FROM THE DESK OF
HAROLD CHU...

We often receive inquires about co-signing a note and/or the effects of divorce on real property. See this issue's articles on (1) the pro's & con's of cosigning, and (2) how divorce can effect title to real property. In this issue, Russell Ando explains legal research and what is involved in serving documents. Finally, we suggest ways to protect yourself from one of the fastest growing crimes in America.

I and each and every person in my firm thank you for your continued support and wish you the very best this holiday season and the year 2000. We, of Chinese persuasion like to think of the New Year as the year 4698, the year of the Dragon, which starts on February 5, 2000. We extend to you a traditional Chines New Year's greeting:

"May the five blessings (Longevity, Wealth, Virtue, Health andGood Endings) approach your home."

HAVE A HAPPY HOLIDAY SEASON AND A
GLORIOUS AND SAFE NEW YEAR!

Due to the high costs of housing & living in Hawaii, it is not uncommon to see co-signors. For example, an unmarried couple may decide to purchase real property together. Parents may co-sign to help their children. Parties may have joint credit cards. Problems arise when the original borrower cannot pay the debt. This is often due to reasons such as lack of financial resources, loss of job, health problems, divorce or death. Creditors usually don't care about the reasons. They want to be paid.

SHOULD I CO-SIGN?

This article is not to persuade you from co-signing, but to merely advise you of the risks. You should remember:

We suggest that you consider the following if you are asked to cosign:

Co-signing is legal. There is a place for it. You should ask yourself whether you want and can handle the risks.

We have gradually phased out divorce as part of our firm's regular practice. If you have need for such services, please no not hesitate to contact us. We can refer you to competent attorneys who concentrate their practice in family law matters. There is no charge for our referring you to attorneys who are experienced in this particular area.

Most people who marry acquire the marital home as Tenant by the Entirety. Tenants by the Entirety is title in the marital unit. If one spouse has creditors and the other spouse does not, the martial property cannot be attached so long as the parties are both alive, married and own the real property as Tenants by the Entirety. The ownership in the marital unit insulates the martial property from the claims of the spouse's creditors. It does not insulate the home from the claim of creditors of both spouses. If the parties get divorced, there is no longer ownership by the marital unit. The creditors of the spouse with the debts may arguably have a claim against that spouse's share of the property. To minimize such claims, it is recommended that the marital property be transferred prior to finalization of the divorce.

If your property is Land Court property and there is a divorce, marriage or death, you need to file a petition noting this event with the Land Court. You also need to attach a certified copy of the applicable divorce decree, marriage certificate or death certificate.

I DIDN'T BUY THIS!!
By
Harold Chu

Substantial commerce is transacted these days by credit cards with the use of your social security number as verification of your identity. One of the fastest growing crimes in American is theft of your identity. Kailua residents have suffered a rash of stolen mail. The mail often contains valuable information about your credit card number, offers of new credit cards, and checking account, financial and credit information.

You do not need to have your credit card stolen for someone to use it. Thieves have been known to go through one's garbage to secure a credit card number and then charge on that number. The charge card slip you receive after making a charge shows you name and your card number. You should consider saving your statements and charge slips for later destruction and disposal.

Most credit cards limit your liability. The unfortunate thing, however, is that the theft and use of your identity may create long-term problems with your credit. It may take you years to clear your credit.

Prevention is still the best approach. The following could save you years of frustration:

Fellow baby boomers probably recall the song "Turn Around" by the Kingston Trio. The lyrics include the verse:

Where are you goin'
My little one, little one?
Dirndls and petticoats
Where have you gone?
Turn around and you're tiny
Turn around and you're grown
Turn around and you're a young wife
With babes of your own.

It is hard to imagine that I now have a teenage daughter in college, that I am firmly rooted in middle age and that it has been 20 years since I first opened by own practice.

Twenty years, where has the time gone? My firm and I thank you for your support throughout these years.

It is no often that you get a Chines person from Arkansas giving Irish toasts, but we wish you the following:

May you have the hindsight to know where you've been, the foresight to know where you're going and the insight to know when you've gone too far!

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As you slide down the banister of life, may the splinters never point wrong way.

Copyright © 2009 by Harold Chu. All rights reserved.

The information you obtained at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation.