Deck 6: Introduction to the Legal System

Question 1

A trust is a device or arrangement by which its creator the settlor or trustee) transfers property the corpus) to a person the trustor) who holds legal title for the benefit of another the beneficiary or cestui que trust).

Answer 1

False

Question 2

The objective of a husband and wife entering a separation agreement can be:

A) to dissolve their marriage through a divorce.
B) to remain married but seek a legal separation.
C) to remain married without seeking a divorce or legal separation.
D) all of the above.

Answer 2

D

Question 3

What is reimbursement alimony?

Answer 3

Alimony that repays a spouse who worked or made other financial contributions during the marriage so that the other spouse could obtain training or otherwise enhance his or her future earning capacity. Also called restitutional alimony.

Question 4

Dissipated income can be imputed to the wrongdoer.

Question 5

What are the characteristics of an effective separation agreement?

Question 6

A separation agreement is not enforceable if it:

A) violates public policy.
B) is conducive to divorce.
C) is entered without consideration.
D) all of the above.

Question 7

Intestate succession is the transfer of property:

A) to state-designated relatives of a decedent who dies leaving a valid will.
B) to state-designated relatives of a decedent who dies without leaving a valid will.
C) to parties who have transmuted their marital property.
D) to alternate payees.

Question 8

What factors will a court consider when deciding whether a payment is alimony or property division?

Question 9

Public policy consists of the principles inherent in the customs, morals, and notions of justice that prevail in a state; the foundation of public laws; and the principles that are naturally and inherently right and just.

Question 10

The only way to ensure that a separation agreement will not be invalidated by fraud is to have a clause in the agreement saying that both parties entered it voluntarily.

Question 11

Commingled separate and marital property may be treated as marital property if clear evidence does not indicate otherwise.

Question 12

Debts that are outstanding have been paid.

Question 13

Once the spouses have executed a legally binding separation agreement, they are free to remarry.

Question 14

What is the effect of bankruptcy on alimony debts?

Question 15

Transmutation is:

A) a commingling of separate and marital property.
B) a voluntary change of separate property into community or marital property.
C) unjust enrichment.
D) an elective share.

Question 16

Something is unconscionable if it shocks the conscience by heavily favoring one side due to the absence of meaningful choice and the highly unequal bargaining positions of the parties.

Question 17

By definition, an equitable distribution of marital property must be an equal distribution.

Question 18

What is a fiduciary relationship?

Question 19

Alimony debts can be discharged in bankruptcy.

Question 20

What is a separation agreement?

Question 21

alimony consists of support payments to an ex-spouse for a limited time to allow him or her to return to financial self-sufficiency through employment or job training.

Question 22

A agreement is a contract by married persons who have separated or who are about to separate) that can cover support, custody, property division, and other terms of their separation and probable divorce.

Question 23

Match each numbered entry with the most relevant lettered entry below.
a. hold harmless
b. executor
c. intestate succession
d. alimony
e. escrow
f. unconscionable
g. separation agreement
h. incorporation and merger
i. dissipation
j. arm's length
29. document stating the terms of a separation
30. improper reduction of marital assets
31. one document becoming a part of another document
32. treatment as a stranger
33. shocking the conscience
34. property held until a condition is met
35. transfer of property if you die without a valid will
36. assume another's liability
37. carry out terms of a will
38. duty of support

Question 24

In most states, what is the governing principle of property division, and what are some of the factors that determine the division?

Question 25

is an example of ADR in which the parties avoid litigation by submitting their dispute to a neutral third person who helps the parties resolve their dispute; the third person does not render a decision resolving it for them.

Question 26

is the voluntary change of separate property into marital property or vice versa in a common-law state) and the voluntary change of separate property into community property or vice versa in a community-property state).

Question 27

Passive is an increase in the value of property that is due to inflation or market forces rather than to the active efforts of the owner.

Question 28

Under the right of , when one owner dies, his or her share automatically goes to the other owners; it does not go through the estate of the deceased owner.

Question 29

What are the five stages of property division?