Understanding High Net Worth Divorce: What You Need to Know
Divorce is an emotionally turbulent journey and one that can be unimaginably complex when large amounts of money are part of the equation. A high-net-worth divorce also called a millionaire divorce, is one which involves the dissolution of assets amounting to over one million dollars. This classification naturally incurs more danger due to the overwhelming potential for the dispute in terms of ownership and asset division from either party.
For this reason, it is important to be aware of the particular state’s set regulations and laws before commencing with a high-net-worth divorce. In Maryland especially, judges do not always equally divide marital property suggesting a rather convoluted court procedure to follow should spouses find themselves disagreeing on distribution. Not only this but there may be hidden finances involved which may prove problematic during cases such as these. Preparing oneself in such situations, therefore, becomes essential in order to successfully resolve a high net-worth divorce by familiarizing oneself with the details of property distribution beforehand.What Distinguishes High-Net-Worth Divorces From Others?
High net worth divorces present several complexities that don’t usually come up in basic divorce cases. When high-value marital assets are divided, the court must employ various strategies to decide what is fair and what isn’t. This means evaluating expensive items such as luxury cars, second homes, jewelry, and stocks. The process of gathering evidence and evaluating these assets takes time and money which can make for a lengthy divorce.
To ensure that individuals receive a just outcome during a high-net-worth divorce, it is important to think with a financial mindset and not an emotional one. Seek assistance from experts who can assess each asset carefully in order to value them accurately before any legal bargaining begins. Keeping level heads allows for negotiations to progress without feelings getting in the way so that both parties can walk away knowing they obtained fair compensation for their ownership of the marital assets.Common Concerns During a Divorce
Divorce proceedings can be a difficult and emotional process for couples regardless of their financial situation. However, when one or both individuals have high net worth it can create unique concerns that should be considered and addressed. Child custody is an important issue during any divorce with children involved, as the divorced couple needs to decide who will provide primary care for them. A court may also order child support payments, so an agreement should be put in place while ensuring that the child’s standard of living is not affected by the divorce.
Another issue brought on by having a high net worth while divorcing is prenuptial agreements. The terms laid out within these agreements often dictate how assets such as property, stocks, savings accounts, and other funds are divided between spouses. In cases where prenuptial agreements exist about how funds were franchised prior to marriage, this could introduce problems during the divorce proceedings if certain arguments are made in court. Attorneys from each side can help resolve which issues need to be discussed openly and hold discussions that lead to equitable results in accordance with the law.Strategies for Navigating a High Net Worth Divorce
In any divorce, but especially a high net-worth divorce, it is important to remember that an amicable settlement between the two partners is preferable. Prior to the proceedings taking place in court, the parties should try and agree upon the division of assets and other pertinent matters without having to involve a third person. Even if this does not turn out possible, approaching a mediator or judge is preferable to allowing the court system to make all decisions.
As conflicts arise when it comes to splitting marital finances, partners should avoid trying to conceal any money or assets from each other or from the court. All forms of financial dishonesty will be discovered eventually and can lead to serious repercussions during settlement proceedings. Instead, creating an inventory of one’s assets, such as cash holdings and investments, can help make property division easier for both parties in order to achieve a fair resolution faster.Contact a Divorce Attorney Who Specializes in High-Asset Cases
When a high-net-worth divorce is looming on the horizon, the first thing to consider is hiring an experienced attorney who understands how such proceedings work. Within this process, it’s important to have an individual on your side who knows what rights you may be entitled to or which assets should be divided rightfully. The courtroom isn’t always the only place resolutions will be found—with help from a high-asset divorce lawyer, negotiations can take place in order to avoid long-term disputes and costly procedures.
The right lawyer will conduct appraisals of all properties, help navigate protective orders and income calculations, address spousal support versions if necessary, discuss asset division details (checking accounts, stocks, and bonds), as well as negotiate with other lawyers on one’s behalf. All of these steps further protect one’s interests while ensuring the fairness of what might otherwise seem like an insurmountable legal hurdle.Talk to a Lawyer
An experienced divorce lawyer in Harris County, Galveston County, Fort Bend County, Montgomery County, Brazoria County, Houston, Sugar Land, Missouri City, and Stafford, Texas at Thornton Esquire Law Group, PLLC, can help you with your divorce case. Contact us today at www.thorntonesquirelawgroup.com for a free consultation.