What Should I Do if My Spouse Is Hiding Assets?

 Posted on December 08, 2017 in High Asset Divorce

Although going through a divorce usually tends to be an emotional and complex process regardless of a couple’s finances, those with significant assets are faced with unique problems. For instance, many high assets couples have multiple sources of income, including investments, stocks and bonds, and stakes in businesses, as well as a wide variety of valuable assets ranging from paintings and antiques to automobiles and real estate. In these situations, recording and inventorying all of a couple’s assets can be difficult, especially if one of the spouses is attempting to hide assets. In high asset divorces, it is much easier for a spouse to get away with this type of conduct, so if you are considering divorce and are concerned that your spouse has begun to hide assets, please contact a Round Rock high asset divorce attorney who can assess your financial situation and ensure that your interests are protected.

Distributing Assets

Texas is a community property state, which means that assets acquired by a couple during their marriage must be divided equitably upon divorce. There are a few exceptions to this rule, which apply in cases where one party received an inheritance or gift during the marriage. However, even in these situations, the parties could be required to divide the assets if they were later commingled with marital property owned by both parties. Furthermore, each party is permitted to retain sole ownership over all assets obtained prior to the marriage.

Dividing assets in any divorce can be a difficult process, especially when the parties are unable to come to an out-of-court agreement regarding how the property should be divided. However, the situation can become even more complex in high net worth divorces, as it is likely that both parties will claim ownership to a wide range of significant assets. Merely accounting for all of a couple’s assets can be extremely difficult.

To make the division process easier, each party should attempt to compile a list of all assets that were obtained during the marriage and all assets that were brought into the marriage separately. At this time, couples also need to obtain a professional valuation of their assets, especially personal items, such as artwork and antiques.

Hidden Assets

One of the more difficult aspects of high net worth divorces is that it is much easier for one spouse to hide assets from the other. For this reason, couples are encouraged to find a specialist who can use his or her expertise to locate and value both separate and marital assets. Otherwise, one party could risk missing out on his or her fair share of certain assets. Some of the most common methods for hiding assets from another spouse during divorce include:

• Transferring property out of one spouse’s name to that of a friend or relative who will return the property after the divorce is finalized;
• Physically hiding valuable personal belongings and claiming that they do not exist;
• Withdrawing substantial sums of money from joint bank accounts; and
• Making expensive purchases with marital funds in hopes of reselling the items for a profit after the divorce.

Get the Legal Representation You Deserve

If you are considering divorce and believe that some of your assets are being hidden or wasted, you need a legal representative who can hold your spouse accountable and ensure that you receive a fair portion of marital assets. Please do not hesitate to schedule a consultation with one of the dedicated Round Rock high asset divorce attorneys at Powers and Kerr, PLLC.

Source:

http://www.statutes.legis.state.tx.us/Docs/FA/htm/FA.7.htm