Are Spouses Allowed to Hide Their Assets During a Divorce?
In Florida, a couple in the process of divorce must follow mandatory disclosure requirements. These requirements state that spouses must exchange financial information like bank statements, tax returns, pay stubs, and other information. They must file a financial affidavit listing the extent of each person's income and assets, along with current debt. These documents prevent a spouse from hiding assets. Neither spouse is allowed to cover up this information so that the court can fairly distribute marital property. Hiding the information makes an already difficult process more complicated.
If you are going through a high-net-worth divorce, it is even more important to get a Miami family law lawyer to help settle your case and uncover any evidence of hidden assets.
Why a spouse may hide assets
It is not unlikely a spouse will hide assets, and there are many reasons for doing so.
Claiming business expenses as personal spending
Maintaining a hidden bank account
Placing assets offshore
Transferring to third parties for a lower market value
Receiving cash payments and not reporting them as income
Listing a paramour as their employee
Delaying benefits until a divorce is final
Using a child's social security number to open accounts in the child's name
All of these above scenarios and more are meant to minimize the income and wealth of a person, allowing them to keep their assets and not have to share with the spouse or pay a higher alimony rate. Often, if family law attorneys Miami uncover in the process of trial that there are hidden assets, the spouse will have to pay even more to the innocent spouse. They will also likely be charged with contempt of court and perjury, which will lead to fines and jail time.
Both parties in a divorce are legally obligated to reveal their finances. If you have reason to believe your spouse/ex-spouse is hiding assets, Rafool, LLC can help. Call us at 305-567-9400 or visit us online to schedule a consultation.