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When my husband and I divorced. I stipulated that instead

 
Amber E.'s Avatar
  • Answered by:Amber E.
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Customer Question

When my husband and I divorced. I stipulated that instead of giving him $100,000 we established a trust for her with merrill Lynch. Both of us had to sign. Checks for any expenses only. F or her benefit . He, without my knowledge was allowed by Merrill lynch to withdraw nearly all the fund for his use. Is merrill lynch. Liable?

 

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State/Country relating to Question: South Carolina

Already Tried:
Spoke w ml and they. Felt no legal cliability

Submitted: 960 days and 11 hours ago.
Category: Legal
Value: $38
Status: CLOSED

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Expert:  Amber E. replied 960 days and 11 hours ago.

Assuming that the agreement was part of a court order, the party to the action is liable. And anyone who violates a court order is subject to a motion for contempt action. Contempt is generally defined as the intentional and willful violation of a court order, this includes a stipulation on the record or agreement signed off on by the judge in pending litigation. Third parties, such as banks or other financial institutions, are ordinarily not liable, particularly if they did not have knowledge of the agreement/court order. However, if an institution does have knowledge of the order and its terms and/or violated its own policy in regard to the distribution of trust assets, knowing full well how those assets were intended to be used, then yes it may be liable in a petition against it for damages. You may want to speak with someone in the bank's legal department; or, if you don't feel comfortable doing that, hire a lawyer to investigate the claim, communicate the bank, and determine whether the matter can be handled amicably or through the courts.

Expert TypeAttorney
Category: Legal
Pos. Feedback: 90.6 %
Accepts: 253
Answered: 9/24/2010

Experience: Experienced practitioner in areas of Divorce, Custody, Social Security, and Contract disputes.

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Customer replied 950 days and 21 hours ago.

Sincerest apologies for not yet responding. We are In the midst of a serious family crisis. You WILL hear from me asap.
Warm regards XXXXX XXXXX regrets, XXXXX XXXXX

 
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