What Leads to Inequitable Property Division in Divorce?
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The end of a marriage brings all sorts of emotions, but it is often the financial questions that keep people up at night. One of the biggest misconceptions about divorce is that all marital property will be split exactly 50/50. While fairness is the goal, particularly in states like Illinois, what is considered “equitable” might not be what you think of as “equal.” In fact, several acts can even lead judges to rule for inequitable division, including:
- Hiding assets
- Dissipating assets
- Committing fraud
- Failing to contribute to the marital estate
At Reifman Law Offices, we understand that you are looking for simple, clear advice to guide you through the divorce process. We believe you deserve to understand the reasons why a judge might order an unequal division of property so you can protect your financial future.
What Actions Can Lead to Inequitable Division of Property?
1. Hiding Assets and Failure to Disclose
Transparency is the foundation of a fair divorce settlement. During the legal process, both parties have a duty to provide complete financial disclosure. This means listing every bank account, investment, debt, and property to help determine proper division. Unfortunately, some spouses attempt to conceal wealth to keep it for themselves. Common methods of hiding assets include:
- Transferring cash to a friend or relative’s account.
- Overpaying taxes with the intent to get a refund later.
- Purchasing expensive items, such as art or collectibles, that may be easily overlooked.
- Moving funds into undeclared cryptocurrency wallets.
If the court discovers that a spouse has hidden assets, the consequences are typically severe. A judge may award a larger portion of the known assets, or the entirety of a hidden asset, to the innocent spouse to offset the deception.
2. Dissipating Marital Assets
Dissipation occurs when one spouse intentionally wastes marital funds during the breakdown of the marriage. This is distinct from bad investment choices or reckless spending during happier times in the relationship. To be considered dissipation, the spending typically must occur when the marriage is undergoing an irretrievable breakdown and must not benefit the marriage. Examples often include:
- Spending marital funds on a paramour (gifts, dinners, vacations).
- Excessive gambling losses incurred after the marriage began to fail.
- Destroying or neglecting property to reduce its value.
If you can prove your spouse dissipated assets, the court may credit you with a greater share of assets based on the value of those that were wasted.
3. Financial Misconduct
Financial misconduct is a broad category that includes dissipation and non-disclosure but also extends to fraudulent behavior. If a spouse has manipulated financial records, forged signatures, or fraudulently transferred business assets to lower the value of the marital estate, the court will likely intervene. Judges have the discretion to compensate the disadvantaged spouse for this misconduct.
4. Unequal Contributions
While less common than misconduct claims, the court may consider the contributions of each party to the acquisition and preservation of marital property. This includes both financial contributions and contributions as a homemaker. If there is a massive disparity in how assets were acquired or if one spouse’s negligence actively reduced the family’s net worth, a judge may decide that an uneven split is appropriate.
Receive Your Fair Share With a Lawyer’s Assistance
In the midst of the difficulties of divorce, do not face the present and future financial challenges of property division alone. At Reifman Law Offices, we offer flat fees and transparent guidance to help you move forward with confidence. Whether you suspect your spouse is hiding assets or you simply want to ensure a fair settlement, Arkady Reifman is here to advocate for your rights. Schedule your free consultation today.       Â
At Reifman Law Offices,
we will take the weight of dealing with family legal issues off of your shoulders.
Call Us 847-229-8433
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