Running a small business comes with its fair share of challenges, and disputes come with the territory. Whether it’s a disagreement with a vendor, a conflict with an employee, or a contractual issue with a client, knowing how to resolve these conflicts is crucial. 

The default method is court, but it’s time-consuming, expensive, and public. As a business owner, a court case only harms your bottom and your brand’s reputation. Luckily, there are other methods to settle disputes that don’t take the same amount of time and money and don’t expose your affairs to the masses. Last week, we discussed arbitration, and this week, we’ll look at another method used to settle disputes: mediation. 

Read on to learn what mediation is, how it differs from arbitration and litigation, and why it can benefit you as a small business owner.

What Is Mediation?

Mediation is an alternative dispute resolution (“ADR”) process where a neutral third party, called a mediator, helps you and the other party in a dispute reach a mutually acceptable solution. Unlike a judge or an arbitrator, the mediator does not make decisions for you. Instead, they are trained to facilitate communication, help clarify issues, and explore possible solutions. Mediation is typically voluntary, meaning both parties agree to participate and work towards a resolution.

During mediation, you and the other party will have the opportunity to present your perspectives and concerns. The mediator will guide the discussion to remain productive and focused on finding a solution. Mediation sessions can be scheduled at times and places convenient for both parties, making it a flexible option for busy small business owners. Moreover, mediators are often lawyers or former judges who can give the parties insight into a possible outcome if the parties end up in court. This is highly valuable because if the parties cannot resolve at mediation, they will end up in court, already knowing their chances of success (or failure). Often, this knowledge will influence one or both parties to settle a dispute out of court.

How Mediation Differs from Arbitration and Litigation

In my practice, I’ve found that most people either aren’t aware of the ADR options—arbitration and mediation—or confuse the two. Let’s break down how they differ and how mediation differs from the default method, court.

Arbitration. In arbitration, a neutral third party, known as an arbitrator, listens to both sides and then decides who wins and who loses. This decision is usually binding, meaning you must comply with it. Arbitration is more formal than mediation but less so than litigation. While it can be quicker and cheaper than going to court, you give up some control over the outcome since the arbitrator makes the final call.

Litigation, a.k.a., Court. Litigation involves taking your dispute to court, where a judge or jury will decide based on the evidence and arguments presented. It is a formal process with many rules and deadlines. Litigation is often time-consuming, expensive, and adversarial. The public nature of court cases can also be a drawback, as it may expose sensitive business information. Litigation is the default method of resolving conflicts unless you’ve proactively agreed to go to arbitration or mediation with another party.

Mediation. In contrast to arbitration and litigation, mediation is less formal and aims to find a collaborative solution. The decision-makers are you, and the other part is that you cannot reach an agreement. After sitting through a mediation session, you can walk away. But the dispute will continue – usually in court. If you can achieve a resolution, however, you must sign an agreement outlining the terms and abide by them. If either party breaches the agreement, you have a new dispute (the breach itself) to resolve.

One final note. Sometimes, when the parties are already in court, a judge will order them to go to mediation, pausing the court process to see if they can resolve the dispute. Many judges do this because their dockets are full and their offices are understaffed. If the parties settle the dispute on their own, that’s one less case the judge has to deal with.

Benefits of Mediation for Small Business Owners

Now that you understand mediation’s ins and outs and how it differs from arbitration and court, let’s examine its advantages for business owners.

Mediation is Cost-Effective. Mediation is generally less expensive than arbitration and litigation. Land court fees costs can add up quickly, draining your resources and impacting your bottom line. Conversely, mediation involves fewer formal procedures and can often be completed in a shorter time frame (often just a day), saving you money.

Mediation Saves Time. Court cases can drag on for months or years, consuming your time and energy. Arbitration takes less time, but mediation is the quickest method for resolving disputes. Mediation sessions can be scheduled quickly and at your convenience, allowing you to resolve conflicts faster and get back to focusing on your business.

Mediation is Confidential. Mediation is a private process. This confidentiality can be crucial for protecting your business reputation and keeping sensitive information out of the public eye. You can address issues openly and honestly without fear of negative publicity. 

Mediation Gives You Control. In mediation, you have control over the outcome, whereas in an arbitration or litigation proceeding, someone has control. You and the other party work together to craft a solution that meets your needs. This collaborative approach can lead to more innovative and customized agreements. 

Mediation Helps Preserve Business Relationships. Business disputes can strain relationships, but mediation’s collaborative nature can help preserve them. By working together to resolve the issue, you and the other party are more likely to maintain a positive relationship moving forward. This is especially important in small business environments where long-term partnerships and networks are crucial. Additionally, the quicker resolution of disputes helps preserve business relationships that might otherwise be damaged by prolonged conflict.

Mediation is Less Stressful Than the Alternatives. Disputes and conflicts can be extremely stressful, especially when they escalate to arbitration or litigation. Mediation provides a less adversarial and more supportive environment, reducing the stress and emotional toll on you and your business. A mediator’s role in facilitating communication and understanding can also help reduce tension and foster a more amicable resolution.

A Final Word

Disputes are unavoidable. It’s impossible to own a business (or be a human) and not encounter conflict in some form. However, despite what our culture tells us, disputes do not have to be adversarial. In our society, we put too much emphasis on “winners” and “losers” and not enough emphasis on resolution. And this often harms people more than it helps them. Meditation aims to flip the switch and help the parties come together to settle their conflict mutually. That way, everyone wins.

The Advisor You Need, No Matter What Disputes Arise

As your trusted advisor, I understand the negative impact of conflict on you and your business. That’s why I offer a comprehensive Business Breakthrough Session where we’ll analyze your current business foundations – including protecting your business from the risk of conflict – and develop a plan to address gaps. Together, we’ll ensure that your business is well-equipped to handle anything that happens. With my support, you can confidently engage with third parties, safeguard your brand’s reputation, and focus on what you do best—growing your business.

Book a call to learn more.  Contact us today!

This article is a service of Res Nova Law, a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Life & Legacy Planning™ Session, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning™ Session.

Washougal School District’s newest school board member, Jane Long, was sworn into service at the September 10, 2024 board work session.  WSD Interim Superintendent Aaron Hansen administered the oath of office. 

Long was selected to represent Director District #2 through the end of 2025 when she may run for election to a four-year term if she chooses.

“I’m excited to be part of the board and to serve the community,” said Long. “Washougal has amazing teachers and excellent schools, and I want to use this position to continue to make sure our teachers and schools help every student succeed.”

Long has served as a class volunteer, ReadNW mentor, and been an active member of the boosters at the school her children attend. She has also served as a volunteer with local organizations serving youth. She brings professional experience working in human resources and budgeting.  

“We are excited to welcome Jane to the WSD Board of Directors,” said Hansen. “Her perspective as a current parent and volunteer with experience in our schools will be an incredible asset in serving the community as part of our school board.” 

Running a business means you will eventually face disputes. These conflicts could be with employees over contract terms or workplace issues, customers over product quality or service delivery, suppliers over payment or delivery terms, or business partners over profit sharing or decision-making. When disagreements arise, the traditional route of resolving them in court can be time-consuming, expensive, and stressful – not to mention completely public. Anyone can look up a court case and read about the allegations, who’s involved, and what happened. And since the court process is deliberately adversarial, the facts presented by each side are usually, let’s say, less-than-flattering of the other side. Those public allegations against you or your business could even be false. Luckily, there’s an alternative: arbitration. Arbitration is a method of resolving disputes outside the courtroom, offering a quicker, more cost-effective, and private way to settle issues. 

In this article, we will delve into what arbitration is, its benefits for business owners, situations where arbitration is particularly advantageous, and how to prepare for it. Understanding arbitration can equip you with the knowledge to save time, money, and stress, helping you keep your business running smoothly even in the face of conflicts. 

We’ll start with the basics and explain what arbitration is and what it is not.

What is Arbitration?

Arbitration is a method of resolving disputes outside of the courtroom. You may have heard the term “alternative dispute resolution” or “ADR,” which refers to specific processes that help parties resolve their disputes without court intervention. Arbitration in one form of ADR. Another form of ADR is mediation, which is a much different process, but many people confuse the two. Check back here next week for a thorough discussion about mediation so you can have absolute clarity about the difference between these forms of ADR and know when to employ each for the success of your business. 

What Arbitration Is: Arbitration is like a private court in that a neutral third party, known as an arbitrator, listens to both sides and decides who wins and who loses. The arbitrator is typically an expert in the field related to the dispute, ensuring a fair and informed decision. It looks a lot like the court process. Both sides present their cases to the arbitrator and call witnesses. The lawyers for each side get to cross-examine witnesses and admit documents into evidence. At the end of the proceeding, the arbitrator issues a formal decision in writing, and that decision is binding, meaning you and the other party must follow it. To give further weight to the arbitrator’s decision, it is often submitted to a court for the judge to sign. Notably, only the decision is presented to the court – no facts of the case, arguments, or evidence will be made public. 

It’s vital to note that the decision usually involves exchanging money. Arbitration is not available in cases where someone’s liberty is at stake. 

What Arbitration Is Not: Arbitration is not the default resolution process. Both parties must agree that if any dispute arises between them in the future, they agree to settle the matter through arbitration. This agreement must be outlined in a written contract, and most states have specific rules on how the arbitration clause in a contract must be phrased and executed. One deviation could make the clause unenforceable, meaning you end up in court anyway. 

Arbitration rules are less stringent than court rules, offering a more flexible and faster process. While it’s ideal for the arbitrator to be genuinely neutral and an expert in the type of dispute, that’s not always the case. Since no formal court rules are in place to ensure impartiality and the arbitrator’s expertise, the parties may or may not be able to petition for another arbitrator to hear the case. Furthermore, unlike a jury trial with a judge, there aren’t the same checks and balances. The arbitrator possesses all the power over the process and the final decision, giving you more control over the resolution process.

Now that you understand the basics, we’ll discuss how arbitration benefits you as a business owner. 

Benefits of Arbitration for Business Owners

Since you’re busy running a business, arbitration offers many benefits. Here are a few.

Arbitration Saves Time. Going to court can be a long, drawn-out process. It can take months, if not years, to resolve. Court cases are often delayed, and you might be stuck in legal limbo. Arbitration, on the other hand, is designed to be fast and efficient. Arbitrators typically start the process quickly and keep it moving until the conclusion. This means you spend less time away from running your business.

Arbitration Saves Money. Legal fees can also add up quickly in court cases, significantly the longer it takes to resolve. Attorneys charge for their time, and the longer it goes on, the more expensive it becomes. Arbitration is generally less pricey because it avoids many of the formalities of a court case. If your lawyer charges by the hour, fewer billable hours means lower costs for you. 

Arbitration Keeps Your Affairs Confidential. This may be the most enticing reason for choosing arbitration as a dispute resolution method. Court cases are public, which means anyone can look up the details of your dispute. This can be embarrassing and might harm your business reputation. Arbitration, however, is a private process. The hearings are not open to the public, and the details are only disclosed if both parties agree. This confidentiality can protect your business’s image and sensitive information.

When to Choose Arbitration

While arbitration has many benefits, it’s not always the best choice for every dispute. However, here are some situations where arbitration can be particularly advantageous.

Contract Disputes. Contract disputes are highly technical and can boil down to the interpretation of one or two words that may seem ordinary to laypeople (juries, for instance) but have specific meanings under the law. However, many arbitrators are current or former lawyers, and they’ll often be able to parse out the technical details and specific legal terms without explanation or ambiguity.

Employment Issues. Employment disputes, such as disagreements over wages, working conditions, or wrongful termination, can be sensitive and complex. Using arbitration for these issues can help maintain a better relationship with your employees. The confidentiality of arbitration also means that the details of these disputes won’t become public, which can protect both your business and your employees’ privacy.

Business-to-Business Disputes. When you have a conflict with another business, arbitration can help maintain a professional relationship. Since the process is less adversarial than a court case, you’re more likely to reach a resolution that allows both parties to continue working together. This can be especially important if the other business is a key supplier, customer, or partner.

The Importance of Expert Guidance

Before we close, I want to emphasize an important point: with arbitration, you can override the default dispute resolution process—court—by simply agreeing to it. However, with great opportunity comes great responsibility. The court process has formalities built in to protect the parties, and since arbitration is less formal, you want to be very careful about choosing arbitration to resolve business disputes. After all, a decision against you or your business could mean a big payout to the other party. 

I aim to ensure your business thrives. I can advise and counsel you to help you make the best decisions about resolving business disputes with as little impact on your business as possible. I also create and review contracts, including those with arbitration clauses. Finally, I help you put your foundational legal, insurance, financial, and tax systems in place so your business is protected from risk and prepared to resolve disputes before they arrive at the point where arbitration is needed. All this saves you time and money, so you can direct your energy and attention to what you do best: running your business. 

The Advisor You Need, No Matter What Happens

As your trusted advisor, I understand the negative impact of conflict on you and your business. That’s why I offer a comprehensive Business Breakthrough Session where we’ll analyze your current business foundations – including protecting your business from the risk of conflict – and develop a plan to address gaps. Together, we’ll ensure that your business is well-equipped to handle anything that happens. With my support, you can confidently engage with third parties, safeguard your brand’s reputation, and focus on what you do best—growing your business.

Contact us today!

This article is a service of Res Nova Law, a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Life & Legacy Planning™ Session, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning™ Session.

Lacamas Magazine interviewed Terri Niles, a critical care nurse, who is running for Legislative District 17, Position 2, as a Democrat. She answered several questions as she prepares for the General 2024 election.

What are the three top reasons you’re running for the State House?

My lifelong commitment to serving others led me to a 25-year career as a critical care nurse. Now, I’m pursuing public office to extend that service on a broader scale for the people of Southwest Washington. Our region faces complex challenges that demand serious candidates with real-world experience. As a single working mother, I understand the struggles that working families face, including the lack of affordable housing and childcare. I will bring this unique perspective to Olympia, advocating for policies that help people get ahead. Additionally, I will focus on bringing resources to our district, investing in infrastructure, and creating jobs to ensure long-term prosperity for our community.

Throughout my career, I’ve witnessed firsthand the devastating effects of the opioid crisis on our community. This crisis significantly contributes to the rise in crime and homelessness, and I understand the urgent need to address these issues with compassion and effective policy. We need legislators with real healthcare experience to work on healthcare legislation. We are facing a crisis in healthcare access, particularly in our rural communities, and a shortage of healthcare workers. I know how to fix these issues, and I’m ready to get to work.

I am committed to supporting businesses and opening the door to good-paying jobs in our district, especially for our small business owners who are the lifeblood of our rural communities. I’ve worked hard during this campaign to listen to their concerns, and I will continue to do so as a legislator. When elected, I will collaborate with business leaders to find ways to increase prosperity for everyone in our district. Every decision and vote I make will be with the best interests of those I represent. I will evaluate every piece of legislation through a non-partisan lens, ensuring that it’s practical and effective for the people in my district.

As a State Representative, I will approach this role by reaching across the aisle, not as an adversary, but as a collaborator. State representative elections are crucial because they directly impact our daily lives, determining how our tax dollars are spent and shaping our community’s priorities. I am committed to putting Southwest Washington first and being our voice in Olympia.

What are the biggest challenges facing Southwest Washington voters?

One of the biggest challenges and concerns I hear from constituents is hyper-partisanship and political polarization. Partisan divisions can make it difficult to find common ground on important issues, leading to gridlock or compromised legislation that may not fully address the needs of our community. Building coalitions and fostering collaboration across party lines is essential but can be challenging in today’s political climate. I bring experience in working across the aisle, having negotiated contracts for my union with people who have very different ideas and desired outcomes. Additionally, I’ve spent 16 years finding common ground with my husband, who is a Republican. I know how to make it work.

Affordability is another major challenge—whether it’s healthcare, housing, or childcare, everything is increasingly out of reach for working families. As a single working mother, I’ve lived these struggles, raising a child while working multiple jobs and often having to choose between paying rent or putting food on the table. These are the same struggles that people across our district face every day, and I’m running to find real, long-term solutions. I want to work to lower costs for working families so they don’t have to experience the hardships I went through, and so life can be better for those struggling to get ahead. That’s why I’m running for office, and why I believe my unique experience and voice are needed in Olympia.

Why should voters elect you?

My platform and priorities focus on issues that resonate deeply with the people in my district, both rural and urban. These are the “kitchen table” concerns that working-class families discuss daily, and they’re the same issues that have come up time and time again in my conversations at the doors. Throughout my career as a nursing leader, I’ve been dedicated to addressing these challenges, such as the lack of accessible childcare, the need for safe working conditions and adequate compensation, and the critical shortage of affordable housing. Additionally, I believe everyone should have the opportunity to retire with dignity and live comfortably in their later years. These are not just priorities for my campaign; they are the core values that have guided my work and will continue to do so as I fight for our community

Please tell us about your background and what should voters know about you.

Growing up with a surgical nurse mother and an aerospace engineer father, I learned the value of hard work, problem-solving, and the belief that nothing is impossible. If my father could put a man on the moon, I believe we can tackle today’s challenges together.

With over 25 years as an ICU nurse and a deep commitment to community service, I’ve dedicated my life to saving lives and supporting families. Being a nurse and making a difference in people’s lives daily has been an honor and has shaped who I am. Now, I’m ready to bring that same caring compassion, commitment, and accountability to Olympia to serve you and our community.

Living in Hawaii as a young adult, I faced high living costs and a lack of affordable housing, which eventually brought me back to the mainland. I never expected to see similar challenges here in Washington. We must work together to make our state affordable and livable for families. My goal is to ensure that everyone can thrive without the burden of excessive costs. I will support policies that address our current affordability crisis, crushing inflationary impacts, lack of affordable housing, and the critical need for childcare and healthcare.

Skyrocketing rent increases are making it difficult for many in our community to afford housing. No one should be forced to live in their cars or on the streets while we remain gridlocked. This isn’t a partisan issue; we must work together to solve it. Rural families face unique challenges, including limited employment opportunities and low-quality housing. We must find solutions to rebuild rural opportunities and support rural communities in our district. Southwest Washington faces a significant shortage of affordable housing, and we need innovative policies to protect and expand affordable housing opportunities for all.

Too many families are working multiple jobs just to make ends meet. We need to build a strong economy by investing in family-wage jobs, affordable childcare, paid sick leave, and family leave. Supporting small and medium-sized businesses through tax cuts and incentives is crucial, especially in rural communities where they are the lifeblood of the economy. We must ensure that everyone has the opportunity to grow and thrive in today’s economy.

We need legislators in Olympia who truly understand our healthcare systems and the changes that need to be made. With over 25 years in healthcare, I am that legislator. We are facing a nationwide nursing shortage, and Washington is no exception. As a nurse, I understand what needs to be done and how to implement the changes needed to avert this crisis. Access to healthcare, including reproductive care, will always be among my top priorities. Healthcare needs to be affordable, accessible, and available to all, regardless of zip code or financial status. I will be your healthcare advocate in Olympia, and I am proud to say that I am the only pro-choice candidate in this race.

To learn more about the Niles campaign, visit voteterriniles.com

Salt Lake City, UT — The Church of Jesus Christ of Latter-day Saints released a rendering of the Vancouver Washington Temple Tuesday.

The architectural rendering release comes less than a year after the church announced a temple would be built in the area, and just six months after the site location was announced. The temple is designed to serve the needs of church members in the Vancouver area in and around Southwest Washington.

Projected as a multistory temple of approximately 43,000 square feet, the Vancouver temple will sit on a 15.11-acre site at the northwest corner of the intersection of SE 20th Street and SE Bybee Road in Camas, Washington, just east of Vancouver.

More information on the new temple — including a date for its groundbreaking — will be released at a later date.

Washington is home to more than 281,000 Latter-day Saints in nearly 490 congregations and four operating temples — the Seattle Washington Temple (dedicated in 1980), the Spokane Washington Temple (1999), the Columbia River Washington Temple (2001) in Richland in the south-central Tri-Cities area, and the recently dedicated Moses Lake Washington Temple (2023). A temple for Tacoma was announced at the faith’s October 2022 General Conference.

Vancouver Temple

Washougal, WA — In alignment with its slogan “It is our nature to thrive” the Port of Camas Washougal has partnered with its tenant NocTel to bring the best, fastest local Internet service to its tenants within the Port District. The Port is well known for being committed to helping tenants thrive through support and advocacy locally and beyond.

Port Executive Director, David Ripp said “Partnering with Cory Schruth of NocTel on this project is a clear choice for us, their goals and values in the community completely align with ours. They have proven they are a tenant that is committed to bringing a true quality service to Port tenants and local residents, which is the best and most reliable service to this area. This is why the Port exists, to continue to support companies like NocTel.”

NocTel has been around since 2011 and during Covid the demand for rural areas in SW Washington to have the opportunity for high speed Internet service became glaringly apparent, so they jumped at the chance to provide a solution. NocTel Fiber provides fast broadband to neighborhoods that do not currently have options for fast Internet access. As a local resident, Cory understood how frustrating using slow Internet can be. Parents, those working remotely, and students alike now had access to Internet service they didn’t know was an option for them at the time.

Abysmal, hopeless and slow were some of the words used to describe rural SW Washington Internet services, they reached out to many well-known entities, but no help came. Cory realized it was time to take charge and build a network. This is how NocTel Fiber was born. He determined fiber optic cable was the fastest and most reliable solution for rural areas. Now, NocTel Fiber has miles of cable in rural areas in SW Washington, with many future plans to expand their network.

Cory Schruth, Founder of NocTel Fiber said “We bring Fiber to the Forgotten. We don’t think anyone should not have the same opportunity as anyone who lives in a city, metropolitan area to have the same connection to the world. We are thrilled to work with the Port of Camas/Washougal to provide their tenants with exactly what they deserve, reliable, fast Internet service through fiber.”

For the last two weeks, we’ve discussed celebrities and how they planned (or didn’t!) for their deaths. In this third installment of our four-part celebrity series, we discuss a topic that no one wants to consider as it may seem to be a fate worse than death: incapacity. Unlike death, not everyone will become incapacitated. Yet, it’s an essential part of your future planning because if you do become incapacitated, you want to have made your choices well before that occurs. To illustrate the importance of planning for incapacity, we’ll examine the real-life court case involving Jay Leno and his wife, Mavis. I assure you, it is no laughing matter. A comprehensive Life & Legacy Plan can provide reassurance and peace of mind, and we’ll explore its benefits in this context. 

The Leno case highlights what happens when you or a loved one becomes incapacitated and what can happen if you have not planned in advance. From the Leno case, we can learn several lessons, including 1) What incapacity is and what it is not, 2) What a spouse can and can’t do with the other spouse’s financial affairs, and 3) How you can end up in court with all your affairs becoming public knowledge. We’ll address all three topics here, emphasizing why these matter, even for tf us who have never hosted “The Tonight Show.”

Let’s start with the basics: what do we mean by discussing “incapacity”?

What Incapacity Is and What It’s Not

If you become incapacitated, you’ve lost the ability to make sound financial, medical, or legal decisions for yourself. You may even make harmful decisions or be unable to communicate at all. Incapacity can result from several circumstances, including a tragic accident, a serious, end-of-life illness, or aging-related challenges, such as dementia or Alzheimers. Like death, incapacity can strike at any time and any age. Once it does, it’s too late to get your affairs in order, and your loved ones will be stuck in a mess. This is why planning for incapacity is not just a good idea, it’s a necessity. 

This may seem obvious, but stay with me: It’s important to note that incapacity occurs while you’re alive. I say this because estate planning, to some degree, has much to do with timing. You can have a plan and create documents that deal with your incapacity. However, that plan and documents become null and void once you die, and another document is needed.

This matters to you: If you’re like many people, you’ve heard of a document called a Power of Attorney. You may even have authority for an aging relative under a Power of Attorney. In my practice, however, I’ve found that most people don’t realize that the authority granted under that Power of Attorney ends as soon as the person granting the power dies. So, while you may be able to access your loved one’s checking account to pay bills while they’re alive, that ends immediately at death if your access was under a Power of Attorney. You must then get separate authority – from a court if assets are not held in a trust – to handle the remaining assets after death. In simpler terms, the legal documents you have in place for incapacity may not be enough, and you could end up in court if you’re not prepared.

This means your incapacity planning and post-death planning must work together so the transition is handled smoothly and with as much ease for your loved ones as possible. And that brings us to the Leno case.

So, What Happened In the Leno Family? (And What It Means for You)

Mavis Leno, Jay’s wife of more than 40 years, is battling dementia and has reached the point where she can no longer handle her financial affairs. So, Jay had to go to court (essentially filing a lawsuit against his wife) to be able to manage her finances. After a few months, the court ruled and gave Jay the requested authority.

That’s essentially the entire story. But we can’t stop there! Even from just three simple sentences above, several key takeaways exist. 

Here are the highlights:

Even though they were married, Jay did not have automatic authority to manage Mavis’s finances. And neither will you if you’re married and your spouse has separate assets. Any assets or accounts you own are your property and your property alone. Marital status is irrelevant. And, if you don’t have advance planning in place, your spouse could need to go to court and sue your “estate” to get appointed and be able to take control of your assets. 

Leno had to file a lawsuit (against his wife) to gain control of his wife’s finances. 

That’s the process, no matter what State you’re in. If you don’t have advance planning and you become incapacitated, someone will need to go to court to get authority, even if you have powers of attorney in place. And it will cost time (a few months in most cases) and money. While waiting for the court to rule, you won’t be able to pay your spouse’s bills using their money (or they may spend away, unaware of what they’re doing). That leaves you with two options: 

You can pay the bills with your money and then get reimbursed later. This may be fine, especially if you have the financial means. But if you don’t have immediate access to cash, say your spouse paid all the bills from their account, this could mean trouble and potential asset loss. Or, bills simply go unpaid. Maybe you can explain the situation to the financial institution, and they will be patient while the court process plays out, but this doesn’t always happen. 

The court process is set up for conflict, and the more conflict there is, the longer the process will take. In Leno’s case, he and Mavis have been married for over 40 years, and it’s their first and only marriage (relationship goals, right?). Given this fact, it’s reasonable to assume that no one challenged Jay’s request. But what if one of them had been married before and had children from the prior marriage? And what if one of those children wanted to ensure they got their inheritance and didn’t want the step-parent to have any control over the money? Sadly, this happens all the time. When it does, the case can go on and on, meaning court costs go up, and the assets in question could be at risk due to the time delay.

Leno’s personal and family information became public knowledge, but not because he’s famous. In most States, you must disclose your address, your family members and their addresses, and information about the financial assets. The Leno family’s story is available for all of us to read, not because he’s famous, but because they had to go to court. 

This can be problematic because scammers are paying attention. They tend to pay particular attention if you (or someone you love) are vulnerable, especially if you’re older. I could write books about how often older people fall prey to these scams. And they’re all disturbing.

So, what have you gleaned from these insights so far? If anything concerns you, know there is a much better way this could have been, and this better way lies within your reach. 

A Life & Legacy Plan Keeps Your Affairs Private and Your Family Out of Court and Conflict

A Life & Legacy Plan solves the problems that left Jay Leno having to sue his wife’s estate to get access to her accounts. With a Life & Legacy Plan in place, you would have a seamless transition from capacity to incapacity and then to death. There’s no time delay; assets can be immediately available if needed. A Life & Legacy Plan can also keep you and your loved ones out of court and conflict, saving time and money and keeping all your affairs private.

When you work with me to create your Life & Legacy Plan, we’ll ensure your plan stays updated throughout your lifetime. This is critically important because if your estate plan doesn’t reflect your current life circumstances, the time you need won’t work. That means you end up in court, just like the Leno family; for context, most attorneys ensure your plan stays current. But I’ve seen too many plans fail because of this; we’ll review your plan at least every three years and make updates as necessary. 

We’re Here for You Throughout All Of Life’s Changes

Incapacity planning is more crucial than ever, especially with cases of dementia on the rise. According to Alzheimer’s Disease International, over 55 million people worldwide currently have dementia, and that number is expected to increase to 78 million by 2030. Whether you’re diagnosed with dementia, another severe illness, or a terrible accident that results in your incapacity, a Life & Legacy Plan will help ensure you’re prepared, no matter what happens.

We help you create a Life & Legacy Plan so that your loved ones stay out of court and conflict and have a plan that works when you (and they) need it. Once you’ve created your plan, you can rest easy knowing your wishes will be honored, your loved ones cared for, and your personal information kept private. 

Contact us today!

This article is a service of Res Nova Law, a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Life & Legacy Planning™ Session, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning™ Session.

The content is sourced from Personal Family Lawyer® for use by Personal Family Lawyer® firms, a source believed to be providing accurate information. This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal, or investment advice. If you are seeking legal advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

The room-temperature defluorination method offers a promising solution for treating perfluoroalkyl substances.

A room-temperature method to decompose perfluoroalkyl substances (PFASs) using visible LED light offers a promising solution for sustainable fluorine recycling and PFAS treatment. Researchers at Ritsumeikan University achieved a 100% breakdown of perfluorooctanesulfonate (a type of PFAS) in just eight hours and an 81% breakdown of Nafion (a fluoropolymer) in 24 hours. This innovative approach can recover fluorine from waste PFAS, reducing the need for new fluorine production.  

Perfluoroalkyl substances (PFASs), nicknamed ‘forever chemicals,’ pose a growing environmental and health threat. Since the invention of Teflon in 1938, PFASs and perfluorinated polymers or PFs have been widely used for their exceptional stability and resistance to water and heat. These properties made them ideal for countless applications, from cookware and clothing to firefighting foam. However, this very stability has become a major problem. PFASs do not easily break down in the environment, leading to their accumulation in water, soil, and even the bodies of humans, where they are known to cause carcinogenic effects and hormonal disruptions. Today, these chemicals can be found in drinking water supplies, food, and even in the soil of Antarctica. Although there are plans to phase out PFAS production, treating them remains challenging as they decompose only at temperatures exceeding 400 °C. As a result, certain amounts of products containing PFASs and PFs end up in landfills, potentially creating future contamination risks. 

Now, a room-temperature defluorination method proposed by researchers at Ritsumeikan University could revolutionize PFAS treatment. Their study, published in the journal Angewandte Chemie International Editionon 19 June 2024, details a photocatalytic method that uses visible light to break down PFAS and other fluorinated polymers (FPs) at room temperature into fluorine ions. Using this method, the researchers achieved 100% defluorination of perfluorooctanesulfonate (PFOS) within just 8 hours of light exposure.

“The proposed methodology is promising for the effective decomposition of diverse perfluoroalkyl substances under gentle conditions, thereby significantly contributing towards the establishment of a sustainable fluorine-recycling society,” says Professor Yoichi Kobayashi, the lead author of the study.

The proposed method involves irradiating visible LED light onto cadmium sulfide (CdS) nanocrystals and copper-doped CdS (Cu-CdS) nanocrystals with surface ligands of mercaptopropionic acid (MPA) in a solution containing PFAS, FPs, and triethanolamine (TEOA). The researchers found that irradiating these semiconductor nanocrystals generates electrons with a high reduction potential that break down the strong carbon-fluorine bonds in PFAS molecules.

For the photocatalytic reaction, the researchers added 0.8 mg of CdS nanocrystals (NCs), 0.65 mg of PFOS, and 20 mg of TEOA to 1.0 ml of water. They then exposed the solution to 405-nanometer LED light to initiate the photocatalytic reaction. This light excites the nanoparticles, generating electron-hole pairs and promoting the removal of MPA ligands from the surface of the nanocrystals, creating space for PFOS molecules to adsorb onto the NC surface.

To prevent photoexcited electrons from recombining with holes, TEOA is added to capture the holes and prolong the lifetime of the reactive electrons available for PFAS decomposition. These electrons undergo an Auger recombination process, where one exciton (an electron-hole pair) recombines non-radiatively, transferring its energy to another electron, and creating highly excited electrons. These highly excited electrons possess enough energy to participate in chemical reactions with the PFOS molecules adsorbed on the NC surface. The reactions lead to the breaking of carbon-fluorine (C-F) bonds in PFOS, resulting in the removal of fluorine ions from the PFAS molecules.

The presence of hydrated electrons, generated by Auger recombination, was confirmed by laser flash photolysis measurements, which identified transient species based on the absorption spectrum upon laser pulse excitation. The defluorination efficiency depended on the amount of NCs and TEOA used in the reaction and increased with the period of light exposure. For PFOS, the efficiency of defluorination was 55%, 70–80%, and 100% for 1-, 2-, and 8-hour light irradiation, respectively. Using this method, the researchers also successfully achieved 81% defluorination of Nafion, a fluoropolymer, after 24 hours of light irradiation. Nafion is widely used as an ion-exchange membrane in electrolysis and batteries. 

Fluorine is a critical component in many industries, from pharmaceuticals to clean energy technologies. By recovering fluorine from waste PFAS, we can reduce reliance on fluorine production and establish a more sustainable recycling process. “This technique will contribute to the development of recycling technologies for fluorine elements, which are used in various industries and support our prosperous society,” concludes Prof. Kobayashi.

Reference

Title of original paper: Multiphoton-driven Photocatalytic Defluorination of Persistent 

Perfluoroalkyl Substances and Polymers by Visible Light

Journal: Angewandte Chemie International Edition

DOI: https://doi.org/10.1002/anie.202408687 

WASHINGTON, D.C. Last week, Rep. Marie Gluesenkamp Perez (WA-03) and Rep. Don Bacon (NE-02) introduced a bipartisan Constitutional amendment that would require the President and Congress to deliver balanced budgets every year by preventing the federal government from spending more money than it receives in tax revenue. 

Earlier this month, the United States government’s debt surpassed $35 trillion for the first time in history. Under this amendment, any appropriations legislation that adds to the national debt must pass with a three-fifths majority vote from both the Senate and the House of Representatives. It also requires that the President’s proposed budgets be balanced.

The amendment includes provisions that protect essential safety nets such as Social Security and Medicare payments, as well as maintain existing debt payments to avoid default. 

“As our national debt surpasses $35 trillion and folks across Southwest Washington face the impacts of high costs, our federal government needs to reign in our deficit, balance our budgets, and be responsible stewards of taxpayer dollars. We haven’t had a balanced budget in more than 20 years, and it’s time for Congress to end this reckless cycle,” said Rep. Gluesenkamp Perez. “Our bipartisan balanced budget amendment will make it harder for the federal government to spend more than it brings in, while protecting vital programs our communities depend on. It’s how we get back on track to cut government waste, reduce our deficit, and avoid passing more debt onto our children.”

“Families across our nation spend within their means and keep a budget, especially during these challenging times. The federal government should also have to maintain a balanced budget,” said Rep. Bacon. “This legislation would require the President’s proposed budgets to be balanced while protecting Social Security and Medicare.”

In May, Rep. Gluesenkamp Perez was recognized as a 2024 Fiscal Hero for leading bipartisan efforts to take on the national debt, and she has repeatedly urged her colleagues to work toward fiscal stability. Earlier this year, she introduced the bipartisan Comprehensive Congressional Budget Act to create a more efficient and effective process for Congress to determine our nation’s spending and revenue.

Full text of the amendment is available here.

This week, we’re continuing to look at the lives of four celebrities and how they’re preparing for the inevitable (or didn’t!). Last week, we examined Michael Jackson’s planning and the holes in his plan that resulted in his family being embroiled in court and conflict for 15 years and counting (if you missed it, go back and check it out!) in this second article of our 4-part celebrity series, Vanilla Ice chimes in with his estate planning experience, advice, and lessons learned on a video he posted to his YouTube channel. He has a lot to say! 

Vanilla Ice (Really) Hates Estate Taxes

Vanilla Ice shares the story of his buddy Mark, whose parents owned a sprawling property in Palm Beach, Florida. When they passed, Mark and his siblings sold the estate, expecting to be set for life. However, estate taxes ended up taking over 80 percent of their profit. Ouch.

Vanilla Ice calls this tax a “generational wealth killer,” he’s not wrong. Estate taxes can sneak up and bite a massive chunk of your wealth. And the thing is, with a proper estate plan, this doesn’t have to happen! The key is to educate yourself. Knowing what you’re up against helps you plan smarter so that more of your hard-earned assets reach your heirs. 

Education is the most important part of estate planning. That’s why my planning process begins with a Life & Legacy Planning Session, where you’ll get the plain and straightforward education you need to make wise decisions about your planning, including how to keep your family out of court and out of conflict, minimize taxes, and ultimately create a plan that works for you and the people you love, when they need it. 

So, first lesson: if you suspect your family could pay estate taxes at your death, don’t wait to plan. There’s way too much at stake. Call us, and let’s get you to know about the kind of planning you want and need for yourself and the people you love. 

Vanilla Ice Thinks Life Insurance is Cool

(“Ice” and “cool” – get it? Sorry, I couldn’t resist.) 

Life insurance isn’t just for covering funeral costs – it’s a secret weapon in estate planning. Vanilla Ice suggests “maxing out your life insurance” to give your kids as much money as possible. What makes life insurance “cool” is that death benefits aren’t subject to income tax, meaning your heirs can get more bang for your buck than if you were investing the money you’d put into life insurance premiums into just about any other asset class. 

It’s worth considering what Vanilla Ice suggests here. When you take out a life insurance policy, the payout can cover any necessary taxes, probate fees, and debts, ensuring your heirs receive the lion’s share of your assets. Life insurance can help with short-term needs, like paying off a mortgage, or it can serve your family’s long-term needs, like maintaining the lifestyle to which they’re accustomed.

When you get educated via our Life & Legacy Planning process, we’ll look at your life insurance, whether you have the right amount and the right type, and ensure you are 100% clear on what it might mean to “max out your life insurance” and if you really should do that. We’ll consider whether you need more insurance, less insurance, or a different kind of insurance based on your family dynamics, assets, and what you want for the people you love after you leave.

Second lesson: If you want to be cool, plan to buy the right type and kind of life insurance.

Ice Says Trusts Are Not Just for the Rich and Famous (and He’s Right!)

Trusts might sound like something only the super-wealthy need, but they’re an intelligent tool for anyone looking to protect their assets. 

Ice mentions irrevocable trusts specifically. These types of trusts let you transfer assets to a beneficiary while removing the assets from your taxable estate, ensuring your assets aren’t subject to estate taxes. Any assets in an irrevocable trust are protected from legal judgments and creditors IF you do it correctly and in the right jurisdiction. If it’s something you are interested in, contact us, and we can talk. In the video, Ice jokes about putting his classic car collection into a trust and setting rules, such as his kids can lease but not sell the cars. This protection ensures your heirs benefit from it, but don’t squander the assets. In other words, even after death, you can determine how your assets will be used. And if you want to protect them for future generations, you can. This is one way to create generational wealth. 

So now we’re up to our third and final lesson: If you want to protect and preserve your assets for generations, take Vanilla Ice’s advice and utilize trusts in your planning. 

Put Vanilla Ice’s Advice Into Action Today

Vanilla Ice’s video brings forward lessons everyone can benefit from. By understanding your options, including how taxes and life insurance impact your family and assets specifically, and considering using well-counseled trusts, you can safeguard your assets and ensure they benefit your loved ones the way you want. To quote his classic hit, “Ice Ice Baby,” ‘Anything less than the best is a felony.’ Take these lessons from Vanilla Ice to heart, and start building a solid estate plan today. Your future generations will thank you for it. 

We help you create a Life & Legacy Plan rooted in education and clarity so your loved ones stay out of court and conflict and your assets are protected. Once we’ve created your plan, you can rest easy knowing you’ve done the right things for the people you love most.

Contact us today!

This article is a service of Res Nova Law, a Personal Family Lawyer® Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Life & Legacy Planning™ Session, during which you will get more financially organized than you’ve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Life & Legacy Planning™ Session.

The content is sourced from Personal Family Lawyer® for use by Personal Family Lawyer® firms, a source believed to be providing accurate information. This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal, or investment advice. If you are seeking legal advice specific to your needs, such advice services must be obtained on your own separate from this educational material.