Special Challenges in a High Asset Divorce
A high asset divorce is defined as one in which a couple ending their marriage have what fairly can be described as a significant amount of property (and perhaps more than average associated debt). In this type of divorce, a couple may also have more complicated investments than is found in a marriage dissolution case involving a couple of more midline means.
When a couple finds themselves in a high asset marriage dissolution case, there can be some unique challenges associated with proceedings. Some of the more commonplace challenges associated with a high asset divorce include”
- More complicated asset valuation
- Higher likelihood of hidden assets
- Extended debate over marital assets
- Fluctuating income
A commonplace challenge associated with a high asset divorce is likely the need for a more complicated asset valuation process. The valuation of assets in this type of divorce can prove more complex and complicated for a number of reasons that include:
- The fact that a high asset marriage dissolution case involves more property in and of itself can make the valuation process more challenging. Simply put, there will be more property that might require professional valuations.
- A high asset marriage dissolution case might involve more complicated investments or properties. These can include digital assets which can prove to be difficult to value in some instances.
- A relatively frequent occurrence in a high asset marriage dissolution case is a dispute between divorcing spouses regarding the value of property. Such a situation can result not only in a standoff between spouses but the injection of competing experts into marriage dissolution proceedings.
A stark reality is that when more assets are “at risk” the event of a divorce, there exists a higher likelihood that one or even both spouses may endeavor to conceal some of them. Hiding assets is a recurrent problem in divorce courts across the state of New Jersey, indeed all over the United States.
A higher likelihood that assets might be hidden can result in what might prove to be a significant prolonging of a divorce case. It can also necessitate for experts to assist in tracking assets.
As an aside, it is important to note that New Jersey divorce court will take a dim view – a very dim view – of a situation in which a party to a divorce attempts to hide assets. Bear in mind that during the initial phase of a divorce case, each party needs to make an honest inventory of assets and debts to the court under the penalty of perjury. Hiding assets by definition results in a violation of this lawful pledge to the court.Extended Debate Over Marital Assets
Another challenge associated with a high asset marriage dissolution case is the likely prospect of more extended debate between parties over marital assets. For example, the parties might debate which assets are or are not to be considered marital property and which assets should legally be set aside as separate property to one or another of the divorcing spouses.Fluctuating Income
Another challenge that can prove to be more pronounced in a divorce involving high assets is fluctuating income. For example, in a situation in which a married couple is in business for themselves, they might have something of feast and famine revenue and income cycle. This type of scenario can make resolving different divorce-related issues more complex. These include:
- Division of assets between parties
- Computation of child support
- Alimony computation
- Allocation of business interest
If you are contemplating what accurately can be categorized as a high asset divorce, you need to take the selection of legal counsel seriously. The first step in retaining a New Jersey divorce lawyer experienced in representing clients with significant assets is to schedule a free initial consultation with the legal team at the Law Offices of Peter Van Aulen. You can schedule a free initial consultation with an experienced divorce lawyer at the firm by calling 201-845-7400.