Phoenix, AZ asked in Child Support and Family Law for Arizona

Q: Will an arrears balance cause a legal business/personal issue, even if the NCP is paying monthly?

The NCP in our case has a considerable arrears balance (over 20k). The NCP pays monthly, as ordered, toward current and future child support. Recently, he offered an unacceptably low settlement offer on the arrears and seems to impatiently and angrily reaching out to family and friends about arrears. Is it possible that just having an arrears balance is holding him back from getting business licenses , financing or liquor licenses? What kind of licenses are impacted by having just a balance?

He runs all his businesses through shell companies / LLCs which I thought were basically untouchable.

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1 Lawyer Answer

Randi Sirlin

Answered
  • PHOENIX, AZ
  • Licensed in Arizona

A: You can easily research which licenses he might not be able to receive with a child support judgment.

I am not sure what an "NCP" is, but unless there is a judgment, I can't imagine anything would hold up his licenses.

I don't know the particular facts about his finances, but $20,000 is not that much for someone who owns businesses. He could likely get a check from a credit card company to pay that debt.

If it was me, I would definitely bring up the shell companies. Regarding LLCs, they are really for purposes of limiting liability. If they are making money, you should be able to show he has income to pay the child support arrears more quickly.

If you have a case number (which you should have), you can certainly subpoena his records, including bank and credit card records and if he is a sole member of an LLC, you can get records for bank and credit card information also, to show what he really can or cannot pay.

I would ask him to provide documentation (official documentation-not a letter from a potential lender) to prove to you that he cannot qualify for the licenses.

However, it should be his primary concern to pay you the child support.

Nothing in this answer is intended to provide legal advice.

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