Perhaps one of the most challenging divorces is one that involves a family business owned by both parties. The potential problems are countless. You may have questions like, who is going to keep the business after the divorce? Will both spouses continue to work together? What is the value of the business? What happens while the divorce is pending and business decisions still need to be made while tensions are high? These are all questions that you will almost certainly have in you own a family business and are getting a divorce.
First understand that this is a scenario that our Divorce Lawyers have handled before. We pride ourselves in giving some of the best legal representation you can find in Utah. The first step is simply to learn what each side wants. It is not that uncommon for one spouse to want to stay in the business while the other wants to get far away. If that is the case, then the divorce will simply be a valuation issue.
What happens when you have two spouses who both want the business that they started together? This is where the challenge comes in. Perhaps neither of you are more entitled than the other to own the business post-divorce. This is rare, as in most cases one party has a better claim on the business. When it does happen, you have two options. First, you may choose to continue to operate the business together, but divorced. There is one major problem with this: most divorced couples don’t get along. What will happen when one party remarries? How do you think that will make the other party feel? Such feelings have no place in business.
The second option is a buyout. One party will pay the other half of the value of the business to walk away. This can be done by court order, or by agreement. Typically, what happens is a bidding war. Which party will pay the other more money for the business. For example, the husband may only be willing to pay $100,000 for the business while the wife is willing to pay $150,000. In that scenario, the wife can pay the Husband $150,000 for his share of the business.
How long do I have to live in Utah to get a divorce?
It is not uncommon for people to be in the process of moving before filing for divorce. Sometimes it is to get away from someone (like an abusive partner). Sometimes it is to get to someone (like other family members for support). No matter what the reason, there are certain requirements that must be met before you can file for divorce in Utah.
Most divorce lawyers are well acquainted with the requirements because each time a party files for divorce, he or she must submit to the court an affidavit of jurisdiction and grounds.
A person must reside in a county in Utah for at least three months prior to filing for divorce. That means if you plan on moving from another state to file for divorce in Utah, make sure you plan on waiting at least three months before filing for divorce.
There are exceptions to this rule. For example, a person serving in the military who is residing in Utah pursuant to military orders does not have to wait three months.
There are few benefits to being the first person to file for divorce. In fact, I generally prefer that the other party file for divorce first because it saves my client a filing fee. However, if your spouse currently lives in a different state, you may consider doing everything possible to be the first to file for divorce. This is because whoever wins that race to the courthouse controls where the divorce will take place. You don’t want to be stuck fighting a divorce battle across the county.
There are additional requirements if you have children. The Uniform Child Custody Jurisdiction and Enforcement Act requires a children to live in the state for at least six months before a court has jurisdiction to determine custody.
Free Consultation with Divorce Lawyer in Utah
If you have a question about divorce law or if you need to start or defend against a divorce case in Utah call Ascent Law at (801) 676-5506. We will fight for you.
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States
Telephone: (801) 676-5506
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via Michael Anderson http://www.ascentlawfirm.com/how-can-i-divorce-my-business-partner/