Litigating Non-Compete Agreements in Connecticut

In Connecticut, the breach of an employment agreement by an employer is a recognized defense to the enforcement of a covenant not to compete.  The breach must be material. For example, if the employee were promised a bonus or stock options and the employer refused to honor the promise. In order for the breach to effectively waive the non-compete restriction, the employee must timely object to the breach by the employer, otherwise the breach is waived. For more information, or to discuss an employment contract, non-compete, stock options, or bonus situation with an attorney, please contact Joseph C. Maya, Esq. at JMaya@Mayalaw.com or (203) 221-3100.

Domestic Violence and Divorce Litigation

By virtue of executive proclamation, the month of October is Domestic Violence Awareness Month in Westport, Connecticut.

As noted by Westport’s First Selectman Gordon F. Joseloff, “Domestic violence should not happen to anyone.  There is no excuse for abuse.  It is not a family business, and should never be considered nor treated as a socially-acceptable behavior.”

Indeed, domestic violence is a crime, and is frequently the basis for (or perhaps a symptom of) divorce proceedings.  More and more, in the field of divorce litigation, our lawyers handle the complex matters which relate to incidents of abuse within the home – including those issues relating to the criminal prosecution itself as well as the ongoing security of the victim.

At our firm, we have decades of experience dealing with divorces, restraining order petitions, and criminal litigation – often in situations where the three matters run concurrently.  We are similarly experienced with those unfortunate circumstances in which false allegations of criminal abuse have been improperly levied to gain advantage in divorce proceedings.  We handle all types of divorce and child-custody matters, including post-judgment matters, in Westport, Fairfield, Greenwich, and the entire Fairfield County area.

At every turn, our lawyers aggressively seek to advance the rights of the innocent, to protect the victimized, and to correct injustice.

For more information and a confidential consultation on your family law matter, please call our firm or email: hdmurphy@mayalaw.com.

Special Needs Trusts in Connecticut

A special needs trust is set up for a person with special needs to supplement any benefits the person with special needs may receive from government programs. A properly drafted special needs trust will allow the beneficiary to receive government benefits while still receiving funds from the trust. There are three main types of special needs trusts, but first it is important to understand how a typical trust works.

A trust is really a relationship between three parties — a donor, who supplies the funds for the trust; a trustee, who agrees to hold and administer the funds according to the donor’s wishes; and a beneficiary or beneficiaries who receive the benefit of the funds. Often, but not always, the donor’s wishes are spelled out in a document that gives the trustee instructions about how she should use the trust assets. Trusts have been used for estate planning for a long time, and are highly useful tools for ensuring that a donor’s property is administered as he sees fit. One of the reasons trusts are so popular is that they usually survive the death of the donor, providing a low-cost way to manage the donor’s assets for others when the donor is gone.

A special needs trust is a trust tailored to a person with special needs that is designed to manage assets for that person’s benefit while not compromising access to important government benefits. There are three main types of special needs trusts: the first-party trust, the third-party trust, and the pooled trust. All three name the person with special needs as the beneficiary. A “first-party” special needs trust holds assets that belong to the person with special needs, such as an inheritance or an accident settlement. A “third-party” special needs trust holds funds belonging to other people who want to help the person with special needs. A pooled trust holds funds from many different beneficiaries with special needs.

The reason there are several different types of trusts has to do with regulations regarding Supplemental Security Income (SSI). SSI is a government program that assists people with low incomes who have special needs. In order to qualify for SSI, an applicant or beneficiary can have only $2,000 in his own name. If the person has more than $2,000 in his own name, (typically because of excess savings, an inheritance or an accident settlement), the government allows him to qualify for SSI so long as he places his assets into a first-party special needs trust. The trust must be created by the beneficiary’s parent or grandparent, or by a court, but it cannot be created by the beneficiary, even though his assets are going to fund the trust. While the beneficiary is living, the funds in the trust are used for his benefit, and when he dies, any assets remaining in the trust are used to reimburse the government for the cost of his medical care. These trusts are especially useful for beneficiaries who are receiving SSI and come into large amounts of money, because the trust allows the beneficiary to retain his benefits while still being able to use his own funds when necessary.

The third-party special needs trust is most often used by parents and other family members to assist a person with special needs. These trusts can hold any kind of asset imaginable belonging to the family member or other individual, including a house, stocks and bonds, and other types of investments. The third-party trust functions like a first-party special needs trust in that the assets held in the trust do not affect an SSI beneficiary’s access to benefits and the funds can be used to pay for the beneficiary’s supplemental needs beyond those covered by government benefits. But a third-party special needs trust does not contain the “payback” provision found in first-party trusts. This means that when the beneficiary with special needs dies, any funds remaining in her trust can pass to other family members, or to charity, without having to be used to reimburse the government.

A pooled trust is an alternative to the first-party special needs trust. Essentially, a charity sets up these trusts that allow beneficiaries to pool their resources for investment purposes, while still maintaining separate accounts for each beneficiary’s needs. When the beneficiary dies, the funds remaining in her account reimburse the government for her care, but a portion also goes towards the non-profit organization responsible for managing the trust.

Anyone can establish a special needs trust and, if the trust is properly drafted to account for tax planning, in certain situations gifts into the trust could very well reduce the size of the donor’s taxable estate. As if these are not enough reasons to create a trust, elderly people who are attempting to qualify for long-term care coverage through Medicaid can transfer their assets into a properly drafted third-party special needs trust for the sole benefit of a person with disabilities without incurring a transfer-of-assets penalty, allowing the elder to qualify for Medicaid and making sure that the person with disabilities is taken care of in the future.

Of course, every person with special needs is different, which means that every special needs trust is going to be different as well. The only way to determine which special needs trust is right for your family is to meet with a qualified special needs planner to discuss your needs. To discuss whether a special needs trust is right for you please contact Susan Maya, Esq. at SMaya@Mayalaw.com or (203) 221-3100.

Fairfield County Employment Law Attorneys

Did your employer refuse to honor a promise made to you?

Have your rights been violated in the workplace?

Your should seek immediate legal help to protect your rights before the statute of limitations expires on your potential claims.

At the Westport, Connecticut law offices of Maya Murphy, P.C. we represent executives, directors, managers, and other employees throughout Connecticut, including Fairfield and New Haven counties who are involved in disputes with their employers. We have a great deal of experience in the area of employment law and a record of success in getting employers to live up to their legal obligations.

We can help you in your employment-related dispute.

Our Trial Attorneys Can Make the Difference.

Our firm has shown the ability to take these cases to trial and to win judgments on behalf of our clients. We handle a variety of employment law concerns and litigation related to:

• Severance package disputes
• Executive compensation disputes
• Non-compete agreements
• Trade secrets and confidential information
• Director’s, officer’s, and manager’s contracts and disputes
• Executive employment agreements
• Executive retirement plans

Over the last twenty years, we have represented thousands of satisfied clients in employment related cases. In fact, the quality of our work in this area of practice is so high that the majority of our work in the area of employment law comes solely from the referrals of other clients and attorneys who are familiar with what we do.