Regardless of the circumstances, divorce can create an expensive toll on each party's emotions and finances, especially in a high-net-worth divorce. When a divorcing couple has a large amount of property, income, and assets, the stakes are a lot higher.
Dividing property tends to be one of the most complicated and contentious issues in a high-asset divorce requiring a strategic approach from both parties. After all, a high-asset divorce typically involves a net worth of over $1 million. Any valuable property is going to look attractive to both spouses, especially if that property increased in value over the course of their marriage. Whether you are navigating how to divide marital property or figuring out how not to be shunned at future family gatherings, there are certain things you should absolutely avoid doing in a high-asset divorce. Keep the following in mind:
Do not make emotional or irrational decisions
An emotional decision costs you more in a high-asset divorce, literally. You could end up agreeing to give your spouse more property than you wanted just because you were overwhelmed during the divorce process. This could cost you big in the future. Try to think rationally and consult with your lawyer before agreeing to anything.
Avoid lashing out at your ex-spouse during the divorce process as well. The last thing you want is for your former husband/wife to be angry at you. This move could end you up in the courtroom battling for your most prized possessions. It could also make future family gatherings extremely awkward. Try to stay calm and professional and if you need to take time away from your ex-spouse, do so.
Do not attempt to hide or devalue assets
Do not try to hide community assets as separate assets. Not correctly categorizing assets could lead to an unfair property settlement. If you get caught doing this, you could face monetary fines and be charged with fraud. You could also be caught committing perjury for lying about your assets or be held in contempt of court. Your ex-spouse can also use a court order to determine if those assets are community property, so hiding this from him/her is not a good idea.
Not only will you face legal repercussions, but you could also lose all credibility with the court. If this happens, the judge might decide to award your spouse more assets.
Do assess your assets and use a financial assessor. While it is not common for two spouses to agree on the valuation estimate of possessions like fine art or cars, a judge can help assign a dollar value to the items and divide them fairly.
Do not try to navigate a high-asset divorce without an experienced lawyer
A high-asset divorce not only requires the help of an experienced lawyer but also the support of multiple professionals, such as financial advisors, real estate agents, financial assessors, and more. A lawyer can help you create a strategy and save you from making costly mistakes. He/she can also advocate for your interests and ensure your rights are protected during the divorce process.
Consult with a High-Asset Divorce Lawyer from Our Firm
At Kallen Law, LLC, our lawyers are dedicated to securing a favorable case outcome for our high-asset divorce clients. We can help you handle complex asset division, uncover hidden assets, and assist with asset valuation as well.
Contact us online today for compassionate counsel to help prepare you for the future.