Challenges Faced in Divorces Involving Significant Assets
Divorce can be difficult in any circumstances. Children and money are two factors that are certain to make divorce difficult. However, high net worth divorce cases can be complicated because spouses are typically required to share significant assets. According to the saying, a higher amount of money can cause more problems.
As they prepare for retirement, it’s typical for working-age people to accumulate various investments and assets. Married couples typically have twice the amount of support due to the higher value of their pensions. Many divorced couples are taken by the difficulty and lengthy the process of settling is.
High-Asset Divorce Issues
A sizeable financial portfolio, young children requiring custody arrangements, or astronomical wealth with no pre-nuptial agreement are the three main issues that can place you on opposite sides of the table with your spouse who is divorced during divorce talks. Learn more about the most critical issues concerning divorces with high assets.
1. Child Custody and Support
If children are part of the divorce process, settlement discussions can continue for an extended period. The method of establishing child custody isn’t always straightforward, and when child custody and child support are at stake and child support is also involved, it could be more difficult. In most cases, when one spouse isn’t the parent with custody during divorce, the more successful spouse is responsible for paying child support.
Even in divorce cases with high assets that have huge settlements, parents might be able to reach an arrangement that benefits them and their children. But, it is vital to engage a lawyer to protect your rights and that of your child from custody and support discussions.
2. Spousal Support or Alimony
The court’s ruling on spousal support should consider the earning potential of both spouses. If one spouse has a significant net worth, the divorce is finally finalized. In this scenario, the court could provide substantial spousal support or Alimony, as the spouse’s previous earning capacity typically indicates their future earnings. Each party must have Baton Rouge family lawyers who thoroughly analyzes their marriage and presents the most potent argument possible before the court.
3. Pre-nuptial and Post-nuptial Agreements
Divorces involving wealthy individuals usually require the use of pre-nuptial or post-nuptial arrangements. If both parties had substantial assets before marriage, creating a pre-nuptial or post-nuptial agreement is expected to safeguard them in divorce.
It is possible to amend your post-nuptial or pre-nuptial agreement with legal advice. A lawyer can assist you in creating and enforcing these agreements since it is easy to lose out on property and assets to which you’re legally entitled if you don’t have someone to protect your best interests and may likewise give legal help related to a division of property.
4. Property Division
In a state of community property, the marital assets of a couple, as well as their income and debts, are considered joint. It is crucial, however, to seek legal advice to protect “separate property,” or the assets one spouse had before marriage. Inheritances, gifts, legal settlements, awards, and the proceeds of the sale of the separate property could all be considered separate property.
5. Business and Investments
In the event of divorce, various alternatives are available for splitting up investments and businesses. If the investment or business was established or acquired before the marriage, mainly using shared funds, the assets will likely be considered joint property and divided equally. Suppose a company or investment was obtained before marriage or bought with separate funds. In that case, it could be regarded as a separate property, which means its assets and money could be subject to negotiation.
