Loro v. Coliano

 Are your expenditures for your children “average?” Be careful to make sure that all of your children’s expenses are included in child support. Most parents going through the divorce process are aware that New Jersey has guidelines to assist courts in determining support for children. But many do not know what exactly the guidelines are supposed to cover and whether their particular situation warrants a deviation. 

 Judges are required to calculate the child support guidelines in all cases. In cases where the combined net income of both parents is $187,200 or under, the amount under the guidelines will be applied. In cases in which the combined income is in excess of $187,200 net per year, the court is to use the guideline amount and then supplement that amount, based on a variety of factors. The guideline amount is a rebuttable presumption which means that the amount that is calculated is deemed to be the appropriate amount of child support unless a party can demonstrate that the amount is not. The Guidelines specifically tell us that the awards are based on an average of the percentage of income spent on children by a large number of families in a variety of socioeconomic situations.

Continue Reading Making sure Child Support covers actual Needs

On April 13, 2009, the Appellate Division issued a decision in the case of Cadavid v. Nieto which dealt in large part with the issue of child support in high income cases. To view the full text of the case, click here. 

We have previously blogged on this topic.  To view links to those prior posts, click here , here, and here.

In the Cadivad matter, the father appealed an Order requiring him to pay almost $9000 per month in child support.  Both parties were  immigrants from Colombia. The father is the successful founder and president of eight schools that teach English as a second language located in New Jersey, New York, Florida, and Canada. He also owns interests in several commercial properties in New Jersey and Florida as well as 4 homes.  In a June 2007 loan application, the father valued his various business interests at $8 million and the fair market value of his real estate holdings at $5.2 million. The trial judge calculated the father’s annual income for purposes of child support at approximately $2 million annually.

On the other hand, the mother was a full time homemaker but had an associates degree from Bergen County Community College.

The parties had 3 children under age 10 at the time of the proceedings.