TIPS FOR ATTORNEY

California TAX ATTORNEY

2009-08-12T22:20:00.001-07:00

Challenging California Wills In Any Probate Court, Including Los Angeles

Want to contest a California Will? Do you believe the terms of the Will should not be enforced? A Will can be contested and invalidated for a variety of reasons, not all of which are included here.

Undue Influence. Although there are several tests for undue influence, it boils down to a confidential relationship between the testator (will drafter) and the influencer and suspicious circumstances. Suspicious circumstances can be shown by procurement of a will, secrecy, no independent advice by the testator (person who executes the will), an unnatural or unjust gift, susceptibility to influence, haste in the signing of the will, or a change in attitude.

Menace. Menace is essentially blackmail. Menace can be shown by threat of unlawful and violent injury to the person, property or character of any person and will invalidate a will if it was used to coerce a transfer or prevent someone from changing a testamentary document.

The testator may lack capacity. In California, the person must be 18 years of age and of sound mind. The fact situations are often varied, but often the person does not understand the nature of the testamentary act sometimes because of dementia, or lacks the ability to recall the nature of the individual’s property.

Fraud. Fraud may be actual or constructive. Actual fraud generally can be intentional if a person tells a lie, suppresses a fact, or makes a promise without intent to perform. Constructive fraud is a breach of a duty with fraudulent intent to gain advantage to another’s prejudice.

Duress. Although the rule is stated differently in California, duress may invalidate a will if a transfer is obtained after the wrongdoer threatened to perform or did perform a wrongful act that coerced the donor into making a donative transfer that the donor would not otherwise have made.

Mistake. It is hard to show that a mistake will invalidate a will or part of a will, but under certain circumstances it may be possible to prove.

Have other questions, call a probate lawyer; call Mitchell A. Port at (310) 559-5259.

New Types Of Business Entities

Attention California business owners: A Restricted LLC (limited liability company) and a Restricted LP (limited partnership) are special entities that will be allowed under Nevada law starting October 1, 2009. Nevada is the first and only state to allow these types of entities.

With a restricted LLC, the new statute imposes restrictions and limitations on the LLC's ability to make distributions. The statute provides, in part, that unless otherwise provided in the articles of organization, a restricted LLC shall not make any distributions to its members with respect to their membership interests until ten years after the date of formation of the LLC (or amendment of the articles of an existing LLC to become a restricted LLC), so long as the LLC has remained a restricted LLC.

Why set up an LLC which by its charter may not make any distributions to members for up to ten years? The reason is Internal Revenue Code Section 2704(b), which provides that when valuing an interest in an entity for gift tax purposes, the liquidation restrictions contained within the LLC operating agreement have to be disregarded by the appraiser if the LLC is owned by family members both before and after the transfer. Code Section 2704(b)(3)(B) provides however that a restriction that is imposed by state law cannot be ignored.

With these new entities, some appraisers provide a range of an additional 10% to 35% for the additional valuation discount. So, for example, if the valuation discount would have been 35% for a regular LLC, after adding the additional valuation discount, the valuation discount would instead be between 45% and 70%.

Remember that the new Nevada Restricted LLC and LP statutes only create a new ceiling on valuation discounts that no other state allows. This doesn't mean that you must lock the underlying assets in for ten years. Maybe five years is more appropriate. Maybe three years.

The Bill can be read online. The Restricted LLC language can be read in Sections 26 and 27 of the Bill. The Restricted LP language can be read in Sections 38, 39 and 49.2 of the Bill.

California IOUs: Use It To Pay Taxes

On July 7, 2009, the Franchise Tax Board (FTB) announced payment of current and past due personal and corporate taxes with California registered warrants (IOUs) is acceptable

By law, FTB cannot deposit the IOU until it is payable, but FTB will credit your account on the date the IOU is received to stop the accrual of interest. If the IOU is not sufficient to pay the outstanding balance, you should send an additional payment for the difference.

LEMONLAW

2009-08-12T22:17:00.000-07:00

Lemon laws are American state laws that provide a remedy for purchasers of cars that repeatedly fail to meet standards of quality and performance. These cars are called lemons. The federal lemon law (the Magnuson-Moss Warranty Act) protects citizens of all states. State lemon laws vary by state and may not necessarily cover used or leased cars. The rights afforded to consumers by lemon laws may exceed the warranties expressed in purchase contracts. Lemon law is the common nickname for these laws, but each state has different names for the laws and acts.

In California, lemon laws cover anything mechanical, as do the federal lemon laws. The federal lemon law also provides that the warranter may be obligated to pay the prevailing party's attorney fees in a successful lemon law suit, as do most state lemon laws.

Reason for Law's name

In the 1800s, people started using the word 'lemon' to describe people who were sour (or unfriendly). In American English the word was first recorded in 1909 in the slang sense of "worthless thing". time, 'lemon' came to refer to anything that was defective or broken or which breaks constantly, particularly a car.

Used car purchases

If you purchased a used car there are two situations in which you may be qualified for cash or other lemon law benefits:

Situation #1: You may be entitled to compensation for breach of warranty if you had one of the following warranties:

Any warranty left from the manufacturer when you purchased your vehicle (for example, almost all vehicles sold with fewer than 36,000 miles will have this. But if the warranty is longer, you may have even more time).
Your vehicle was "Certified" by the Manufacturer (in which case it came with a short Manufacturer's Warranty, typically 1 year).
You purchased an Extended Warranty backed by the Manufacturer (typically 5 years or longer).

Normally, these types of cases fall outside the scope of the state lemon law but are covered under special federal lemon laws.

Situation #2: When No Manufacturer's Warranty Exists If you do not have a manufacturer's warranty of any kind you may be entitled to compensation for violations of consumer protection laws that fall outside of the lemon laws. The following is a list of some of the problems and/or issues which may be present in your vehicle.

Prior history of mechanical problems known to the seller: Laundered Lemon.
Previously salvaged or wrecked.
Fraudulently rolled back odometer.
Rental car, police car, taxi, or similar.
Stolen, stripped and rebuilt.
Involved in a flood.

Lemon Laws vary from state to state, so accurate information on the scope and restrictions of Lemon Laws in a particular state should be obtained

Other lemon laws

Lemon laws are not limited to cars. There are RV lemon laws, boat lemon laws, motorcycle, wheelchair, and computer lemon

Canada

The Canadian Motor Vehicle Arbitration Plan Canada - Canadian Motor Vehicle Arbitration Plan is the dispute resolution program for consumers in Canada that have problems with the assembly of their vehicle or with how the manufacturer implements its new vehicle warranty. CAMVAP covers new or used owned or leased vehicles that are from the current model year and up to an additional four model years old.

CAMVAP is an arbitration program. It is free to consumers. Hearings are held in the consumer's home community. The process normally takes less than 70 days from start to finish. Most consumers are able to handle their own case without the assistance of lawyers. The manufacturers do not use lawyers. Their representatives usually are serving or retired district parts and services representatives. An inspection of the vehicle normally is part of an arbitration hearing and the arbitrator can order a technical inspection of the vehicle at the program's expense if doing so is required.

CAMVAP arbitrators can order the manufacturer to buyback the vehicle; repair it at the manufacturer's expense; pay for repairs already completed; pay out of pocket expenses for items such as towing, diagnostic testing, rental cars and accommodation related to the problem with the vehicle. The arbitrator can also order that the manufacturer has no liability.

CAMVAP is available in every Canadian Province and Territory.

2009-07-30T18:12:00.000-07:00

The Dangers of Car Rollover Accidents

Rollover car accidents are one of the most dangerous things that can happen to you on the road. SUVs, minivans, and trucks face a higher risk of this than other kinds of vehicles. Because of their high center of gravity and the narrowness of the track, these vehicles have a harder time stabilizing themselves in the event of vehicular accidents. Add to that the fact that they usually carry more passengers or cargo than other types of small vehicles.

Car rollover accidents are directly influenced by a vehicle’s ability to make a stable turn. This stability is, in turn, influenced by the vehicle’s center of gravity (in the case of SUVs and vans, the center of gravity is higher because of the vehicle’s height), and the narrowness of track (or the distance between the left and right row of wheels). The higher the center of gravity and the narrower the track, the harder it will be for drivers to negotiate a sharp turn.

Car manufacturers of SUV in particular, have already recognized the big issue with the design of their vehicles and installed more effective roll-stability systems. Still, car rollover accidents continue to be a major concern. Rollover accidents can be fatal especially when the passengers are not wearing seatbelts. This can result to the ejection of the passenger from the vehicle.

Emergency driving maneuvers that work for smaller vehicles may prove to be fatal in SUVs. Sometimes the vehicle may respond as if you were overcompensating when you were really just trying to avoid a crash by making a sharp turn.

There are a few safety tips that you can use to prevent car rollover accidents:

• Check the design of the SUV you want to purchase – try to research on which make or model has the lowest number of fatalities. Pick an SUV that is not too tall and has a wider track. Check also for vehicles that have a sturdier design for the roof as this is also one of the factors that make car rollover accidents so dangerous.

• Do not overload your vehicle – contrary to popular belief, SUVs and vans are more prone to car rollover accidents when they are heavy.

• Always wear your seatbelts – doing this will minimize the possibility that a rollover accident will be fatal. Passengers who do not wear seatbelts tend to get ejected off the vehicle.

• Avoid sudden corrective actions – remember that since vehicles as SUVs have a harder time negotiating sharp turns, overcorrection may tip the balance of the vehicle and result to a car rollover accident.

• Consider extra safety features – some car manufacturers already install extra safety features that protect against rollover accidents, like rollover airbags.

Car manufacturers are already aiming to produce SUVs and similar vehicles that ride closer to the ground. This way, they reduce the risk of car rollover accidents significantly.

If you or a family member have been involved in car rollover accidents recently, it is best to consult with an experienced Los Angeles attorney to explore the possibility of filing a case against negligent parties. Seek legal counsel early to increase the chances of getting a timely and positive decision regarding your case.

2009-07-30T18:10:00.000-07:00

Recovery Audit Contractors and Medicare Audits: Successful Strategies for Defending Audits

I. INTRODUCTION

Attention radiology providers and suppliers: Get ready for increased Medicare auditing activity. The Centers for Medicare and Medicaid Services (CMS) Recovery Audit Contractor (RAC) program has been made permanent and is expanding nationwide, beginning this year. Claim denials and overpayment determinations made by RACs are subject to the Medicare appeals process. Radiology providers and suppliers are well advised to understand the Medicare appeals process and should recognize that there are many effective strategies that can be successfully employed in the appeals process to defend Medicare audits.

II. RECOVERY AUDIT CONTRACTORS

Section 306 of the Medicare Prescription Drug, Improvement and Modernization Act of 2003 (MMA), directed the Department of Health and Human Services (HHS) to conduct a three-year demonstration program using RACs. The demonstration began in 2005 in the three states with the highest Medicare expenditures: California, Florida and New York. The purpose of the demonstration program was to determine whether the use of RACs would be a cost-effective way to identify and correct improper payments in the Medicare FFS program. The RAC demonstration program proved highly financially successful from the point of view of the CMS. In fact, in fiscal year (FY) 2007 alone, the RACs identified and collected $357.2 million in overpayments, and repaid just $14.3 million in identified underpayments to Medicare providers and suppliers. Based upon information compiled by CMS, the RAC demonstration program cost only 22 cents for each dollar returned to the Medicare Trust Funds.

Section 302 of the Tax Relief and Health Care Act of 2006 makes the RAC program permanent, and requires the expansion of the RAC program nationwide by no later than 2010. CMS is aggressively moving forward with this expansion. During the final months of the demonstration program, RACs expanded into South Carolina and Massachusetts. According to the “RAC Expansion Schedule” published on the CMS website, CMS planned to expand to 19 states by March 2008, 5 more states by October 2008, and the remaining states by January 2009 or later. Although CMS has not yet expanded to 19 states as planned, radiology providers and suppliers in these states can expect the commencement of RAC auditing activity at any time.

Although RACs are responsible for correcting underpayments as well as overpayments, it is the process of recouping alleged overpayments that is of particular significance to Medicare providers and suppliers. RACs may make determinations regarding coverage, coding and other technical issues (e.g. duplicate claims). The RACs are permitted to attempt to identify improper payments resulting from any of the following:

 Incorrect payments;

 Non-covered services (including services that are not reasonable and necessary);

 Incorrectly coded services (including DRG miscoding); and

 Duplicate services.

When performing coverage or coding reviews of medical records requested from a Medicare provider or supplier, nurses (RNs) or therapists are required to make determinations regarding medical necessity and certified coders are required to make coding determinations. The RACs are not required to involve physicians in the medical record review process. However, the RACs are required to employ a minimum of one FTE contractor medical director (CMD), who is a doctor of medicine or doctor of osteopathy, and arrange for an alternate CMD in the event that the CMD is unavailable for an extended period. The CMD will provide services such as providing guidance to RAC staff regarding interpretation of Medicare policy.

Although the RACs have fairly broad discretion in determining which claims to review for the purposes of identifying payment errors, CMS has prohibited the RACs from looking at certain categories of claims. For example:

 The permanent RAC program will begin with a review of claims paid on or after October 1, 2007. This first permissible date for claims review is the same for the RAC reviews in all states, regardless of the actual start date for a RAC in a particular state. However, as time passes, the RACs will be prohibited from reviewing claims more than three years past the date of initial determination (defined as the initial claim paid date).

 RACs are not permitted to review claims at random. However, RACs are authorized to use “data analysis techniques” to identify claims likely to be overpayments, a process called “targeted review.” The permanent RACs, like those in the demonstration program, will likely consider their “data analysis techniques” to be proprietary, and thus will not tell providers and suppliers the types of claims they will be reviewing. In the demonstration program, the “targeted review” resulted in certain categories of providers being subject to larger volumes of record requests and corresponding claim denials than other provider types (e.g. Inpatient Rehabilitation Facility providers were subject to very high volumes of record requests and received numerous claim denials).

CMS compensates the RACs on a contingency fee basis, based upon the principal amount of collection (or the amount paid back to) a provider. This fee arrangement provides incentives to the RACs to aggressively review and deny claims, including claims that the RAC alleges to be not “medically necessary,” an area containing much subjectivity, and a category of denial often highly disputed by the provider. As noted above, in FY 2007, the RACs identified and collected $357.2 million in overpayments, and repaid just $14.3 million in identified underpayments to Medicare providers and suppliers. Thus, approximately 96 percent of the alleged improper payments identified (and collected or returned as appropriate) were overpayments, as opposed to underpayments. However, in a significant change from the demonstration program, under the permanent RAC program, if a provider files an appeal disputing the overpayment determination, and provider wins this appeal at any level, the RAC is not entitled to keep its contingency fee, and must repay CMS the amount it received for the recovery.

Medicare providers and suppliers nationwide are well advised to begin preparing for the RACs and increased Medicare auditing activity now. Although providers cannot stop RAC audits from happening, radiology providers can begin to prepare by dedicating resources to:

 Internally monitoring protocols to better identify and monitor areas that may be subject to review;

 Responding to record requests within the required timeframes;

 Implementing compliance efforts, including but not limited to, documentation and coding education. Notably, in addition to claim denials resulting from medical necessity and improper documentation and coding, it also is possible to receive claim denials if services are not provided consistently with Medicare regulations. Therefore, radiology providers should ensure that the services provided are appropriately documented and coded, and also ensure that the provider is compliant with Stark, the Anti-markup rule, the teleradiology rules, and the corporate practice of medicine doctrine, among other rules; and

 Properly working up appeals to challenge denials in the appeals process. With regard to medical necessity and similar denials, this will clearly entail physician involvement, which many non-physician providers and suppliers find difficult to obtain.

III. MEDICARE AUDITS – The Medicare Appeals Process

If a Medicare provider or supplier receives a claim denial or a finding of overpayment is made as a result of a RAC review, the denial will be subject to the standard Medicare appeals process. The regulations governing the uniform Medicare Part A and Part B appeals process are contained in 42 C.F.R. Part 405, subpart I.

Stage 1: Redetermination

The first level in the new appeals process is redetermination. Providers must submit redetermination requests in writing within 120 calendar days of receiving notice of initial determination. There is no amount in controversy requirement.

Stage 2: Reconsideration

Providers dissatisfied with a carrier’s redetermination decision may file a request for reconsideration to be conducted by a Qualified Independent Contractor (QIC). This second level of appeal must be filed within 180 calendar days of receiving notice of the redetermination decision. There is no amount in controversy requirement.

Prior to the establishment of the new appeals process, Part B providers, such as radiology providers, were afforded an in-person Carrier Hearing upon receiving an initial determination from the carrier. The QIC reconsideration replaces the Carrier Hearing. Importantly, the QIC reconsideration is an “on-the-record” review, contrary to an in-person hearing review. In conducting its review, the QIC will consider evidence and findings upon which the initial determination and redetermination were based plus any additional evidence submitted by the parties or the QIC obtains on its own.

Of particular note, providers must submit a full and early presentation of evidence in the reconsideration stage. When filing a reconsideration request, a provider must present evidence and allegations related to the dispute and explain the reasons for the disagreement with the initial determination and redetermination. Absent good cause, failure of a provider to submit evidence prior to the issuance of the notice of reconsideration precludes subsequent consideration of the evidence. Accordingly, providers may not be permitted to introduce evidence in later stages of the appeals process if such evidence was not presented at the reconsideration stage.

If an initial determination involved a decision regarding the medical necessity of an item or service, the QIC’s reconsideration must involve consideration by a panel of physicians or appropriate healthcare professionals, and must be based on clinical experience, the patient’s medical records, and medical, technical, and scientific evidence on record. Where the claim involves physician services, the reviewing professional must be a physician. However, the physician reviewer need not be in the same specialty as the physician whose claims have been denied.

Stage 3: Administrative Law Judge Hearing

The third level of appeal is the Administrative Law Judge (ALJ) hearing. A provider dissatisfied with a reconsideration decision or who has exercised the escalation provision at the reconsideration stage may request an ALJ hearing. The request must be filed within 60 days following receipt of the QIC’s decision and must meet the amount in controversy requirement. ALJ hearings can be conducted by video-teleconference (VTC), in-person, or by telephone. The regulations require the hearing to be conducted by VTC if the technology is available; however, if VTC is unavailable or in other extraordinary circumstances the ALJ may hold an in-person hearing. Additionally, the ALJ may offer a telephone hearing.

Stage 4: Medicare Appeals Council Review

The fourth level of appeal is the Medicare Appeals Council (MAC) Review. The MAC is within the Departmental Appeals Board of the U.S. Department of Health and Human Services. A MAC Review request must be filed within 60 days following receipt of the ALJ’s decision. Among other requirements, a request for MAC Review must identify and explain the parts of the ALJ action with which the party disagrees. Unless the request is from an un-represented beneficiary, the MAC will limit its review to the issues raised in the written request for review.

Upon request, the MAC will grant the parties a reasonable opportunity to file briefs or written statements. Additionally, a party may request an opportunity to present oral argument. The MAC will grant this request if the case raises an important question of law, policy or fact that cannot be readily decided based upon the written submissions. If the MAC fails to issue a decision or remand the case within the mandatory timeframe, the provider may request the appeal be escalated to federal district court.

Stage 5: Federal District Court

The final step in the appeals process is judicial review in federal district court. A request for review in district court must be filed within 60 days of receipt of the MAC’s decision. In a federal district court action, the findings of fact by the Secretary of HHS are deemed conclusive if supported by substantial evidence.

STRATEGIES FOR DEFENDING MEDICARE AUDITS

Medicare providers and suppliers subject to RAC or other Medicare audits should understand that many strategies exist that can be employed successfully in the appeals process to effectuate meaningful results. These strategies involve effectively advocating the merits of the underlying services as well as employing legal defenses.

Advocating the Merits

When advocating the merits of a claim, healthcare legal counsel assisting Radiology providers and suppliers often find it useful to draft a position paper outlining the factual and legal arguments in support of payment for a disputed claim. In addition, in most cases it is advantageous to engage the services of a qualified expert. Appropriate use of an expert can prove very useful, particularly when the audit involves medical necessity denials. In arguing the merits, other strategies that can prove successful include the use of medical summaries, illustrations, and other types of color-coded charts or graphs depicting the claims at issue that are user-friendly for the decision maker.

Audit Defenses

In addition to advocating the merits of a claim through various techniques, certain legal defenses are available. Defenses that have proven valuable for providers and suppliers challenging Medicare audit determinations include: invoking the treating physician rule, arguing the “Waiver of Liability” defense, arguing the provider is without fault, challenging the timeliness of the audit and/or claim denial, and challenging the statistical extrapolation (if one was involved).

A. Treating Physician Rule

It may be appropriate in many audit settings to assert the “treating physician rule.” The treating physician rule involves the legal principle that the treating physician, who has examined the patient and is most familiar with the patient's condition, is in the best position to make medical necessity determinations. The treating physician rule, as adopted by some courts, reflects that the treating physician’s determination that a service is medically necessary is binding unless contradicted by substantial evidence, and is entitled to some extra weight, even if contradicted by substantial evidence, because the treating physician is inherently more familiar with the patient’s medical condition. Thus, providers should reference the treating physician rule to demonstrate that the treating physician’s medical judgment as to the medical necessity of the services provided should prevail absent substantial contradictory evidence. With reference to radiology providers specifically, it should be noted that the determination whether a radiology service is reasonable and necessary is often initially made by a referring physician that orders radiology services rendered by a radiology provider. This is an important consideration that should be addressed in a discussion of the treating physician rule.

B. Waiver of Liability

Pursuant to the Medicare waiver of liability defense, physicians may be entitled to payment for claims deemed not reasonable and necessary by the carrier during an audit. The statutory authority for waiver of liability is set forth in Section 1879(a) of the Social Security Act. Under waiver of liability, even if a service is determined to be not reasonable and necessary, nonetheless payment may be rendered if the provider did not know and could not reasonably have been expected to know payment would not be made. The relevant inquiry focuses on whether the provider “knew or could have reasonably been expected to know” payment would not be made. Therefore in defending an audit, a physician must have access to all relevant Carrier communications with the provider community and communications with the particular provider. The waiver of liability provisions generally only apply to determinations that a service was not medically necessary. If a radiology service is denied as not reasonable and necessary, one potential argument a radiology provider could make under the theory of wavier of liability is that it did not know, and could not reasonably have been expected to know that payment would not be made on the claim, because the referring physician had specifically determined that the services would be reasonable and necessary for the care of the patient.

C. Provider without Fault

Additionally, the provider without fault defense may be employed in the case of post-payment review denials. The Medicare provider without fault provisions, Section 1870 of the Social Security Act, states that payment will be made to a provider if the provider was without “fault” with regard to billing for and accepting payment for disputed services.

As a general rule, a provider will be considered without fault if he exercised reasonable care in billing for and accepting payment, i.e., the provider complied with all pertinent regulations, made full disclosure of all material facts, and on the basis of the information available, had a reasonable basis for assuming the payment was correct.

“Fault,” for purposes of the provider without fault provision, is defined as follows:

(a) An incorrect statement made by the individual which he knew or should have known to be incorrect; or

(b) Failure to furnish information which he knew or should have known to be material; or

(c) With respect to the overpaid individual only, acceptance of a payment, which he knew or could have been expected to know, was incorrect.

As with waiver of liability, if a radiology service is denied as not reasonable and necessary, one argument a radiology provider could make under the provider without fault doctrine is that it did not know, and could not reasonably have been expected to know that payment would not be made on the claim, because the referring physician had specifically determined that the services would be reasonable and necessary for the care of the patient.

In addition, providers also will be deemed to be without fault in the absence of evidence to the contrary, if the overpayment was discovered subsequent to the third calendar year after the year of payment.

D. Reopening Regulations

Medicare regulations recognize that, in the interest of equity, Medicare providers and suppliers must be able to rely on coverage determinations. Accordingly, the Medicare regulations place restrictions upon the permissible timeframe for reopening determinations. According to the federal regulations governing the Medicare appeals process, once an initial determination to pay a claim has been made, the claim can be only reopened for review within a certain time period.

Pursuant to 42 C.F.R. § 405.980 (b), a contractor may reopen and revise its initial determination:

1. Within 1 year from the date of the initial determination for any reason;

2. Within 4 years of the date of the initial determination for good cause as defined in 405.986.

3. At any time if there exists reliable evidence as defined in Sec. 405.902 that the initial determination was procured by fraud or similar fault as defined in Sec. 405.902.

4. At anytime if the initial determination is unfavorable, in whole or in part, to the party thereto, but only for the purpose of correcting a clerical error on which that determination was based.

Pursuant to 42 C.F.R. § 405.986, “good cause” may be established when:

1. There is new and material evidence that— i) was not available or known at the time of the determination or decision; and ii) may result in a different conclusion; or

2. The evidence that was considered in making the determination or decision clearly shows on its face that an obvious error was made at the time of the determination or decision.

Further, according to the Medicare Financial Management Manual, “If an overpayment is determined based on a reopening outside of the above parameters, the FI or carrier will not recover the overpayment.”

E. Challenges to Statistics

In many post-payment audits, CMS will audit a small sample of a provider’s records and, if it finds an overpayment, CMS will extrapolate the overpayment to the provider’s entire patient population. The MMA sets limits regarding when statistical extrapolation may be used, and the Medicare manuals establish guidelines for CMS to follow when performing an audit based upon a statistical sample. If an extrapolation is flawed, it may be successfully challenged, bringing the total dollars at issue to the “actual” alleged overpayment, and not the extrapolated alleged overpayment. For example, in one recent case challenged by this firm, CMS alleged an “actual” overpayment of approximately $28,000, which it then extrapolated to render its determination that the provider had been overpaid over $1.5 million. This firm was successful challenging the methodology of this statistical extrapolation and the extrapolation was overturned.

Pursuant to Section 935 of the MMA:

(1) LIMITATION ON USE OF EXTRAPOLATION. –A Medicare contractor may not use extrapolation to determine overpayment amounts to be recovered by recoupment, offset, or otherwise, unless the Secretary determines that –

(A) there is a sustained or high level of payment error; or

(B) documented educational intervention has failed to correct the payment error.

CMS also has established guidelines for statistical extrapolations, which are set forth in the Medicare Program Integrity Manual (CMS Pub. 100-08, Chapter 3, §§ 3.10.1 through 3.10.11.2). Notably, the RACs are authorized to use extrapolation, provided that they adhere to the above-referenced statute and Manual provisions. CMS must follow these guidelines in conducting statistical extrapolations. If it fails to do so, a Medicare provider may have success challenging the validity of the extrapolation.

IV. CONCLUSION

Radiology providers and suppliers should be ready for increased Medicare auditing activity as the RAC program expands nationwide. Radiology providers and suppliers should make efforts now to evaluate their compliance with Medicare policy. Should a provider or supplier be subject to a RAC or other Medicare audit, effective strategies are available that can be successfully employed in the appeals process to defend Medicare audits.

2009-07-30T18:08:00.000-07:00

What You Need To Know About Elevator Accidents

Riding an escalator or an elevator has become an everyday thing for most of us. We ride these at work, at the mall, in hospitals, in almost all buildings that we go into. Needing lawyers to deal with escalator and elevator accident cases is something that none of us want to experience in our lifetime.

The sad fact is escalator and elevator accidents claim about 30 lives and injure about 17,000 people yearly in the United States. This is according to the Consumer Product Safety Commission (CPSC).

Workers that maintain or clean the elevators account for almost half of the fatalities caused by elevators. Half of this number is due to falling into the elevator shaft. There are also numerous cases of people being caught between moving parts of the elevator, collapsing platforms, stuck between doors, hit by counterweights, etc.

Elevator accidents involving passengers (not workers), the most common causes are caused by being caught between the elevator and shaft, getting stuck between the elevator doors, and falling through the shaft. The most fatal of these is falling through the shaft. Sometimes people step into the elevator and there is no car there. Some elevators experience this mechanical failure of opening the doors when the elevator car has not reached the floor yet.

Since escalator and elevator accidents are common, here are a few things you might want to keep in mind to prevent them:

• Do not let a child board an elevator or escalator without adult supervision

• Check your shoelaces before boarding an escalator

• Do not use the escalator to transport carts, strollers, baby carriages, etc

• Always check for the emergency buttons on escalators and elevators

• Before stepping into an elevator, double-check to make sure that the car is there and that it’s properly aligned with the floor

• Do not use the elevators during fires or earthquakes

If you are a building manager or owner, here are a few things you might want to consider to increase the safety of your building’s elevators:

• Use sufficient lockout procedures – many fatalities occur from elevator accidents because the lockout procedures are not sufficient in some buildings. The moving parts of the elevator must be securely stopped to prevent people from being caught or struck by them.

• Ensure adequate fall protection – about 49% of fatalities near or on an elevator are due to the lack of adequate fall protection. Such protections may include (but are not limited to) scaffolding, guardrails, and other fall protection systems.

• Regularly maintain and check your elevators – preventive maintenance is better for everybody than waiting for accidents to happen. Accidents caused by malfunctions will be significantly lowered by regular maintenance and check-ups.

When consulting lawyers regarding elevator accidents, it is important to find out a few things to establish liability about the accident:

• Was the elevator being routinely checked by the management?

• Has it recently passed safety inspections?

• Did the management fail to discover a potentially hazardous mechanical defect with their elevators?

• Did the management fail to warn against potential hazards

• Did the manufacturer thoroughly test the elevator before it went to the market?

Escalators and elevator accidents are common but surprising. Maybe it is because we are usually lulled into a false sense of security when using them. After all, they are already fixtures in most buildings all over the world. If you were injured in an escalator or elevator accident, consult with lawyers that have adequate experience with the case. This is also to ensure a more timely and efficient legal representation.

2009-07-30T18:04:00.000-07:00

Self Defense and The Law

There are many factors to be considered when the use of self defense is used. Many states differ with their opinion on what they consider valid self defense. These things include the extent, who it is used on, who is using it, and the reason why.

The act of self defense is the use of force to defend one's person from an attacker or a threatening situation. The force must be reasonable. Self defense is in place to protect you from being convicted of a crime if you afflict harm on the person who is attacking you. A good example of self defense is if you had a struggle with a robber and ended up using the robber's weapon against him. You will not be responsible for causing harm to the criminal.

Some states vary what they consider self defense. You may have a can of pepper spray in your purse for personal protection. If you are approached by an attacker in the parking lot of a store and about to be car jacked then the use of your pepper spray would be appropriate and could ultimately save your life. Some laws in certain states would say that the use of the pepper spray would be inappropriate and illegal.

The extent is a big factor when self defense is considered. How far is it that you had to go to defend yourself against the attacker? When you use self defense and you have a gun you might shoot the attacker. When the extent is taken too far , such as when you continue shooting into the attacker when all you had to do was disable the person so you could get away.

Who you use the self defense on is another factor that has to be considered. You may think you are defending yourself if someone puts their hands on you but the person is a factor. For example, when you are thrown out of a nightclub by a few bouncers you do not have the right to physically defend yourself with pepper spray, tasers, stun guns, or anything else. You are not allowed to use physical force against police officers and any official that is restraining you for any reason. This could land you in jail.

The reason why self defense is being used is a big factor. If you have personal protection devices that you carry on you for safety and you are in a situation where you feel unsafe you can use them. Circumstances such as where you are walking down the sidewalk late at night and you are approached by a person demanding you to come with them, then you have the right to protect yourself.

There are many factors that the government will consider when they look at cases of self defense. Know the laws in your state. Know which personal protection devices you can use and to what extent you can use them. You don't want to go to jail for fighting off a rapist. It has happened in the past

2009-07-28T04:11:00.000-07:00

Texas Considers Legislation That Would Allow Guns on Campuses

We all remember the tragedy. Nearly two years ago, a lone gunman opened fire on his fellow students at Virginia Tech and thirty-two people were left dead in the wake of the massacre. Last year, the students at Northern Illinois experienced a similar tragedy that resulted in five deaths and eighteen people wounded. The question that has plagued campus leaders across the country since then has been, "How do we prevent such violence at our own schools?" Many colleges have instituted a system of sending text and email messages seconds after a threat is recognized. Other campuses are encouraging professors to monitor the behavior of their students more closely. One idea being discussed in several states, including Texas, is the lift on the ban of guns on college campuses.

The Texas House version of this bill, which is sponsored by Rep. Joe Driver (R), is set for a public hearing today in front of the Public Safety Committee. Driver and other supporters of this legislation argue that this bill only supports the right of those who are already licensed to carry concealed weapons, which includes people who are at least twenty-one years of age, pass a criminal background check, and complete a training course. Also, they believe that the presence of law-abiding students who are carrying guns will deter those who may be inclined to do harm.

The history of such legislation in other states does not bode well for Texas. Eighteen other states have considered permitting guns on campus since 2008, and every effort has failed. Those who hope that this trend continues include the University of Texas Student Government, the Graduate Student Assembly and the Faculty Council. All of the groups have passed resolutions against the campus gun bill.

The criminal defense lawyers at Bertolino LLP are always following the activity in Austin so that we are ready to assist you with any changes to the law. Our criminal defense attorneys certainly will be aware of where and when you can carry your firearm so that you are able to fight any charges that you believe to be unjustified. If you have found yourself in such a situation, please contact one of our criminal defense lawyers in Austin, Houston, or San Antonio today

2009-07-28T04:10:00.000-07:00

Texas Considers Lifting Restrictions on Alcohol Laws to Raise Revenue

Texas Governor Rick Perry recently declared that he would not be accepting $555 million of the funds that the U.S. federal government offered through its stimulus package. Specifically, Gov. Perry joins several other state executives in fighting the changes that would need to be made to state unemployment laws if the stimulus money was accepted. So, the Texas state legislature is now looking for some other ways to improve the status of the coffers in Austin. One of the suggestions being proposed in Texas is the repeal of the state's Blue Laws, which ban the sale of hard liquor on Sundays and restrict the purchase of beer and wine until after noon on that day. The question is -- would this change really result in more funds for Texas government?

State Representative Ana Hernandez asserts that lifting the Blue Laws would result in an increase of $5-8 million in tax revenue. Voters who support the measure like the convenience of being able to purchase alcohol any day of the week. Also, they appreciate the fact that if the need to purchase their beer for the Texans or Cowboys game is overlooked on Saturday, they will not have to miss kickoff as they wait for 12:00 pm to arrive on Sunday.

Opponents of the change believe that sales of alcohol will not increase, but simply be spread over seven days instead of six. And, owner of Spec's Liquor Warehouse has concern for the people who work for him. He says, "We don’t want to necessarily work another day. It’s not good for my employees. They need a day off.” Long gone are the days in which all retail was closed on Sundays to allow for a time of rest and reconnection with family. Will liquor stores soon join with the growing trend?

Texas is not alone in reconsidering its alcohol laws for the purpose of gaining desperately-needed revenue. Other states are also considering opening the doors of its liquor stores on Sundays or making wine available in more locations, such as grocery stores. With all indications showing that alcohol consumption rises during tough economic times, perhaps they are onto something.

At Bertolino LLP, we urge you to follow all laws regarding alcohol, from minimum age to purchase to staying away from your car if you have been drinking. If your activities involving alcohol have found you on the wrong side of the law, our criminal defense attorneys can help. Please contact our Austin, Houston, or San Antonio office today.

2009-07-28T04:08:00.000-07:00

U.S. Immigration Policy will be soon be a top Issue for Federal and State Lawmakers

Issues surrounding immigration policy in our country have been the source of countless debates and political fights over the past several years. Just look at the strong reaction to the bipartisan immigration reform proposed by Congress and supported by President Bush in 2007. Undoubtedly, President Obama will face the immigration issue once again later in the year. With Texas being on the front lines of all issues related to immigrants (both documented and undocumented), you can be certain that Texans, let alone all Americans, will be following Obama's proposals and progress closely.

As a Presidential candidate, President Obama shared three primary objectives related to immigration. First, he supported more security at our borders and ports through means of extra personnel, improved infrastructure, and better technology. Second, he wanted to streamline the complicated bureaucracy that potential immigrants face to allow more people to come to our country legally. Finally, he wanted to allow undocumented immigrants to pay a fine, learn English, and eventually have the opportunity to obtain citizenship. How will these points of focus affect immigration law here in Texas? We may have to be patient in waiting for our answer. As well predicted by Associate Professor Sean Theriault at the University of Texas at Austin, "The economy is going to be Obama's first, second, third, fourth and fifth priority."

In the meantime, Texas lawmakers have already proposed and presented many bills concerning immigration for this current legislative session. Some of the proposed bills include a fee for wiring money to Latin America, punishing employers for hiring unauthorized workers, and requiring schools to maintain records of immigration status. Muzaffar Chishti, director of the Migration Policy Institute at NYU School of Law said that, "“As long as immigration reform doesn’t happen, the states will ... feel either compelled or obliged to [act]." So, whether it occurs at the national or state level, we will have plenty of legislative action to following in the new year.

At Bertolino LLP, we have immigration attorneys in Austin and San Antonio. We also have Houston immigration lawyers with experience dealing with this hot-button issue in Texas and our immigration lawyers make it their priority to stay on top of all changes that may affect you. If you have any concerns related to immigration law, please contact our Austin, Houston, or San Antonio office today at

2009-07-28T04:04:00.000-07:00

Cameras on U.S.-Mexico Border are Not Proving as Effective to Curb Illegal Immigration

Countless proposals have been made at both the state and federal level in the past couple of years to address the problem of illegal immigration. Some politicians want to build a fence across our entire southern border. Yet other politicians advocate the idea of punishing employers who knowingly hire illegal immigrants. For obvious reasons, there is no state whose residents are more adamant about finding solutions than the state of Texas.

Last year, Texas Governor Rick Perry decided to harness the vigilante spirit that exists among some Texans and install video cameras along the southern border that could be monitored by watching camera feeds on a home computer. Unfortunately, it appears that our observation efforts have fallen quite short of expectations.

The state of Texas received a $2 million federal grant to install surveillance cameras along the U.S.-Mexico border, with objectives for the program being set by the Texas Border Sheriffs Coalition. An investigation into the program was recently published, and the results are far from impressive. While the coalition hoped to make 1200 arrests in its first year as a result of citizen tips, there have only been three arrests in the first six months. They planned to install 200 cameras, which would constitute one camera for every six miles of border, but so far only thirteen cameras are up and operational, leaving 80 miles of border between each camera. With these numbers as evidence, the case that federal funds are being used effectively is a difficult one to make.

Despite these initial disappointments, Governor Perry remains committed to the program. As his spokeswoman, Katherine Cesinger, stated, he sees the camera as a way of "utilizing technology so you don’t have to pay for an extra set of eyes." Opponents argue that Gov. Perry is simply trying to win favor with conservatives who have strong feelings about illegal immigration and needs to admit that the program has little to no effect on real border security.

At Bertolino LLP, we know that immigration law is a hot topic in Texas and we have San Antonio immigration attorneys who specialize in this controversial area of immigration law. We also have Austin immigration lawyers and Houston immigration attorneys who can assist. If you are facing charges of being in this country illegally (i.e., removal proceedings or deportation proceedings), or if you need help completing the paperwork that confirms your legal status, our immigration lawyers can help. Please contact our Austin, Houston, or San Antonio office to discuss your situation.

2009-07-28T04:00:00.000-07:00

Texas Governor Perry Shares a Variety of Proposals During His 2009 State of the State Address

Across the country, governors have traditionally headed to their respective state houses to reflect on past year's accomplishments and challenges as well as their plans for the new year. Texas Governor Rick Perry took his turn at the podium and delivered his State of the State address to the Legislature. As the governor prepares for a tough re-election bid next year, he was determinedly cautious in the proposals he set forth. He did not share many details about the current economic conditions in our state, which received immediate criticism from his Democratic opponents. However, there certainly were some ideas in his speech that should be highlighted for their possible legal impact on the residents of Texas.

Are you reorganizing your personal or business finances as you figure out how to send your child to college? Governor Perry has proposed freezing tuition for four years of a student's education. So, at least you would know the price you are paying as a freshman will be the same you can expect to budget for the senior year. As Perry explains, "This will help Texas families plan while giving students another incentive to finish on time." This change could impact your taxes, child support, and other financial matters that have a legal component.

If you are a business owner, you may be interested in learning more about the incentives that the governor has in mind for you. He wants to raise the business tax exemption to $1 million from the current $300,000 in gross receipts. This tax on gross receipts was established in 2006 and received a great deal of criticism from small business owners. In addition, the governor asked the legislature for $260 million in additional funds to further his Texas Enterprise Fund, which encourages businesses to relocate to Texas. With one of the strongest job growth rates among states in this tough economy, Texas certainly should already be appealing to employers who are looking for some sense of stability during these difficult times.

These proposals are just a few examples of the ideas that the governor and legislature have in mind for our state, and I am certain that we will be detailing others over the next few months. Hopefully they will be able to assist with the wide variety of legal changes that may be facing Texans in 2009. That is why they were elected. To make sure your family, your business and your home are adapting to the changes as needed. Governor Perry said it best during his Address when he stated, “[a]s we are told in Scripture, ‘Let us not become weary in doing good, for at the proper time we will reap a harvest if we do not give up.’ And reap that harvest we shall…and we shall reap it together. Because, ladies and gentlemen, the State of our State is good. Her character is strong and her people are great, and I believe now, more than ever before, that our best days are yet to come. May God bless you and, through you, may He continue to bless the great state of Texas.”

2009-07-28T03:58:00.000-07:00

Doctor Reprimanded by Texas Medical Board for Having Sex with Patient

Television and movies sometimes like to make fun of the practice of psychiatry and treat its relevance in a trivial light. For example, a dad unintentionally scares his children when he jumps into their bedroom dressed as a clown and mom is heard saying, "Well, I guess we'll be using those college savings for years of therapy bills instead." In reality, millions of men and women seek psychiatric treatment for genuine and serious problems of depression, abuse, and relationship problems. Their medical diagnoses are much more than a punch line. In no legitimate course will a hopeful doctor learn that having sex with a patient is part of an approved cure. In fact, such an act will instead result in professional, and possible criminal, consequences.

Doctor Alan T. Lloyd has been reprimanded by the Texas Medical Board for his decision to have sex with a patient who was seeking his counsel for depression and thoughts of suicide. Lloyd treated the woman in Houston from 2003 until 2007 and now lives with her in San Antonio. He unsuccessfully attempted to convince the board that the intimate relationship did not begin until the doctor/patient relationship had ended. The over-friendly doctor now must take a course on "professional boundaries," pay a $10,000 fine, and pass a medical bar exam within a year. If these steps are not completed, Lloyd will have his medical license suspended. Texas law does make it illegal for doctors to have sex with patients, so Dr. Lloyd still could face criminal charges.

At Bertolino LLP, we have medical licensing attorneys who practice in the area of medical licensing and medical boards. If you are a doctor and you have been brought before the Texas Medical Board for any reason, we have experienced Austin, Houston and San Antonio lawyers who will provide you with the best possible representation. When your professional livelihood is at stake, you want to have a knowledgeable and aggressive medical boards attorney by your side. Please contact one our medical boards lawyers in Austin, Houston, or San Antonio office today if we can be of service.

2009-07-28T03:55:00.000-07:00

2009-07-28T03:52:00.000-07:00

Texas Senate Approves Bill That Would Allow Sobriety Check Points

The legislators in Texas are tackling a wide variety of issues during this current legislative session, dealing with topics ranging from education to immigration to the current economic crisis. Like every other year, some of the bills that are being considered garner a lot of attention and controversy. One example is the bill that was passed by the Texas Senate yesterday that would allow for sobriety checkpoints in our state for the first time in fifteen years. Right now, Texas is one of only eleven states that does not allow for such a guard against drunk driving. The question, however, is whether or not this new law would really address the problem it is meant to help.

The bill approved by the Senate would allow police officers to set up check points for four-hour periods on designated nights. However, federal highways and interstates, bridges, and roads that provide the only way in and out of a particular area would be exempted from the possibility of such a check point. Also, the law would not affect counties with a population of less than 250,000 people and cities that do not have at least 500,000 residents within its borders. These routes constitute a lot of roadway that cannot be checked by law enforcement for intoxicated drivers, including many of our college towns and vacation areas. Does this legislation serve its intended purpose if some of the areas with the most serious DWI problems cannot be monitored? One of the bill's supporters, state Senator John Carona (R-Dallas), believes that the law as written will save up to 300 lives a year. Does this justify the effort, or will the questions raised about the law's effectiveness prevent it from taking effect?

The criminal defense attorneys at Bertolino LLP are always following the activity in Austin, (let alone Houston and San Antonio) because we know that the decisions made by our state legislators will affect many of our clients. If you are arrested for driving while under the influence, either due to your actions behind the wheel of a car or at an eventual check point, our Austin criminal defense attorneys can help. Please contact on of our lawyers in our Austin, Houston, or San Antonio office to discuss the charges you are facing.

2009-07-28T03:49:00.000-07:00

Measure to Protect Students at Texas Schools for Disabled Passes through Texas House Committee

One of the most important roles that our government plays, from the smallest City Council all the way to the White House and the Capitol building in Washington, D.C., is the protection of its people from harm. We have laws in place to protect our citizens from physical crimes, such as murder, assault, and rape. And our government also works to defend those who have been the victim of those crimes which leave no physical mark, such as defamation and robbery. The role of our state and federal legislators to adopt protective measures is heightened when discussing those who are least capable of speaking out in their own defense. One bill that was passed unanimously in the Texas House Human Services Committee yesterday hopes to improve on our state's ability to help one such group of Texans.

The bill, which was proposed by Rep. Patrick Rose, would install greater protection from abuse for residents who are enrolled in one of our state schools for the disabled. The measure would establish a state school ombudsman and a toll-free abuse hotline, as well as set up video surveillance cameras in each of the thirteen schools. In addition, this legislation would require more intense training of care workers, protect employees who report abusive colleagues, and increase the state penalty for failing to report mistreatment. The measure has been designated as emergency legislation, and has received full support from Governor Rick Perry. With this tag of urgency, we can expect that the full House will be addressing the details of this bill shortly.

At Bertolino LLP, we understand that attorneys have an important obligation in protecting the legal rights of the citizens of Texas and to hold people accountable who do not follow the law. We have lawyers who are ready to assist you if you have a family member who has been mistreated in a school that services the disabled. Please contact our Austin, Houston, or San Antonio office today if you have any questions regarding your situation.

BILLION DOLLAR DIVORCES

2009-07-28T03:29:00.000-07:00

Multi-Million Dollar Divorces Bring a Unique and Complex Set of Issues

When you think of high-profile divorce cases at which millions of dollars are at stake, perhaps your first inclination is to think of the celebrities who find themselves in a court room somewhere near the movie and music studios that employ them. Certainly, these contentious battles receive the most media coverage, as recent divorces involving Madonna, Paul McCartney and Mel Gibson demonstrate. We come to learn about every asset of these famous men and women, down to the nickels and dimes, as well as every alleged indiscretion that may have led to the couple staring one another down in a courtroom. However, the dissolution of wealthy marriages does not just occur in Hollywood or the pages of tabloids. The reality is that divorces with large financial stakes are playing out all the time in every state, just usually without the glare of the paparazzi’s lens. Right here in Texas, dividing assets that are worth upwards of seven or eight figures is not unusual. Family law attorneys who wish to handle such cases must be almost as experienced in finance, accounting, and tax structures as they are in the matters of child support and marriage contracts.

Did you know that the current economic recession has actually played a role in increasing the number of wealthy couples who are filing for divorce? While overall, according to the American Academy of Matrimonial Lawyers, divorces tend to decline with an economic downtown, those with a tremendous amount of assets do not follow the trend. Instead, the number of inquiries to divorce attorneys from potential clients with a great deal of wealth increased by forty percent over the past year. During a recession, you can expect that a couple’s assets will decrease in value, from the family home to the high-risk investments to the 401(k) account. By making the decision to split when values are low, individuals will be obligated to provide less to a spouse in a resolution. If a marriage was already shaky or wholly dependent on the good times of a thriving economy to make the union bearable through material gains , a recession is going to make such partnerships all the more susceptible to the addition of a divorce lawyer or two into the relationship.

Divorce is never an easy process for a couple of navigate. These proceedings usually come with heightened and mixed emotions, an intense sense of grief and, if there are children involved, concern over what is best in terms of visitation and financial support. However, there is an additional set of complex issues that come into play with the two people who are separating are worth millions of dollars. If you are in this situation, you need to make sure that you are working with a family law attorney who specializes in such cases. Just think about all of the financial consequences that come from the dissolution of such a union. Property such as investment portfolios, time shares, art collections, equity in businesses, compensation packages, and other assets that are unique to the wealthy members of our population all can become points of contention for two people who both offer legitimate claims to their worth. The level of negotiation goes way beyond which person gets the newer car and how many nights the kids will stay at each house. These high-stakes divorce cases become complex business deals similar to the dissolution of a corporation. In Texas, these assets tend to take the form of oil and gas investments, securities, corporate ownerships, and large amounts of physical property. Texas has no shortage of men and women who have made fortunes off our state’s natural resources and impressive human capital, and they want to hold onto the fruits of their labor.

In addition to the property that is known and shared by both partners in a marriage, attorneys who are handling the divorce of a wealthy client also must consider the possibility that the other spouse is intentionally hiding some assets in order to lower the final amount of a settlement. When necessary, forensic experts in accounting, banking, business management, and other specialized fields may be retained to ensure that all investments are located and protected. If you believe that your estranged husband or wife may be hiding some sources of income, you need to make sure that you are hiring a lawyer with the professional resources and knowledge to know where to look to find hidden assets like offshore bank accounts, deferred compensation, tax shelters and other sources of income that must be included as community property.

When negotiating divorce settlements in Texas, attorneys must work under the fact that we are a “community property” state. This means that most property acquired during the marriage will be subject to an equitable division in a divorce settlement or trial. Even if one spouse was the sole source of income and therefore provided the money for the homes, cars, investments, etc., both partners have equal claim on these assets when a separation occurs. While a judge always will start with the assumption of a 50/50 split, various factors, such as the fault in the break-up of the marriage and the value of the assets of property, may shift the final decision.

In addition to the splitting of assets, a wealthy couple often faces the question of spousal support or alimony. When both members of a partnership become accustomed to a particular standard of living, battles may be fought if the ability to maintain the same existence is threatened. What expectations should one spouse have for financial support if he or she did not provide the primary source of income during the marriage? In Texas, spousal support is not an assumed component of the divorce settlement. Instead, a judge will examine factors such as the employment and education skills of the spouse, the duration of the marriage, the physical and emotional condition of the spouse, the need to care for children in the home, and possible marital misconduct. The decision can be made to provide either temporary spousal support or more long-term assistance. When dealing with couples who are used to budgeting with millions of dollars at their disposal, awards of spousal support can reach into the tens of thousands of dollars every month.

It is often said that everything is done bigger in Texas, from our food to our sports to our love of the outdoors. The same idea often holds true concerning the divorces that take place between some of the most wealthy and high-profile residents of our state. These marriages are not just unions of love and the foundation of families, but also complex business partnerships. With all of the money at stake, there are divorce attorneys who specialize in the dissolution of high-dollar marriages. If you find yourself in the position of needing legal representation in the face of an ending marriage and the financial consequences of the split are significant, it is imperative that you find an attorney who displays great comfort with discussions of investment portfolios, vacation homes, and antique heirlooms. If these conversations do not occur with ease, move on until you find an attorney who provides you the needed confidence that a difficult time in your life will be made as easy as possible.

MBNA CREDIT CARD

2009-07-25T00:45:00.000-07:00

MBNA Corporation was a bank holding company and parent company of wholly owned subsidiary MBNA America Bank, N.A., headquartered in Wilmington, Delaware, prior to being acquired by Bank of America in 2005. It was the world's largest independent credit card issuer, specializing in affinity cards

MBNA was founded in 1982 as Maryland Bank, N.A., a subsidiary of Maryland National Bank. The name MBNA is an initialism that was derived as an abbreviation or acronym of Maryland Bank, National Association. In 1989, Maryland Bank was renamed MBNA America Bank. MBNA Corp. spun off from Maryland National and became an independent company in 1991.

Mergers and acquisitions

On June 30, 2005 MBNA announced that it was being acquired by Bank of America for stock and cash totalling more than $35 billion. The deal was closed on January 1, 2006. The acquisition resulted in MBNA being re-named to Bank of America Card Services while still based in Delaware. For the first part of 2006, MBNA still issued credit cards under its own name associated with Mastercard, VISA, and American Express, but by the second half of 2006, all card products were re-branded as Bank of America.

At the same time in June 2005, MBNA bought Loans.co.uk (LCUK), then the UK's leading finance broker. Although figures were never released, various media outlets including newspapers in Watford, Hertfordshire where Loans.co.uk head office is based (they have a call centre in Preston, Lancashire), reported the deal to founders David Cowham and Steve Hayes being worth £100m. MBNA/Bank of America have since decided to close Loans.co.uk due to the current market.

On January 1, 2006, MBNA merged with and into Bank of America. MBNA America Bank, National Association, (MBNA) then became a wholly-owned subsidiary of Bank of America. On June 10, 2006, MBNA changed its name to FIA Card Services, National Association (FIA). On October 20, 2006, Bank of America, National Association (USA), a subsidiary of Bank of America Corporation, merged with and into FIA.

It should be noted that in Canada and Europe the MBNA name is retained. MBNA Europe headquarters is in Chester, England. MBNA Canada's headquarters are located in Ottawa, Ontario. In 2007, the Canadian division was named one of Canada's Top 100 Employers

This purchase was a reunion of sorts. In 1993, NationsBank bought MNC Financial (whose credit card division was spun off years earlier to become MBNA). Five years later, the Bank of America that exists today was the result of the merger between the San Francisco-based Bank of America and the Charlotte-based NationsBank. In 2005, with Bank of America buying MBNA, it is in effect reuniting MNC Financial's credit card portfolio to its original banking assets and combining the Bank of America credit card portfolio with MBNA's.

MBNA was founded in 1982 by a group of MNC Financial executives headed by Charles Cawley. Its first office was housed in a converted A&P supermarket in Ogletown, Delaware.^[6] Until his recent death, Cleveland Browns owner Al Lerner served as Chairman of the Board.

The company, which has operations throughout the United States, Canada, Ireland, Spain, and the United Kingdom, also provided retail deposit accounts, consumer loans, and insurance products.

Employing more than 25,800 people around the world at the time of the merger with Bank of America, MBNA owned or managed more than $122.5 billion in outstanding consumer credit loans. Most of this loan debt was held in securitized portfolios that had been sold to other entities such as insurance companies and pension funds. MBNA virtually invented the process for securitizing credit card debt and this process contributed significantly to the fast growth of the company. It allowed for increasing the amount loaned without having to acquire matching assets to offset the loans.

MBNA History

Charles Cawley founded MBNA in 1982. The small bank, based in a Newark, Delaware supermarket, was formed as the credit card subsidiary of MNC Financial, a regional bank holding company headquartered in Baltimore, Maryland. The credit card industry was growing rapidly at the time, and Cawley was eager to expand the enterprise. Rather than pursuing the same strategies as his competitors, though, Cawley was looking for a marketing strategy that would separate his product from the homogenous horde of credit card lenders that competed mostly on price.

In 1983 Cawley approached his alma mater, Georgetown University in Washington, D.C., about partnering with him. His idea was to get the Georgetown University Alumni Association to endorse a credit card that would be offered exclusively to its members and generate a royalty or percentage of all revenues derived from the cards. The enticement for cardholders was that their use of the card benefited the alma mater, and that the card displayed their affiliation with Georgetown. The alumni association agreed to the project, and Cawley's first direct mailing effort was a hit. In addition to signing up an unusually large percentage of its prospects, MBNA benefited from the overall credit quality of its new customers, who were categorized generally as having relatively high income and education levels, thereby resulting in lower delinquency in charge-off levels.

As a result of his success with Georgetown, Cawley was convinced that he was on to something. By issuing 'affinity' cards and focusing on customer service, MBNA added value to an otherwise commodity-like service. He realized that if he could duplicate the results working with other groups, he could substantially increase MBNA's profit margins by capturing a more upscale and, therefore, less risky and higher spending segment of the market. Significantly, marketing costs per account could be greatly reduced because the response rate of direct sales efforts would be much higher than the industry average. Indeed, other credit card companies at the time often resorted to mass mailings targeted to broad groups identified by zip code or income level. In contrast, MBNA's prospects were motivated to review the credit card offer simply because of their affiliation with the group sponsoring the card.

Cawley next succeeded in getting the American Dental Association to sponsor an affinity card, and he followed that program with an affinity card for the Aircraft Owners and Pilots Association. Both efforts were successful. Throughout the mid-1980s Cawley aggressively approached new partners, focusing on various clubs and associations with an upscale membership. By 1985, in fact, MBNA was managing more than $1 billion in outstanding loans, compared with just $250 million going into 1983. MBNA's net income surged to $67 million in 1986 as outstanding credit vaulted to the $2 billion mark. Revenues and profits continued to surge as MBNA added affinity cards for major groups like the Sierra Club, Association of Trial Lawyers of America, the University of Texas, and National Education Association.

MBNA sustained its swift growth rate during the middle and late 1980s by scouting out upscale groups like college alumni associations and professional societies. After it selected an organization, it would offer future royalties in exchange for the group's membership list and permission to use its name and letterhead in direct-advertising efforts. By the early 1990s some groups were generating hundreds of thousands of dollars annually as a result of credit purchases under such agreements. For example, the Sierra Club arranged to receive one half of one percent of every charge made by its group members. MBNA had succeeded in signing up 45,000 of the environmental group's members by 1994, bringing more than $400,000 to the Club's coffers annually.

Although Cawley's strategy was unique for the early 1980s, by the mid-1980s other credit card companies were employing similar tactics. Nevertheless, MBNA continued to boost market share. Steady gains were in large part the result of fruitful marketing programs. MBNA marketers regularly solicited prospective groups with phone calls and by attending trade shows. Once they had the accounts, they utilized aggressive telemarketing and direct mail techniques to constantly boost the sizes of the accounts. For example, the Penn State Alumni Association entered into an affinity card agreement during the mid-1980s with a local bank, which succeeded in signing 15,000 members to the card. MBNA took the account over in 1989 and proceeded to boost membership to more than 120,000 within four years.

MBNA maintained its high-quality customer base by relying on credit reports to identify the most affluent and responsible customers. The strength of its credit base was reflected in its extremely low percentage of uncollectible loans, which was well below the industry average. Once it got the customers, it focused on keeping them with good service. For example, MBNA was the first credit card issuer to offer 24-hour-a-day service to all of its customers, and its phones were answered by people rather than by machines. In addition, people, rather than computer software, also reviewed individual account applications.

As MBNA's accounts swelled, so did its profits. By 1987 MBNA was managing more than $3 billion in credit card loans and netting a healthy $75 million annually in income. Managed loans surpassed $4 billion and then $5 billion in 1988 and 1989, as profits ballooned to more than $100 million annually. By 1990, MBNA was managing about $8 billion in credit card loans and pulling down nearly $130 million in profit. Those figures reflected an annual growth rate of more than 17 percent between 1987 and 1990. MBNA had become the largest single issuer of gold MasterCards and the fourth biggest provider of premium Visa cards. Its gold cards, in fact, made up about 42 percent of its accounts and were responsible for nearly 60 percent of MBNA's outstanding loan balances. Going into 1991, MBNA was marketing affinity cards for about 1,400 groups, including 223 medical and 70 attorney associations.

MBNA's rampant growth during the late 1980s mimicked the gains of its corporate parent, MNC. MNC invested heavily in real estate during the period and enjoyed solid profits. Unfortunately, the commercial real estate market collapsed before the end of the decade. By 1990, MNC, swimming in red ink, was desperate for cash. After losing more than $240 million during the first three quarters of 1990, MNC put its crown jewel, MBNA, on the auction block. Several credit card companies inquired, including Sears' Discover Card unit, but they balked at the $1.1 billion price and waited to see if the desperate MNC would go lower. Instead, MNC spun off MBNA in January 1991 in a public stock offering that raised about $955 million. The offering took place just two weeks before MNC's deadline to pay a $271 million debt.

Among the big winners of the MBNA spin-off was Alfred Lerner, a magnate with a personal worth estimated at $600 million at the time. Lerner was a major MNC stockholder. He had sold his bank, Equitable Bancorporation, to MNC in 1990 in exchange for MNC stock. Within weeks after the sale, however, MNC was drowning in real estate losses. Lerner was called in to run the bank, and he made the decision to sell MBNA. Shortly after the public stock offering, MBNA's stock price soared, and Lerner realized more than enough profit from his MBNA shares to offset his losses from his ownership in MNC. Lerner, who still owned about ten percent of MBNA in the early 1990s, became CEO of the newly formed MBNA Corporation. Still, Cawley, as president, continued to run the company.

By the early 1990s, MBNA's work force had grown to more than 5,000. To house its thriving operations, MBNA developed new facilities, including several important new regional marketing centers in Atlanta, Dallas, Cleveland, and Maine. From those facilities, several hundred representatives would conduct direct-marketing campaigns throughout their region and also provide service and information-processing functions.

The Northeast Regional Marketing Center in Camden, Maine, was representative of the marketing centers, and it also marked a tie to Cawley's past. Cawley's grandfather had once operated dress factories in Camden and adjacent Belfast, and Cawley was familiar with the area because he had summered nearby at his family's Lincolnville Beach estate. By the time the facility was completed in 1993, it was housing 250 people, and within two years MBNA had boosted that number to 600 and was planning further expansion in the area.

Despite the U.S. economic downturn of the late 1980s and early 1990s, MBNA continued to advance throughout the early 1990s. Managed loans nearly topped the $10 million mark in 1992 as MBNA's net income clambered to an impressive $170 million. By 1992, one-third of all U.S. doctors and about 20 percent of all attorneys were carrying MBNA credit cards, and their accounts were proving to be surprisingly profitable. Indeed, some analysts had questioned the wisdom of marketing credit cards to high-income individuals, few of whom would be expected to keep a running balance at high credit card interest rates. The average annual income of MBNA's cardholders in 1992 was an industry high of $54,000. However, MBNA's typical customer kept a running balance (at an average interest rate of 17.3 percent) of $2,200, about 35 percent higher than the industry average. By 1995, the customers' average annual income had risen to $59,000 and they were carrying an average balance of $2,886 (at an average interest rate of 16.4 percent).

Furthermore, MBNA charged its customers annual card fees of $20 to $40. Despite a flurry of new competition in the credit card industry, though, MBNA's affinity strategy allowed it to continue to successfully charge fees while many competitors dropped fees or slashed interest rate charges. MBNA also profited by selling much of its receivables forward at a fixed rate, a practice that essentially allowed the company to finance its portfolio at relatively low interest rates. Although that strategy left MBNA vulnerable to rising short-term interest rates, it paid off big during the early 1990s when rates were depressed.

MBNA's strategy was to sell to people with a common interest. In addition to the organizations and financial institutions that endorsed the company's products, MBNA began looking for 'created affinities.' For instance, it began offering cards displaying family coats-of-arms, as well as cards picturing regional landmarks to people proud of their home towns or states. By the mid-1990s, it was marketing to fans of nearly 200 different professional sports organizations, including National Football League teams, motor sports fans, and teams in every other major sport.

In 1995, MBNA moved its headquarters from a suburban location to Rodney Square in downtown Wilmington. This investment was credited with help to revive the downtown real estate market.

PAYDAY LOANS

2009-07-25T00:17:00.000-07:00

A payday loan (also called a paycheck advance or payday advance) is a small, short-term loan that is intended to cover a borrower's expenses until his or her next payday. The loans are also sometimes referred to as cash advances, though that term can also refer to cash provided against a prearranged line of credit such as a credit card (see cash advance). Legislation regarding payday loans varies widely between different countries and, within the USA, between different states.

Some jurisdictions impose strict usury limits, limiting the nominal annual percentage rate (APR) that any lender, including payday lenders, can charge; some outlaw payday lending entirely; and some have very few restrictions on payday lenders. Due to the extremely short-term nature of payday loans, the difference between APR and effective annual rate (EAR) can be substantial, because EAR takes compounding into account. For a $15 charge on a $100 2-week payday loan, the APR is 26 × 15% = 390% but the EAR is (1.15 $26$ − 1) × 100% = 3,685%. Careful reporting of whether EAR or APR is quoted is necessary to make meaningful comparisons.

The loan process

Retail lending

Borrowers visit a payday lending store and secure a small cash loan, with payment due in full at the borrower's next paycheck (usually a two week term). In the United States, finance charges on payday loans are typically in the range of 15 to 30 percent of the amount for the two-week period, which translates to rates ranging from 390 percent to 780 percent when expressed as an annual percentage rate (APR)^[1] The borrower writes a postdated check to the lender in the full amount of the loan plus fees. On the maturity date, the borrower is expected to return to the store to repay the loan in person. If the borrower doesn't repay the loan in person, the lender may process the check traditionally or through electronic withdrawal from the borrower's checking account.

If the account is short on funds to cover the check, the borrower may now face a bounced check fee from their bank in addition to the costs of the loan, and the loan may incur additional fees and/or an increased interest rate as a result of the failure to pay. For customers who cannot pay back the loan when due, members of the national trade association are required to offer an extended payment plan at no additional cost. In states like Washington, extended payment plans are required by state law.

Payday lenders require the borrower to bring one or more recent pay stubs to prove that they have a steady source of income. The borrower is also required to provide recent bank statements.^{[citation needed]} Individual companies and franchises have their own underwriting criteria.

Internet lending

Online payday loans are marketed through e-mail, online search, paid ads, and referrals. Typically, a consumer fills out an online application form or faxes a completed application that requests personal information, bank account numbers, Social Security number and employer information. Borrowers fax copies of a check, a recent bank statement, and signed paperwork. The loan is direct-deposited into the consumer's checking account and loan payment or the finance charge is electronically withdrawn on the borrower's next payday.

Examples

For example, a borrower seeking a payday loan may write a post-dated personal check for $460 to borrow $400 for up to 14 days. The payday lender agrees to hold the check until the borrower's next payday. At that time, the borrower has the option to redeem the check by paying $460 in cash, or renew the loan (a.k.a. "flip the loan") by paying off the $460 and then immediately taking an additional loan of $400, in effect extending the loan for another two weeks. In many states, "flipping" or "rolling over" the loan is not allowed. In states where there is an extended payment plan, the borrower could choose to opt into a payment plan. If the borrower does not pay off or refinance the loan, the lender deposits the check. In this example, the cost of the initial loan is a $60 finance charge, or 390% APR.

When the Consumer Federation of America conducted a survey of 100 internet payday loan sites, it found loans from $200 to $2,500 were available, with $500 the most frequently offered. Finance charges ranged from $10 per $100 up to $30 per $100 borrowed. The most frequent rate was $25 per $100, or 650% annual interest rate (APR) if the loan is repaid in two weeks.

Payday loans around the world

Canada

According to the Criminal Code of Canada, any rate of interest charged above 60% per annum is considered criminal. On August 14, 2006, the Supreme Court of British Columbia issued its decision in a class action lawsuit against A OK Payday Loans. OK charged its customers 21% interest, as well as a "processing" fee of C$9.50 for every $50.00 borrowed. In addition a "deferral" fee of $25.00 for every $100.00 was charged if a customer wanted to delay payment. The judge ruled that the processing and deferral fees were interest, and that A OK was charging its customers a criminal rate of interest. The payout as a result of this decision is expected to be several million dollars. The British Columbia Court of Appeal unanimously affirmed this decision.

Beginning November 1, 2009, payday loan regulations will be in force in British Columbia to cap the maximum charges for short term loans to 23% (including interests and fees), borrower can cancel the loan by the end of the following day of signing the agreement without paying any charge, only 1 loan per borrower at a time and to restrict the ability for lenders to access to borrower's bank or employer. All lenders will be required to register and regulated under the Business Practices and Consumer Protection Authority.

U.K

The number of payday loans has grown in the UK recently: between August 2007 and June 2008, the number of loans made grew by more than 130%.

Unlike in many US states, in the UK there is no prohibition on "rolling over" lending. There does not seem to be a usury limit either: one UK company offers a "typical APR" of 1355%, this takes compounding into account; without compounding the APR would be 300%. Advertising of payday lending is subject to the Consumer Credit (Advertisements) Regulations 2004. In particular, the "typical APR" must be stated in adverts which meet certain criteria, such as adverts which indicate that credit will be given to customers who may otherwise find access to credit restricted.^[10]

There has been some criticism of these loans in the UK recently. Vince Cable MP said "The growing popularity of these loans highlights the problems stemming from the credit crunch and unsustainable levels of personal debt in the UK."^[7]. Chris Tapp, of Credit Action, said in mid 2008: "Over the past year, payday loans have become an issue in the UK, and the growth in people who have problems who have such a loan has been notable in the last six months."^[7].

U.S.

Regulation of lending institutions is handled primarily by individual states, and this growing industry exists atop an active and shifting legal landscape. Lenders lobby to enable payday lending practices, while opponents of the industry lobby to prohibit the high cost loans in the name of consumer protection.

Payday lending is legal and regulated in 37 states. In Georgia and 12 other states, it is either illegal or not feasible, given state law.^[11]^{[dead link]} When not explicitly banned, laws that prohibit payday lending are usually in the form of usury limits: hard interest rate caps calculated strictly by APR.

In the United States, many have usury laws which forbid interest rates in excess of a certain APR. Some payday lenders have succeeded in getting around usury laws in some states by forming relationships with nationally-chartered banks based in a different state with no usury ceiling (such as South Dakota or Delaware). This practice has been referred to as "rate exportation", the "lender/servicer" model, or the "rent-a-bank" model. Under the legal doctrine of interest-rate exportation, established by Marquette Nat. Bank of Minneapolis v. First of Omaha Service Corp. 439 U.S. 299 (1978), the loan is governed by the laws of the state where the bank is chartered, regardless of the borrower's state of residence. This is the same doctrine that allows credit card issuers based in South Dakota and Delaware — states that abolished their usury laws — to offer credit cards nationwide. As federal banking regulators became aware of this practice, they began prohibiting these partnerships between commercial banks and payday lenders. The FDIC still allows its member banks to participate in payday lending, but it did issue guidelines in March 2005 that are meant to discourage long term debt cycles by transitioning to a longer term loan after six payday loan renewals. a result, no federally insured banks engage in the business of payday lending as of 2007 using an agency model.

For usury laws to be effective, they need to include all loan fees as part of the interest. Otherwise, lenders can charge any amount they want as fees and still claim a low interest rate. State laws in the United States generally preclude charging of fees other than those expressly permitted by law^{[citation needed]}, and the federal Truth In Lending Act requires disclosure of all fees.

Some states have laws limiting the number of loans a borrower can take at a single time^{[citation needed]}. This is currently being accomplished by single, statewide realtime databases. These systems are required in Florida, Michigan, Illinois, Indiana, North Dakota, New Mexico, Oklahoma, and Virginia^{[citation needed]}. These systems require all licensed lenders to conduct a real time verification of the customer's eligibility to receive a loan before conducting a loan. Reports published by state regulators in these states indicate that this system enforces all of the provisions of the state's statutes. Some states also cap the number of loans per borrower per year (Virginia), or require that after a fixed number of loan renewals, the lender must offer a lower interest loan with a longer term, so that the borrower can eventually get out of the debt cycle^{[citation needed]}. Borrowers can circumvent these laws by taking loans from more than one lender if there is not an enforcement mechanism in place by the state. Some states allow that a consumer can have more than one loan outstanding (Oklahoma).

HOME INSURANCE

2009-07-25T00:09:00.000-07:00

Home insurance, also commonly called hazard insurance or homeowners insurance (often abbreviated in the real estate industry as HOI), is the type of property insurance that covers private homes. It is an insurance policy that combines various personal insurance protections, which can include losses occurring to one's home, its contents, loss of its use (additional living expenses), or loss of other personal possessions of the homeowner, as well as liability insurance for accidents that may happen at the home. It requires that at least one of the named insured occupies the home. The dwelling policy (DP) is similar, but used for residences which don't qualify for various reasons, such as vacancy/non-occupancy, seasonal/secondary residence, or age. It is a multiple line insurance, meaning that it includes both property and liability coverage, with an indivisible premium, meaning that a single premium is paid for all risks. Standard forms divide coverage into several categories, and the coverage provided is typically a percentage of Coverage A, which is . The insurance policy itself is a lengthy contract, and names what will and what will not be paid in the case of various events. Typically, claims due to floods, or war (whose definition typically includes a nuclear explosion from any source) are excluded. Special insurance can be purchased for these possibilities, including flood insurance. Insurance must be updated to the present and existing value at whatever inflation up or down, and an appraisal paid by the insurance company will be added on to the policy premium. Fire insurance will require a special premium charge, plus the addition of smoke detectors and on site fire suppression systems to qualify.

The home insurance policy is usually a term contract—a contract that is in effect for a fixed period of time. The payment the insured makes to the insurer is called the premium. The insured must pay the insurer the premium each term. Most insurers charge a lower premium if it appears less likely the home will be damaged or destroyed: for example, if the house is situated next to a fire station, if the house is equipped with fire sprinklers and fire alarms. Perpetual insurance, which is a type of home insurance without a fixed term, can also be obtained in certain areas.

In the United States, most home buyers borrow money in the form of a mortgage loan, and the mortgage lender always requires that the buyer purchase homeowners insurance as a condition of the loan, in order to protect the bank if the home were to be destroyed. Anyone with an insurable interest in the property should be listed on the policy. In some cases the mortgagee will waive the need for the mortgagor to carry homeowner's insurance if the value of the land exceeds the amount of the mortgage balance. In a case like this even the total destruction of any buildings would not affect the ability of the lender to be able to foreclose and recover the full amount of the loan.

The insurance crisis in Florida has meant that some waterfront property owners in that state have had to make that decision due to the high cost of premiums. See Citizens insurance.

Types of Homeowners Insurance

United States

Prior to the 1950s, there were separate policies for the various perils that could affect a home. A homeowner would have had to purchase separate policies covering fire losses, theft, personal property, and the like. During the 1950s, policy forms were developed, allowing the homeowner to purchase all the insurance they needed on one complete policy. However, these policies varied by insurance company, and were difficult to comprehend.^[1]

The need for standardization grew so great that a private company based in Jersey City, New Jersey, Insurance Services Office, also known as the ISO, was formed in 1971 to provide risk information and issued a simplified homeowners policy for resell to insurance companies. These policies have been amended over the years until currently, the ISO has seven standardized homeowners insurance forms in general use:

HO1 - Basic Homeowner Policy

A basic policy form that provides coverage on a home against 11 listed perils; contents are generally included in this type of coverage, but must be explicitly enumerated.

HO2 - Broad Homeowner Policy

A more advanced form that provides coverage on a home against 17 listed perils (including all 11 on the HO1). The coverage is usually a "named perils" policy, which lists the events that would be covered.

HO3 - All Risk Homeowner Policy

The typical, most comprehensive form used for single-family homes. The policy provides "all risk" coverage on the home with some perils excepted, such as earthquake and flood.

HO4 - Renter's Insurance

The “Tenants” form is for renters. It covers personal property against the same perils as the HO2

HO6 - Condominium Policy

The form for condominium owners.

HO8 - Older Houses

The “Modified Coverage” form is for the owner-occupied older home whose replacement cost far exceeds the property’s market value.

According a 1998 NAIC report, 83% of homes were covered by owner-occupied homeowners policies. Of these, 87% had the HO3 Special and 9% had the more expensive HO5 Comprehensive. Both of these policies are "all risks" or "open perils", meaning that they cover all perils except those specifically excluded. 3% were the HO2 Broad, which covers only specific named perils. Others include the HO1 Basic and the HO8 Modified, which is the most limited in its coverage. HO8, also known as older home insurance, is likely to pay only actual cash value for damages rather than replacement.

The remaining 13% of home insurance policies were covered by renter's or condominium insurance. Two-thirds of these had the HO-4 Contents Broad form, also known as renters insurance, which covers the contents of an apartment not specifically covered in the blanket policy written for the complex. This policy can also cover liabilities arising from accidents and intentional injuries for guests as well as passers-by up to 150' of the domicile. Common coverage areas are events such as lightning, riot, aircraft, explosion, vandalism, smoke, theft, windstorm or hail, falling objects, volcanic eruption, snow, sleet, and weight of ice. The remainder had the HO-6 Unit-Owners policy, also known as a condominium insurance, which is designed for the owners of condos and includes coverage for the part of the building owned by the insured and for the property housed therein. Designed to span the gap between the coverage provided by the blanket policy written for the entire neighborhood or building and the personal property inside the home. The liability coverage may cover incidents up to 150' from the insured property, all valuables within the home from theft, fire or water damage or other forms of loss. The Associations Bylaws determine the total amount of insurance necessary.

In addition, about 2.4% of homes were covered by a dwelling fire policy which covers property damage to a structure and is typically sold to noncommercial owners of rented houses. It may also cover the owner's personal property (such as appliances and furnishings). The owner's liability is generally extended from their own primary home insurance, and does not comprise part of the Dwelling Fire policy.

Coverages

For each policy, there are typically six classifications of coverage. These are based on standard Insurance Services Office or American Association of Insurance Services forms.

Section I - Property Coverages

Coverage A - Dwelling: Covers the value of the dwelling itself (not including the land). Typically, a coinsurance clause states that as long as the dwelling is insured to 80% of actual value, it will be replaced. This is in place to give a buffer against inflation. HO-4 (renter's insurance) typically has no Coverage A, although it has additional coverages for improvements.

Coverage B - Other Structures: Covers other structure around the property which are not used for business, except as a private garage. Typically limited at 10% of the Coverage A.

Coverage C - Personal Property: Covers personal property, with limits for the theft and loss of particular classes of items (eg, $200 for money, banknotes, bullion, coins, medals, etc). Typically 50 to 70% of coverage A is required for contents, which means that consumers may pay for much more insurance than necessary. This has led to some calls for more choice.

Coverage D - Loss of Use/Additional Living Expenses: Covers expenses associated with additional living expenses (i.e. rental expenses) and fair rental value, if part of the residence was rented, however only the rental income for the actual rent of the space not services provided such as utilities.

Additional Coverages: Covers a variety of expenses such as debris removal, reasonable repairs, damage to trees and shrubs for certain named perils (excluding the most common causes of damage, wind and ice), fire department changes, removal of property, credit card / identity theft charges, loss assessment, collapse, landlord's furnishing, and some building additions. These vary depending upon the form.

Exclusions: In an open perils policy, specific exclusions will be stated in this section. These generally include earth movement, water damage, power failure, neglect, war, nuclear hazard, intentional loss, and concurrent causation (for HO-3)

MEDICAL MALPRACTICE

2009-07-24T23:44:00.000-07:00

Medical malpractice is professional negligence by act or omission by a health care provider in which care provided deviates from accepted standards of practice in the medical community and causes injury or death to the patient. Standards and regulations for medical malpractice vary by country and jurisdiction within countries. Medical professionals are required to maintain professional liability insurance to offset the risk and costs of lawsuits based on medical malpractice.

The medical malpractice claim

The party

The plaintiff is or was the patient, or a legally designated partie acting on behalf of the patient, or – in the case of a wrongful-death suit – the executor or administrator of a deceased patient's estate.

The defendant is the health care provider. Although a 'health care provider' usually refers to a physician, the term includes any medical care provider, including dentists, nurses, and therapists. As illustrated in Columbia Medical Center of Las Colinas v Bush, 122 S.W. 3d 835 (Tex. 2003), "following orders" may not protect nurses and other non-physicians from liability when committing negligent acts. Relying on vicarious liability or direct corporate negligence, claims may also be brought against hospitals, clinics, managed care organizations or medical corporations for the mistakes of their employees.

Elements of the case

A plaintiff must establish all four elements of the tort of negligence for a successful medical malpractice claim.

A duty was owed - a legal duty exists whenever a hospital or health care provider undertakes care or treatment of a patient.
A duty was breached – the provider failed to conform to the relevant standard of care. The standard of care is proved by expert testimony or by obvious errors (the doctrine of res ipsa loquitur or the thing speaks for itself).
The breach caused an injury – The breach of duty was a proximate cause of the injury.
Damages – Without damages (losses which may be pecuniary or emotional), there is no basis for a claim, regardless of whether the medical provider was negligence

The trial

Like all other tort cases, the plaintiff or their attorney files a lawsuit in a court with appropriate jurisdiction. Between the filing of suit and the trial, the parties are required to share information through discovery. Such information includes interrogatories, requests for documents and depositions. If both parties agree, the case may be settled pre-trial on negotiated terms. If the parties cannot agree, the case will proceed to trial.

The plaintiff has the burden of proof to prove all the elements by a preponderance (51%) of evidence. At trial, both parties will usually present experts to testify as to the standard of care required, and other technical issues. The fact-finder (judge or jury) must then weigh all the evidence and determine which is the most credible.

The fact-finder will render a verdict for the prevailing party. If the plainitff prevails, the fact-finder will assess damages within the parameters of the judge's instructions. The verdict is then reduced to the judgment of the court. The losing party may move for a new trial. In a few jurisdictions, a plaintiff who is dissatisfied by a small judgment may move for additur. In most jurisdictions, a defendant who is dissatisfied with a large judgment may move for remittitur. Either side may take an appeal from the judgment.

Expert testimony

Expert witnesses must be qualified by the Court, based on the prospective experts qualifications and the standards set from legal precedent. To be qualified as an expert in a medical malpractice case, a person must have a sufficient knowledge, education, training, or experience regarding the specific issue before the court to qualify the expert to give a reliable opinion on a relevant issue. The qualifications of the expert are not the deciding factors as to whether the individual will be qualified, although they are certainly important considerations. Expert testimony is not qualified "just because somebody with a diploma says it is so" (United States v. Ingham, 42 M.J. 218, 226 [A.C.M.R. 1995]). In addition to appropriate qualifications of the expert, the proposed testimony must meet certain criteria for reliability. In the United States, two models for evaluating the proposed testimony are used:

The more common (and some believe more reliable) approach used by all federal courts and most state courts is the 'gatekeeper' model, which is a test formulated from the US Supreme Court cases Daubert v. Merrell Dow Pharmaceuticals (509 U.S. 579 [1993]), General Electric Co. v. Joiner (522 U.S. 136 [1997]), and Kumho Tire Co. v. Carmichael (526 U.S. 137 [1999]. Before the trial, a Daubert hearing will take place before the judge (without the jury). The trial court judge must consider evidence presented to determine whether an expert's "testimony rests on a reliable foundation and is relevant to the task at hand." (Daubert, 509 U.S. at 597). The Daubert hearing considers 4 questions about the testimony the prospective expert proposes:

Whether a "theory or technique . . . can be (and has been) tested"
Whether it "has been subjected to peer review and publication".
Whether, in respect to a particular technique, there is a high "known or potential rate of error"
Whether there are "standards controlling the technique's operation".

Some state courts still use the Frye test that relies on scientific consensus to assess the admissibility of novel scientific evidence. Daubert expressly rejected the earlier federal rule's incorporation of the Frye test. (Daubert, 509 U.S. at 593-594) Expert testimony that would have passed the Frye test is now excluded under the more stringent requirements of Federal Rules of Evidence as construed by Daubert.

In view of Daubert and Kuhmo, the pre trial preparation of expert witnesses is critical. problem with Daubert is that the presiding judge may admit testimony which derives from highly contested data. The judge may expand the limits contained in the "school of thought" precedent. Papers that are self-published may be admiited as the basis for expert testimony. Non-peer reviewed journals may also be admitted in similar fashion. The only criterion is the opinion of a single judge who, in all likelihood, has no relevant scientific or medical training.

DIVORCE ATTORNEY

2009-07-24T23:27:00.000-07:00

Terminating a marriage is no easy thing to do. Not only are you dealing with strong emotions about separating your life from your spouse, but you also have to figure out the processes involved in the agreement and how you can come out ahead when everything is all said and done. This is why many couples are unable to settle ending their marriage on their own and end up having to go to court to have a judge decide what will happen in their settlement.

It does not matter if you feel that you can settle ending your marriage outside of court or if you know that the matter will end up in court, a divorce attorney can be very advantageous for you to hire. Divorce can be a very messy thing and you will go through many processes that you likely had no idea you would have to go through. This is why many people get themselves into trouble when trying to navigate through their settlement without the help of a professional because they do not know how to properly handle all of the legal issues that are involved.
One area that a divorce attorney can be extremely helpful is in the splitting of you marital property. If you are like many couples, you probably acquired a large amount of property during your marriage that you are not willing to part with during your divorce. There are different laws in many states regarding how this property should be divided and a legal professional will be able to guide you through the process and hopefully get you your fair share of the property in the settlement. You likely spent just as much money as your spouse when you first acquired that property so you should have a fair shot at being awarded the property that should be yours during the settlement.

Another area where a divorce attorney can be helpful is if you and your spouse have children. This is where divorce can really become messy because you and your spouse likely want custody of the children so you will probably want a legal professional on your side to make sure that you have a good shot at getting custody. These battles can get bitter very quickly so you will also want to be sure that your parenting abilities are not being negatively portrayed by your spouse during the custody hearing.

CRIMINAL DEFENCE LAWER

2009-07-24T21:54:00.000-07:00

A criminal defense lawyer is a lawyer specializing in the defense of individuals and companies charged with criminal conduct. In the United States, criminal defense lawyers deal with the issues surrounding the apprehension, searches of client or property, and arrest of his or her client (Fourth Amendment), as well as any statements the client may have made (Fifth Amendment). Criminal defense lawyers also deal with the substantive issues of the crimes his or her clients are charged with. In the United States criminal defendants are entitled to the presumption of innocence until prosecutors prove each essential element of a crime beyond a reasonable doubt. Serious crimes (e.g. felonies) in the United States are tried to juries of twelve people and the jury must be unanimous in its verdict to either convict or acquit the defendant. A split in the jury is often called a "hung jury" and may result in a retrial of the defendant. Criminal defense lawyers actively pursue their client's cause through all stages of a criminal prosecution.

Criminal defense lawyers in the United States who are employed by governmental entities such as counties, states, and the federal government are often referred to as public defenders. These are often fresh law school graduates seeking to gain quick courtroom experience, but there are many older, extremely well experienced lawyers who have made public defending a lifetime vocation. There are also private defense lawyers who are retained by individual clients on a case by case basis.

Criminal defense work can be intimidating to some lawyers as the specter of a client going to jail for long periods of time or even being subjected to capital punishment looms over some defendants. Because of this and other factors, criminal defense lawyers tend to be a special breed of lawyers.

LEMON LAWS

2009-07-24T21:41:00.000-07:00

Reason for Law's name

Used car purchases

If you purchased a used car there are two situations in which you may be qualified for cash or other lemon law benefits:

Situation #1: You may be entitled to compensation for breach of warranty if you had one of the following warranties:

Any warranty left from the manufacturer when you purchased your vehicle (for example, almost all vehicles sold with fewer than 36,000 miles will have this. But if the warranty is longer, you may have even more time).
Your vehicle was "Certified" by the Manufacturer (in which case it came with a short Manufacturer's Warranty, typically 1 year).
You purchased an Extended Warranty backed by the Manufacturer (typically 5 years or longer).

Normally, these types of cases fall outside the scope of the state lemon law but are covered under special federal lemon laws.

Prior history of mechanical problems known to the seller: Laundered Lemon.
Previously salvaged or wrecked.
Fraudulently rolled back odometer.
Rental car, police car, taxi, or similar.
Stolen, stripped and rebuilt.
Involved in a flood.

Lemon Laws vary from state to state, so accurate information on the scope and restrictions of Lemon Laws in a particular state should be obtained

Other lemon laws

Lemon laws are not limited to cars. There are RV lemon laws, boat lemon laws, motorcycle, wheelchair, and computer lemon

Canada

CAMVAP is available in every Canadian Province and Territory.

CHASE CREDIT CARDS

2009-07-23T09:16:00.000-07:00

A credit card is part of a system of payments named after the small plastic card issued to users of the system. It is a card entitling its holder to buy goods and services based on the holder's promise to pay for these goods and services. The issuer of the card grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant or as a cash advance to the user.

A credit card is different from a charge card, where a charge card requires the balance to be paid in full each month. In contrast, credit cards allow the consumers to 'revolve' their balance, at the cost of having interest charged. Most credit cards are issued by local banks or credit unions, and are the shape and size specified by the ISO/IEC 7810 standard as ID-1.

How credit cards work

Credit cards are issued after an account has been approved by the credit provider, after which cardholders can use it to make purchases at merchants accepting that card.

When a purchase is made, the credit card user agrees to pay the card issuer. The cardholder indicates consent to pay by signing a receipt with a record of the card details and indicating the amount to be paid or by entering a personal identification number (PIN). Also, many merchants now accept verbal authorizations via telephone and electronic authorization using the Internet, known as a 'Card/Cardholder Not Present' (CNP) transaction.

Electronic verification systems allow merchants to verify that the card is valid and the credit card customer has sufficient credit to cover the purchase in a few seconds, allowing the verification to happen at time of purchase. The verification is performed using a credit card payment terminal or Point of Sale (POS) system with a communications link to the merchant's acquiring bank. Data from the card is obtained from a magnetic stripe or chip on the card; the latter system is in the United Kingdom and Ireland commonly known as Chip and PIN, but is more technically an EMV card.

Other variations of verification systems are used by eCommerce merchants to determine if the user's account is valid and able to accept the charge. These will typically involve the cardholder providing additional information, such as the security code printed on the back of the card, or the address of the cardholder.

Each month, the credit card user is sent a statement indicating the purchases undertaken with the card, any outstanding fees, and the total amount owed. After receiving the statement, the cardholder may dispute any charges that he or she thinks are incorrect (see Fair Credit Billing Act for details of the US regulations). Otherwise, the cardholder must pay a defined minimum proportion of the bill by a due date, or may choose to pay a higher amount up to the entire amount owed. The credit issuer charges interest on the amount owed if the balance is not paid in full (typically at a much higher rate than most other forms of debt). Some financial institutions can arrange for automatic payments to be deducted from the user's bank accounts, thus avoiding late payment altogether as long as the cardholder has sufficient funds.

Advertising, solicitation, application and approval

Credit card advertising regulations include Schumer's box disclosure requirements. A large fraction of junk mail consists of credit card offers. The three major US credit bureaus (Equifax, TransUnion and Experian) have chosen to allow consumers to opt out from receiving virtually all credit card solicitation offers by mail. It can be done temporarily (via 1-888-5-OPTOUT (1-888-567-8688) or OptOutPreScreen.com and can be made permanent via appropriate reply to a confirmation letter sent by postal mail in response.^[2]

Interest charges

Credit card issuers usually waive interest charges if the balance is paid in full each month, but typically will charge full interest on the entire outstanding balance from the date of each purchase if the total balance is not paid.

For example, if a user had a $1,000 transaction and repaid it in full within this grace period, there would be no interest charged. If, however, even $1.00 of the total amount remained unpaid, interest would be charged on the $1,000 from the date of purchase until the payment is received. The precise manner in which interest is charged is usually detailed in a cardholder agreement which may be summarized on the back of the monthly statement. The general calculation formula most financial institutions use to determine the amount of interest to be charged is APR/100 x ADB/365 x number of days revolved. Take the Annual percentage rate (APR) and divide by 100 then multiply to the amount of the average daily balance (ADB) divided by 365 and then take this total and multiply by the total number of days the amount revolved before payment was made on the account. Financial institutions refer to interest charged back to the original time of the transaction and up to the time a payment was made, if not in full, as RRFC or residual retail finance charge. Thus after an amount has revolved and a payment has been made, the user of the card will still receive interest charges on their statement after paying the next statement in full (in fact the statement may only have a charge for interest that collected up until the date the full balance was paid...i.e. when the balance stopped revolving).

The credit card may simply serve as a form of revolving credit, or it may become a complicated financial instrument with multiple balance segments each at a different interest rate, possibly with a single umbrella credit limit, or with separate credit limits applicable to the various balance segments. Usually this compartmentalization is the result of special incentive offers from the issuing bank, to encourage balance transfers from cards of other issuers. In the event that several interest rates apply to various balance segments, payment allocation is generally at the discretion of the issuing bank, and payments will therefore usually be allocated towards the lowest rate balances until paid in full before any money is paid towards higher rate balances. Interest rates can vary considerably from card to card, and the interest rate on a particular card may jump dramatically if the card user is late with a payment on that card or any other credit instrument, or even if the issuing bank decides to raise its revenue.

Benefits to customers

The main benefit to each customer is convenience. Compared to debit cards and checks, a credit card allows small short-term loans to be quickly made to a customer who need not calculate a balance remaining before every transaction, provided the total charges do not exceed the maximum credit line for the card. Credit cards also provide more fraud protection than debit cards. In the UK for example, the bank is jointly liable with the merchant for purchases of defective products over £100.^[3]

Additionally, carrying a credit card may be a convenience to some customers, as it eliminates the need to carry any cash for most purposes.

Detriments to customers

Credit cards with low introductory rates are limited to a fixed term, usually between 6 and 12 months after which a higher rate is charged. As all credit cards assess fees and interest, some customers become so encumbered with their credit debt service that they are driven to bankruptcy. Credit cards will often stipulate a default rate of 20 to 30 percent in the event a payment is missed. That is, if a consumer misses a payment, the rate will automatically increase to a very burdensome level. This can lead to a snowball effect in which the consumer is drowned by unexpectedly high interest rates. Further most card holder agreements enable the issuer to arbitrarily raise the interest rate for any reason they see fit.

Grace period

A credit card's grace period is the time the customer has to pay the balance before interest is charged to the balance. Grace periods vary, but usually range from 20 to 40 days depending on the type of credit card and the issuing bank. Some policies allow for reinstatement after certain conditions are met.

Usually, if a customer is late paying the balance, finance charges will be calculated and the grace period does not apply. Finance charges incurred depend on the grace period and balance; with most credit cards there is no grace period if there is any outstanding balance from the previous billing cycle or statement (i.e. interest is applied on both the previous balance and new transactions). However, there are some credit cards that will only apply finance charge on the previous or old balance, excluding new transactions.

Benefits to merchants

An example of street markets accepting credit cards. Most simply display the logos (shown in the upper-left corner of the sign) of all the cards they accept.

For merchants, a credit card transaction is often more secure than other forms of payment, such as checks, because the issuing bank commits to pay the merchant the moment the transaction is authorized, regardless of whether the consumer defaults on the credit card payment (except for legitimate disputes, which are discussed below, and can result in charges back to the merchant). In most cases, cards are even more secure than cash, because they discourage theft by the merchant's employees and reduce the amount of cash on the premises. Prior to credit cards, each merchant had to evaluate each customer's credit history before extending credit. That task is now performed by the banks which assume the credit risk. Credit cards can also aid in securing a sale, especially if the customer does not have enough cash on his or her person or checking account.

For each purchase, the bank charges the merchant a commission (discount fee) for this service and there may be a certain delay before the agreed payment is received by the merchant. The commission is often a percentage of the transaction amount, plus a fixed fee. In addition, a merchant may be penalized or have their ability to receive payment using that credit card restricted if there are too many cancellations or reversals of charges as a result of disputes. Some small merchants require credit purchases to have a minimum amount (usually between $5 and $10) to compensate for the transaction costs, though this is strictly prohibited by credit card companies and credit card companies attempt to get consumers to report such merchants.^{[citation needed]}

In some countries, for example the Nordic countries, banks guarantee payment on stolen cards only if an ID card is checked and the ID card number/civic registration number is written down on the receipt together with the signature. In these countries merchants therefore usually ask for ID. Non-Nordic citizens, who are unlikely to possess a Nordic ID card or driving license, will instead have to show their passport, and the passport number will be written down on the receipt, sometimes together with other information. Some shops use the card's PIN for identification, and in that case showing an ID card is not necessary.

Costs to merchants

Merchants are charged many fees for the privilege of accepting credit cards. The merchant may be charged a discount rate of 1%-3%+ of each transaction obtained through a credit card. Usually, the merchant will also pay a flat per-item charge of $0.05 - $0.50 for each transaction. Thus in some instances of very low value transactions, use of credit cards may actually cause the merchant to lose money on the transaction. Merchants choose to pay these costs in exchange for the increased profitable sales they can create. Thus, they are considering part of the overall cost of marketing. Merchants with very low average transaction prices or very high average transaction prices are more averse to accepting credit cards. But rates are often reduced in an attempt to include more of these types of merchants.

Parties involved

Cardholder: The holder of the card used to make a purchase; the consumer.
Card-issuing bank: The financial institution or other organization that issued the credit card to the cardholder. This bank bills the consumer for repayment and bears the risk that the card is used fraudulently. American Express and Discover were previously the only card-issuing banks for their respective brands, but as of 2007, this is no longer the case. Cards issued by banks to cardholders in a different country are known as offshore credit cards.
Merchant: The individual or business accepting credit card payments for products or services sold to the cardholder
Acquiring bank: The financial institution accepting payment for the products or services on behalf of the merchant.
Independent sales organization: Resellers (to merchants) of the services of the acquiring bank.
Merchant account: This could refer to the acquiring bank or the independent sales organization, but in general is the organization that the merchant deals with.
Credit Card association: An association of card-issuing banks such as Visa, MasterCard, Discover, American Express, etc. that set transaction terms for merchants, card-issuing banks, and acquiring banks.
Transaction network: The system that implements the mechanics of the electronic transactions. May be operated by an independent company, and one company may operate multiple networks. Transaction processing networks include: Cardnet, Nabanco, Omaha, Paymentech, NDC Atlanta, Nova, TSYS, Concord EFSnet, and VisaNet.^[4]
Affinity partner: Some institutions lend their names to an issuer to attract customers that have a strong relationship with that institution, and get paid a fee or a percentage of the balance for each card issued using their name. Examples of typical affinity partners are sports teams, universities, charities, professional organizations, and major retailers.

The flow of information and money between these parties — always through the card associations — is known as the interchange, and it consists of a few steps.

Transaction steps

Authorization: The cardholder pays for the purchase and the merchant submits the transaction to the acquirer (acquiring bank). The acquirer verifies the credit card number, the transaction type and the amount with the issuer (Card-issuing bank) and reserves that amount of the cardholder's credit limit for the merchant. An authorization will generate an approval code, which the merchant stores with the transaction.

Batching: Authorized transactions are stored in "batches", which are sent to the acquirer. Batches are typically submitted once per day at the end of the business day. If a transaction is not submitted in the batch, the authorization will stay valid for a period determined by the issuer, after which the held amount will be returned back to the cardholder's available credit (see authorization hold). Some transactions may be submitted in the batch without prior authorizations; these are either transactions falling under the merchant's floor limit or ones where the authorization was unsuccessful but the merchant still attempts to force the transaction through. (Such may be the case when the cardholder is not present but owes the merchant additional money, such as extending a hotel stay or car rental.)

Clearing and Settlement: The acquirer sends the batch transactions through the credit card association, which debits the issuers for payment and credits the acquirer. Essentially, the issuer pays the acquirer for the transaction.

Funding: Once the acquirer has been paid, the acquirer pays the merchant. The merchant receives the amount totaling the funds in the batch minus the "discount rate," which is the fee the merchant pays the acquirer for processing the transactions.

Chargebacks: A chargeback is an event in which money in a merchant account is held due to a dispute relating to the transaction. Chargebacks are typically initiated by the cardholder. In the event of a chargeback, the issuer returns the transaction to the acquirer for resolution. The acquirer then forwards the chargeback to the merchant, who must either accept the chargeback or contest it.

Secured credit cards

A secured credit card is a type of credit card secured by a deposit account owned by the cardholder. Typically, the cardholder must deposit between 100% and 200% of the total amount of credit desired. Thus if the cardholder puts down $1000, they will be given credit in the range of $500–$1000. In some cases, credit card issuers will offer incentives even on their secured card portfolios. In these cases, the deposit required may be significantly less than the required credit limit, and can be as low as 10% of the desired credit limit. This deposit is held in a special savings account. Credit card issuers offer this because they have noticed that delinquencies were notably reduced when the customer perceives something to lose if the balance is not repaid.

The cardholder of a secured credit card is still expected to make regular payments, as with a regular credit card, but should they default on a payment, the card issuer has the option of recovering the cost of the purchases paid to the merchants out of the deposit. The advantage of the secured card for an individual with negative or no credit history is that most companies report regularly to the major credit bureaus. This allows for building of positive credit history.

Although the deposit is in the hands of the credit card issuer as security in the event of default by the consumer, the deposit will not be debited simply for missing one or two payments. Usually the deposit is only used as an offset when the account is closed, either at the request of the customer or due to severe delinquency (150 to 180 days). This means that an account which is less than 150 days delinquent will continue to accrue interest and fees, and could result in a balance which is much higher than the actual credit limit on the card. In these cases the total debt may far exceed the original deposit and the cardholder not only forfeits their deposit but is left with an additional debt.

Most of these conditions are usually described in a cardholder agreement which the cardholder signs when their account is opened.

Secured credit cards are an option to allow a person with a poor credit history or no credit history to have a credit card which might not otherwise be available. They are often offered as a means of rebuilding one's credit. Secured credit cards are available with both Visa and MasterCard logos on them. Fees and service charges for secured credit cards often exceed those charged for ordinary non-secured credit cards, however, for people in certain situations, (for example, after charging off on other credit cards, or people with a long history of delinquency on various forms of debt), secured cards can often be less expensive in total cost than unsecured credit cards, even including the security deposit.

Sometimes a credit card will be secured by the equity in the borrower's home.

Prepaid "credit" cards

Features

As well as convenient, accessible credit, credit cards offer consumers an easy way to track expenses, which is necessary for both monitoring personal expenditures and the tracking of work-related expenses for taxation and reimbursement purposes. Credit cards are accepted worldwide, and are available with a large variety of credit limits, repayment arrangement, and other perks (such as rewards schemes in which points earned by purchasing goods with the card can be redeemed for further goods and services or credit card cashback).

Some countries, such as the United States, the United Kingdom, and France, limit the amount for which a consumer can be held liable due to fraudulent transactions as a result of a consumer's credit card being lost or stolen

DEBT CONSOLIDATION

2009-07-23T09:12:00.000-07:00

Debt consolidation entails taking out one loan to pay off many others. This is often done to secure a lower interest rate, secure a fixed interest rate or for the convenience of servicing only one loan.

Debt consolidation can simply be from a number of unsecured loans into another unsecured loan, but more often it involves a secured loan against an asset that serves as collateral, most commonly a house. In this case, a mortgage is secured against the house. The collateralization of the loan allows a lower interest rate than without it, because by collateralizing, the asset owner agrees to allow the forced sale (foreclosure) of the asset to pay back the loan. The risk to the lender is reduced so the interest rate offered is lower.

Sometimes, debt consolidation companies can discount the amount of the loan. When the debtor is in danger of bankruptcy, the debt consolidator will buy the loan at a discount. A prudent debtor can shop around for consolidators who will pass along some of the savings. Consolidation can affect the ability of the debtor to discharge debts in bankruptcy, so the decision to consolidate must be weighed carefully.

Debt consolidation is often advisable in theory when someone is paying credit card debt. Credit cards can carry a much larger interest rate than even an unsecured loan from a bank. Debtors with property such as a home or car may get a lower rate through a secured loan using their property as collateral. Then the total interest and the total cash flow paid towards the debt is lower allowing the debt to be paid off sooner, incurring less interest.

Because of the theoretical advantage that debt consolidation offers a consumer that has high interest debt balances, companies can take advantage of that benefit of refinancing to charge very high fees in the debt consolidation loan. Sometimes these fees are near the state maximum for mortgage fees. In addition, some unscrupulous companies will knowingly wait until a client has backed themselves into a corner and must refinance in order to consolidate and pay off bills that they are behind on the payments. If the client does not refinance they may lose their house, so they are willing to pay any allowable fee to complete the debt consolidation. In some cases the situation is that the client does not have enough time to shop for another lender with lower fees and may not even be fully aware of them. This practice is known as predatory lending. Certainly many, if not most, debt consolidation transactions do not involve predatory lending

Student loan consolidation

In the United States, federal student loans are consolidated somewhat differently than in the UK, as federal student loans are guaranteed by the U.S. government.

USA

In a federal student loan consolidation, existing loans are purchased and closed by a loan consolidation company or by the Department of Education (depending on what type of federal student loan the borrower holds). Interest rates for the consolidation are based on that year's student loan rate, which is in turn based on the 91-day Treasury bill rate at the last auction in May of each calendar year.^{[citation needed]}

Student loan rates can fluctuate from the current low of 4.70% to a maximum of 8.25% for federal Stafford loans, 9% for PLUS loans.^{[citation needed]} The current consolidation program allows students to consolidate once with a private lender, and reconsolidate again only with the Department of Education.^{[citation needed]} Upon consolidation, a fixed interest rate is set based on the then-current interest rate. Reconsolidating does not change that rate. If the student combines loans of different types and rates into one new consolidation loan, a weighted average calculation will establish the appropriate rate based on the then-current interest rates of the different loans being consolidated together.

Federal student loan consolidation is often referred to as refinancing, which is incorrect because the loan rates are not changed, merely locked in. Unlike private sector debt consolidation, student loan consolidation does not incur any fees for the borrower; private companies make money on student loan consolidation by reaping subsidies from the federal government.

Student loan consolidation can be beneficial to students' credit rating, but it's important to note that not all federal student loan consolidation companies report their loans to all credit bureaus.

UK

In the UK Student Loan entitlements are guaranteed, and are recovered using a means-tested system from the students future income. Student Loans in the UK can not be included in Bankruptcy, but do not affect a persons credit rating because the repayments are recovered from the students future salary at source by the employer before any income is paid, similar to Income Tax and National Insurance contributions. Many students however, are struggling with debt well after their courses have finished

The level of personal debt in the UK has also risen astonishingly in recent years:

"Total UK personal debt at the end of February 2008 stood at £1,421bn. The growth rate increased to 8.9% for the previous 12 months which equates to an increase of £111bn. ^[1]

Concerns

In recent years, reports in the media have raised concerns about the use of consolidation loans.^[2] The worry is that many people are tempted to consolidate unsecured debt into secured debt, usually secured against their home. Although the monthly payments can often be lower, the total amount repaid is often significantly higher due to the long period of the loan. Debt consolidation sometimes only treats the symptoms of debt and does not address the root problem. In some circumstances, snowballing debt may be a better solution.

There are other alternatives to a debt consolidation loan, where unsecured debt is not "shifted" to secured debt, but is eliminated through a settlement or payment plan. Debt consolidation can be confusing for many people, so it is helpful to learn about all of your options, and sometimes with the help of an advisor.

Debt consolidation vs loans

The multiple options available to consolidate ones debts can be quite confusing, credit counseling programs, debt settlement, debt consolidation loans, bankruptcy are just a few options available today. Trying to find the best option to suit your current financial situation can be a difficult task.

Typically, debt consolidation programs are debt repayment programs. They can consolidate most types of unsecured debts from major credit cards to personal and student loans. You choose the accounts you want to enter into the program when joining. Once enrolled, the company will contact your creditors to negotiate more favorable repayment terms on your accounts and possibly reducing your interest rates and it may even eliminate late fees. You will then send that company one lump sum payment monthly which they will disperse to the creditors you enrolled on your account when joining.

Most so called debt consolidation loans are just home equity loans in disguise. They use the equity built up in your current home loan and use it to repay all of your unsecured debts. These types of loan options usually come with heavy application fees and can greatly extend the amount of time it will take you to pay off those debts. These loans also convert all of your current unsecured debts into a secured debt which is now backed by your home. If you fall behind on your payments you could risk losing your property.

NJ AUTO INSURANCE

2009-07-23T08:57:00.000-07:00

American International Group, Inc. (AIG) (NYSE: AIG), also known as AIU Holdings, Inc., is an American insurance corporation. Its corporate headquarters are located in the American International Building in New York City. The British headquarters office is on Fenchurch Street in London; continental Europe operations are based in La Défense, Paris, and its Asian headquarters office is in Hong Kong. According to the 2008 Forbes Global 2000 list, AIG was once the 18th-largest public company in the world. It was listed on the Dow Jones Industrial Average from April 8, 2004 to September 22, 2008.

AIG suffered from a liquidity crisis when its credit ratings were downgraded below "AA" levels in September 2008. The United States Federal Reserve Bank on September 16, 2008, created an $85 billion credit facility to enable the company to meet increased collateral obligations consequent to the credit rating downgrade, in exchange for the issuance of a stock warrant to the Federal Reserve Bank for 79.9% of the equity of AIG. The U.S. government revised the credit facility, and eventually increased the total amount available to as much as $182.5 billion. subsequently sold a number of its subsidiaries and other assets to pay down loans received, and continues to seek buyers of its assets. In March 2009, AIG faced public outrage and media and political backlash for its retention payments of $165 million. AIG employees faced hate mail and death threats, and multiple websites had sprung up attacking AIG. As a result of public furor over retention payments to its employees, AIG is re-branding a majority of its business under AIU Holdings, Inc.. FBIC, a non-profit organization fighting bad-faith insurance companies, ranks AIG eighth on its list of bad-faith insurers in a review of 655 insurer groups comprising of 3,693 insurer companies.

History

The American International Building in lower Manhattan

AIG history dates back to 1919, when Cornelius Vander Starr established an insurance agency in Shanghai, China. Starr was the first Westerner in Shanghai to sell insurance to the Chinese, which he continued to do until AIG left China in early 1949—as Mao Zedong led the advance of the Communist People's Liberation Army on Shanghai. Starr then moved the company headquarters to its current home in New York City. The company went on to expand, often through subsidiaries, into other markets, including other parts of Asia, Latin America, Europe, and the Middle East.

In 1962, Starr gave management of the company's lagging U.S. holdings to Maurice R. "Hank" Greenberg, who shifted its focus from personal insurance to high-margin corporate coverage. Greenberg focused on selling insurance through independent brokers rather than agents to eliminate agent salaries. Using brokers, AIG could price insurance according to its potential return even if it suffered decreased sales of certain products for great lengths of time with very little extra expense. In 1968, Starr named Greenberg his successor. The company went public in 1969.

Beginning in 2005, AIG became embroiled in a series of fraud investigations conducted by the Securities and Exchange Commission, U.S. Justice Department, and New York State Attorney General's Office. Greenberg was ousted amid an accounting scandal in February 2005; he is still fighting civil charges being pursued by New York state. The New York Attorney General's investigation led to a $1.6 billion fine for AIG and criminal charges for some of its executives. was succeeded as CEO by Martin J. Sullivan, who had begun his career at AIG as a clerk in its London office in 1970.

On June 15, 2008, after disclosure of financial losses and subsequent to a falling stock price, Sullivan resigned and was replaced by Robert B. Willumstad, Chairman of the AIG Board of Directors since 2006. Willumstad was forced by the US government to step down and was replaced by Edward M. Liddy on September 17, 2008

Financial crisis

Chronology of September 2008 liquidity crisis

On September 16, 2008, AIG suffered a liquidity crisis following the downgrade of its credit rating. Industry practice permits firms with the highest credit ratings to enter swaps without depositing collateral with its trading counter-parties. When its credit rating was downgraded, the company was required to post additional collateral with its trading counter-parties, and this led to an AIG liquidity crisis. AIG's London unit sold credit protection in the form of credit default swaps (CDSs) on collateralized debt obligations (CDOs) that had by that time declined in value.^[22] The United States Federal Reserve Bank announced the creation of a secured credit facility of up to US$85 billion, to prevent the company's collapse by enabling AIG to meet its obligations to deliver additional collateral to its credit default swap trading partners. The credit facility provided a structure to loan as much as US$85 billion, secured by the stock in AIG-owned subsidiaries, in exchange for warrants for a 79.9% equity stake, and the right to suspend dividends to previously issued common and preferred stock. announced the same day that its board accepted the terms of the Federal Reserve Bank's rescue package and secured credit facility. This was the largest government bailout of a private company in U.S. history, though smaller than the bailout of Fannie Mae and Freddie Mac a week earlier.

AIG's share prices had fallen over 95% to just $1.25 by September 16, 2008, from a 52-week high of $70.13. The company reported over $13.2 billion in losses in the first six months of the year. The AIG Financial Products division headed by Joseph Cassano, in London, had entered into credit default swaps to insure $441 billion worth of securities originally rated AAA. Of those securities, $57.8 billion were structured debt securities backed by subprime loans.CNN named Cassano as one of the "Ten Most Wanted: Culprits" of the 2008 financial collapse in the United States.

As Lehman Brothers (the largest bankruptcy in U.S. history at that time) suffered a catastrophic decline in share price, investors began comparing the types of securities held by AIG and Lehman, and found that AIG had valued its Alt-A and sub-prime mortgage-backed securities at 1.7 to 2 times the values used by Lehman weakened investors' confidence in AIG. On September 14, 2008, AIG announced it was considering selling its aircraft leasing division, International Lease Finance Corporation, to raise cash. Federal Reserve hired Morgan Stanley to determine if there are systemic risks to a financial failure of AIG, and asked private entities to supply short-term bridge loans to the company. In the meantime, New York regulators allowed AIG to borrow $20 billion from its subsidiaries.

At the stock market's opening on September 16 2008, AIG's stock dropped 60 percent. Federal Reserve continued to meet that day with major Wall Street investment firms, hoping to broker a deal for a non-governmental $75 billion line of credit to the company. agencies Moody's and Standard and Poor downgraded AIG's credit ratings on concerns over likley continuing losses on mortgage-backed securities. The credit rating downgrade forced the company to deliver collateral of over $10 billion to certain creditors and CDS counter-parties. The New York Times later reported that talks on Wall Street had broken down and AIG may file for bankruptcy protection on Wednesday, September 17. Just before the bailout by the US Federal Reserve, AIG former CEO Maurice (Hank) Greenberg sent an impassioned letter to AIG CEO Robert B. Willumstad offering his assistance in any way possible, ccing the Board of Directors. His offer was rebuffed.

Federal Reserve bailout

On the evening of September 16, 2008, the Federal Reserve Bank's Board of Governors announced that the Federal Reserve Bank of New York had been authorized to create a 24-month credit-liquidity facility from which AIG could draw up to $85 billion. The loan was collateralized by the assets of AIG, including its non-regulated subsidiaries and the stock of "substantially all" of its regulated subsidiaries, and with an interest rate of 850 basis points over the three-month London Interbank Offered Rate (LIBOR) (i.e., LIBOR plus 8.5%). In exchange for the credit facility, the U.S. government received warrants for a 79.9 percent equity stake in AIG, with the right to suspend the payment of dividends to AIG common and preferred shareholders. The credit facility was created under the auspices of Section 13(3) of the Federal Reserve Act.'s board of directors announced approval of the loan transaction in a press release the same day. The announcement did not comment on the issuance of a warrant for 79.9% of AIG's equity, but the AIG 8-K filing of September 18, 2008, reporting the transaction to the Securities and Exchange Commission stated that a warrant for 79.9% of AIG shares had been issued to the Board of Governors of the Federal Reserve. AIG drew down US$ 28 billion of the credit-liquidity facility on September 17, 2008. On September 22, 2008, AIG was removed from the Dow Jones Industrial Average. An additional $37.8 billion loan was extended in October. As of October 24, AIG had drawn a total of $90.3 billion from the emergency loan, of a total $122.8 billion.

Maurice Greenberg, former CEO of AIG, on September 17, 2008, characterized the bailout as a nationalization of AIG. He also stated that he was bewildered by the situation and was at a loss over how the entire situation got out of control as it did.^[45] On September 17, 2008, Federal Reserve Bank chair Ben Bernanke asked Treasury Secretary Henry Paulson join him, to call on members of Congress, to describe the need for a congressionally authorized bailout of the nation's banking system. Weeks later, Congress approved the Emergency Economic Stabilization Act of 2008. Bernanke said to Paulson on September 17

2009 employee bonus payments

Main article: AIG bonus payments controversy

In March 2009, AIG announced that they were paying out $165 million in executive bonuses. Total bonuses for the financial unit could reach $450 million and bonuses for the entire company could reach $1.2 billion. President Barack Obama, who voted for the AIG bailout as a Senator responded to the planned payments by saying "[’s hard to understand how derivative traders at A.I.G. warranted any bonuses, much less $165 million in extra pay. How do they justify this outrage to the taxpayers who are keeping the company afloat?" and "In the last six months, A.I.G. has received substantial sums from the U.S. Treasury. I’ve asked Secretary Geithner to use that leverage and pursue every legal avenue to block these bonuses and make the American taxpayers whole."

A protester outside of AIG's headquarters in the wake of the bonus controversy is interviewed by news media.

Politicians on both sides of the Congressional aisle reacted with outrage to the planned bailouts. Senator Chuck Grassley (R-Iowa) said "I would suggest the first thing that would make me feel a little bit better toward them if they'd follow the Japanese example and come before the American people and take that deep bow and say, I'm sorry, and then either do one of two things: resign or go commit suicide." Senator Chuck Schumer (D-New York) accused AIG of "Alice in Wonderland business practices" and said "It boggles the mind." He has threatened to tax the bonuses at up to 100%. Senator Richard Shelby (R-Alabama) said "These people brought this on themselves. Now you're rewarding failure. A lot of these people should be fired, not awarded bonuses. This is horrible. It's outrageous." Senator Mitch McConnell (R-Kentucky) echoed his comments, saying "This is an outrage." Senator Jon Tester (D-Montana) said "This is ridiculous." and AIG executives "need to understand that the only reason they even have a job is because of the taxpayers."Dick Durbin (D-Illinois) said "I've had it." and "The fact that they continue to do it while we pour in billions of dollars is undefensible

Representative Barney Frank (D-Massachusetts), Chairman of the House Financial Services Committee, said paying these bonuses would be "rewarding incompetence"

and "These people may have a right to their bonuses. They don't have a right to their jobs forever." Representative Mark Kirk (R-Illinois) said "AIG should not be on welfare from Uncle Sam, and yet paying bonuses and transferring a considerable amount of taxpayer funds to entities overseas."Federal Reserve Chairman Ben Bernanke said "It makes me angry. I slammed the phone more than a few times on discussing AIG." Lawrence Summers, Director of the National Economic Council, said "The easy thing would be to just say, you know, ‘Off with their heads,’ and violate the contracts."Austan Goolsbee, of the Council of Economic Advisers said "I don't know why they would follow a policy that's really not sensible, is obviously going to ignite the ire of millions of people." and "You worry about that backlash."

Political commentators and journalists expressed an equally bipartisan outrage.

On March 24, 2009, The New York Times printed the resignation letter of Jake DeSantis, executive vice president of AIG’s financial products unit, to Edward M. Liddy, the chief executive of AIG. DeSantis stated he had nothing to do with the credit default swaps, he lost much of his life savings in the form of deferred compensation invested in the capital of AIG Financial Products; he had agreed to work for an annual salary of $1 out of a sense of duty, that he was assured many times the bonuses would be paid in March 2009, and that he believed he and others were let down by Liddy's lack of support. He also stated he was going to donate his bonus to those suffering from the global economic downturn.

It was reported that Senator Christopher Dodd (D-Con) (who first denied, then admitted to amending the legislation to allow the AIG bonuses), received $160,000 from employees of AIG. A memo issued in 2006 by Joseph Cassano, AIG Financial Products chief executive, urged AIG employees to donate to Dodd, saying that as "next in line to become chairman of the Senate Banking, Housing, and Urban Affairs Committe... Senator Dodd will now have the opportunity to set the committee's agenda on issues critical to the financial services industry."

EQUITY LOAN RATES

2009-07-23T08:53:00.000-07:00

A home equity loan (sometimes abbreviated HEL) is a type of loan in which the borrower uses the equity in their home as collateral. These loans are sometimes useful to help finance major home repairs, medical bills or college education. A home equity loan creates a lien against the borrower's house, and reduces actual home equity.

Home equity loans are most commonly second position liens (second trust deed), although they can be held in first or, less commonly, third position. Most home equity loans require good to excellent credit history, and reasonable loan-to-value and combined loan-to-value ratios. Home equity loans come in two types, closed end and open end.

Both are usually referred to as second mortgages, because they are secured against the value of the property, just like a traditional mortgage. Home equity loans and lines of credit are usually, but not always, for a shorter term than first mortgages. In the United States, it is sometimes possible to deduct home equity loan interest on one's personal income taxes.

There is a specific difference between a home equity loan and a Home Equity Line of Credit (HELOC). A HELOC is a line of revolving credit with an adjustable interest rate whereas a home equity loan is a one time lump-sum loan, often with a fixed interest rate.

When considering a loan, the borrower should be familiar with the terms recourse and nonrecourse loan, secured and unsecured debt, and dischargeable and non-dischargeable debt.

US traditional mortgages are usually non recourse loans. "Nonrecourse debt or a nonrecourse loan is a secured loan (debt) that is secured by a pledge of collateral, typically real property, but for which the borrower is not personally liable."^[1] A US home equity loan may be a recourse loan for which the borrower is personally liable. This distinction becomes important in foreclosure since the borrower may remain personally liable for a recourse debt on a foreclosed property.

Home equity loans are secured loans. "The debt is thus secured against the collateral — in the event that the borrower defaults, the creditor takes possession of the asset used as collateral and may sell it to satisfy the debt by regaining the amount originally lent to the borrower." Credit card debt is an unsecured debt such that no asset has been pledged as collateral for the loan. Using a home equity loan to pay off credit card debt essentially converts an unsecured debt to a secured debt.

When deciding upon a type of loan, the borrower should also consider if the debt is dischargeable in bankruptcy. For instance, US student loans are "practically non-dischargeable in bankruptcy".

Closed end home equity loan

The borrower receives a lump sum at the time of the closing and cannot borrow further. The maximum amount of money that can be borrowed is determined by variables including credit history, income, and the appraised value of the collateral, among others. It is common to be able to borrow up to 100% of the appraised value of the home, less any liens, although there are lenders that will go above 100% when doing over-equity loans. However, state law governs in this area; for example, Texas (which was, for many years, the only state to not allow home equity loans) only allows borrowing up to 80% of equity.

Closed-end home equity loans generally have fixed rates and can be amortized for periods usually up to 15 years. Some home equity loans offer reduced amortization whereby at the end of the term, a balloon payment is due. These larger lump-sum payments can be avoided by paying above the minimum payment or refinancing the loan.

In other words , Closed end means there will be an end date for the loan. No future draws under that loan will occur.

Open end home equity loan

This is a revolving credit loan, also referred to as a home equity line of credit, where the borrower can choose when and how often to borrow against the equity in the property, with the lender setting an initial limit to the credit line based on criteria similar to those used for closed-end loans. Like the closed-end loan, it may be possible to borrow up to 100% of the value of a home, less any liens. These lines of credit are available up to 30 years, usually at a variable interest rate. The minimum monthly payment can be as low as only the interest that is due.

Typically, the interest rate is based on the Prime rate plus a margin.

Home equity loan fees

Here is a brief list of possible fees that may apply to your home equity loan: Appraisal fees, originator fees, title fees, stamp duties, arrangement fees, closing fees, early pay-off and other costs are often included in loans. Surveyor and conveyor or valuation fees may also apply to loans, some may be waived. The survey or conveyor and valuation costs can often be reduced, provided you find your own licensed surveyor to inspect the property considered for purchase. The title charges in secondary mortgages or equity loans are often fees for renewing the title information. Most loans will have fees of some sort, so make sure you read and ask several questions about the fees that are charged.

STUDENT LOAN INFORMATION

2009-07-23T08:36:00.000-07:00

Studying abroad is the act of a student pursuing educational opportunities in another country.

Typically, classes taken while studying abroad award credits transferable to higher education institutions in the home country. Length of study can range from one week, usually during a domestic break, to an academic year, encompassing a couple academic terms.

Some students choose to study abroad in order to learn a language from native speakers. Others may take classes in their academic major in a place that allows them to expand their hands-on experience (e.g. someone who’s studying marine biology studying abroad in Jamaica or a student of sustainable development living and studying in a remote village in Senegal). Still other students may study abroad in order to explore topics within the framework of a different educational system (e.g. a student of English who goes to the United States to study American literature).

History

In the USA, the act of studying abroad originated at the University of Delaware. In 1923, Professor Raymond W. Kirkbride sent a group of eight students to Paris, France. At the time, the concept of students studying in a different country was incredibly unconventional. Kirkbride's program was originally named the "Foreign Study Plan". For a period of time, study abroad was seen as an option primarily for foreign language students. Recently this has changed, and the scope of study abroad programs has increased greatly.

In the 2003/2004 academic year, the four countries US students chose to study abroad in most were the United Kingdom, Italy, Spain and France. 46% of US students studying abroad went to one of these four countries, and 61% of US students studying abroad went to Europe. In that same academic year, the number of students that chose to study abroad in China increased by 90%. The total number of US students studying abroad during that academic year was 191,321.

Why Study Abroad?

Some students study abroad to:

Challenge oneself
Help learn a new language by immersion
Develop skills for living in a globally interdependent and culturally diverse world
Experience another culture (and its architecture, art, history, language, music, etc.)
Get a change of scenery from the home school
Satisfy desire for adventure, exploration, and fun
Improve their employment prospects
Gain a unique and new appreciation for their home country

Types of Programs

U.S. students can choose from a wide range of study abroad programs differentiated by mission, provider type, and degree of integration.

Mission

While study abroad programs started out with the mission of educating foreign language majors, today there are study abroad programs with many different missions. In addition to language-focused programs, there are programs geared to specific academic areas (art, architecture, business, comparative religion, engineering, environmental studies, international politics, sciences, etc.).

Provider Type

Providers are the organizations that run study abroad programs. There are four basic types.

U.S. college or university - Probably the largest group of providers
U.S. non-degree-granting university - Also called third-party providers
Consortium - Group of colleges and universities that work together
Overseas university - Some programs are designed for Americans, others have a division for foreign students.

Another aspect of providers is the resident director, the primary responsible party providing support to students. Characteristics are full-time or part-time, faculty or study abroad professional, and American or host country national.

Degree of Integration

Study abroad programs have a spectrum of integration, from those that offer the greatest integration into host institutions to those offering the most assistance to students.

Integrated - Complete (or nearly complete) integration into the host academic programming; the director is often a citizen of the host country; students take regular university courses with locals.
Peninsula - Mix of selected local resources and provider-managed resources. Some courses may only be available to program participants, others may be taught by local university faculty.
Island - Strong support services enhance the local experience and give it context. This allows an overseas experience without diverging from the home school's degree program.

Study abroad resources

There are a number of print editions compiling study abroad programs. These are trade and special interest publications listing programs, and frequently available at college study abroad offices. Individual students can also check for the existence of a study abroad office at their own college or university.

In some countries, students wishing to study abroad seek help with study abroad consultants. Study Abroad consultants have contracts with different universities and colleges in different countries, so these consultants act as representatives of these institutions. The role of these consultants is to give details about course, fee structures, fee payments procedures, scholarships options of intended institution, help students with application procedures. They also guide about visa process of the intended country

Financial aid for U.S. students may include a combination of scholarships, government student loans, and private student loans.

Scholarships

Scholarships are offered by a number of organizations and foundations. Scholarships can be highly competitive, because students are not required to repay the money awarded. Research into available scholarships and private grants should be initiated well in advance of a student's planned travel date. In addition, government or private aid may need to be sought.

Government Student Loans

Amendments made in 1992 to the Higher Education Act of 1965, TITLE VI, SEC. 601-604^[7] in the U.S. ruled that students can receive financial aid for study abroad if they are enrolled in a program that is approved by their home institution and would be eligible to receive government funding without regard to whether the study abroad program is required as a part of the student's degree.

Financial aid can cover all "reasonable" costs for a study abroad program, including:

Health insurance
Living costs incurred during the program
Passport and visa fees
Round-trip transportation for the approved program
Tuition and fees for the program

To get government financial aid, students must complete the Federal Application for Student Aid (FAFSA). Funds are awarded by the United States Department of Education. As long as the issuing institution pre-approves the credit to be earned abroad, federal aid can be used toward study abroad programs. Forms of government aid include the PLUS Loan, Perkins Loan, Pell Grant, and Stafford Loan programs.

Private Student Loans

Private student loans are not guaranteed by a government agency, but generally offer higher loan limits, grace period with no payments due until after graduation, and base availability on credit history vs. financial need.

Private loans are a good option:

If a student is not currently enrolled in a U.S. college or university
If a student is not eligible for federal financial aid
If federal financial aid doesn't cover all study abroad tuition, living arrangements, and/or transportation costs

Student loans in the United Kingdom

British undergraduate and PGCE students can apply for a student loan through Student Finance England or Student Finance Wales in England and Wales, the Student Awards Agency for Scotland (SAAS), or their local education and library board in Northern Ireland. SFE, SFW, SAAS, or education and library board then assesses the application and determines the amount that the student is eligible to borrow, as well as how much tuition fees, if any, the student must pay. The family's income; whether the student will be living at home, away from home, or in London; disabilities; and other factors are taken into account. From academic year 2009/10, 72% of the full loan (£2763 - £4988 dependant upon living situation) is available to all students in England and Wales, with only the final 28% being means-tested (taking the total available up to just over £4,950 for those studying outside London and £6,928 for those living away from the family home and studying in London). Scotland has a slightly different assessment method where more of the loan is means-tested with a minimum loan of only £840. However much you get, it is paid in three instalments during each year of the student's course (one per term). Special rules apply for some courses and for part-time courses.

Interest and repayment

Loans are provided by the Student Loans Company and do not have to be repaid until the April of the year after students have completed their course and are earning £15,000 a year. However, the monthly threshold is £1250 so if you earn over that one month (say due to working overtime) you will make a payment towards your loan that month even if your gross yearly pay is less than £15,000. You will have to claim back this payment at the end of the tax year when you have received your P60 from your employer.

The interest rate is updated annually and is tied to inflation. It is applied only to maintain a constant value of the outstanding loan, as the "buying power" of the pound changes and not to provide "earned interest". The loan is normally repaid using the PAYE system, with 9% of the graduate's gross salary over £15,000 automatically being deducted to pay back the loan. There is no particular schedule for clearing the debt, but, if it has not been cleared 25 years after repayment began, or the student turns 65 years old the remaining debt will be cancelled, in circumstances where the borrower has fully met their repayment obligations and not defaulted at any time when they should have been repaying. For students beginning courses before 1998, the arrangements for repaying and deferring are different. Although Scottish students have their tuition fees covered by the SAAS during their time of study, much of this is actually repaid in a Graduate Endowment. The Graduate Endowment has now been abolished and new students will not be required to pay it.

Higher Education Act 2004

The Higher Education Act 2004 made significant changes to the loans system in England, Wales and Northern Ireland from 2006. Those with sufficient private funding can still pay tuition fees 'upfront' but everyone who satisfies residence criteria - regardless of their income - is now entitled to take out a loan to pay their fees. For those who take out a tuition fee loan, the Student Loans Company pays their fees direct to the place of study and the student, once they have graduated or left their course, Universities are now required to sign a special agreement with the Office for fair Access and, in return for an undertaking to provide a minimum bursary of £300 for all students who qualify, they may now charge tuition fees of up to £3,225. Students who began their courses prior to academic year 2006/07 are entitled to borrow additional loans to cover their tuition fees (which remain at the old rate). Critics claim these top-up fees will create tiers of "expensive" and "cheap" universities and make university financially inaccessible to many students. As a result, there have been national demonstrations and protests by students' unions.

Student Finance England

For all students whose 'domicile' (family or full-time home base) is in England, radical changes are underway to enhance and improve the student finance system. Now known as Student Finance England, this is a comprehensive new service which is being phased in between now (2008) and 2012 and is being based on widespread consultation with students, prospective students, parents and other 'sponsors' helping a student through university. It seeks to reduce significantly the amount of time and effort required to apply for finance and the system is being constructed in a way which joins up the main agencies in higher education in a way that has not existed hitherto. The time scale of application is being changed, so that a student will be able to apply for finance at the same time as they apply for a university place and information is being shared in such a way that repeated requests for the same student details will be got rid of.

First year students applying this year for a place in 2009 will have to deal with just two agencies - UCAS (to apply for a place) and the Student Loans Company, which will share much of the information supplied to UCAS and will then assess the applicant's eligibility for finance and make the appropriate payments. This service will be increased and extended to second and third year students in the subsequent two years until all applicants are assessed in the same way by SLC.

Already, student finance has been radically changed to make it much easier for people from less well-off backgrounds to attend university. Now, anyone from a home background earning less than £25,000 but not more than £60,000 after normal deductions is entitled to a maintenance grant, the size of which(up to £2,835) will depend on income. Also, those entitled to the full maintenance grant are automatically entitled to the full bursary at their place of study (which can be up to £3,000 but is typically £1,000 per academic year). This year, the maximum loan amount for studying in London is £6,928 and (away from the family home) elsewhere £4,950.

Reliable source: Learning and Development Trainer within The Student Loans Company/Student Support Regulations as publised by DIUS (now known as BIS - Department for Business, Innovation and Skills)

TERM LIFE INSURANCE

2009-07-23T08:32:00.000-07:00

Term life insurance or term assurance is life insurance which provides coverage for a limited period of time, the relevant term. After that period, the insured can either drop the policy or pay annually increasing premiums to continue the coverage. If the insured dies during the term, the death benefit will be paid to the beneficiary. Term insurance is often the most inexpensive way to purchase a substantial death benefit on a coverage amount per premium dollar basis.

Term life insurance is the original form of life insurance and is considered to be pure insurance protection because it builds no cash value. This is in contrast to permanent life insurance such as whole life, universal life, and variable universal life.

Term insurance functions in a manner similar to most other types of insurance in that it satisfies claims against what is insured if the premiums are up to date and the contract has not expired, and does not expect a return of Premium dollars if no claims are filed. As an example, auto insurance will satisfy claims against the insured in the event of an accident and a home owner policy will satisfy claims against the home if it is damaged or destroyed by, for example, an earthquake or fire. Whether or not these events will occur is uncertain, and if the policy holder discontinues coverage because he has sold the insured car or home the insurance company will not refund the premium. This is purely risk protection.

Usage

Because term life insurance is a pure death benefit, its primary use is to provide coverage of financial responsibilities, for the insured. Such responsibilities may include, but are not limited to, consumer debt, dependent care, college education for dependents, funeral costs, and mortgages.

Annual renewable term

The simplest form of term life insurance is for a term of one year. The death benefit would be paid by the insurance company if the insured died during the one year term, while no benefit is paid if the insured dies one day after the last day of the one year term. The premium paid is then based on the expected probability of the insured dying in that one year.

Because the likelihood of dying in the next year is low for anyone that the insurer would accept for the coverage, purchase of only one year of coverage is rare.

One of the main challenges to renewal experienced with some of these policies is requiring proof of insurability. For instance the insured could acquire a terminal illness within the term, but not actually die until after the term expires. Because of the terminal illness, the purchaser would likely be uninsurable after the expiration of the initial term, and would be unable to renew the policy or purchase a new one.

This issue is frequently overcome by a feature in some policies called guaranteed reinsurability included on some programs, that allows the insured to renew without proof of insurability.

A version of term insurance which is commonly purchased is annual renewable term (ART). In this form, the premium is paid for one year of coverage, but the policy is guaranteed to be able to be continued each year for a given period of years. This period varies from 10 to 30 years, or occasionally until age 95. As the insured ages, the premiums increase with each renewal period, eventually becoming financially inviable as the rates for a policy would eventually exceed the cost of a permanent policy. In this form the premium is slightly higher than for a single year's coverage, but the chances of the benefit being paid are much higher.

Level term life insurance

Much more common than annual renewable term insurance is guaranteed level premium term life insurance, where the premium is guaranteed to be the same for a given period of years. The most common terms are 10, 15, 20, and 30 years.

In this form, the premium paid each year remains the same for the duration of the contract. This cost is based on the summed cost of each year's annual renewable term rates, with a time value of money adjustment made by the insurer. Thus, the longer the term the premium is level for, the higher the premium, because the older, more expensive to insure years are averaged into the premium.

Most level term programs include a renewal option and allow the insured to renew for a maximum guaranteed rate if the insured period needs to be extended. It is important to note that the renewal may or may not be guaranteed and the insured should review their contract to see if evidence of insurability is required to renew the policy. Typically this clause is invoked only if the health of the insured deteriorates significantly during the term, and poor health would prevent them from being able to provide proof of insurability.

Payout likelihood and cost difference

Both term insurance and permanent insurance use the exact same mortality tables for calculating the cost of insurance, and a death benefit which is income tax free, as long as the policy is in force and premiums are current; however, the premiums are substantially different.

The reason the costs are substantially different is that term programs may expire without paying out, while permanent programs must always pay out eventually. To address this Permanent programs have built in cash accumulations vehicles to force the insured to "self insure" making the programs many times more expensive.

Insurance industry studies have shown that the probability of filing a death benefit claim under a term insurance policy is unlikely.^{[citation needed]} One study placed the percentage as low as 1% of policies paying a benefit. The low payout likelihood allows term insurance to be relatively inexpensive. The low payout percentage is a combination of there being a low likelihood (in the aggregate) of a random, healthy person dying within a short period of time. Because of the low likelihood of an insurer having to pay a death benefit, term insurance seems better when considered in terms of coverage per premium dollar basis - by a factor of up to 10.

ONLINE CAR INSURANCE

2009-07-23T08:26:00.000-07:00

Online insurance refers to provision of buying and selling insurance online. Insurance is subject to Utmost Good Faith, which makes it very convenient for people to conduct the business online, as both the parties have absolute duties to tell all the facts which are material, else the contract are void.

Conducting a full transaction of insurance is tough for most of the commercial businesses, but many types of personal insurances are conducted online including but not limited to Motor (car) insurance, travel insurance and medical insurance.

Many of the online insurance providers, just provide the insurance quote online and the rest of the process is done manually, this is very convenient for cases where the physical paper is important to complete a process. An example is car insurance in Dubai / car insurance in UAE, where it is mandatory to give Arabic certificate of insurance before registering the car. The certificate should bring physical stamp of the issuing company, hence it is virtually impossible to complete the complete transaction online. hence websites like Tameen4u.com provides you online insurance quotes and complete the rest of the procedure offline.

rance comes in many forms, levels of coverage and even coverage requirements depending on what state the car is registered in and possibly details in the car’s financing. Because of this variety it’s good to find a resource that allows you to compare auto insurance quotes to find the best deal for the coverage you want.

Your car insurance rates will vary depending on the exact mix of coverage, and it’s important to take the time to compare auto insurance. Automobile insurance can be roughly broken down into six categories: bodily injury liability; property damage liability; medical payments, or personal injury protection; collision, comprehensive physical damage; and uninsured or underinsured motorist.

The two types of auto insurance all states require car owners to carry are bodily injury and property damage. These requirements help ensure all drivers can pay for damages or injury caused by the vehicle they are driving. Each state does have it’s own specific requirements for minimum auto insurance, so do be certain you understand the requirements in your state.

Beyond required car insurance, collision is a popular option to look at when getting a car insurance quote to compare different plans. Collision pays for damages to your car in case of an accident – either with another vehicle, an object or just loss of control that leads to damages. Collision insurance comes with a deductible that must be paid before insurance kicks in, and a typical deductible will range from $250 to $1000. The higher the premium paid on the auto insurance, the lower the deductible. If you are not at fault in the accident, you might even get your deductible covered by the driver who was found at fault.

Comprehensive coverage adds anther layer of protection beyond required liability and collision. Comprehensive auto insurance covers damages or loss caused by something beyond an accident with another car or an object. This type of loss can come from a number of sources such as fire, falling objects, hail, flood, vandalism, missiles, explosion, riot, striking an animal, earthquake or windstorm. Comprehensive also covers glass breakage such as a cracked windshield. Comprehensive auto insurance is typically sold with a deductible, similar to collision.

According to the National Association of Insurance Commissioners, 72 percent of insured drivers opt for collision coverage and of those drivers 77 percent add comprehensive coverage to their collision and liability coverage.

The key to buying automobile insurance is to become informed on what type of coverage you are required to carry and then what additional coverage you’d like to add to your policy. Be sure to take the time and compare auto insurance quotes because the cost of similar plans can vary between different insurance companies, and when you do decide on a policy make sure it contains the coverage you want.

Remember car insurance is more expensive in urban areas when compared to rural areas because of more traffic, increased possibility for vandalism or theft and the fact urban areas have a higher incidence of insurance fraud.

The most expensive five states/areas for automobile insurance are Washington D.C., New Jersey, Louisiana, New York and Florida. The five least expensive are North Dakota, Iowa, South Dakota, Idaho and Kansas.

STUDENT LOANS IN USA

2009-07-23T08:23:00.000-07:00

While included in the term "financial aid" higher education loans differ from scholarships and grants in that they must be paid back. They come in several varieties in the United States:

Federal student loans made to students directly: No payments while enrolled in at least half time status. If a student drops below half time status, the account will go into its 6 month grace period. If the student re-enrolls in at least half time status, the loans will be deferred, but when they drop below half time again they will no longer have their grace period. Amounts are quite limited as well.
Federal student loans made to parents: Much higher limit, but payments start immediately
Private student loans made to students or parents: Higher limits and no payments until after graduation, although interest will start to accrue immediately. Private loans may be used for any education related expenses such as tuition, room and board, books, computers, and past due balances. Private loans can also be used to supplement federal student loans, when federal loans, grants and other forms of financial aid are not sufficient to cover the full cost of higher education.

Federal loans

Federal loans to students

See Federal Perkins Loan, Stafford loan, Federal Family Education Loans, Ford Direct Student Loans, and Federal student loan consolidation

Federal student loans in the United States are authorized under Title IV of the Higher Education Act as amended.

These loans are available to college and university students via funds disbursed directly to the school and are used to supplement personal and family resources, scholarships, grants, and work-study. They may be subsidized by the U.S. Government or may be unsubsidized depending on the student's financial need.

Except in severe cases, upon death, the closest relative or next of kin must pay off the loans in lieu of the deceased.

Both subsidized and unsubsidized loans are guaranteed by the U.S. Department of Education either directly or through guaranty agencies. Nearly all students are eligible to receive federal loans (regardless of credit score or other financial issues). Both types offer a grace period of six months, which means that no payments are due until six months after graduation or after the borrower becomes a less-than-half-time student without graduating. Both types have a fairly modest annual limit. The dependent undergraduate limit effective for loans disbursed on or after July 1, 2008 is as follows (combined subsidized and unsubsidized limits): $5,500 per year for freshman undergraduate students, $6,500 for sophomore undergraduates, and $7,500 per year for junior and senior undergraduate students, as well as students enrolled in teacher certification or preparatory coursework for graduate programs. For independent undergraduates, the limits (combined subsidized and unsubsidized) effective for loans disbursed on or after July 1, 2008 are higher: $9,500 per year for freshman undergraduate students, $10,500 for sophomore undergraduates, and $12,500 per year for junior and senior undergraduate students, as well as students enrolled in teacher certification or preparatory coursework for graduate programs. Subsidized federal student loans are only offered to students with a demonstrated financial need. Financial need may vary from school to school. For these loans, the federal government makes interest payments while the student is in college. For example, those who borrow $10,000 during college will owe $10,000 upon graduation.

Unsubsidized federal student loans are also guaranteed by the U.S. Government, but the government does not pay interest for the student, rather the interest accrues during college. Nearly all students are eligible for these loans regardless of demonstrated need. Those who borrow $10,000 during college will owe $10,000 plus interest upon graduation. For example, those who have borrowed $10,000 and had $2,000 accrue in interest will owe $12,000. Interest will begin accruing on the $12,000. The accrued interest will be "capitalized" into the loan amount, and the borrower will begin making payments on the accumulated total. Students can choose to pay the interest while still in college; however, few students choose to exercise this option.

Federal student loans for graduate students have higher limits: $8,500 for subsidized Stafford and $12,500 (limits may differ for certain courses of study) for unsubsidized Stafford. Many students also take advantage of the Federal Perkins Loan. For graduate students the limit for Perkins is $6,000 per year.

Stafford loan aggregate limits

Students who borrow money for education through Stafford loans cannot exceed certain aggregate limits for subsidized and unsubsidized loans. For undergraduate students, these amounts are $23,000 in subsidized and $34,500 in unsubsidized loans.^[1] Once a student has borrowed the maximum amount s/he is eligible for (based on grade level, such as undergraduate, graduate/professional, etc.), in subsidized loans, the student has the option to take out a loan in an additional amount less than or equal to the amount s/he would have been eligible for in subsidized loans. Once both the subsidized and unsubsidized aggregate limits have been met for both subsidized and unsubsidized loans, the student is unable to borrow additional Stafford loans until a portion of the borrowed funds has been paid back to the respective lender(s). Once the student has paid back some of these amounts, s/he will regain eligibility up to the aggregate limits as before.

Federal student loans to parents

See PLUS loan

Usually these are PLUS loans (formerly standing for "Parent Loan for Undergraduate Students"). Unlike loans made to students, parents can borrow much more — usually enough to cover any gap in the cost of education. However, there is no grace period: Payments start immediately.

Parents should be aware that THEY are responsible for repayment on these loans, not the student. This is not a 'cosigner' loan with the student having equal accountability. The parents have signed the master promissory note to pay and, if they do not do so, it is their credit rating that suffers. Also, parents are advised to consider "year 4" payments, rather than "year 1" payments. What sounds like a "manageable" debt load of $200 a month in freshman year can mushroom to a much more daunting $800 a month by the time four years have been funded through loans. The combination of immediate repayment and the ability to borrow substantial sums can be expensive.

Under new legislation, graduate students are eligible to receive PLUS loans in their own names. These Graduate PLUS loans have the same interest rates and terms of Parent PLUS loans.

Parents should also be aware that legislation raised the interest rate on these loans significantly — to 8.5% on July 1, 2006.

Disbursement: How the money gets to student or school

There are two distribution channels for federal student loans: Federal Direct Student Loans and Federal Family Education Loans.

Federal Direct Student Loans, also known as Direct Loans or FDLP loans, are funded from public capital originating with the U.S. Treasury. FDLP loans are distributed through a channel that begins with the U.S. Treasury Department and from there passes through the U.S. Department of Education, then to the college or university and then to the student.
Federal Family Education Loan Program loans, also known as FFEL loans or FFELP loans, are funded with private capital provided by banking institutions (i.e., banks, savings and loans, and credit unions). Because the FFELP loans use private capital as their source, students who use FFELP loans are able to take advantage of payment options that are similar to those available to customers who take out a home loan or a consumer loan. For example, some institutions will allow a discount for automatic payments or a series of on-time payments. In 2005, approximately two-thirds of all federally subsidized student loans were FFELP.

According to the U.S. Department of Education, more than 6,000 colleges, universities, and technical schools participate in FFELP, which represents about 80% of all schools. FFELP lending represents 75% of all federal student loan volume.

The maximum amount that any student can borrow is adjusted from time to time as federal policies change. A study published in the winter 1996 edition of the Journal of Student Financial Aid, “How Much Student Loan Debt Is Too Much?” suggested that the monthly student debt payment for the average undergraduate should not exceed 8% of total monthly income after graduation. Some financial aid advisers have referred this as "the 8% rule." Circumstances vary for individuals, so the 8% level is an indicator, not a rule set in stone. A research report about the 8% level is available at [1].

Private student loans

These are loans that are not guaranteed by a government agency and are made to students by banks or finance companies. Advocates of private student loans suggest that they combine the best elements of the different government loans into one: They generally offer higher loan limits than federal student loans, ensuring the student is not left with a budget gap. But unlike federal parent loans, they generally offer a grace period with no payments due until after graduation (this grace period ranges as high as 12 months after graduation, though most private lenders offer six months). However, some higher education advocates are private loan detractors because of the higher interest rates, multiple fees, and lack of borrower protections private loans carry that are not associated with federal loans.^[2]^[3]

[edit] Private student loan types

Private loans generally come in two types: school-channel and direct-to-consumer.

School-channel loans offer borrowers lower interest rates but generally take longer to process. School-channel loans are "certified" by the school, which means the school signs off on the borrowing amount, and the funds are disbursed directly to the school.

Direct-to-consumer private loans are not certified by the school; schools don't interact with a direct-to-consumer private loan at all. The student simply supplies enrollment verification to the lender, and the loan proceeds are disbursed directly to the student. While direct-to-consumer loans generally carry higher interest rates than school-channel loans, they do allow families to get access to funds very quickly — in some cases, in a matter of days. Some argue^{[citation needed]} that this convenience is offset by the risk of student over-borrowing and/or use of funds for inappropriate purposes, since there is no third-party certification that the amount of the loan is appropriate for the education finance needs of the student in question.

Direct-to-consumer private loans are the fastest growing segment of education finance^{[citation needed]} and under legislative scrutiny due to the lack of school certification. Loan providers range from large education finance companies to specialty companies that focus exclusively on this niche.^{[citation needed]} Such loans will often be distinguished by the indication that "no FAFSA is required" or "Funds disbursed directly to you."

Private student loan rates and interest

Private student loans typically have variable interest rates while federal student loans have fixed rates. Consumers should be aware that some private loans require substantial up-front origination fees. These fees raise the real cost to the borrower and reduce the amount of money available for educational purposes.

Most private loan programs are tied to one or more financial indexes, such as the Wall Street Journal Prime rate or the BBA LIBOR rate, plus an overhead charge. Because private loans are based on the credit history of the applicant, the overhead charge will vary. Students and families with excellent credit will generally receive lower rates and smaller loan origination fees than those with less than perfect credit. Money paid toward interest is now tax deductible. However, lenders rarely give complete details of the terms of the private student loan until after the student submits an application, in part because this helps prevent comparisons based on cost. For example, many lenders will only advertise the lowest interest rate they charge (for good credit borrowers). Borrowers with bad credit can expect interest rates that are as much as 6% higher, loan fees that are as much as 9% higher, and loan limits that are two-thirds lower than the advertised figures.^[4]

Private student loan fees

Private loans often carry an origination fee. Origination fees are a one-time charge based on the amount of the loan. They can be taken out of the total loan amount or added on top of the total loan amount, often at the borrower's preference. Some lenders offer low-interest, 0-fee loans. Each percentage point on the front-end fee gets paid once, while each percentage point on the interest rate is calculated and paid throughout the life of the loan. Some have suggested that this makes the interest rate more critical than the origination fee.^{[citation needed]}

In fact, there is an easy solution to the fee-vs.-rate question: All lenders are legally required to provide you a statement of the "APR (Annual Percentage Rate)" for the loan before you sign a promissory note and commit to it. Unlike the "base" rate, this rate includes any fees charged and can be thought of as the "effective" interest rate including actual interest, fees, etc. When comparing loans, it may be easier to compare APR rather than "rate" to ensure an apples-to-apples comparison. APR is the best yardstick to compare loans that have the same repayment term; however, if the repayment terms are different, APR becomes a less-perfect comparison tool. With different term loans, consumers often look to "total financing costs" to understand their financing options.

Private student loan cosigners

Eligible loan programs generally issue loans based on the credit history of the applicant and any applicable cosigner/co-endorser/coborrower. This is in contrast to federal loan programs that deal primarily with need-based criteria, as defined by the EFC and the FAFSA. For many students, this is a great advantage to private loan programs, as their families may have too much income or too many assets to qualify for federal aid but insufficient assets and income to pay for school without assistance.

Many international students in the United States can obtain private loans (they are usually ineligible for federal loans) with a cosigner who is a United States citizen or permanent resident. However, some graduate programs (notably top MBA programs) have a tie-up with private loan providers and in those cases no cosigner is needed even for international students.^{[citation needed]}

Private student loan terms

The terms for private loans vary from lender to lender. A common suggestion is to shop around on all terms, not just respond to "rates as low as..." tactics that are sometimes little more than bait-and-switch. However, shopping around could damage your credit score.^[5] Examples of other borrower terms and benefits that vary by lender are deferments (amount of time after leaving school before payments start) and forbearances (a period when payments are temporarily stopped due to financial or other hardship). These policies are solely based on the contract between lender and borrower and not set by Department of Education policies.

Private student loan consolidation

Several lenders offer private consolidation programs. Borrowers of privately subsidized student loans may face the same restrictions to bankruptcy discharge as for government based loans: New legislation makes clear that these loans are, like federal student loans, not dischargeable under bankruptcy. Even before the legislation was passed, however, private student loans that were guaranteed "in whole or in part" by a nonprofit entity are non-dischargeable in bankruptcy (and most private loans, regardless of the lender, were guaranteed by a nonprofit).

Discharge of student loans

US Federal student loans and some private student loans can be discharged in bankruptcy only with a showing of "undue hardship." Bankruptcy Code Section 523(a)(8) determines what loans can and cannot be discharged. The undue hardship standard varies from jurisdiction to jurisdiction, but is generally difficult to meet, making student loans practically non-dischargeable through bankruptcy. While US Federal student loans can be discharged for total and permanent disability, private student loans cannot be discharged outside of bankruptcy.

VEHICLE INSURANCE

2009-07-23T08:10:00.000-07:00

Vehicle insurance (also known as auto insurance, car insurance, or motor insurance) is insurance purchased for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred as a result of traffic accidents and against liability that could be incurred in an accident.

Australia

In South Australia, Third Party Personal insurance from the Motor Accident Commission is included in the licence registration fee for people over 16. A similar scheme applies in Western Australia.

In Victoria, Third Party Personal insurance from the Transport Accident Commission is similarly included, through a levy, in the vehicle registration fee.

In New South Wales, Compulsory Third Party Insurance (commonly known as CTP Insurance) is a mandatory requirement and each individual car must be insured or the vehicle will not be considered legal. Therefore, a motorist cannot drive the vehicle until it is insured. A 'Green Slip,'^{[citation needed]} another name CTP Insurance is commonly known by due to the colour of the pages the form is printed on, must be obtained through one of the seven main insurers in New South Wales.

In Queensland, CTP is a mandatory part of registration for a vehicle. There is choice of insurer but price is government controlled in a tight band.

These state based third party insurance schemes usually cover only personal injury liability. Comprehensive vehicle insurance is sold separately to cover property damage and cover can be for events such as fire, theft, collision and other property damage.

Canada

Several Canadian provinces (British Columbia, Saskatchewan, Manitoba and Quebec) provide a public auto insurance system while in the rest of the country insurance is provided privately. Basic auto insurance is mandatory throughout Canada with each province's government determining which benefits are included as minimum required auto insurance coverage and which benefits are options available for those seeking additional coverage. Accident benefits coverage is mandatory everywhere except for Newfoundland and Labrador. All provinces in Canada have some form of no-fault insurance available to accident victims. The difference from province to province is the extent to which tort or no-fault is emphasized.^[2] Typically, coverage against loss of or damage to the driver's own vehicle is optional - one notable exception to this is in Saskatchewan, where SGI provides collision coverage (less than a $700 deductible, such as a collision damage waiver) as part of its basic insurance policy. In Saskatchewan, residents have the option to have their auto insurance through a tort system but less than 0.5% of the population have taken this option.^[

Ireland

The Road Traffic Act, 1933 requires all drivers of mechanically propelled vehicles in public places to have at least third-party insurance, or to have obtained exemption - generally by depositing a (large) sum of money with the High Court as a guarantee against claims. In 1933 this figure was set at £15,000. The Road Traffic Act, 1961 [1] (which is currently in force) repealed the 1933 act but replaced these sections with functionally identical sections.

From 1968, those making deposits require the consent of the Minister for Transport to do so, with the sum specified by the Minister.

Those not exempted from obtaining insurance must obtain a certificate of insurance from their insurance provider, and display a portion of this (an insurance disc) on their vehicles windscreen (if fitted). The certificate in full must be presented to a police station within ten days if requested by an officer. Proof of having insurance or an exemption must also be provided to pay for your motor tax.

Those injured or suffering property damage/loss due to uninsured drivers can claim against the Motor Insurance Bureau of Ireland's uninsured drivers fund, as can those injured (but not those suffering damage or loss) from hit and run offences.

Romania

Romanian law mandates Răspundere Auto Civilă, a motor-vehicle liability insurance for all vehicle owners to cover damages to third parties.

South Africa

South Africa allocates a percentage of the money from gasoline into the Road Accidents Fund, which goes towards compensating third parties in accidents

United Kingdom

In 1930, the UK government introduced a law that required every person who used a vehicle on the road to have at least third party personal injury insurance. Today UK law is defined by The Road Traffic Act 1988, which was last modified in 1991. The act requires that motorists either be insured, have a security, or have made a specified deposit (£500,000 as of 1991) with the Accountant General of the Supreme Court, against their liability for injuries to others (including passengers) and for damage to other persons' property resulting from use of a vehicle on a public road or in other public places.

The minimum level of insurance cover commonly available and which satisfies the requirement of the act is called third party only insurance. The level of cover provided by Third party only insurance is basic but does exceed the requirements of the act.

Road Traffic Act Only Insurance is not the same as Third Party Only Insurance and is not often sold. It provides the very minimum cover to satisfy the requirements of the act. For example Road Traffic Act Only Insurance has a limit of £250,000 for damage to third party property and does not cover emergency treatment fees. Third party insurance has a far greater limit for third party property damage and will cover emergency treatment fees.

It is an offence to drive a car, or allow others to drive it, without at least third party insurance whilst on the public highway (or public place Section 143(1)(a) RTA 1988 as amended 1991); however, no such legislation applies on private land.

Vehicles which are exempted by the act, from the requirement to be covered, include those owned by certain councils and local authorities, national park authorities, education authorities, police authorities, fire authorities, health service bodies and security services.

The insurance certificate or cover note issued by the insurance company constitutes legal evidence that the vehicle specified on the document is insured. The law says that an authorised person, such as the police, may require a driver to produce an insurance certificate for inspection. If the driver cannot show the document immediately on request, then the driver will usually be issued a HORT/1 with seven days, as of midnight of the date of issue, to take a valid insurance certificate (and usually other driving documents as well) to a police station of the driver's choice. Failure to produce an insurance certificate is an offence. The HORT/1 is commonly known - even by the issuing authorities when dealing with the public - as a "Producer".

If a vehicle has been substantially modified, the modifications must be notified to the insurer, otherwise the policy becomes invalid. In the case of a police check finding that the modifications have not been notified to the insurance companies, the driver would be prosecuted for the disclosed offence^[5].

Insurance is more expensive in Northern Ireland than in other parts of the UK.^[vague]^{[citation needed]}

Most motorists in the UK are required to prominently display a vehicle licence (tax disc) on their vehicle when it is kept or driven on public roads. This helps to ensure that most people have adequate insurance on their vehicles because an insurance certificate must be produced when a disc is purchased.

The Motor Insurers Bureau compensates the victims of road accidents caused by uninsured and untraced motorists. It also operates the Motor Insurance Database, which contains details of every insured vehicle in the country.

United States

In the United States, auto insurance covering liability for injuries and property damage done to others is compulsory in most states, though enforcement of the requirement varies from state to state. The state of New Hampshire, for example, does not require motorists to carry liability insurance (the ballpark model), while in Virginia residents must pay the state a $500 annual fee per vehicle if they choose not to buy liability insurance.^[6] Penalties for not purchasing auto insurance vary by state, but often involve a substantial fine, license and/or registration suspension or revocation, as well as possible jail time in some states. Usually, the minimum required by law is third party insurance to protect third parties against the financial consequences of loss, damage or injury caused by a vehicle.

Some states, such as North Carolina, require that a driver hold liability insurance before a license can be issued.

Arizona Department of Transportation Research Project Manager John Semmens has recommended that car insurers issue license plates, and that they be held responsible for the full cost of injuries and property damages caused by their licensees under the Disneyland model. Plates would expire at the end of the insurance coverage period, and licensees would need to return their plates to their insurance office to receive a refund on their premiums. Vehicles driving without insurance would thus be easy to spot because they would not have license plates, or the plates would be past the marked expiration date.

Coverage levels

Vehicle insurance can cover some or all of the following items:

The insured party
The insured vehicle
Third parties (car and people)
In some States coverage for injuries to persons riding in the insured vehicle is available without regard to fault in the auto accident (No Fault Auto Insurance)

Different policies specify the circumstances under which each item is covered. For example, a vehicle can be insured against theft, fire damage, or accident damage independently.

MESOTHELIOMA ATTORNEY

2009-07-23T08:04:00.000-07:00

Mesothelioma Lung Cancer

Mesothelioma cancer is caused by exposure to asbestos fibers or dust and primarily strikes persons who worked with asbestos products. It is a type of lung cancer that takes many years to develop and produce symptoms.

If you or a loved one has been diagnosed with mesothelioma, or a family member has died as a result, you may be entitled to recover compensation from the companies that made these asbestos products.

Representation:

With many years of experience, dedicated lawyers and numerous staff members, Danziger & Dellano, PC will give your case the attention it deserves. We have represented clients from across the country, and we look forward to helping you and your family.

Recovering Financial Compensation:

Danziger & Dellano has contributed to many significant victories and settlements for mesothelioma and asbestos lung cancer victims. For example, the following are amounts received by some mesothelioma clients after all attorney's fees and expenses are paid. These cases were handled by other attorneys serving as lead counsel and Danziger & Dellano assumed joint responsibility for the litigation.

Groundbreaking Mesothelioma Lawyers and Defendants

With dedicated attorneys and staff, lawyers have worked hard to ensure that clients receive high quality representation. The following are profiles of some well known mesothelioma lawyers that were instrumental in shaping mesothelioma litigation.

Fred Baron
Fred Baron, represented his first toxic tort client in the early 1970s. Then, he has built one of the largest toxic tort firms in the United States. Widely recognized as a trailblazer in the area of toxic tort law, one reporter noted,"[i]f the field of toxic torts were the frontier of the American West, Baron would have been driving the first wagon onto the plains." G. Taylor, "Outspoken Texan, Baron Establishes Toxic Tort Domain," Legal Times, Vol. VI, No. 25, at p. 10 (Nov. 21, 1983).

As a result of his work to protect the rights of victims of toxic substances, The National Law Journal has listed Fred as one of the "100 Most Influential Lawyers in the U.S." (The National Law Journal, June 8, 2000). He has been honored as a lawyer who helped shape Texas law during the 20th century in "Legal Legends: A Century of Texas Law and Lawyering" (Texas Lawyer commemorative publication, June 2000) and has been named one of Dallas' top lawyers by D Magazine (May 2001 and May 2005). The University of Texas School of Law has honored him by establishing the Frederick M. Baron Chair in Law, which is held by a senior professor of the law school engaged in original research on lawyering and the civil justice system.

A life-long advocate of the environment, the consumer, and working people, Fred Baron has served as lead attorney in complex tort cases involving MTBE and TCE water contamination, radiation contamination, community lead contamination, toxic waste, and pesticide exposure.

Fred Baron has also been credited for his efforts in defeating class action settlements whereby defendant corporations attempted to settle mass tort claims for a fraction of what individuals would otherwise be entitled to recover through the legal system. Fred has twice led successful battles to convince the United States Supreme Court to de-certify nationwide class action settlements involving the "future claims" of asbestos-related injuries, or claims that might someday be brought by people who develop asbestos-related illnesses in the future. As a result of the United States Supreme Court's opinions in Amchem Products v. Windsor, 521 U.S. 591 (1997) and Ortiz v. Fibreboard Corp., 527 U.S. 815, 119 S.Ct. 2295, 144 L.Ed.2d 715 (1999), future victims of toxic injuries can no longer have their rights compromised by class action settlements in which they have no voice.

Lisa Blue, Ph.D.

Lisa Blue, a trial attorney and psychologist, has represented hundreds of victims of asbestos and other toxic substances since 1985. Her accomplishments in trial courts around the country earned her the honor of being named one of the top 50 women litigators in the U.S. by The National Law Journal (2002), and the honor of Trial Lawyer of the Year (1999) by the Texas Chapter of the American Board of Trial Advocates (ABOTA), and recognition as one of Dallas' best lawyers by D Magazine (May 2001, May 2003, and May 2005.) Dallas Business Journal likewise named her one of hte top ten litigators in Dallas. She has also been named by Law & Politics Media as one of the top 100 lawyers in Texas, top 50 women lawyers, and top 100 lawyers in Dallas.

A licensed psychologist, Lisa is certified by the American Board of Forensic Psychology and the American Board of Professional Psychology. Well-known for her work in the area of jury selection, Ms. Blue has published a book and a number of articles on the issue as well as provided over 200 lectures on the topics of jury selection, trial psychology, and witness preparation through organizations such as the State Bar of Texas, Association of Trial Lawyers of America, the Trial Lawyers Associations of various states, and Harvard University.

Lisa Blue is a past president of the Dallas and Texas chapters of the American Board of Trial Advocates and has served on the Board of Directors of Trial Lawyers for Public Justice and Public Citizen. She is currently a member of the Board of Directors for the Dallas Bar Association. She has also served on the Executive Committee and as head of the Amicus Committee for the Texas Trial Lawyers Association; the Judiciary Task Force for the American Bar Association; the Texas Supreme Court Task Force on Judicial Reform; and as the Chair of the Dallas Bar Association CLE Committee. Lisa is a member of numerous other professional organizations, including American Association of Sex Educators, Counselors and Therapists; American Psychological Association; Dallas Psychological Association; American Bar Association; Texas Psychological Association; and the American Thoracic Association. In addition, Lisa is very involved in supporting the work of Exodus Ministries, a non-profit organization which provides transitional housing and support services to ex-convicts and their families.

Prior to private practice in 1985, Lisa was an Assistant District Attorney in Dallas and prosecuted over 125 criminal cases to verdict. Lisa also maintains a small practice as a counseling and forensic psychologist and assists in selecting juries and preparing witnesses as part of her psychology practice. In her spare time, Lisa enjoys the study of French and Spanish.

Ronald L. Motley

Ronald L. Motley is a lawyer and founding member of Motley Rice, LLC, a Mount Pleasant, South Carolina law firm focusing on plaintiff's litigation involving asbestos, mesothelioma law, plane crashes, securities and consumer fraud.

Ronald Motley graduated from the University of South Carolina School of Law, has over his three-decade career recovered significant compensation for his asbestos and mesothelioma clients. Mr. Motley was also involved in the tobacco litigation and was portrayed in the Insider by Bruce McGill in director Michael Mann's 1999 film which starred Russell Crowe.

Mr. Motley now represents over 6,500 survivors and their family members who where survivors of the September 11, 2001 terrorist attacks. Mr. Motley is pursuing claims against the financier of the 9/11 terrorists.

Mr. Motley has received the Harry M. Philo Trial Lawyer of the Year by the 50,000-member of the American Association for Justice and received the President’s Award of the National Association of Attorneys General. In 1999, he received the Youth Advocates of the Year awared for the Campaign for Tobacco-Free Kids.

In addition to trying some of the first asbestos and mesothelioma cases, Mr. Motley has published extensively on asbestos litigation. These include:

How to Handle an Asbestos Case," Chapter 21, A Guide to Toxic Torts, Matthew Bender Publication;

"Medicolegal Aspects of Asbestos-Related Diseases: A Plaintiff's Attorney's Perspective," Chapter 12, Pathology of Asbestos-Associated Diseases, Roggli, et al., eds., Little, Brown and Co., 1992

"Decades of Deception: Secrets of Lead, Asbestos and Tobacco," TRIAL Magazine, October 1999.

He has been dubbed the man who took on Manville. The National Law Journal has ranked Mr. Motley as one of the most influential lawyers in America.

Richard Scruggs

Richard "Dick" Scruggs is a well known lawyer in Mississippi. He has represented individuals diagnosed with asbestos related cancers and mesothelioma since 1980. Due to the Firm's success in representing those with asbestos related injuries, the Attorneys General of the State of Mississippi and Louisiana retained the Firm in connection with cost recovery litigation against the asbestos industry.

Scruggs attended law school at the University of Mississippi with Mike Moore. He practiced law in Jackson, Mississippi and New York before opening his own private practice in Pascagoula, Mississippi..

Scruggs' brother-in-law is Senator Trent Lott, former Majority Leader of the US Senate. Scruggs is currently representing Lott through the Scruggs Katrina Group in a lawsuit against insurance company State Farm because of damage stemming from Hurricane Katrina

Scruggs was also involved in the tobacco industry litigation. The law firm filed the first suit resulted in the first settlement of its kind with the tobacco industry. The Firm's successes and position made it instrumental in negotiating the $248 billion Master Settlement Agreement in 1998.

• A.P. Greene
• A.W. Chesterton
• Anchor Packing
• Armstrong Cork
• Asbestos Claims Management
• Babcock & Wilcox
• Bendix Corporation
• Blackman Supply
• Borg Warner
• Brown & Root
• Byron Church
• Certainteed Corporation
• C.J. McBride
• Cleaver Brooks
• Combustion Engineering
• Con Edison
• Crown Cork & Seal
• Davis & Warshow
• Duro Dyne
• F.M. Charlton
• Fibreboard Corporation
• Flexitallic Gasket
• Flintkote
• Foster Wheeler Energy
• Fuller Austin Insulation
• GAF Corporation
• Garlock
• Gasket Holding
• General Electric
• General Refractories
• George A. Fuller
• Georgia Pacific
• Glen Alden
• Grant Wilson
• H.B. Fuller
• H.K. Porter
• Harbison-Walker Refractories
• Henry Quentzel

• Indresco
• John Sore
• Joseph A. Hendel
• JT Thorpe
• Kasier Aluminum
• Kelly-Moore Paint
• Lykes Bros. Steamship
• Manville Corp.
• Metropolitan Life Insurance
• Minnesota Mining and Manufacturing
• National Gypsum Company
• North American Refractories
• Owens Corning
• Parker Abex
• Pittsburgh Corning
• Plibrico Company
• Plymouth Products
• PPG Industries
• Pneumo Abex
• Proko Industries
• Rapid American
• Riley Stoker
• Robert A. Keasbey
• Ruberoid Corporation
• Sherwood Davis & Geck
• Smith-Sharpe
• Swan Transpiration
• Synkoloid
• Turner Newall
• U.S. Gypsum
• Unarco Industries
• Uniroyal Holding
• W.R. Grace
• W.S. Tyler
• Weil McLain
• Win Way
• Zurn Industries

Arizona
Chandler
Gilbert
Glendale
Mesa
Peoria
Phoenix
Scottsdale
Tempe
California
Anaheim
Antioch
Arden-Arcade
Berkeley
Burbank
Chula Vista
Concord
Corona
Costa Mesa
Daly City
Downey
East Los Angeles
El Monte
Escondido
Fairfield
Fontana
Fremont
Fullerton
Garden Grove
Glendale
Hayward
Huntington Beach
Inglewood
Irvine
Lancaster
Long Beach
Los Angeles
Moreno Valley
Norwalk
Oakland
Oceanside
Ontario
Orange
Oxnard
Palmdale
Pasadena
Pomona
Rancho Cucamonga
Richmond
Riverside
Sacramento
San Bernardino
San Buenaventura (Ventura)
San Diego
San Francisco
San Jose
Santa Ana
Santa Clara
Santa Clarita
Santa Rosa
Simi Valley
South Gate
Sunnyvale
Thousand Oaks
Torrance
Vallejo
West Covina
Colorado
Arvada
Aurora
Denver
Fort Collins
Lakewood
Westminster

Connecticut
Bridgeport
Hartford
New Haven
Stamford
Waterbury
District of
Columbia
Washington DC
Florida
Clearwater
Coral Springs
Fort Lauderdale
Hialeah
Hollywood
Jacksonville
Miami
Miramar
Orlando
Pembroke Pines
Port St. Lucie
St. Petersburg
Tallahassee
Tampa
Georgia
Athens-Clarke
County
Atlanta
Illinois
Aurora
Chicago
Joliet
Naperville
Indiana
Indianapolis
Kansas
Kansas City
Olathe
Overland Park
Kentucky
Louisville
Louisiana
Baton Rouge
Metairie
New Orleans
Maryland
Baltimore
Massachusetts
Boston
Cambridge
Lowell
Michigan
Ann Arbor
Detroit
Livonia
Sterling Heights
Warren
Minnesota
Minneapolis
St. Paul
Missouri
Independence
Kansas City
St. Louis
North Carolina
Charlotte
Durham
Raleigh
Nevada
Henderson
Las Vegas
North Las Vegas
Paradise
Spring Valley
Sunrise Manor

New Jersey
Edison
Elizabeth
Jersey City
Newark
Paterson
New York
New York
Rochester
Syracuse
Yonkers
Ohio
Akron
Cincinnati
Cleveland
Columbus
Dayton
Oregon
Portland
Salem
Pennsylvania
Philadelphia
Pittsburgh
Rhode Island
Providence
Tennessee
Knoxville
Memphis
Texas
Arlington
Austin
Beaumont
Carrollton
Dallas
Fort Worth
Garland
Grand Prairie
Houston
Irving
Mesquite
Pasadena
Plano
Richardson
San Antonio
Utah
Provo
Salt Lake City
West Valley
Virginia
Alexandria
Arlington
Hampton
Newport News
Norfolk
Richmond
Virginia Beach
Washington
Bellevue
Seattle
Tacoma
Vancouver
Wisconsin
Madison
Milwaukee

PERSONAL INJURY ATTORNEY

2009-07-23T07:57:00.000-07:00

Personal injury is a legal term for an injury to the body, mind or emotions, as opposed to an injury to property.[1] The term is most commonly used to refer to a type of tort lawsuit alleging that the plaintiff's injury has been caused by the negligence of another.

The most common types of personal injury claims are road traffic accidents, accidents at work, tripping accidents, assault claims, accidents in the home, defective product accidents and holiday accidents. The term personal injury also incorporates medical and dental accidents (which lead to numerous medical and dental negligence claims every year) and conditions that are often classified as industrial disease cases, including asbestosis and mesothelioma, chest diseases (e.g., emphysema, pneumoconiosis, silicosis, chronic bronchitis, asthma, chronic obstructive pulmonary disease, and chronic obstructive airways disease), vibration white finger, occupational deafness, occupational stress, contact dermititis, and repetitive strain injury cases.

If the negligence of another party can be proved, the injured party may be entitled to monetary compensation from that party. In the United States, this system is complex and controversial, with critics calling for various forms of tort reform. Attorneys often represent clients on a "contingency basis," in which the attorney's fee is a percentage of the plaintiff's eventual compensation, payable when the case is resolved.

In England and Wales, under the limitation rules, where an individual is bringing a claim for compensation, court proceedings must be commenced within 3 years of the date of the accident, failing which the claimant will lose the right to bring his or her claim. However, injured parties who were under the age of 18 at the time of their accidents have until the day prior to their 21st birthdays to commence proceedings. A court has the discretion to extend or waive the limitation period if it is considered equitable to do so.^[1] Legal Aid for personal injury cases was largely abolished in the late 1990s and replaced with arrangements whereby the client would be charged no fee if her or his case was unsuccessful (known as No win, no fee).

No win no fee is the term used to describe the Conditional Fee Agreement (CFA) between a law firm and their client. In a Personal Injury claim, this is an agreement between the client and their lawyer, which will enable the lawyer to take on a personal injury case on the understanding that if they lose the case, the client will not have to pay their lawyer’s costs.

However if the lawyer wins the case they will be entitled to their standard fee plus an uplift referred to as a success fee. In English law, the success fee cannot be greater than 100% of the lawyer’s standard fee.

FEDERAL CRIMINAL ATTORNEY

2009-07-22T10:38:00.000-07:00

Federal Criminal Defense Lawyer Frank A. Rubino

In more than 30 years as a lawyer, Frank A. Rubino has tried hundreds of cases involving serious federal and international criminal offenses. From law offices in Miami, Florida and Houston, Texas, he has successfully handled cases throughout the United States and the world.

Experienced Federal Crime Lawyer

Mr. Rubino's has unparalleled experience with federal criminal defense for the highest profile clients. His well-known cases include representing former Panamanian leader Manuel Noriega before the United States Supreme Court and Lamen Khalifa Fhimah at the World Court at The Hague. He frequently appears on CNN and Fox News to comment on issues of international criminal law.

Because of his level of experience, Attorney Rubino limits his practice to the most serious and complex state, federal and international charges, including the following:

White collar crime, including business and financial fraud, Internet fraud, business opportunity fraud, etc.
Health care fraud/Medicare fraud/Medicaid fraud
Mortgage fraud/real estate fraud
Tax fraud
Securities fraud
Money laundering
Drug trafficking/importation
RICO/racketeering
Public corruption

Mr. Rubino personally handles every aspect of his clients' legal issues. If clients come to him early enough, he is able to handle the grand jury proceedings. Clients who come to him after a verdict can obtain his assistance in federal criminal appeals. He also has an impressive record of successfully combating asset forfeiture.

Contact Us for Sophisticated Federal Crime Defense Representation

If you have been charged with, or are under investigation for, any federal crime or international charge, contact attorney Frank A. Rubino. From law offices in Miami, Florida, Houston, Texas and Bogota, Colombia, he accepts international law and U.S. Federal cases from across the United States and around the world.

Frank A. Rubino has appeared in courts throughout the United States, including New York, California, Texas, New Jersey, Georgia, Michigan, Florida and Washington D.C. He also assists clients in Europe, Asia, the Middle East and many Central and South American countries, including Peru, Colombia, Argentina, Honduras, Panama, El Salvador and Guatemala. His office staff is fluent in Spanish.

Miami Office
1001 Brickell Bay Drive,
Suite 2206 Miami, FL 33131
305-858-5300
Toll Free: 1-866-718-3994Houston Office
Post Oak Blvd.
Houston, TX 77056
713-574-7716
Toll Free: 1-888-556-3558Bogota Office
Carrera 13A,
Nro28-38 Manzaqna 2,
Oficina 205,
Parque Central Bavaria
Bogota,Colombia57-1-2106614

MOTORCYCLE ACCIDENT ATTORNEY

2009-07-22T10:33:00.000-07:00

No Fee Unless You Win

Our Guarantee:

Established 1975

Our experience and expertise:

For over 33 years the motorcycle lawyers at Michael H. Silvers, A Law Corporation, have successfully represented injured motorcycle riders with a 98.6% success rate. As a result of our success, we have grown to 24 offices conveniently located throughout California, with an office close to you.

Motorcycle accident law is a very specialized area of law that requires the experience and expertise of a motorcycle lawyer, with a proven track record. We have the highest rating, and are recognized as one of the premier motorcycle accident personal injury law firms.

We are very aware of the great bodily harm a motorcycle accident can cause, and our lawyers and legal staff will do everything possible to get you through the physical, financial, and emotional challenges of your accident.

It has been our experience that most motorcycle accidents are caused by the other party involved in the accident.

Our Advantages & distinctions over other law firms:

We are one of the few firms that can represent that 100% of our cases involve motorcycle and injury accidents, which based on our expertise, gives us a distinction and an advantage over other motorcycle accident law firms.

With over 33 years of successful experience, Michael H. Silvers has earned an excellent reputation in the legal community amongst judges, and opposing attorneys, and gained the respect of insurance carriers, thus benefiting his clients with higher and prompt settlements for their cases.

how We will win your case:

We accept motorcycle accident cases of all sizes, and give each one the full support, and personal attention of our legal staff. We follow every reasonable lead, hire the best available experts, and utilize the most current and innovative technology to give you the edge over the opposition. Because of our diligent preparation and excellent reputation, most of our cases are favorably settled out of court without going to trial.

We are extremely thorough in the preparation of each case; we are relentless in the pursuit to win for our clients; we are aggressive against the opposition; and we work harder than the opposing attorneys.

Compensation you are entitled to:

As a motorcycle accident victim you are entitled to the following compensation that is applicable to you.

Rental Reimbursement.
Payment of your medical bills.
Compensation for future medical care.
Repair or replacement of your motorcycle.
Medical treatment, whether you have insurance or not.
Recovery of your loss of earnings and any future losses.
Reimbursement for your out of pocket expenses incurred.
Maximum recovery for pain and suffering of your physical injuries and emotional distress.

Our goal for you:

To ensure you receive the best medical treatment available so you make the best medical recovery possible.
To obtain the maximum monetary compensation for your physical, financial, and emotional losses.

Types of motorcycle accidents:

The types of accidents that our motorcycle accident lawyers handle consist of, but are not limited to:

Speeding
Drunk drivers
Left turn collisions
Running red lights
Rear end accidents
Running stop signs
Broadside collisions
Defective motorcyles
Unsafe lane changes
Dangerous road conditions
Out of control motor vehicles

Property damage:

Property damage is often an important issue in motorcycle accident cases. It is your RIGHT to have your motorcycle repaired or have it replaced for its value if it is totaled. You may also be entitled to rental reimbursement. Insurance carriers often dispute the extent of your property damage claim. As part of our services to you, our motorcycle accident attorneys and staff will fight the insurance carriers to resolve your property damage claim.

Medical care:

If you need assistance obtaining the proper medical care for your injuries, we can help you. Our assistance entails fighting your own health insurance carrier to get authorization for proper medical treatment, or to get a second medical opinion for your injury.

If you don't have health insurance, we can still obtain immediate medical treatment for you, and you don't have to pay back the doctors until you receive the money from your settlement.

No fees unless you win:

We do not charge any fees unless and until we win your case. Our fees are based on a reasonable percentage of the amount we obtain for you. We never settle your case without your authorization.

Our motorcycle attorneys and staff, many of them being riders and ex-riders, understand your situation, and we will give personal attention to you case.

Will my case settle out of court?

The motorcycle accident attorneys at Michael H. Silvers, A Law Corporation will do everything possible to settle your motorcycle accident case out of court. Based upon our experience, reputation, success, and diligent preparation of each case, most of our cases are settled without going to trial.

Speak to an attorney now:

If you have been injured in an motorcycle accident, we can help you. Please call now 1 (800) 775-2993 for an immediate, no obligation, free home, phone, or office consultation with our motorcycle accident attorneys or click here to fill out our convenient on-line free case evaluation form.

24 California locations:

Burbank, CA

3500 West Olive, 3rd Floor
Burbank, CA 91505
818/785-0118

Bakersfield, CA

4900 California Ave. Tower B-210
Bakersfield, CA 91505
661/726-5172

Fresno, CA

516 W. Shaw Avenue, Suite 200
Fresno, CA 93704
559/738-9558

Fullerton, CA

1440 N. Harbor #800
Fullerton, CA 92835
714/968-0802

Irvine, CA

2030 Main St., Suite 1300
Irvine, CA 92614
949/725-0455

Lancaster/Palmdale, CA

1125 West Avenue M14
Palmdale, CA 93551
661/266-0224

Long Beach, CA

444 W. Ocean Blvd., #800
Long Beach, CA 90802
562/439-2262

Los Angeles, CA

5900 Wilshire Blvd., 26th Floor
Los Angeles, CA 90036
323/269-7997

Los Angeles, CA

11500 West Olympic Blvd., Suite 322
Los Angeles, CA 90064
310/551-0551

Los Angeles, CA

333 S. Grand Ave., 25th Floor
Los Angeles, CA 90071
213/237-9979

Modesto, CA

1150 Ninth St.
Modesto, CA 95954
510/268-8820

Oakland, Point Richmond, CA

1160 Brickyard Cove Road, Suite 200
Point Richmond, CA 94801
510/268-8820

Ontario, CA

3350 Shelby Street, Suite 200
Ontario, CA 91764
909/514-1889

Oxnard, CA

300 E. Esplanade Dr., Suite 900
Oxnard, CA 93030

Riverside, CA

3890 11th St., Suite 109
Riverside, CA 92501
951/360-3207

Sacramento, CA

980 Ninth Street, Suite 1600
Sacramento, CA 95814
916/372-9979

San Bernardino, CA

198 N. Arrowhead Ave
San Bernardino, CA 92408
909/514-1889

San Diego, CA

525 B Street, Suite 1500
San Diego, CA 92101
619/266-1336

San Francisco, CA

225 Bush St., 16th Floor
San Francisco, CA 94104
415/255-0585

San Gabriel Valley

1055 E. Colorado Blvd., 5th Floor
Pasadena, CA 91106
626/403-0345

San Jose, CA

560 S. Winchester Blvd., Ste 500
San Jose, CA 95128
408/358-6080

San Mateo, CA

1670 South Amphlett Bl. #214
San Mateo, CA 94402
650/610-0344

Santa Rosa, CA

1 (800) 775-2993

Sherman Oaks, CA

15303 Ventura Blvd., 9th Floor
Sherman Oaks, CA 91403
818/785-0118

Torrance/Airport Area

9841 Airport Blvd., Suite 1200
Los Angeles, CA 90045
310/551-0551

Victorville, CA

15437 Anacapa Road
Victorville, CA 92392
760/256-3455

Whittier, CA

6528 Greenleaf Ave., Suite 101
Whittier, CA 90601
562/4

a County

CAR ACCIDENT ATTORNEY

2009-07-22T10:25:00.000-07:00

Auto Accident Facts:

There were an estimated 6,420,000 cars involved in accidents in the US in 2005. The cost of these accidents exceeds 230+ Billion dollars. There were about 2.9 million injury cases and 42,636 car accident deaths. An average of 115 persons die each day in motor vehicle crashes in the United States -- one every 13 minutes. According to the World Health Organization about 3000 people die in crashes each day worldwide.

Fatal Car Crash Pictures

Drive Safe!!!: Fatal Stats

CALIFORNIA TAX ATTORNEY

2009-07-22T10:21:00.000-07:00

Challenging California Wills In Any Probate Court, Including Los Angeles

Want to contest a California Will? Do you believe the terms of the Will should not be enforced? A Will can be contested and invalidated for a variety of reasons, not all of which are included here.

Mistake. It is hard to show that a mistake will invalidate a will or part of a will, but under certain circumstances it may be possible to prove.

Have other questions, call a probate lawyer; call Mitchell A. Port at (310) 559-5259.

New Types Of Business Entities

The Bill can be read online. The Restricted LLC language can be read in Sections 26 and 27 of the Bill. The Restricted LP language can be read in Sections 38, 39 and 49.2 of the Bill.

California IOUs: Use It To Pay Taxes

On July 7, 2009, the Franchise Tax Board (FTB) announced payment of current and past due personal and corporate taxes with California registered warrants (IOUs) is acceptable

TAX ATTORNEY

2009-07-22T10:12:00.000-07:00

Note: Beginning with the Sept. 4, 2007 entry, this Commentary section contains only a list of topics addressed in U.S. International Tax Outlook (USITO), my subscription e-newsletter. Details and subscription information are on my Services web page.

Mar. 3, 2009: As predicted in my recent colloquy with Roger Russell, the Stop Tax Haven Abuse Act has been reintroduced in the Senate. For more, see the TaxProf Blog's collection of hyperlinks.
Jan. 9, 2009: Happy New Year! U.S. International Tax Outlook begins its third year of publication with today's issue. Included are the text for Notice 2009-7, which details the "Subpart F Income Partnership Blocker"; notes regarding a new Sec. 965 study (plus a cumulation of several 965 sources that appeared last year); and links for TD 9441 and REG-144615-02, which address a Sec. 482 issue, and TD 9438, which gives foreign base company sales income guidance.
Dec. 19, 2008: Today's U.S. International Tax Outlook provides the body text for Announcement 2008-115, which “describes issues that the IRS and Treasury Department are considering addressing in a notice of proposed rulemaking (REG–130342–08)” regarding the applicability of FIRPTA to “certain rights granted by a governmental unit that are related to the lease, ownership, or use of real property.”
Dec. 12, 2008: This week's USITO briefly discusses Notice 2008-111, provides abstracts for two new tax policy articles, draws on Rita de la Feria's research for a summary of the Marks and Spencer VAT case, and culls highlights from the Fall SOI Bulletin, two tax treaty developments, the CIIT conference, TD 9433, and the Treasury's Statement of Regulatory Priorities.
Nov. 21, 2008: Today's U.S. International Tax Outlook provides excerpts from CCH's report on Eric Solomon's Notice 2008-20 comments at the Philadelphia ABA Tax Conference.
Nov. 14, 2008: This week's USITO briefly addresses Bob Peroni's presentation today of "Better Than Exemption" at University of Toronto.
Nov. 6, 2008: Today's U.S. International Tax Outlook provides abstracts for two recent tax policy articles and a comment by Reuven Avi-Yonah regarding the ways that President-Elect Obama may try to fulfill his promise to "end tax breaks for corporations that send jobs overseas."
Oct. 23, 2008: This week's issue of USITO notes, with a sense of deja vu, a VAT complaint that appeared in this week's Journal of Commerce Online; provides the full text for Notice 2008-91, which expands the 30-day exclusion rule of Notice 88-108; and concludes with a link to an article proposing residence-based taxation of individuals in the U.S.
Oct. 16, 2008: Today's U.S. International Tax Outlook analyzes an article in The Washington Times that discusses VAT rebates on exports and suggests that the best antidote for the WTO's anachronistic distinction between direct and indirect taxes may be a new, capped U.S. foreign tax credit for value added taxes.
Oct. 9, 2008: This week's issue of USITO provides details on two technical papers released by the U.S. Treasury and discusses three tax policy papers: two on the worldwide-vs.-territorial debate, and one on the application of tax expenditure analysis to deferral, cross-crediting, and the export sales source rule.
Oct. 2, 2008: Today's issue of U.S. International Tax Outlook provides an overview of four interesting tax policy articles: two on treaties, one on tax competition in offshore financial centers, and one on the Sec. 965 "repatriation holiday."
Sept. 25, 2008: This week's USITO briefly addresses a recent article on U.S. state tax liability in the absence of a PE, provides extensive excerpts from a recent Canada Revenue technical interpretation regarding the Canadian tax consequences of the conversion of a Delaware LLC to a Delaware LP, and gives details and links for T.D. 9425 (regarding IRC Sec. 6707A penalties) and the IRS International Tax Gap series of articles.
Sept. 18, 2008: Today's U.S. International Tax Outlook discusses two recent PE decisions by the Tax Court of Canada (Knights of Columbus and AIL) and provides the abstract for an interesting transfer pricing paper I ran across this past week.
Sept. 11, 2008: This week's issue of U.S. International Tax Outlook discusses selected parts of the recently released Government Accountability Office (GAO) report on effective tax rates for U.S. multinationals and hyperlinks the full text of a tax policy paper that many USITO readers expressed interest in a few months ago: "The Interaction of Tax Systems and Tax Cultures in an International Order for Taxation."
Sept. 4, 2008: Today marks the first anniversary of my weekly newsletter, U.S. International Tax Outlook. Today's issue gives a heads-up regarding next week's Senate Permanent Subcommittee on Investigations hearing on dividend tax abuse, briefly discusses two new tax policy papers by Michael Graetz and Michael Knoll, and provides the executive summary for the AICPA's comments on the new contract manufacturing regs.
Aug. 21, 2008: This week's U.S. International Tax Outlook notes the publication yesterday of REG-209006-89, "Transfers by Domestic Corporations That Are Subject to Section 367(a)(5); Distributions by Domestic Corporations That Are Subject to Section 1248(f)"; provides an outline for the NYSBA comments on the contract manufacturing regs; and gives details regarding three international tax articles in the Summer 2008 SOI Bulletin. To subscribe to USITO, click here.
Aug. 14, 2008: Today's USITO notes the signing of the U.S.-Malta tax treaty on 8 August, provides highlights from Tax Analysts' interview with Dan Berman, gives details regarding a new tax arbitration paper, and touches on two recent IRS releases regarding withholding tax on the U.S.-source income of foreign taxpayers.
Aug. 7, 2008: This morning's U.S. International Tax Outlook provides perspective on the prior versions of the two international revenue raisers in H.R. 6595, the "Middle Class Tax Fairness Act of 2008," which was introduced by Rep. Timothy Walz, R-Minn., on 24 July.
July 31, 2008: Today's issue of USITO provides a follow-up regarding last week's HSGAC tax haven hearing, gives details about a recently published tax arbitration paper, and briefly notes the review of my PE book in the current issue of Canadian Tax Journal.
July 24, 2008: Today's U.S. International Tax Outlook provides details regarding the Senate Finance Committee hearing this morning on the Cayman Islands and the continuation tomorrow of the HSGAC hearing on financial institutions in offshore tax havens.
July 16, 2008: Today's issue of USITO discusses the permanent establishment portion of the technical explanation for the U.S.-Canada Fifth Protocol, provides details about tomorrow's U.S. Senate hearing on financial institutions in offshore tax havens, gives a heads-up regarding the structured passive investment regulations released today, and notes publication of two interesting tax policy papers by Christopher Hanna and Alex Khachaturian.
July 9, 2008: Today's U.S. International Tax Outlook is devoted entirely to an in-depth discussion of the 26 June Senate Finance Committee hearing on international tax reform. Here's the opening paragraph: "The witnesses at the 26 June Senate Finance hearing presented three distinct points of view on reforming U.S. international tax policy. One was to "reinvent 1986" by broadening the corporate tax base, this time via elimination of deferral, and lowering the corporate tax rate. Another was to throw worldwide taxation from the train and switch to territoriality. The third was to abolish the corporate tax." To read the rest, send your contact information, including email address, to subscribe@martintittle.com.
July 3, 2008: Today's issue of USITO provides follow-up information about last week's SFC international tax hearing and gives a heads-up regarding three recently released documents: Ernst and Young's comments on the new contract manufacturing regs, Tom Brennan's interesting repatriation article, and Chief Counsel Advice 200826036 ("Proposed Disallowance of Foreign Tax Credits Attributable to Cross-Border Trust and Financing").
June 26, 2008: Today's U.S. International Tax Outlook briefly discusses the new "Killer 351" regulations, provides information regarding the JCT report prepared in connection with today's Senate Finance Committee hearing, and gives details on two newspaper articles prompted by Melissa Redmiles's Sec. 965 report. To subscribe, click here.
June 23, 2008: Another one-page edition of USITO provides additional details on the testimony Jim Hines can be expected to give at Thursday's Senate Finance Committee hearing and gives preliminary information on S.3162, the international tax reform bill that Sen. George Voinovich, R-OH, introduced last Thursday.
June 20, 2008: A special one-page edition of USITO provides details regarding next week's Senate Finance Committee hearing on international tax reform and the four witnesses who are scheduled to testify.
June 19, 2008: Today's issue of USITO surveys two new reports that address U.S. taxation of foreign sovereigns, reviews both the analysis of Sec. 965 (the dividends received deduction) in the Spring SOI and Lisa Nadal's critique of that analysis, gives details on Shannon McCormack's new tax shelter paper, and briefly addresses Sen. Ben Nelson's reportable transactions bill, the recently released IRS APA report, Sen. Barack Obama's comments to the Wall Street Journal on corporate taxes, and the treaty revenue raiser in Charlie Rangel's AMT relief bill (H.R. 6275).
June 16, 2008: Today's USITO hits the high points of Ernst & Young's comments on the -8T GRA regs and the New York City Bar's comments on derivative benefits in treaties, gives a heads-up on Rev. Rul. 2008-31, and calculates a combined state-and-federal effective tax rate for the U.S.
June 12, 2008: This week's U.S. International Tax Outlook recounts the Kerry-Graham tax colloquy on "This Week with George Stephanopoulos" last Sunday, gives details regarding the hearing now scheduled in July on the new contract manufacturing regs, comments briefly on the court decision in the AWG Leasing SILO case, and explores the two international revenue raisers proposed by Senate Finance Committee Chair Max Baucus in his substitute amendment to H.R. 6049.
June 5, 2008: This week's USITO provides highlights of Aviva Aron-Dine's new corporate tax reform paper, gives details on the Fortune magazine tax shelter article, lists interesting discussion topics from the recent Law & Society annual meeting, includes information regarding the TCPI presentations in the current issue of TAXES -- The Tax Magazine, and briefly notes Gene Steuerle's recent career move, a WSJ article on the Sala case, and the passing of U.S. international tax expert Walter Diamond.