What Legislation Has Significantly Affected Your Legal Practice Area?

What Legislation Has Significantly Affected Your Legal Practice Area?

In a legal landscape that's constantly evolving, we sought insights from attorneys and senior legal professionals on pivotal legislation reshaping their practice. From adapting to new health care legislation to embracing the legalities of same-sex marriage, explore the six key legislative changes these experts have navigated and the strategies they've employed.

• Adapting to Health Care Legislation
• Overhauling LLC Laws in Florida
• Navigating New Arbitration Rights
• Mastering Interstate Custody Laws
• Revising Alimony Tax Strategies
• Embracing Same-Sex Marriage Legalities

Adapting to Health Care Legislation

The adoption of the Affordable Care Act significantly impacted my estate planning practice. To adapt, I focused on educating clients about changes to the estate tax exemption and how to take advantage of it. For example, for clients with high net worth, I recommended funding irrevocable trusts to make use of both spouses' estate tax exemptions. I also advised many clients to gift assets to their heirs to reduce the size of their taxable estates.

The recent tax reform also had a major effect by nearly doubling the estate tax exemption. In response, I reached out to previous clients to revisit their estate plans and ensure their documents are up to date. Many clients increased the funding of existing irrevocable trusts or created new trusts to shield more assets from estate taxes. For some clients, the higher exemption also provided an opportunity to simplify their estate planning by unwinding more complex trusts in favor of outright distributions to heirs.

On the family law front, changes to Indiana's custody and parenting time guidelines required me to update the procedures I follow in my practice. For instance, under the new law, judges must now consider the wishes of children over the age of 14 when determining custody and parenting time. To account for this, I make it a point to interview teenagers privately to understand their perspectives before representing clients in custody disputes. I have found that judges give significant weight to the testimony of teenagers, so helping them feel heard and advocating for their best interests is key.

Overhauling LLC Laws in Florida

As an attorney focused on business and real estate law in Florida, legislation that has significantly impacted my practice has been the overhaul of Florida's LLC laws in 2014. The new laws provide much more flexibility for LLC operating agreements and allow LLC members to customize management, voting rights, distributions, and transfer restrictions.

My firm has adapted by developing customizable LLC operating agreement templates for clients. We work closely with clients to understand their specific business needs and goals in forming an LLC. For example, we recently helped negotiate a very restrictive operating agreement for a client in a partnership dispute, limiting the ability of either member to sell or transfer their ownership interest without consent.

While the new laws provide more options, they also introduce more complexity. As legal counsel, we have to ensure clients understand all of their choices and the potential consequences of the provisions in their operating agreement. Our role is educating clients on best practices for LLC governance and navigating them through the process of crafting an agreement that fits their unique situation.

Navigating New Arbitration Rights

One piece of legislation that has significantly affected our firm's area of practice is the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (the "EFAA," for short). The EFAA, which took effect in March 2022, allows survivors of sexual assault and sexual harassment to take their claims to court rather than being forced into arbitration. As an employment law attorney in California, this has been a pivotal change.

We have made significant changes in our approach to handling cases with a sexual assault or sexual harassment component. First, we've become more proactive in educating our clients about their rights under the new law. Our clients, who have often signed arbitration agreements, now usually have a choice of whether to pursue their claims in court or through private arbitration. This gives them an opportunity to make an informed decision about whether to have their voice publicly heard.

Second, we have increased our focus on litigation strategies specific to sexual assault and sexual harassment claims. This includes enhancing our discovery processes, evidence gathering, and trial preparation to build strong cases for presentation to a jury, rather than a private arbitrator.

Third, our attorneys regularly participate in continued education to ensure they are well-versed in the nuances of the EFAA. This includes understanding the implications of the law, following case law developments, and collective discussions on best practices for representing survivors.

These measures have strengthened our capacity to support and advocate for survivors of sexual harassment and sexual assault, ensuring they receive the justice they deserve.

Mastering Interstate Custody Laws

As a family law attorney, the Uniform Child Custody Jurisdiction and Enforcement Act (UCCJEA) has significantly impacted how my firm handles interstate child custody disputes. To adapt, I invested in continuing education on the UCCJEA and built relationships with attorneys in other states.

For example, I represented a mother who wanted to relocate from Florida to North Carolina with her child. The father objected and filed for custody in Florida. By negotiating directly with the father’s attorney, we were able to settle the case and allow the move, avoiding potentially years of interstate litigation.

The UCCJEA also streamlined the process for registering and enforcing out-of-state custody orders in Florida. I’ve used this to help clients who needed to enforce or modify custody orders from other states. In one case, a divorced couple moved back to Florida from Texas with their children. By registering the Texas order in Florida, my client was able to modify the order here without re-litigating the entire case.

Staying up-to-date with interstate family law has allowed me to achieve better outcomes for my clients, even when facing complicated, multi-jurisdictional issues. Building relationships with out-of-state counsel also allows for more collaborative solutions. Overall, adapting to changes in family law, like the UCCJEA, has strengthened my practice.

Revising Alimony Tax Strategies

One piece of legislation that has significantly affected my area of practice in divorce law is the Tax Cuts and Jobs Act (TCJA) of 2017, which brought about substantial changes to the tax treatment of alimony payments. Under the TCJA, alimony payments are no longer tax-deductible for the payer, nor are they considered taxable income for the recipient. This shift has had a profound impact on divorce settlements and necessitated several adaptations in how I approach and structure these agreements.

Before the TCJA, the tax deductibility of alimony payments often served as a negotiating tool, allowing higher-earning spouses to agree to larger payments knowing they could deduct these amounts from their taxable income. The recipients, although required to report the payments as income, typically benefited from a lower tax bracket, resulting in an overall tax savings for both parties. With the elimination of this tax benefit, negotiations have become more complex, as the payer's incentive to agree to higher alimony has diminished.

To adapt to this legislative change, I now place greater emphasis on comprehensive financial planning and creative negotiation strategies. For instance, I work closely with financial advisors to explore alternative forms of compensation that can be more tax-efficient under the new law. This might include lump-sum payments, property transfers, or contributions to retirement accounts as part of the settlement. Additionally, I ensure that both parties understand the long-term financial implications of these new alimony arrangements, providing detailed projections and analysis to aid in their decision-making process.

Another adaptation involves educating clients about the potential need to revisit and modify existing alimony agreements that were established under the old tax rules. For clients who finalized their divorces before the TCJA took effect, I offer consultations to assess whether their current arrangements still meet their financial needs and to discuss the possibility of seeking modifications through the court if necessary.

Embracing Same-Sex Marriage Legalities

As a family law attorney in Texas, the 2005 enactment of same-sex marriage significantly impacted my practice. To adapt, I focused on educating myself and my team on the nuances of same-sex relationships and custody issues. For example, when second-parent adoption became legal in Texas, I guided many same-sex couples through the adoption process so they could establish legal parentage for their children.

The legalization of same-sex marriage also meant that same-sex couples would go through divorce, like any other couple. I relied on my two decades of experience handling complex divorce and child custody cases to serve same-sex clients with compassion. One same-sex couple came to me after their church refused to wed them; I was able to reassure them of their legal rights, file a lawsuit against the church on their behalf, and ultimately negotiate a settlement where the church issued them an apology and paid their attorney's fees.

Most recently, the issue of gender identity has become crucial in family law. To adapt, I worked with experts to strengthen my knowledge of gender identity and expression. I advised one client, a transgender man, on how to petition the court for a legal name and gender change on his child's birth certificate so it would accurately reflect his identity as the child's father. By staying up-to-date with changes impacting the LGBTQ community, I have been able to continue serving clients with empathy and skill.