial and acknowledged as the genuine last confirmation of the perished. The court formally chooses the agent named in the will, which, thusly, gives the agent the lawful capacity to follow up for the benefit of the perished. The lawful individual delegate or agent affirmed by the court is in charge of finding and regulating every one of the benefits of the perished. The agent needs to evaluate the estimation of the estate by utilizing either the date of death esteem or the other valuation date, as indicated in the Internal Revenue Code (IRC). Most resources that are liable to probate organization gone under the supervision of the probate court in where the decedent inhabited passing. The special case is land. You should probate land in the region in which it is found.

The agent likewise needs to make good on off any regulatory obligations and obligation owed by the perished from the estate. Banks as a rule have a restricted measure of time from the date they were advised of the departed benefactor’s demise to make any cases against the estate for cash owed to them. Cases that are dismissed by the agent can be indicted where a probate judge will have the last say on whether the case is lawful. The agent is additionally in charge of recording the last close to home personal assessment forms for the benefit of the expired. Any estate imposes that are pending will come due inside nine months of the date of death. After the stock of the estate has been taken, the estimation of advantages determined, and duties and obligation satisfied, the agent will at that point look for approval from the court to circulate whatever is left of the estate to the recipients.
At the point when an individual kicks the bucket without a will, he is said to have passed on intestate. An intestate estate is likewise one where the will displayed to the court was regarded to be invalid. The probate procedure for an intestate estate incorporates disseminating the decedent’s advantages as per state laws. The probate courts start the procedure by delegating an executive to administer the estate of the expired. The chairman capacities as an agent, accepting every single lawful case against the estate and satisfying the exceptional obligations, for example, unpaid bills. The head is entrusted with finding the legitimate beneficiaries of the perished, including enduring life partners, kids, and guardians. The probate court will evaluate what resources should be circulated among the legitimate beneficiaries and how to appropriate them. The probate laws in many states isolate property among the enduring life partner and offspring of the perished. For instance, an occupant of Arizona, New Mexico, California, Texas, Idaho, Nevada, and Washington who bites the dust without a legitimate will have his estate isolated by network property laws in the state.

Community property laws perceive the two life partners as joint property proprietors. Utah is a martial property state, not a community property state. In actuality, the conveyance progression begins with the enduring life partner. On the off chance that unmarried or bereft at the season of death, resources will be isolated among any enduring kids, before some other relatives are considered. On the off chance that no closest relative can be found, the advantages in the estate will turn into the property of the state.

In case you’re wrapping up the estate of an Utah inhabitant who passed on with an estate that is worth not exactly a specific dollar sum, you won’t need to experience a formal probate court continuing. It doesn’t make a difference whether the perished individual left a will; what makes a difference is the estimation of the benefits abandoned. In the event that the estate’s esteem is under the “little estates” limit in Utah, you can exploit a disentangled probate method, regularly called a “synopsis probate.” Instead of having a court hearing before a judge, you may require just to document a basic structure or two and sit tight for a specific measure of time before appropriating the advantages. In certain states, it tends to be much simpler: Inheritors can utilize a basic sworn statement to guarantee resources. (An oath is an announcement you sign before a legal official, swearing something is valid.) If you live in one of those states, you simply need to hold up a required timeframe, at that point sign a basic, sworn proclamation that no probate continuing is going on in your state and that you are the individual qualified for acquire a specific resource – a financial balance, for instance.

When you are attempting to decide if an estate’s esteem is underneath the Utah little estates limit, the principal activity is make a rundown of the benefits. A straightforward spreadsheet or rundown will do. Not everything an individual claims checks, however. For this rundown, incorporate just the things that go to beneficiaries and recipients by will or, if there’s no will, by Utah intestacy laws, which figure out who acquires if there is no will.

Try not to include resources that are held in joint occupancy, retirement plans, payable-on-death (POD) ledgers, land moved by an exchange on-death deed, or move on-death money market funds. These advantages don’t check towards the little estate limit since they go to the named recipients paying little mind to what a will (or state intestacy law) says. In the event that an individual had a life coverage strategy with a named recipient, the protection continues won’t check either. A few states likewise don’t check the measure of cash owed on a vehicle, or a house, while others tally the honest estimation of a benefit, even it is liable to a credit or a home loan.

For instance, say Mr. Donald Jones died in Utah and possessed the accompanying resources:

• A financial records with $2,345

• An investment account with $2,567

• A vehicle with a blue book estimation of $6,500 (and no credit)

• An IRA with $32,000, naming his child and girl as recipients

• An extra security arrangement worth ,000, naming his child and little girl as recipients

To make sense of whether Donald is above or beneath Utah’s little estate limit, just the financial balances and vehicle would be checked, for an aggregate of $11,412. His IRA and the disaster protection continues aren’t tallied towards the point of confinement since they will go to his recipients legitimately. The estimation of the vehicle is incorporated in light of the fact that he doesn’t owe cash on it.

That implies the estimation of Donald’s estate is under the Utah little estates limit. His child and girl, who acquire his advantages under Utah’s intestacy laws on the grounds that Donald had no will, would pursue this technique: You can utilize an Affidavit in Utah for estates with under $100,000, not including liens or encumbrances (like a home loan). You can likewise move up to four pontoons, engine vehicles, trailers or semi-trailers, if the estimation of estate subject to probate, barring the estimation of the vehicles, is $100,000.

There is a 30-day holding up period. You can utilize a synopsis probate strategy for estates in which the estimation of the estate, less liens or encumbrances, doesn’t surpass the residence stipend, excluded property, family recompense, and expenses of organization, memorial service costs, and last sickness costs.

In the event that the decedent claimed couple of advantages, it might be conceivable to evade the probate procedure. In numerous states, a “little estate organization” is accessible. Ordinarily, so as to fit the bill for a little estate organization, the decedent’s advantages must exclude land and should be worth not exactly an edge sum dictated by the state. In the event that a little estate organization is appropriate, the gatherings who are qualified for get the decedent’s advantages may gather those benefits by method for an “oath,” a sworn explanation that is recorded with the court. Indeed, even in a little estate continuing, however, the decedent’s loan bosses may should be paid from the benefits before any estate resources are appropriated.

In case you’re managing an estate, you have a great deal of duty – not exclusively to the perished party’s inheritance, yet to the relatives and other friends and family named in the will. Hence, you ought to counsel a neighborhood estate arranging lawyer who can help guarantee that you’re directing the estate appropriately.

Estate Administration Attorney Free Consultation

When you need legal help with an estate administration in Utah or real estate matter, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.

Michael R. Anderson, JD

Ascent Law LLC
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States

Telephone: (801) 676-5506

Source: https://www.ascentlawfirm.com/how-to-administer-an-estate-in-utah/

Real Estate Lawyer Ogden Utah

Real Estate Lawyer Ogden Utah

A basic consideration, always to be kept firmly in mind, is that private housing development for a private market is first, last, and all the time a business operation, conducted for profit, and the merit of decisions is always judged by their effect upon profit. A great many factors affect the final profit from a housing development.

First come the price paid for the land and the cost and availability of credit when needed. Then various skills come into play: skill in minimizing tax liabilities, taking advantage of numerous and often complicated federal programs, and selling the final product. Each of these factors is highly important. A bad decision on any one of them may wholly offset great effectiveness in handling all the others. But it is the interrelationship of these factors which offers the greatest challenge to the managerial skill of the developer. If you are a property developer, always have an experienced Ogden Utah real estate lawyer working for you. In a great many housing developments, the margin between considerable loss and relatively high profits may be rather narrow. A little extra delay in construction or in sales may lead to losses, while better management or more luck which reduces time involved may lead to high profits. A somewhat higher vacancy rate in apartments than anticipated may lead to losses, while just a little higher occupancy rate may lead to fairly high profits. Abrams, in discussing the rebuilding of older parts of cities, cites some dramatic examples of how this works; the same general relationships exist for new housing in suburbs.4 In part, the explanation lies in the heavy use of credit and the low equity capital of many developers.

Early in the process of planning a housing development, every builder must make some kind of an estimate of the demand for housing — in general or nationally, for his city, and for the type he wants to build. This estimate may be highly sophisticated or very simple, even impressionistic. It may be based upon various general factors, such as rate of household formation, the state of the national money market, or other general considerations. Or it may be highly localized and personal — a simple judgment that ten or twenty houses of a certain type and price range can be sold in this location over the next year or so. Since the developer is really concerned with the state of the housing market for his houses when the latter are ready, he must forecast ahead, often by one to two years, when he is considering undertaking development of a specific tract of land. Obviously, additional uncertainties enter when the future rather than the present demand is concerned. In order to carry out a housing development, a developer must first have a tract of land. He may have in mind his ideal tract, ideal as to size, location, physical characteristics, and price; and he may also have in mind the degree of divergence from the ideal which he will accept if he has to. His decision-making unit is the subdivision of a size for his operation, but this may vary considerably in acreage. In any case, the kind of houses, their price, and their market must be related, in his judgment, to the character of the site. It would be wasteful to put low-priced houses on an expensive tract in a high-class neighborhood.

Probably it would be financially disastrous to put expensive house into a lower-middle-class neighborhood. However definitely the developer has an ideal tract in mind, in practice he may very well have to choose from among a very few tracts, none of which conforms to his ideal. The managerial function consists here, as it does so often in every field, in deciding among alternatives, none of which is wholly satisfactory — a selection of the least-worst, or tolerable, as well as of the best. In the case of sites for building, the developer has a further decision to make: how far ahead to plan and to acquire land for planned building, or how much to take advantage of present opportunities to buy available tracts for future use. There are advantages in having land readily available as needed, but there are also costs in holding land.

Once a tract has been acquired, the developer has to make some decisions on street and lot layout. A simple and obvious way is to employ straight streets run on cardinal directions and linked in a grid with similar streets in adjacent areas, and to lay out lots of width and depth suited to the size and cost of the houses contemplated. Many suburbs have been so developed, and there is much to be said in favor of such simple layout, in spite of its lack of variety. The curving street, however, has become the symbol of even the modestly ambitious suburban development. It does provide vistas which are likely to be much more attractive than those available to motorist or pedestrian in the grid layout, and houses may have somewhat different directional orientations. A newer subdivision form, with many advantages, is clustering of houses so as to provide larger open space for general use. If well planned, a clustered development will reduce the land area in streets, perhaps yield a few more buildable lots, and yet produce more usable open space than the typical rectangular subdivision. Topography may well dictate a subdivision plan other than the grid.

The developer constructs a house or apartment — a physical structure — for an expected clientele; but, more importantly, he provides something more nearly approaching a total housing package. People who will buy his houses or rent his apartments are concerned with the nature of the community, with the kind and quality of public facilities of every type, with general location, with transportation to the central city and elsewhere, and with other factors, none of which are under the primary control of the developer. He may choose his site with these factors in mind, but as a general rule he must adapt to them, rather than altering them, although he may be able to influence public action with respect to some of them. Considerations of architectural style, variety, and standardization influence the prospective occupant. He is also interested in the household appliances and conveniences installed in the house.

Lastly, the developer must decide whether to sell or to rent the housing unit he builds. Virtually all suburban construction of single-family homes has been for sale; apartments are usually rented but may be sold under a condominium arrangement. Even when the property is rented to the occupant, the developer may sell it to a person or firm who is more interested in investment and more capable of property management than he is.
An experienced Ogden Utah real estate lawyer can help a property developer in many ways starting from ensuring that the tract of land been acquired can be developed till the developed property being sold by preparing the sale documents.

The cities and the counties have had the greatest impact upon the direction and rate of suburban growth, in ways that have greatly influenced if not determined which specific tracts would be used, for what, and when. When the boundaries of a city are so far-flung that suburban-type development can take place within its legal boundaries, then it is the city which exercises power over residential growth. More commonly, the suburban growth takes place in unincorporated areas outside of any city (in the legal sense), and the legal powers and actions of the county as a unit of government are determinative.

A very large number of local governments exercise various powers with respect to planning, zoning, subdivision regulation, housing codes, and other aspects of urban and suburban development. These functions may be exercised by part-time boards of citizens, often unpaid, as well as by official units of government. Cities and counties have the power to make land use and other plans; develop zoning regulations; promulgate control ordinances over subdivision procedures and methods; develop and enforce building codes; provide a range of public services, which may include water, electricity, and gas, either directly or by power companies under governmental regulations, sewerage, schools, roads and streets, parks, and a host of other services required or desirable for modern urban living.14 These legal powers are exercised with greatly varying diligence and skill, and for different policy ends.

Cities and counties have the power to make land use and other plans; develop zoning regulations; promulgate control ordinances over subdivision procedures and methods; develop and enforce building codes; provide a range of public services, which may include water, electricity, and gas, either directly or by power companies under governmental regulations, sewerage, schools, roads and streets, parks, and a host of other services required or desirable for modern urban living. These legal powers are exercised with greatly varying diligence and skill, and for different policy ends.
Cities and counties exercise their planning, zoning, subdivision, building code, housing code, and similar activities under the broad concept of police power — the power to regulate individual activity in the interest of the safety, health, morals, and general well-being of the whole population. Courts have generally upheld exercise of such powers when the purposes to be served were reasonably clear, the means to the end reasonably defined and relevant, and the procedures in accordance with due process. At the same time, courts have been unwilling to deprive property owners of all rights to use of their land in the name of such general public purposes.

In addition to the police power, local government has several other broad types of legal powers which are or can be used in the suburbanization process. The power of eminent domain enables government to take private property, for a fair compensation, for a public purpose. The definition of a reasonable public purpose has surely broadened over the past several decades — urban renewal and public housing are accepted today, when a generation or more ago they were not — and probably will broaden further in the decades ahead. Government also has the legal power to impose taxes, subject to limitations of fair treatment to all taxpayers, and in some jurisdictions subject to some maximum limit. While taxes as instruments of social policy — i.e., to encourage one kind of land use and to discourage another have generally been illegal, or not upheld by courts, or politically unacceptable, most taxes have some side effects in terms of private actions induced or restrained. Taxes in relation to services rendered, such as sewerage charges to repay costs of new sewer lines, have generally been used and upheld by the courts.

If eminent domain is to be deployed to acquire property, several things need to occur. First, the condemnor is going to have to adopt a resolution that declares a public use and its intent to condemn or take specific properties. At this hearing, several things must occur. First, owners must be given legal notice that their properties are going to be subject to a taking. This is more than perhaps a general notice. Owners must receive specific notice served upon them. At the hearing, the condemnor will state its reasons for the condemnation, gather information that will justify the public use, and perhaps even declare the public use. Members of the public, including the owners, will then be given the opportunity to state their reasons for or against the decision to proceed with the condemnation.
At the conclusion of these hearings, the government must finally declare that a public use exists to take certain properties and it must adopt a resolution, ordinance, or law declaring its use and the intent to take the properties via eminent domain. If this happens, again new efforts will be undertaken to negotiate a sale with the owner, but if unsuccessful, the owners will receive notice that their properties are being condemned and taken by a city or other government. This notice is served personally upon the owners.

If your land or property is affected by zoning or the government is planning to take away your property, consult an experienced Ogden Utah real estate lawyer.

Ogden Utah Real Estate Attorney Free Consultation

When you need legal help with a quiet title action, partition action, fixing any real estate issue in Utah, please call Ascent Law LLC for your free consultation (801) 676-5506. We want to help you.

Michael R. Anderson, JD

Ascent Law LLC
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States

Telephone: (801) 676-5506

Source: https://www.ascentlawfirm.com/real-estate-lawyer-ogden-utah/

Tuesday, October 29, 2019

Declaratory Actions And Insurance

Declaratory Actions And Insurance

A declaratory judgment action is essentially a request — typically by the insurer but often by the insured — that a court examine the relevant insurance policy provisions and declare the rights and obligations of the parties under the insurance contract. The declaration can address whether the insurer is obligated to furnish the insured with a defense in a pending lawsuit arising out of a third-party claim under a liability policy, or it can address the substantive issue of coverage under the policy for any first-party or third-party claim.

For a number of reasons, insurers often prefer that the parties’ rights and
obligations under the policy be decided by a federal judge rather than by a state judge. Questions of insurance coverage are, however, typically questions of state law. Because federal courts exist primarily to decide issues of federal law, the jurisdiction of the federal courts to hear cases that present issues of state law is limited.

To establish federal jurisdiction in a declaratory judgment action, two conditions must be satisfied. First, is the constitutional inquiry – the case must be a ‘case or controversy’ pursuant to Article III of the US Constitution. Second is the prudential inquiry – declaratory relief must be appropriate. Relief pursuant to the Declaratory Judgment Act also requires the establishment of standing under the statute.

In determining whether there is a case or controversy, the test is whether the alleged facts demonstrate there is a substantial controversy between parties, with adverse legal interests, of such immediacy and existence so to warrant a declaratory judgment.

In Johnson v. Shree Radhe Corporation, et al 2018 WL 1409973 (March 21, 2018), the United States District Court focused on statutory standing. There, Plaintiff filed an action in state court alleging injury arising from Defendants’ negligence. In addition, he included a claim under the Uniform Declaratory Judgments Act against Defendants, including Auto-Owners Insurance Company, which issued a policy to the remaining Defendants. Auto-Owners removed the case thereby triggering analysis under the Federal Declaratory Judgment Act. Plaintiff moved to remand.

In Johnson, the court reiterated that under federal law, a plaintiff is not precluded from standing to sue an insurer simply because he is not a party to the insurance contract. An actual controversy can exist between an insurance company and a third party in certain circumstances. First, in the event the insurance company joins the third party in a case; a common scenario to those familiar with coverage issues. Insurers can generally establish their stake in the outcome of the underlying controversy based upon the injury they could suffer by having to pay a claim for which there is no valid coverage. Next, the court has also found a plaintiff, not a party to the insurance contract, has standing to sue the insurer in the event the plaintiff has secured a judgment against the carrier’s insured. In Johnson, however, Plaintiff was without a judgment, sought to enforce rights under a policy to which he was not a party, and under which he had no claims pursuant to the policy provisions. As a result of Plaintiff’s inability to establish a concrete injury, in the context of the declaratory judgment action, coupled with his inability to demonstrate a substantial controversy that effected the legal rights of the adverse parties, the court determined Plaintiff lacked standing and remanded the action.

A Declaratory Judgment Example

In the case of insurance contracts, declaratory judgments help determine a policy’s coverage. It helps to define if coverage exists for a particular peril, whether the insurer is required to defend the policyholder from a third party’s claim, and whether the insurer is responsible for a loss when other insurance contracts also cover against the same peril.

For example, a policyholder believes that his denied claim is unjust. As a result, he informs the insurer that he is considering a lawsuit to recover losses. The insurer seeks a declaratory judgment to clarify its rights and obligations with hopes of preventing the lawsuit. If a declaratory judgment indicates that the insurer is not obligated to cover the loss, the insurer will likely avoid litigation. If the judgment indicates that the insurer is responsible, then the policyholder is likely to sue the insurer to recover losses.

Declaratory judgments originated in the early 20th century when states adopted a universal set of standards after the enactment of the Uniform Declaratory Judgments Act of 1922. In 1934, Congress enacted the Declaratory Judgments Act, which granted federal courts the authority to provide declaratory judgments.

In federal court, the Declaratory Judgment Act is designed to afford parties threatened with a liability, but otherwise without a satisfactory remedy, a means of early adjudication of the controversy. The existence of a controversy is crucial, because the “case or controversy” requirement of Article III of the Constitution applies to declaratory judgments.
To show an “actual controversy” as required by 28 USC §2201, the plaintiff in a declaratory action must show he has sustained, or is in immediate danger of sustaining, a direct injury as the result of the defendant’s conduct. Stated differently, there must be a substantial controversy, between parties having adverse legal interests, of sufficient immediacy and reality to warrant the issuance of a declaratory judgment.
But, where an insurer has already made a decision and seeks a court to “approve” its decision, that may not be an appropriate controversy for resolution. The primary purpose of a declaratory judgment is to permit a plaintiff to obtain a declaration of its rights and liabilities before proceeding with a course of conduct for which it might be held liable, not to declare nonliability for past conduct. Declaratory judgment is not available where the judgment cannot guide and protect the petitioner regarding future acts. Declaratory judgment cannot be used solely to adjudicate past conduct and not to affect future behavior.
Following this line of cases, by waiting to file a declaratory judgment action until after it has denied the claim, the insurer is not seeking guidance on future acts, but asking the court to render an advisory opinion on its past conduct, which is not the purpose of a declaratory judgment action and may result in dismissal. Thus, an insured and its counsel should think twice about allowing a declaratory judgment action to proceed where the insurer has already denied the claim.

The Declaratory Judgment Act, 28 U.S.C. § 2201(a) provides a federal declaratory remedy. The exercise of jurisdiction under the Act is not compulsory. There is a four part test for entertaining an insurance coverage action during the pendency of the tort trial in federal court; i.e.:

(i) the strength of the state’s interest in having the issues raised in the federal declaratory action decided in the state courts;

(ii) whether the issues raised in the federal action can more efficiently be resolved in the state court in which the action is pending;

(iii) whether permitting the federal action to go forward would result in unnecessary “entanglement” between the federal and state court systems, because of the presence of “overlapping issues of fact or law”;

(iv) whether the declaratory judgment action is being used merely as a device for “procedural fencing” – that is, to control the choice of forum in a race for res judicata or to obtain a federal hearing in a case otherwise not removed.

Discovery

Discovery in coverage litigation is much different from discovery in tort litigation. The scope of discovery depends upon the issue. In duty to defend cases, generally, no significant discovery is needed by the insurer, since the duty to defend is based upon the allegations of the Complaint. Brohawn v. Transamerica Ins. Co., 276 Md. 396, 347 A.2d 842 (1975). However, since insureds may rely upon extrinsic evidence to bring an action within coverage, discovery may prove helpful to the insured. In duty to indemnify cases, the evidence is generally limited to that produced at the underlying tort trial. In “bad faith” duty to settle within policy limits cases, more extensive discovery is permitted. Whether information as to other claims and lawsuits is discoverable is an issue for the trial court. Most courts find it marginally relevant at best and either not discoverable or subject to limited discovery. North River Ins. Co. v. Mayor and City Council of Baltimore, 343 Md. 34, 67, 680 A.2d 480, 497 (1996)(“[t]he numerical majority of the cases deny any discovery of the records of other insureds, either on the ground that it will not lead to the discovery of relevant evidence, or on the ground that the relevance is so clearly outweighed by the burden of production that production is denied”).

Depositions

As with discovery in general, the purpose and goals of the deposition vary depending upon whether the suit concerns the duty to defend, the duty to indemnify or 5 “bad faith.” In a duty to defend case, policy language and the allegations of the complaint drive the court’s determination of coverage. Hence, it is rarely useful to depose the adjuster in a duty to defend case. The handling of the file and the insurer’s reasons for denying coverage or reserving rights are not relevant to the determination of coverage by the court. The same goes for a duty to indemnify case, where the jury verdict sheet or the evidence adduced at trial – not the reasons the insurer accepted or denied coverage – determines coverage.

Insureds, however, tend to notice the deposition of the claims adjuster as a knee jerk reaction. Of course, in a bad faith case, the issues concerning handling of the file and settlement negotiations make the deposition of the adjuster central. The deposition of the insured is useful in a duty to defend case to flesh out any extrinsic evidence the insured relies upon and the related factual basis of the underlying plaintiffs’ allegations, such as whether the insured intended or expected the plaintiff’s injury or whether the putative insured had permission to drive the insured motor vehicle. Further, it is an opportunity to pin down the insured’s claim that extrinsic evidence brings the case within coverage. Experts generally should not be permitted to testify since the policy is interpreted based upon its plain language as understood by laypersons.

Burden of Proof

you have assembled your evidence, you have to prove your case. The insured has the burden of proving every fact essential to his or her right to recover. The insurer has the burden of proving any exclusion under the policy. The insurer has the burden of proving prejudice from the insured’s violation of a notice provision. The insurer has the burden of proving that the insured made a misrepresentation in the application for the policy. Lost policies require the proponent to establish the fact of loss and terms and conditions of the policy by clear and positive evidence. a. Allocating a verdict between insurer and insured Who has the burden of apportioning the loss between covered and uncovered damages when there is a general verdict? Allocation is simple where the verdict is distinguished between covered and uncovered claims. If there is no specific allocation, the court must determine what portion is allocated to covered claims. Generally, the insured has the burden of proving a loss is within coverage. Where the verdict is mixed, it remains the insured’s obligation. A few courts have shifted the burden to the insurer in some situations, such as where the insurer controlled the defense and failed to request special jury interrogatories to allocate the verdict.

Some Federal Courts have permitted insurers to intervene pursuant to FRCP Rule 24 to request special jury interrogatories or a verdict form.
In the great majority of cases, the duty to defend should be decided by summary judgment. There is no fact issue because the duty to defend is determined by the eight corners test. In other words, the facts are set out in the underlying petition, so there is no need for a jury to make a factual determination. Rather, the court should decide as a matter of law whether the facts fall within the scope of coverage or fit within an exclusion to coverage. Consequently, determining coverage can usually be accomplished much faster than the resolution of the underlying case.

When Do You File a Declaratory Judgment Action

In addition, even if you decide to bring the duty to indemnify as part of the declaratory action, once you have obtained a partial summary judgment on the duty to defend, the carrier will normally feel comfortable in withdrawing from the defense of the underlying case. Certainly, no one can say that the carrier is acting unreasonably if the court has already agreed as a matter of law that there is no duty to defend.

A second consideration is whether it makes business sense to undertake the costs that go along with a declaratory judgment action. Even in a relatively simple case, it may take $10,000 to $20,000 to obtain a summary judgment on the duty to defend. If the claim could be settled for that amount, or if the defense costs in connection with the underlying case are not likely to be substantially more than that, it may make not make sense to file a declaratory judgment action. In other words, are the costs justified by the potential benefit of a ruling on coverage?

On the other hand, where there is a denial of coverage, the analysis is more straightforward. One of the first considerations is whether the insured will agree that there is no coverage and, therefore, will not likely bring a breach of contract or bad faith action. If the correspondence and actions of the insured make it clear that the insured does not dispute the carrier’s position, then a declaratory judgment action may be unnecessary.

However, keep in mind that if the stakes are high enough you’ll need attorneys like those at Ascent Law to help you.

Free Initial Consultation with a Utah Attorney

It’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 LLC for your free consultation (801) 676-5506. We want to help you.

Michael R. Anderson, JD

Ascent Law LLC
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States

Telephone: (801) 676-5506

Source: https://www.ascentlawfirm.com/declaratory-actions-and-insurance/