Newsletter May 1998

FISHER'S LAW OFFICE NEWSLETTERS

Newsletter

May 1998

Fisher's Law Office

Welcome to the NEWSLETTER of Fisher's Law Office, providing you with legal information you can use in your everyday life. If you have questions, don't hesitate to call or send us an e-mail today.

1. U.S. CURRENCY UPDATE

As most of our readers know, the $100 note and the $50 notes have been replaced. The $20 bill is next. It will have anti-counterfeiting features such as an enlarged off center portrait of Andrew Jackson, the seventh President of the United States. The bill will be released in the fall of 1998.

Everyone should look at every note they receive to verify it is not counterfeit. If you hold a $50 or $100 bill up to light, you can see a colored thread woven into the note. Also, when you expose a genuine $50 or $100 bill to ultraviolet light, the thread of the new $20 bill will glow green. The thread glows yellow in a $50 bill and red in a $100 bill when exposed to ultra-violet light.

2. MAJOR TAX RELIEF FOR "INNOCENT SPOUSES"

You should never file a joint tax return with a spouse. The reason? Under the long-standing doctrine of "joint and several liability", the Internal Revenue Service will attempt to collect taxes from both spouses no matter who incurred the tax.

If you think, however, that you are eligible to be declared an "innocent spouse", then you should fill out Form 8857. This new form allows you to claim that you are an innocent spouse. The requirements to be an innocent spouse under 26 U.S.C., Section 6013(e), are as follows:

A joint return has been made for the year.

There is a substantial understatement of tax. Substantial understatement means a 10% understatement of tax for people making less than $20,000.00 and a 25% understatement for persons earning more than $20,000.00 per year.

The innocent spouse must show that he or she did not know that there was understatement of tax.

It is unfair to hold the innocent spouse liable for the tax of the guilty spouse.

3. READY TO QUESTION YOUR TAX ASSESSMENT ON YOUR HOMESTEAD?

Here are some interesting tax assessments contained in the Hillsborough County tax rolls: For example, the United States of America owns a skyscraper at 500 Zack Street where the total market value of the property is assessed at $1,500.00. Also, Egmont Key, an island with a Folio Number of 000001.0000 is assessed at $7,840,710.00.

4. EVERYTHING YOU WILL EVER NEED TO KNOW ABOUT LIENS

Florida's lien statute is contained in Florida Statute 713. If you do work that is worth more than $2,500.00 on property, you are entitled to lien the property you worked on. Assuming that you are a subcontractor, here is a list of things to follow to lien property:

1. Within 45 days of beginning work on the property, you must file a "Notice to Owner" that is sent to the bank, the owner, the mortgage company and the contractor you are working for.

2. You must then record a lien within 90 days of completing work on the property.

3. You must foreclose on your lien within one year of filing it or it will expires under its own terms. If you are not paid for work you do on property and the total value of work done on the property is more than $2,500.00, then you may want to consult with an attorney about filing a lien.

5. WITH THE NUMBER OF BANKRUPTCIES EXPECTED TO EXCEED 1,500,000 IN 1998 AND WITH THE AVERAGE FAMILY COMPLETELY AND HOPELESSLY IN DEBT, HERE ARE A FEW RULES IN DEALING WITH CREDIT CARD COMPANIES:

The only person liable on a credit card generally is the person who made an application for the account. Others who may use your credit card are not liable for paying the credit card debt directly to the credit card company (these people may owe you if they improperly use your credit card however!).

You're liability for unauthorized use of your credit card cannot exceed $50.00.

You are allowed to cancel your credit card at any time. You should always cut the card in half and send a letter to the credit card company saying that you want to cancel the account. Each credit card company has a special address to cancel an account and you should always send the notice of the cancellation to that address. Never assume that simply cutting your card in half means you have canceled the account if you have also failed to give notice to the credit card company in writing.

If you miss a minimum payment and don't make it by the payment due date on a credit card, the credit card company has the right to cancel the account and sue you for the full amount that you owe at once. Also, you must pay attorneys' fees incurred by a credit card company in suing you.

The good news is that once the credit card company obtains a judgment against you, the judgment bears interest at the maximum rate allowed under Florida law (currently 10%). This rate changes each year.

Credit card companies can sell your account to someone else without your permission.

A credit card company is allowed to obtain a credit report on you at any time. However, if you request it, the credit card company must tell you when they have obtained credit reports on you.

If you charge something in a foreign currency in a foreign country, your credit card company wiransaction date and increase it by one percent.

If you notify the credit card company immediately in writing, you have certain rights to dispute transactions you don't agree with on your credit card statement. In such a statement, you must tell the credit card company in writing your name and the account number; the amount of the error on your credit card statemente amount that is in dispute while the credit card company investigates the erroneous charge. Also, the credit card company cannot report you as delinquent on any disputed amount on your credit card statement. You must give these notices within 60 days after you receive the first bill that contained the error.

6. RULES FOR NOTARIES

Rules for notaries are contained in Florida Statute Chapter 117. If you are a notary, or know a notary, tell them to follow these rules to prevent being sued:

1. A notary cannot notarize their own signature.

2. A notary cannot charge more than $10.00 for any one notarial act.

3. A notary seal should be placed on all notarized paper documents. The seal should be a rubber stamp that says: "Notary Public-State of Florida."

4. All notaries must specify which signature is being notarized and shall affirmatively state on the document that the person appeared before the notary at the time of notarization.

5. A notary should say what form of identification they used to identify the person whose signature they are notarizing.

6. A notary cannot notarize a document in which they have a financial interest.

7. A notary's employer is liable for damages caused by a notary's official misconduct.

8. If a notary advertises in a language other than English, they must post a sign that says that they are not an attorney and that they cannot give legal advice. The words "Notary Public" cannot be literally translated into any language other than English in an ad for a notary services.

7. NEVER LIE TO A FEDERAL EMPLOYEE

Under the United States Supreme Court case of Brogan v. U.S., cited at 118 S.Ct. 805(Jan. 1998), the United States Supreme Court affirmed a sentence of imprisonment against a person who lied to a federal employee. Lying to any federal government employee is a crime under 18 U.S.C. Section 1001. Therefore, next time you visit Everglades National Park, be careful what you say to a park ranger because if you lie to him, you could be sent to jail.

8. UNDER FLORIDA LAW AND THE FLORIDA CONSTITUTION, ALL PERSONS CHARGED WITH CRIMES IN FLORIDA HAVE THE FOLLOWING RIGHTS:

1. You are entitled to know the nature of the charge against you.

2. They have explained to you the difference between guilty, no contest, and not guilty.

3. You have a right to have a trial before a judge or a judge and a jury of your peers.

4. You have a right to have an attorney or to have a free attorney if you cannot afford one.

5. The State must prove that you are guilty beyond a reasonable doubt.

6. You have a right to question the Government's witnesses at a trial.

7. You are presumed innocent until proven guilty.

8. You have the right to remain quiet.

9. You have the right to testify at any trial.

9. THE FLORIDA CONSTITUTION PROVIDES NUMEROUS RIGHTS TO VICTIMS

Florida's Constitution has a special section called the Victim's Rights Act. Victims of crimes have the following rights under the Florida Constitution:

You have the right to be heard at all stages of a criminal proceeding against the person who hurt you.

You have the right to victim compensation.

You have the right to crisis intervention services.

You have the right to be informed about your role in the criminal justice process.

You have the right to protection from intimidation during criminal proceedings against the person who hurt you.

You have the right to seek restitution against the person who hurt you in a criminal court.

You have the right to prompt disposition of the case against the person who hurt you.

You have the right to file a so-called "Impact Statement" with the court describing what happened to you in the crime. In this statement you list your medical costs, wages and other things you have lost because of the crime.

10. HOW MUCH CAN BE GARNISHED FROM YOUR WAGES?

Federal law is very strict on limiting the amount that can be garnished. The federal statute is located at 15 U.S.C. 1673 and is called "Restriction on Garnishment." The amount that is garnishable is 25% of your earnings for the week or 30 times the minimum wage, whichever is less. Up to 50% of your net wages may be taken to pay child support if an individual is supporting a child or a spouse. If an individual is not supporting a spouse or a child, then 60% of their pay can be garnished to satisfy a child support order.

11. ESTATE TAX CHANGES

Between 1998 and the year 2006, the estate tax exemption will be raised from $625,000.00 to $1,000,000.00. What this means is that you can die with up to $1,000,000.00 in the year 2006 and not pay any estate tax. In addition to the above, you can give up to $10,000.00 per person per year and not have any estate tax. You can also will or give your spouse an unlimited amount without having to pay estate or gift tax.

12. GUNS ALERT

Under a little known federal law, if you are the subject of a court order restraining you from harassing or threatening a boyfriend or girlfriend or child or spouse, then you cannot possess a gun. Doing so violates a federal criminal statute.

13. FAMILY LAW UPDATE

Florida's retroactive child support laws have changed dramatically. If you are separated from your spouse and have a minor child, then your spouse may be entitled to retroactive child support.

The change in the law is contained in Florida Statute 61.30(17). The statute states that in an initial determination of child support, whether the case is for paternity or for dissolution of marriage, the court has discretion to award child support retroactive to the date when the parents did not reside together in the same household with the child. Therefore, if you have a child out of wedlock and do not live with the mother and the child, you are subject to paying child support back to the date that the separation occurred and you began to live apart. Similarly, if you are separated from your spouse and your spouse has custody of your minor child, beware. You will be subject to a retroactive child support award from the date of separation onward.