When many high-net-worth couples get divorced, there are issues with hidden assets. One person may not fully disclose all of the assets that they own. They may transfer assets to someone else, like a family member, just to keep them out of property division. It is important to look for any red flags and warning signs, such as sudden financial transfers, in advance.
As you do this, though, you may also see that your spouse’s spending habits have changed. They are suddenly spending far more of the marital assets than you would have expected. Why are they doing this?
Dissipating marital assets
This could be problematic if they intend to dissipate or spend down those assets. They may be trying to keep you from getting what you otherwise would deserve during property division.
This is sometimes an issue when one spouse has a high-income job and provides most of the financial income for the family. The couple may have been saving a significant amount of money, planning to use it to secure their future or retire together.
But the high-income spouse may decide to spend the money as quickly as they can, simply in an effort to waste those savings. This reduces the value of the account so that they have to split less money with their ex during property division. They are just counting on using their high income to earn the money back after the divorce.
What are your legal options?
If you believe your spouse is intentionally dissipating assets, there are steps you can take to help ensure that you still receive the appropriate share of the marital estate during property division. It is important to know what type of evidence to gather and what legal options you have.
