Unique complexities of a high net worth divorce

In any divorce case, the division of property is highly contested. Couples may fight over a marital home or vacation property, but the average proceedings are not as stressful as those involving high net worth situations.

In a high net worth divorce, the couple owns property with significant monetary value, often making the division more complicated and contentious. As a result, there are several unique considerations for divorce of this nature.

1. Spousal support

In some situations, one spouse provides financial support for the other. During a divorce, a dependent spouse could seek support. The Californian term is alimony, and there are eligibility requirements that include the length of the marriage and net income.

2. Asset identity

A high net worth divorces often experiences challenges when identifying assets. Asset ownership prior to the marriage may have little bearing on the division during the divorce on account of asset appreciation during the course of the marriage. Prenuptial agreements also impact property rights and ownership, and these agreements can determine the eligibility of investments, stocks, intellectual property or business ownership shares for division.

3. Asset value

In addition to the challenge of identifying the assets eligible for property division, high net worth couples could also face disagreement over the value of specific assets. Couples who own a business together may require a special evaluation from financial specialists to accurately determine the worth of a business.

In a high net worth divorce, it can be difficult to remain objective and impartial over the identity and value of marital property or assets. Complexities arise from things like alimony, prenuptial agreements and business ownership.

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