Collaborative divorce is a specific type of divorce process in which spouses are represented by their own attorneys, but still work cooperatively toward a solution. The ultimate goal of the collaborative divorce process is to reach a settlement on divorce issues such as property division and the allocation of parenting time and responsibilities without litigation. To facilitate this process, the divorcing spouses typically sign a Participation Agreement. The Participation Agreement is a document that outlines each party's commitments and expectations throughout the collaborative divorce process.

Elements of a Participation Agreement or Collaborative Agreement

A Participation Agreement is a document that outlines the expectations of all parties involved in the collaborative divorce. It outlines each party's legal rights and obligations.

Most participation agreements include the following provisions:

If you are a divorced parent or soon will be, you may already be planning for the upcoming summer break. For many families, the end of the school year marks the beginning of a time when many co-parents must establish a new schedule for their children. The best way to ensure that everyone has an enjoyable and successful summer is to work together as co-parents and ensure that you and the other parent are on the same page regarding parenting time and responsibilities.

Set up a Parenting Plan or Temporary Allocation Order

The parenting plan or parenting agreement is crucial for divorced parents in Illinois. This is the document that contains everything from when each parent will have the children to how major decisions regarding childcare and education will be made. It is important that both parents agree to the terms of the plan, as it will serve as a road map for all parenting situations during summer break and beyond. If you are in the middle of getting divorced and do not yet have your final parenting plan, you can ask the court to enter a temporary order.

Divorcing parents who are on good terms may be able to negotiate temporary custody plans without the need for a formal court order, but it is still recommended that you put this agreement in writing.

People who work hard and take professional risks are often rewarded with commensurately high incomes. While this can be a major personal boon, when it comes to divorce, having a significant income or high net worth can create complications. One of the most complicated areas of divorce for high-net-worth individuals and families is that of alimony (known technically as “spousal maintenance” in Illinois). Cases involving alimony for separated high-net-worth couples can be complex and difficult to predict, leading to frustration for both spouses. Understanding the law in this regard is essential for setting realistic expectations and negotiating for fair alimony payments. 

Alimony and High Net Worth Divorce

High net worth divorces are generally regarded as those involving over one million dollars in liquid assets, but as long as a couple makes a combined income of less than $500,000, the length and amount of alimony is calculated according to a formula. The formula uses the length of the marriage to determine the length of payments. To determine the amount of payments, the formula subtracts 25 percent of the net income of the spouse who earns less from 33.3 percent of the net income of the spouse who earns more. 

However, in cases where a couple’s combined income exceeds $500,000, couples or judges can deviate from the standard formula. In a perfect world, spouses would always be able to come together and negotiate a total financial separation package that includes agreements about property division, alimony, child support, and other smaller details like insurance coverage. But this is not always possible and when a couple cannot reach a financial settlement on their own and the court intervenes, it can be difficult to anticipate the amount and duration of alimony a judge will order. They will look at several facts before reaching a decision. These include: 

The time before a marriage is often one of great excitement and anticipation. It can also be a time of enormous stress - especially if one fiancé announces unexpectedly to the other that his or her parents want a prenuptial agreement to be signed before the marriage can take place. The partner who is given the option to either sign a prenuptial agreement or cancel the wedding may feel a wide range of emotions - surprise, confusion, and uncertainty, just to name a few.

 If you find yourself in this situation, it is important to take a deep breath and understand exactly what a prenuptial agreement can and cannot do. A prenuptial agreement may end up working to your advantage if it is written correctly. 

You Cannot Be Forced into Signing a Prenup

No matter what your fiancé or his or her parents say, a prenuptial agreement signed under coercion or duress is not valid under Illinois law. So, if you are presented with a prenup a day before your wedding takes place, and you sign it because you are terrified of the implications of canceling the wedding, the prenup could be invalidated on the basis of duress, if you get divorced. 

Starting a business and getting it up and running is no small endeavor. It takes an enormous amount of effort, commitment, and consistency to succeed in business ownership, and many different factors exist that constantly threaten the success of a business. Although many business owners are aware of the dangers of competitors, supply chain difficulties, and rising office rental prices, there can also be another source of danger that they do not suspect until it is too late: divorce. 

Business assets are generally considered part of the marital estate. Unless your business is specifically protected by a prenuptial or postnuptial agreement, it is fair game in the property division process during divorce. You may be required to compensate your spouse for his or her share of business assets. Your spouse may also be liable for your business’s debts. Separating your business from your marital estate can be a very wise tactic and, if you are already married, a postnuptial agreement can help you do this. 

Postnuptial Agreements and Business Ownership

Postnuptial agreements can cover a broad range of topics, mostly focusing on personal and marital finances. Naturally, the best time to negotiate a contract that is in your favor is before you are married; once you get married, your spouse has little incentive to give up access to any business profits he or she would otherwise be entitled to.