Typically, the most complex divorces are those that involve a high amount of assets. When there are more assets to divide, the stakes are higher, and establishing ownership can be more difficult.
If you are going through a high asset divorce, you should make sure that you have a good understanding of what the key challenges are. The following are some considerations you should make.
Is a prenuptial agreement in place?
If you signed a prenuptial agreement before you got married, this means that asset division will occur in accordance with this agreement unless you can dispute it.
Understand the difference between community property and separate property
All property in a California divorce is considered either to be community property or separate property. Community property is defined as any property that was acquired by either spouse after the date of the marriage with the exception of gifts, inheritances and damages from lawsuits.
Separate property is defined as property that was acquired before the marriage in addition to gifts, inheritances and damages from lawsuits. Community property is the property that will be divided 50-50 during a divorce. Therefore, you must be able to correctly classify assets.
Understand the importance of spousal maintenance
Spousal maintenance, otherwise known as alimony, may be ordered by the courts. This means that one spouse may need to pay the other income for a certain amount of time after the divorce.
If you are currently going through a high asset divorce, it is vital that you take action to understand how to gain the best possible outcome.
