Partner Chris Garibian Secures Client’s Alimony Termination Order in New NJ Appellate Court Ruling

Christopher Garibian, Divorce Lawyer

Congratulations to Chris Garibian, partner at Weinberger Divorce & Family Law Group, for successfully arguing an alimony termination matter before the Superior Court of New Jersey Appellate Division. Chris’s determined advocacy secured a favorable ruling from the appellate panel, affirming his client’s ability to end alimony obligations due to a change in financial circumstances.

Read on for a summary of the case and an overview of how the courts evaluate requests to modify or terminate alimony orders.

This matter involved a post-divorce dispute over alimony and other financial responsibilities between J.D. (the plaintiff) and C.D. (the defendant). The spouses divorced in 2003 after a 17-year marriage, during which they had four children. As part of their divorce agreement, C.D. was required to pay J.D. $8,000 per month in permanent alimony. However, C.D. later sought to terminate or reduce this obligation, citing a substantial change in his financial circumstances after being terminated from his high-paying banking job in 2018. Despite efforts to secure comparable employment, he was only able to generate a reduced income through adjunct teaching and book revenues. Meanwhile, J.D. increased her income by working full-time as a nurse. The trial court ultimately terminated the alimony as of April 5, 2022, citing both parties’ inability to maintain their previous standard of living and C.D.’s significant loss of income.

The plaintiff appealed, arguing the alimony should not have been terminated, citing the original divorce agreement and alleging that C.D. was underemployed by choice. On review, the appellate court upheld the trial court’s decision to terminate alimony, finding it was supported by credible evidence, including C.D.’s testimony and financial records.

As the appellate panel stated in their ruling, “The court did not abuse its discretion in terminating defendant’s alimony obligation after carefully considering these factors. Its finding that defendant was credible was supported by adequate, substantial, credible evidence in the record, and should not be disturbed.”

Do you have questions about how to reduce or outright terminate an alimony agreement due to a change in income?

Generally, when there are significant changes in the circumstances of one or both ex-spouses, requesting a modification to a standing alimony order can be appropriate. Grounds for revisiting an alimony order include a significant change in income for either person, increased living costs, one former spouse cohabiting with a new partner, health issues that affect the ability to work, or changes in tax laws. The person asking for the change has to prove that these new circumstances make it fair to adjust or end the alimony payments.

In approving or denying modification requests, the courts look at specific factors. Highlights of these factors include:

  • Why the person lost income,
  • Whether they’ve made diligent efforts to find a new job,
  • The financial situation of the person receiving the alimony, and
  • Health issues affecting their ability to work.

The court also considers severance pay, any other financial changes since the original agreement, and if a temporary fix might help while the unemployed person keeps looking for work. The court may weigh other factors it thinks are important to make a fair decision.

For a court to order an alimony modification or termination, the person requesting the change must show that the new circumstances are serious, ongoing, and significantly impact their ability to keep up with the original agreement. The 2014 amendments to the New Jersey alimony statute (N.J.S.A. 2A:34-23) provide that 90 days is the minimum period of unemployment required before a party can file an application for modification of alimony on that basis.

Is an alimony modification right for you? Get answers to all your questions by scheduling a virtual consultation with one of our family law attorneys. Call us at 888-888-0919, or click the button below.

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