Divorce can be a complex and emotionally challenging process, especially when it comes to dividing marital assets. Whether you have basic or complex financial needs, it is important that you understand the consequences of financial decisions so your assets are protected and your financial future is secure. Our divorce attorney in Wheaton IL can help you assess the situation and get a settlement or judgment that protects your financial future. Contact The Law Office of Tania K. Harvey today at 312-803-5845 for a free consultation.
In the state of Illinois, asset dissipation during divorce is a common issue that arises, causing complications and disputes between spouses. Asset dissipation refers to the intentional wasting or depletion of marital assets by one spouse, often with the aim of reducing the overall value of the marital estate. Understanding the common types of asset dissipation in Illinois is crucial for individuals going through a divorce to protect their financial interests.
Common Types of Asset Dissipation
Excessive Spending: One of the most common forms of asset dissipation during divorce is excessive spending. This can involve a spouse making high-value purchases, taking luxurious vacations, or indulging in expensive hobbies using marital funds without the other spouse’s knowledge or consent. Excessive spending is a tactic used to deplete the marital assets artificially, leaving less for equitable distribution during the divorce settlement.
Transferring Assets: Another common type of asset dissipation is transferring assets to third parties or hidden accounts. This can include transferring money to family members, friends, or offshore accounts, or transferring ownership of properties or investments to avoid them being included in the marital estate. By hiding or transferring assets, one spouse can diminish the value of the marital estate and complicate the asset division process.
If your spouse is trying to dissipate your marital assets, you should consult with a divorce attorney in Wheaton IL before continuing with the divorce process so they can advise you on how best to proceed.
Why some may try to dissipate assets before or during a divorce
Individuals may engage in asset dissipation during divorce for various reasons, such as to gain a financial advantage in the divorce settlement, to spite the other spouse, or to conceal assets acquired during the marriage. Some may attempt to dissipate assets as a form of retaliation or to seek revenge against the other spouse, especially in situations involving acrimony or animosity.
Others may do so in an attempt to minimize the amount of marital assets subject to division or to secure a larger share of the assets for themselves. However, it is essential for individuals to understand that the potential short-term gains from asset dissipation can be outweighed by the severe legal and financial consequences if discovered, making it an ill-advised and risky strategy during divorce proceedings. At The Law Office of Tania K. Harvey, our divorce attorney in Wheaton IL has experience analyzing finances and making sure our clients understand their legal options.
Why Asset Dissipation is a Bad Idea
Engaging in asset dissipation during divorce is not only unethical but can also have significant negative consequences for the responsible party. Firstly, asset dissipation violates the fiduciary duty that spouses owe to each other to act in good faith and protect marital assets. It undermines the transparency and fairness of the divorce process and can lead to legal repercussions.
Moreover, asset dissipation can have serious long-term effects if the responsible party is caught. Courts in Illinois take a dim view of asset dissipation and may impose penalties on the party found to have dissipated assets. This can result in an unfavorable distribution of assets, financial penalties, or even contempt of court charges. In addition, the responsible party may lose credibility and trust in the eyes of the court, which can impact the outcome of other divorce-related issues such as child custody or support.
Our divorce attorney in Wheaton IL can help you navigate the financial complexities of your divorce
Understanding the common types of asset dissipation during divorce in Illinois is essential for protecting your financial interests and ensuring a fair division of marital assets. Engaging in asset dissipation is not only morally wrong but can also have severe consequences if discovered. By working with a knowledgeable divorce attorney in Wheaton IL and following legal guidelines, individuals can navigate the asset division process effectively and safeguard their financial future during divorce proceedings. Contact The Law Office of Tania K. Harvey today for a free consultation.