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Financial Statement Drafting Lessons from recent Massachusetts Appellate Decisions

We recently posted a lengthy review of the the Massachusetts SJC decision in Cavanagh v. Cavanagh (2002)  and a similar overview of the subsequent SJC decision Openshaw v. Openshaw (2024) .  Both of these cases had significant rulings that should be reviewed in child support and alimony cases in Massachusetts.  Here, though, we want to focus on just one area these decisions have affected: how best to complete the court form Financial Statement in divorce cases. When completing the income section of the Financial Statement, people often struggle with how to deal with variable income and how to accurately address deductions from income.   The Financial Statement includes spaces for many times of income but it assumes the number is static.  For bonus, commissions, or second job income (which was an issue in Cavanagh), the income is often variable over time.  This is where we encourage our clients to use endnotes to explain any variability or expected chan...

Updating your Divorce Agreement Template - More Lessons from Cavanagh v. Cavanagh

We recently posted a lengthy review of the the Massachusetts SJC decision in Cavanagh v. Cavanagh (2002)  which included some recommendations for drafting divorce agreements, also typically called Separation Agreements.  The Cavanagh case is best known for it's clarification of how the courts should evaluate support calculations when a case may have both alimony and child support.  However, the case also contained numerous rulings that should make practitioners review their Separation Agreement templates and change some of the ways in which they may have previously drafted certain sections. In this post we'll share actual language from the Gray Jay Endeavors, LLC form Separation Agreement template which addresses each of the issues raised by the Cavanagh decision.  If you are a professional interested in purchasing the full Separation Agreement template, check out Gray Jay's  forms subscription which includes editable Massachusetts court forms and financial st...

Cavanagh v. Cavanagh - The Case, the Conundrum, & the Consequences

Cavanagh v. Cavanagh - The Case, the Conundrum, & the Consequences Introduction by Nathaniel Butzke More than a year after its release, the Massachusetts SJC decision in Cavanagh v. Cavanagh (2002) remains a topic of discussion at every Massachusetts family law and mediation conference.  The decision had many ripple effects, still being felt on the beachhead of every divorce case involving child support or alimony. Following is an in depth review of the case and some of those effects. Introduction: In divorce proceedings, determining alimony awards is a complex process that requires careful consideration of various factors. Judges tasked with making these decisions must weigh the financial circumstances of both parties, ensuring that the supported spouse can maintain a lifestyle similar to that before the divorce, and children have access to similar households in either parents' care. However, interpreting the law governing alimony can present practical challenges, especially ...