In the event of death or breakup without a cohabitation agreement, you and your partner may be treated as legal strangers.

If you have chosen cohabitation over marriage – you aren’t alone. Cohabitation between married partners has increased 1,150 percent in the last 40 years. The fact remains that, unless you define your partnership through a legal contract, the law may see you as strangers in the case of a breakup or death.

What is Cohabitation?

The concept of cohabitation has expanded to include any two partners who have integrated their residence, property and daily lives. It can be viewed as a starting point for people considering marriage down the line, but can also be the ideal arrangement for couples who don’t want the social, personal and legal commitment associated with marriage. Other reasons individuals cohabitate include:

• Reduction of living expenses.
• Inability of a union of same-sex individuals to be recognized by the law.
• Choice by older individuals who don’t want to upset family or friends through remarriage.

The need for Cohabitation Agreements.

By choosing cohabitation, couples forego certain rights and protections that would be provided for them in a marital union. Married couples accrue legal rights, including the right to receive a property settlement and/or support in the event of divorce; file joint tax returns; receive distributions from estates free of estate tax; receive survivor’s benefits from retirement plans and Social Security; obtain “family” health insurance, dental insurance, and other employment benefits; and automatically share in his/her partner’s property in the event he/she dies without a will. Unmarried couples, generally acquire similar rights by expressly securing their benefits in cohabitation agreements (also referred to as cohabitation contracts). A cohabitation agreement is a private contract between cohabitants, which typically tries to establish contractually for the parties the rights and obligations that married people obtain by custom, statute, and agreement.

Why a Cohabitation Agreement?

Even if you regard your partner as family, the law usually does not. As a result, your partner may not be provided for in the manner you desire. For example, if you die without a will, your property generally will pass to your next-of-kin and not your partner. Paradoxically, the law may provide certain benefits for your partner that you had no intention of giving to him or her. Today, some courts are using equitable doctrines to apportion assets between cohabitants to prevent hardship and injustice. Because these doctrines are vague,proving them is both difficult and expensive. Therefore, you should be proactive and define your own partnership through a legal contract. Below are additional benefits of entering into cohabitation agreements:

• To guarantee the financially less secure partner an equitable settlement.
• To properly compensate a party for his or her role as a caretaker

• To allow the financially more secure party to limit exposure in the event of a breakup.
• To disclose expectations of the relationship, both financial and personal.

What to cover in a Cohabitation Agreement?

A cohabitation agreement is a flexible, laissez faire document that is less subject to regulation than a marital agreement. These contracts typically cover the following key points:

• Distributing property in case of death or breakup.
• Obligating financial support during the relationship or upon its dissolution.
• Handling the payment of debts.
• Dividing the principal residence upon breakup of the relationship or if one of you dies. Setting up the property ownership as ‘joint tenants with rights of survivorship’ will allow your partner to stay in your shared home. You’ll also want to be sure both of your names are on the deed.
• Defining support, custody or visitation rights for minor children (although nonbinding).
• Specifying health insurance coverage. Create a ‘health care proxy’ that will allow your partner to make decisions about your health care in case of emergency.
• Determining the right to serve as guardian/conservator in the event of incapacitation.
• Establishing the right to make medical decisions.

What’s the difference between a Cohab and a Prenup?

Prenups and cohabs compare like apples and oranges. A cohab will NOT have the same force and effect after marriage as a prenup. Most states have adopted legislation prescribing specific requirements for prenups, while very few states have adopted laws dealing with cohabs. As a result, cohabs are governed almost exclusively by general contract principles. Please remember that while a prenup goes into effect only upon marriage, a cohab usually isn’t valid once the parties marry.

The Commitment Conversation:
Are you in a long term relationship or do you know someone who is building one? In an effort to help individuals and couples feel more comfortable in discussing their lives together, we’ve created a guidebook to help you and your partner navigate through conversations that will strengthen your lives together.

AN IMPORTANT NOTE:

Living together does not automatically entitle either one of you to the rights and protections afforded to married couples. That is why you and your partner must state your rights and obligations in a legal document in the event of a breakup or death. A cohabitation agreement will insure that you and your partner are protected at the same time that it clarifies your understanding of the relationship.

Contact attorney Marc Wander to set up a cohabitation agreement.

Read more:
http://www.equalityinmarriage.org/bmagreements.html

Marc H. Wander is a partner of the Bloomfield Hills law firm of Witzke, Berry, Carter &Wander, PLLC. Marc has been licensed to practice law in Michigan since 1992. Marc’s practice is devoted to estate planning and business succession planning.  Marc is a member of the Probate and Estate Planning Section of the State Bar of Michigan and is a prior Chairperson of the Oakland County Bar Association Tax Committee. He is a frequent continuing education speaker to insurance agents, financial advisors, CPA’s and financial industry organizations. He has also been heard on WJR Radio. Follow Marc on Twitter @MarcWander

Marriage is a contractual relationship that commits a couple to a well-established set of state laws and rules governing, among other things, the couple’s property rights should one spouse die or in the event the couple split up. On the other hand, unmarried couples, do not automatically agree to any state-imposed contractual agreement at the onset of their relationship.

The couple may have a joint obligation to a landlord or to a mortgage company if they rent or buy a place together, no different than if they were roommates. In and of itself, living together does not create a contractual relationship, nor does it entitle you to a property settlement (for inheritance) should you split up (or should one of you perish).

What’s a Living Together Contact?

Typically, unmarried couples buy property, mixes assets, and invests together without writing down how the property will be shared if they split up. If problems about money and property arise, they usually try to reach an understanding or a compromise. And if they split up, possessions are typically divided and they part way without an obligation to follow the legal rules applicable to marriage and divorce.

But you don’t need me to tell you, that not all relationships end so smoothly. Often relationship battles end up in court. As a result, courts have ruled that unmarried couples generally have the right to create whatever kind of living together contracts they want relating financial and property concerns.

If an unmarried couple chooses to make an agreement together, or in some states if they act as though an agreement exists, that agreement will often be considered an enforceable contract– a “nonmarital agreement” in legal terms, or what we call a living together contract or agreement. An agreement of this nature can help alleviate problems when you commingle money and property; clarify your intentions and expectations regarding property ownership, caring for children, and covering household expenses; and ease the division of property during a breakup.

What to Include in a Living Together Contract

A living together contract can vary from being comprehensive, covering every aspect of your relationship, to specific, covering a single transaction such as a new house purchase. Your contract should state exactly what you each want, and how much sharing (if any) you want to do of property and finances. The following are the most common issues included in a living together contract:

• property and finances, including the property you had before you began the relationship, as well as the property either or both of you accumulate during it
• property inherited or received by gift during the relationship
• property bought during the relationship
• expenses, such as food, utilities, and housing
• what will happen to your property if you split up or if one of you dies, and
• a method for

Contact attorney Marc Wander to ensure your nonmarital agreement protects you and your assets in the event your relationship goes astray.

Read more:
http://www.nolo.com/legal-encyclopedia/free-books/living-together-book/chapter2-5.html

Marc H. Wander is a partner of the Bloomfield Hills law firm of Witzke, Berry, Carter &Wander, PLLC. Marc has been licensed to practice law in Michigan since 1992. Marc’s practice is devoted to estate planning and business succession planning.  Marc is a member of the Probate and Estate Planning Section of the State Bar of Michigan and is a prior Chairperson of the Oakland County Bar Association Tax Committee. He is a frequent continuing education speaker to insurance agents, financial advisors, CPA’s and financial industry organizations. He has also been heard on WJR Radio. Follow Marc on Twitter @MarcWander

Now three months after Sherman Hemsley, star of the CBS series “The Jeffersons” died in his El Paso home, yet he hasn’t been laid to rest as the beneficiaries of his will, and even his cause of death, have been called into question.

Confirmed by a worker at the Eastside location of the San Jose Funeral Home in El Paso, Texas, Hemsley is still at the home where they are waiting for a court order telling them what to do with his body.

It was first revealed in August that Hemsley’s body had not been buried due to a legal dispute between his former manager and self-proclaimed business partner and live-in best friend Flora Enchinton– who was named as the sole beneficiary in his will– and a Philadelphia man, Richard Thorton, who claims to be the actor’s brother. Thorton filed a civil lawsuit disputing the validity of the will, signed by Hemsley one month prior to his death.

On September 24, Probate Court judge Patricia Chew delayed the trial over the actor’s estates and remains to October 31, and ordered the man who claims to be the brother to undergo a DNA test. Thorton’s nephew Robert Thorton took the stand in support of his Uncle’s allegation, and question the authenticity of the signature, which suspiciously left everything to Enchinton.

All the while, a third person has since come forward amid the battle vowing to intervene on the issue prior to the October 31st trial date. Reverend Michael George Wells– a minister at Arch Street United Methodist Church claims to be a cousin on Hemley’s mother’s side– told the El Paso Times that he doesn’t believe Enchinton was close to Sherman and that the Thortons were not related to the late actor.

Wells told FOX411 that he would like to intervene before October 31, but doesn’t have the $10,000 he says he would need to join the legal fray. Wells wants the media to know that Sherman Hemsley’s body has been in the refrigerator for an unnecessary amount of time and it’s uncalled for.

While he was initially said to have died of natural causes, it later came out that he had cancer. Wells is calling for an investigation, claiming that no doctors or hospitals ever mentioned cancer. He also is weary of the claim that the actor’s estate is worth just $50,000, and believes its value is beyond the reported amount. At the time time of his death no foul play was suspected, and no autopsy was planned, although Wells insisted that if he had the financial means he would have one performed to get the truth.

A postmortem report obtained by TMZ listed the primary cause of death is listed as “superior vena cava syndrome” — a complication resulting from a mass on Sherman’s lung, and noted that the star had been advised to undergo chemotherapy and radiation therapy before he succumbed to the illness.

Attorneys for Enchinton and Thornton did not respond to a request for comment, and Thornton declined to comment. Civil litigator Anahita Sedaghatfar said she is not surprised that something like this, particularly with an association to Hollywood, could happen.

Contact attorney Marc Wander and ensure your living will is in place, before it ever comes to this.

Read more:
http://www.foxnews.com/entertainment/2012/10/29/sherman-hemsley-still-not-buried-3-months-after-death-bizarre-legal-dispute/?intcmp=features

Marc H. Wander is a partner of the Bloomfield Hills law firm of Witzke, Berry, Carter &Wander, PLLC. Marc has been licensed to practice law in Michigan since 1992. Marc’s practice is devoted to estate planning and business succession planning.  Marc is a member of the Probate and Estate Planning Section of the State Bar of Michigan and is a prior Chairperson of the Oakland County Bar Association Tax Committee. He is a frequent continuing education speaker to insurance agents, financial advisors, CPA’s and financial industry organizations. He has also been heard on WJR Radio. Follow Marc on Twitter @MarcWander

Which of the following seem out of place: Dating, romance, sex, fun, love, companionship, excitement, bliss, movies, strolling, sunsets, kisses, tenderness, laughing, presents, snuggling, happiness, well-being, or legal contracts?

It’s may seem strange to pair romance and legal contracts, but the reality is that marriage is itself a contract — and most people face that reality with a fist full of rice and rose petals.

Welcome to the world where prenuptial agreements are not only relevant but as practical as say… health insurance. At the precipice of happiness, infatuation, and love lies an undeniable reality of financial negotiations. Often the very notion of talking about a prenup activates the hot-button issues of a relationship: Who do you love more, me or your kids? Is that all I am to you — a dollar figure? Why are you so interested in my money if you love me, for me?

While prenups are often the precursor to an uncomfortable conversation, fight, or meltdown, writing a prenup is becoming more and more common these days of later marriages and high divorce rates. And although it can accompany a lot of anxiety, it can also offer clarity, and strengthen marriages in the big picture.

Creating a prenup raises volatile issues, but after the smoke clears, a prenup can often bring stability and clarity to a marriage in the long term, because it forces spouses to face the core issues of their relationship. If done with sensitivity and compassion, the process of creating a legal prenup can lay the groundwork for honest communication about money — which is public enemy number one to marriages.

In relationships, money is about power, love, self-worth, security, abandonment, envy, and miles more. For these reasons it’s imperative to discuss money before walking down the aisle, to ensure that it doesn’t throw a relationship off kilter.

When one partner brings considerable more assets to a marriage prenuptial agreements lay a fair and compassionate groundwork for a successful marriage. It is also a factor when children from a past marriage are part of the picture. Communication about core issues build trusts if both parties are marrying for love and commit to honest and full disclosure.

Read more:
http://www.huffingtonpost.com/mindy-utay/marriage-prenup_b_1922968.html

Marc H. Wander is a partner of the Bloomfield Hills law firm of Witzke, Berry, Carter &Wander, PLLC. Marc has been licensed to practice law in Michigan since 1992. Marc’s practice is devoted to estate planning and business succession planning.  Marc is a member of the Probate and Estate Planning Section of the State Bar of Michigan and is a prior Chairperson of the Oakland County Bar Association Tax Committee. He is a frequent continuing education speaker to insurance agents, financial advisors, CPA’s and financial industry organizations. He has also been heard on WJR Radio. Follow Marc on Twitter @MarcWander.

It should come as little surprise that Baby Boomers are evolving the notion of what it means to leave a legacy for those they love. A growing number of retirees are sharing life histories, ethical wills and video recordings to give their children and grandchildren a more complete understanding of their lives. This sharing of values, wisdom and accomplishment is being encouraged by some financial planners to complement traditional estate planning.

People are conveying their personal legacy in a number of different styles. They can be brief or book-length, and may include audio, video and photos. Whether it be in the form of an ethical will – a document sometimes referred to as a legacy letter or family love letter that provides a heartfelt personal message beyond the financial particulars.

These projects can be handled on your own, or you can seek the guidance of an expert. Paul Wilson, a retired psychiatrist in Bethesda, Md., decided to write a memoir to convey a better sense of who he was in his earlier life to his children and grandchildren. It’s something he wishes his own grandparents would have provided for him. He expects it to be close to 60 pages when complete, and is considering having it self-published to achieve a more polished final product. But regardless of the final product, the 80-year-old Wilson has found great pleasure and personal development in the process.

As a result of the growing interest in this area, more websites and books about ethical wills and other forms of personal legacies have arisen, in addition to entrepreneurial firms to help compile them. For example, the self-publishing house Author Solutions created a firm called Legacy Keepers a year ago. Drawing on a network of personal historians who conduct telephone or in-person interviews, Legacy Keepers turns the thoughts and recollections of customers into keepsake books or video and audio files. List prices range from $975 to $5,000.

Members of the Association of Personal Historians also offer personal legacy services through small businesses with names like Celebrations of Life, Looking Back for the Future and Your Story Here Video Biography.

To learn more about leaving your legacy in the form of an ethical will, contact attorney Marc H. Wander.

Read more:
http://www.cnbc.com/id/49299761

Marc H. Wander is a partner of the Bloomfield Hills law firm of Witzke, Berry, Carter &Wander, PLLC. Marc has been licensed to practice law in Michigan since 1992. Marc’s practice is devoted to estate planning and business succession planning.  Marc is a member of the Probate and Estate Planning Section of the State Bar of Michigan and is a prior Chairperson of the Oakland County Bar Association Tax Committee. He is a frequent continuing education speaker to insurance agents, financial advisors, CPA’s and financial industry organizations. He has also been heard on WJR Radio. Follow Mark on Twitter @MarcWander

When it comes to next-of-kin laws and managing digital assets, each service functions differently insofar as notifying designated beneficiaries upon death or serious illness or injury. One example, is AssetLock, where beneficiaries can unlock an account by signing in to confirm the death. After the account is unlocked, information and instructions that were created by the user are delivered to the designated beneficiaries.

Price range of these services vary based on the amount of data stored and the number of beneficiaries designated. Services can cost between $1.50 per month to $30 per year to a $300 one-time fee. Like anything, it is important to find a plan that suites your individual needs. If you your estate is straightforward, a simple inventory stored in a secure place may suffice; but those with a more complex estate or with online businesses might consider an online service.

Shelley Walters-Walker, estate settlement services manager at Northern Trust, suggests referencing the digital assets inventory in estate planning documents such as a will or trust. Ask your attorney about including specific language that authorizes an executor or trustee, or in the case of disability, whomever has the power of attorney, to have access to your digital assets.

As it stands, the law is falling behind the fast-moving digital space, resulting in services that maintain their own sets of rules in terms of digital account access. In time, it is likely that the coverage of estate law will grow to include these assets as part of the estate planning process. But until then, address your online assets with your estate planning lawyer while you create or update your will.

The key to managing digital assets is to avoid being overwhelmed at the thought of it.  With a sea of hours spent online we often overlook how many different applications and systems in which we are creating a digital footprint, Walters-Walker says. Take the necessary precautions to ensure your heirs can access your digital accounts, either to collect on them, close them, or notify others of your passing.

Modern technology exists to simply our lives while we are living, but we are learning that without the necessary steps, it could complicate things significantly once we die.

Mr. Witzke practices in the areas of estate and gift tax planning, financial planning, retirement planning, charitable giving, elder law, and small business planning. He focuses on helping clients grow, protect, and transfer wealth efficiently. Mr. Witzke is a past president and board member of the Financial Planning Association of Michigan, a member of the board of directors for Leadership Oakland, and a member of the planned giving advisory committees of Wayne State University and the Community House in Birmingham. Follow Mr. Witzke on Twitter @gr8estatelawyer.

Terms and agreements for each online service vary regarding just what happens to a digital account after death. Facebook, for example, cannot be shut down completely without official documentation, such as a death certificate. Certain email services deny access to anyone without a password, however, Hotmail and Gmail have recently defined a next-of-kin process, which enables confirmed family members to access the deceased’s contact lists and close the accounts.

There are currently five states that either have or are enacting laws that will protect your digital legacy. Nebraska is the latest state to propose legislation to allow next-of-kin to control digital accounts after a user has perished. According to Adele McAlear, the creator of deathanddigitallegacy.com, the proposed bill is modeled after Oklahoma’s digital property management after death law, which passed in 2010.

Idaho passed a similar law in 2011, while Connecticut, Rhode Island, and Indiana have older legislation covering email and digital files. Sherry Walters-Walker, an estate settlement services manager at Northern Trust hopes for uniformity down the line, and that one day there will be laws that allow executors access to all accounts.

Laws are different for each service and state, contact Michael P. Witzke and discover Michigan’s next-of-kin laws regarding digital assets.

Mr. Witzke practices in the areas of estate and gift tax planning, financial planning, retirement planning, charitable giving, elder law, and small business planning. He focuses on helping clients grow, protect, and transfer wealth efficiently. Mr. Witzke is a past president and board member of the Financial Planning Association of Michigan, a member of the board of directors for Leadership Oakland, and a member of the planned giving advisory committees of Wayne State University and the Community House in Birmingham. Follow Mr. Witzke on Twitter @gr8estatelawyer.