During divorce, a central part of the process will involve evaluating and dividing up the marital assets between the divorcing parties. Although this aspect of the divorce process can generate some very heated disputes, things can get far more complicated when one party may be hiding assets in divorce.
In addition to being deceptive and unethical, hiding assets in divorce is illegal – and it can serve as a basis to render final divorce decrees invalid. Nevertheless, people still try to do it, and being aware of the signs of hiding assets in divorce can be crucial to knowing when to take further action, such as investigating the incident and bringing the matter to the attention of the court.
Taking a closer look at this issue, in this three-part blog series, we will point out some of the more prominent signs that an ex may be hiding assets in divorce. If think your ex may be trying to commit this type of fraud – or if you simply want the best representation for your upcoming divorce, you can turn to the experienced Littleton divorce lawyers at Littleton Lawyers™.
Commonly, people keep important financial documents – like bank statements, ownership titles and tax documents – in a single secure place. If this is the case for you and you start noticing that some or all of these financial documents are disappearing, this could be a sign that your partner may be hiding assets in divorce. A few of the reasons for this are that, by taking these documents and depriving you of them, your ex can effectively prevent you from being able to obtain an accurate concept on your marital financial situation.
Have you noticed that your ex is no longer receiving important mail at home? If so, this can be another indication of hiding assets in divorce. In fact, when a former spouse sets up a P.O. Box or starts getting his or her mail sent to some location other than your home – despite the fact that (s)he still lives at home, the underlying motivation can be to prevent you from:
So, you may want to start asking some questions if your ex stops getting any mail at home.
When a former partner who used to be open about money and/or finances suddenly starts lying or becoming very evasive about these issues, it may be time to become more suspicious and do some more digging to find out if this change may be an indicator of hiding assets in divorce.
Of course, an ex may stop talking to you about money – or about everything – after a divorce petition has been filed with the court. However, should you start to notice any of the following, you may want to take some further action:
One way that some people can try to hide assets in divorce can involve trying to make it seem like they are earning less money in the months leading up to – or during – the divorce. Some of the various ways this can happen include (but are not exclusively limited to) by:
While such reductions in a partner’s income can end up reducing his or her spousal support obligations in divorce, it can also be a manipulative (and illegal) way for that spouse to attempt to retain more assets for him- or herself through the divorce.
This can be one of the more blatant signs of hiding assets in divorce, as having accounts that you are not aware of can be an easy way for an ex to stockpile money without you having the knowledge to even inquire about it (or to even note these accounts in your divorce documents).
So, if you happen to become aware that your ex has bank accounts and/or retirement accounts that you never knew about, you may want to start looking into this further, as (s)he may be hiding assets in divorce.
Another way that people can try to hide marital assets in divorce can be to make “loans” or give extravagant “gifts” to their family, friends or even new romantic partners.
By transferring funds and/or assets to another person’s name (with that person simply “holding” the asset until the divorce is finalized), a spouse can effectively make it look like (s)he no longer has ownership over these assets and, consequently, these assets won’t appear to be part of the marital property in divorce.
So, if your ex has developed a recent pattern of making loans or giving gifts to people, you may want to taking a closer look at whether (s)he is hiding assets in divorce.
If you notice any of these signs of hiding assets in divorce, the best things you can do are to:
Are you getting ready to file for divorce? If so, it’s time to contact the experienced Littleton divorce attorneys at Littleton Lawyers™. Since 1983, we have been providing our clients with the best divorce representation so that they can achieve successful resolutions and move on with their lives.
By working with the trusted Littleton divorce attorneys at Littleton Lawyers™, you can be confident that your divorce will be resolved as favorably and efficiently as possible.
To get more information about your best options and how we can help you, meet with us for a free, no obligations initial consultation. To set up a meeting, call us at (303) 794-7422 or email us using the contact form on this page.
