One of the commonly contested issues in most divorce cases is property division. However, the issue is more emotional and contentious in cases involving couples with high-assets. There are unique considerations to be made in these cases, a reason you need an experienced high asset divorce attorney. These considerations include;
Establishing the identity of assets
It can be challenging in a high-asset divorce case to identify different assets. There might be assets that were owned before the marriage, and those may be considered separate. But some of the assets might still be affected by the divorce issue because of the amount of appreciation of such estate. Note that there may be some estate that is subject to equitable relief and other assets that are considered as community property. Besides, high-worth divorce cases might involve prenuptial agreements that are likely to impact property rights.
Other complex asset issues
Most of the issues associated with high-worth divorce cases are complicated. The couple may own several pieces of real property. Besides, they may have some special interests in businesses. Note that a divorce case can affect businesses in different ways as it can affect the owner’s attitude towards concentration, productivity, and risks. Also, the risk loss of controlling share or a fraction of the business can directly affect business operations.
High-asset divorce cases might require special evaluations. For instance, a finance expert may have to establish the accurate value of a business by analyzing its annual financial statements, goodwill, debt on the company, and accounts receivable. Sometimes, there may arise competing opinions among experts.
Besides, there may be complex evaluations involving other assets such as intellectual property, investments, unvested interests, stocks, retirement accounts, and more. These issues require in-depth analysis by an experienced and trusted financial expert who can prepare a comprehensive appraisal or even testify in court. Remember, the entire process will involve demonstrating how the property’s value was established via an objective evaluation of the criteria.
In most cases, spousal support may be available in various cases involving high worth spouses, particularly if there exists a disparity between the incomes of the partners. For example, one of the partners may have left the workforce to be a partner and help with the spouse’s business.
Generally, high-asset divorce cases are multi-faceted and are associated with more variables than other cases. Note that the complicated issues that surround these cases require a higher level of lawyering to produce a positive outcome.
High-value assets might implicate different tax issues. Therefore, tax considerations might relate to benefit plans, spousal support, business entities, and real estate. An attorney can help understand these issues better.
Length of proceedings
Given the complexity of the issues surrounding high-asset divorce cases, these cases might take longer than other standard divorce cases. Remember, evaluating the assets might take time. Besides, it should be determined whether or not some assets are marital or separate property. The bottom line is, there are important considerations that must be made in a high-asset divorce case, and you need an experienced attorney.