Divorce is rarely easy on anyone regardless of net worth, but as the stakes get higher, there are more opportunities for conflicts to arise. In other words, it is common for high-asset divorces to also be high-conflict divorces, and for reasons, we can understand.
High-asset divorces are not limited to the cash sitting in the couple’s bank accounts; they are much more than that. They’re just as much about real estate holdings, retirement accounts, pensions, stock options, investments, trusts, small business assets, and other valuable assets not listed.
Valuation of Assets in Divorce
Property division is one of the most contentious aspects of a high-asset divorce. Usually, this contention exists because one or both spouses are worried about not getting their fair share. This concern is valid considering New York is an equitable distribution state. Unlike community property states, such as California, where divorcing spouses are equally entitled to half of the marital estate, New Yorkers are subject to the whims of a judge if their contentious divorce ends up in the courts. Thus, high-net-worth individuals must have their assets accurately evaluated, and they must have a skilled attorney in their corner should their case go to court.
If a couple has substantial assets, including property with fluctuating value or difficult-to-value assets, proper valuation is a critical element to achieving a fair settlement. A perfect example of difficult-to-value assets includes a family business or professional practice. Or, if a spouse has a partnership or shareholder interest in a business – all of these can prove challenging, but their potential worth cannot be underestimated by a spouse who is not intimately connected to such holdings.
Next: Are You Wealthy? Protect Yourself Before Divorce
At the Law Office of Dennis R. Vetrano, Jr., LLC, our goal is for you to have a stable, financially strong, post-divorce future. If you have wealth at stake or if your spouse has a high-conflict personality, we urge you to contact our Putnam County divorce firm for experienced legal representation.