When Broken-Down Celebrities Cannot Pay Child Support Obligations: Dennis Rodman

Former Piston &
Hall of Famer Dennis Rodman

Just last August, I waxed nostolgically when I read that former Detroit Piston Bad Boy Dennis Rodman had been inducted into the NBA's Hall of Fame.  He earned that distinction by contributing to five NBA championship teams; two with the Pistons, and three with the Bulls.

Fast forward a few months, and here was Rodman's pro bono lawyer explaining to a family court judge, then to the press, that the man was broken down, sick, unable to earn the millions he did in the days of yore and thus, unable to pay his child support obligations.

According to the LA Times, his child support arrearage for two children is fast-approaching one million dollars.

As a Special Assistant Attorney General assigned to prosecute felony child support cases, I've seen a few professional athletes pop-up as criminal defendants with eye-popping arrearages.  These cases highlight the peaks and valleys characterizing the income history of many star athletes.

The basic problem is that these superstars show multi-million dollar income, but for a very short period of time.  Many of them spend the dough on a lavish lifestyle rather than save and when it all comes to a crashing end, they fail to seek an adjustment of their support obligation in the family court; hence the whopping arrears.

Rodman's case was different; he was able to take his insane schtick to the bank for years following his NBA earning years.  Now that he has aged and is reportedly ill, all that has gone away.

Here in Michigan, child support is controlled by the Michigan Child Support Formula; literally an algorithm taking into account the relative income of the child's parents, as well as the overnight parenting schedule.

Like Michigan, some states have adopted support formulas that "top-out" for high earners. Here in Michigan, for example, child support can only be calculated for an annual income of $422,916 or less.

In addition, the MCSF takes away most of the court's discretion in setting child support. Absent compelling factors, support is determined through a straight-forward application of the MCSF.

In the case of some high-earning payors, litigants have cried foul, asserting that when a parent earns millions of dollars, his children should share in that wealth. This is particularly the case where the high income is short-lived; like with most professional athletes.  Rodman's income went on for much longer than most.

Like Michigan, Florida, Nebraska, Virginia, West Virginia and Wyoming all use a straight formulaic approach [with a cap] to the calculation of child support. Other states utilize a percentage approach where the child support obligation just keeps going up; keeping pace with the parent's high income.

Recognizing this problem, some states have specific statutes that address high income households. These statutes usually provide the family court judge with some good old-fashioned "discretion" to determine the child support obligation in accord with the "best interests of the child."

It will be interesting to see whether the family court judge will give Rodman a break and reduce his child support.  But arrearage is arrearage; due and owing to his two children.

We cannot help but wonder, over the past several years, whether Rodman spent his fortune on himself rather than taking care of his children.

http://www.waterfordlegal.com/

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Posted in: child support,Dennis Rodman,Detroit Pistons,divorce,divorce lawyer,Michigan Child Support Formula

Child Support Reduction & Collection Requests Flood Friend of Court

The pain is inflicted on both sides of the fence in family court cases across the state.  For those paying child support, and for its recipients, the depressed economy in Southeast Michigan is taking a toll.   

As a recent article in the Detroit News makes clear, the Friend of the Court in counties accross Michigan are scrambling to field the flood of requests filed to reduce child support, or to enforce an existing support order.  Most of the parents seeking a support reduction are doing so because they've either lost their job or have been handed a pay-cut.

Child support in Michigan is calculated using an algorithmic equation known as the Michigan Child Support Formula.  This formula is based on three main inputs: the payor's income, the recipient's income, and the number of overnight parenting sessions for the payor.  A payor's support obligation is modifiable if there is a "change in circumstance" to justify the request.  One such justification is when a payor, through no fault of his own, loses a job or suffers a significant decline in income. 

In difficult economic times, county Friends of the Court (the administrative arm of the family court) experience an increase in the volume of motions from payor's and custodial parents alike, seeking relief from the financial pain.  In the case of a payor, the support automatically deducted from his paycheck may exceed more than half of his take-home, especially when that "take home" is an unemployment check.  Across town, the custodial parent is used to receiving a certain amount of support to help make ends meet for the children.

When a party files a motion to modify his or her support, the matter is reviewed by a Friend of the Court Referee (a quasi-judicial official) before it goes to the family court judge.  Most FOC Referees utilize support specialists; professionals trained in the application of the child support formula.  The court rules provide for the Referee to make a recommendation to the judge regarding whether the payor's support should be reduced or not.

Each November, as the year-end approaches, parties realize there are only a few weeks left to get their matter heard before the courts shut down for the holidays.  Many scramble to file motions, hoping they can obtain some financial relief.  Wanting to save money, they forego hiring an attorney.  When a party files a motion on their own behalf, however, it can take quite a long time before the FOC grants them a hearing.

One advantage to hiring legal counsel is that the attorney knows how to get a client's motion on the dockett by the end of the year.  In addition, family law attorneys know the many angles and tricky aspects of the support formula, and how to apply that formula to a variety of compensation packages and parenting schedules.

According to the Detroit News, child support arrearages rose by approxiamtely $113 million from 2005 to 2008, although the number of support payors decreased.  These support arrears are expected to increase as unemployed payors lose their state benefits.  The situation has attracted the attention of Congress, which is proposing legislation designed to extend unemployment benefits for child support payors.

If you or a family member need relief from an acute child support situation, contact our law firm for immediate relief.  Our firm handles dozens of such cases throughout the year.  Our service is excellent and our fees reasonable.

info@clarkstonlegal.com
http://www.clarkstonlegal.com/

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Posted in: child support enforcement,Detroit News,Michigan Child Support Formula,unemployment