Jail Becomes Home for Husband Stuck With Lifetime Alimony
Ari Schochet has grown so accustomed to being sent to jail for missing alimony payments that he goes into a routine.
Before his family-court hearing, Schochet, 41, sticks on a nicotine patch to cope with jailhouse smoking bans, sends an â??Ari Off the Gridâ?? e-mail to friends and family, and scrawls key phone numbers in permanent ink on his forearm.
Enlarge image Former Citadel Investment Employee Ari Schochet
Former Citadel Investment employee Ari Schochet stands in a parking lot across from the Bergen County jail in Hackensack, New Jersey on April 15, 2013. Photographer: Sophia Pearson/Bloomberg
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Schochet, who said he worked as a portfolio manager at Citadel Investment Group Inc. and Fortress Investment Group LLC (FIG) and once earned $1 million a year, has been jailed for missing court-ordered payments at least eight times in the past two years as he coped with the end of his 17-year marriage.
The reason he ran afoul of the law was simple. He was out of work for most of that time, a victim of a weak economy, and he ran through his savings trying to pay his wife alimony and child support that totaled almost $100,000 a year.
â??Itâ??s a circle of hell thereâ??s just no way out of,â?? Schochet said. â??I paid it as long as I could.â??
Schochet and ex-spouses in similar changed circumstances say New Jerseyâ??s law unfairly imposes lifetime alimony on them. If they fail to make payments, like the $78,000 a year Schochet owes his ex-wife in alimony, they can be jailed for contempt of court regardless of whether they have a job or resources.
Earning Power
Relief may be on the way. In states such as New Jersey, Connecticut and Florida where divorce laws are based on century-old notions of what an ex-spouse deserves, laws are being proposed to limit alimony in recognition of wivesâ?? earning power and the changed economic circumstances husbands can face.
The American Academy of Matrimonial Lawyers in 2007 recommended restricting alimony amounts and duration. The proposal became the basis for Massachusettsâ??s alimony reform laws in 2011. Those statutes eliminated permanent alimony and gave judges guidelines for calculating amounts.
Three states have enacted laws abolishing permanent alimony with caveats allowing discretion in exceptional cases, according to Laura W. Morgan, an attorney and owner of Family Law Consulting in Charlottesville, Virginia. Lawmakers in at least 10 other states, including New Jersey, are being prompted by advocates to consider more restrictive legislation, said Morgan, who is writing an alimony handbook to be published by the American Bar Association.