High Asset Divorce
Negotiations in a high net worth divorce can be daunting and are often riddled with overwhelming complexities that require the counsel and representation of an experienced divorce lawyer. With much at stake, each spouse in a high asset divorce must ensure that their best interests and future lifestyles are protected in the divorce settlement.
The Philadelphia high asset divorce lawyers at Freedman & Lorry, P.C. have experience helping divorcing clients navigate through some of the most complex divorce situations. They are dedicated to helping their clients reach equitable divorce agreements that protect their personal interests and marital assets, along with the best interests of their family.
Valuating Marital Assets
The first priority when dividing marital property is getting a reliable evaluation of the couple’s worth. A valuation specialist such as a forensic accountant is an important part of each spouse’s legal team. These financial advisors serve as consultants to divorce lawyers to ensure they protect the current and future wealth of their clients.
Business ownership and interests, retirement portfolios, stocks, bonds, IRAs, money market accounts, and life insurance benefits can be complicated issues to negotiate. Simple mistakes can result in significant losses for one or both spouses. Hidden assets, such as income from rental properties or dividends from investments, can benefit one spouse unfairly. Divorce lawyers that collaborate with forensic accountants and valuation specialists can be certain that their clients receive a fair share of the couple’s assets.
Division of Property and Assets
A skilled and experienced high asset divorce lawyer works with their client to ensure that their legal rights are protected and that they receive their fair share of the couple’s marital wealth in the following areas:
- Real Estate: Wealthy couples can have several residential properties that must be accounted for. Equitable distribution of these properties depends on when they were acquired in relation to the date of the marriage, how much of a down payment was made on each property and by whom, and what sources of payment have been used to purchase the property. The couple must decide if the properties will be sold or redistributed to each spouse. A complete valuation, comparative market appraisal, and analysis of each property must be completed to ensure that each spouse is awarded a fair share of its value.
- Distribution of Business Ownership and Partnership: Determining the current and future value of a business or partnership that the divorcing couple shares is a very complex process. A complete analysis of the business property, financial and transaction records, ledgers, payroll, receivables, inventory, client lists, partnership interests, enterprise, and goodwill must be completed to determine the current and future value of the business.
Consideration is also given to the percentage of the business each spouse owns, and whether one spouse owned the business prior to the marriage. Once the value is determined, the couple must decide to buy out their spouse, sell the business, or grant an annuity.
- Retirement Portfolios: In most cases, retirement benefits such as 401k plans, 403B, IRAs, pensions, and deferred compensation plans are considered marital assets subject to equitable distribution. Though the value of these plans will be distributed in the future, the amount that each spouse will receive is determined in the divorce settlement.
- Prenuptial and Postnuptial Agreements: The laws governing prenuptial and postnuptial agreements vary by state, but they are considered enforceable legal documents. It is imperative that each spouse’s counsel carefully reviews these documents to ensure their client’s legal rights are protected. Equitable distribution can be affected by the terms and stipulations outlined in these agreements.
- Alimony and Child Support: Alimony and child support issues are typically the most emotionally draining and stressful negotiations in a divorce settlement. In a high asset divorce, the issues surrounding lifestyle and privilege are often volatile. Each spouse is entitled to continue the lifestyle they were accustomed to during the marriage, but it is often difficult to agree on how much support is needed from the spouse with the highest income. When child support is part of the equation, it is imperative that one parent does not suffer a significant decrease in their lifestyle and ability to provide for their child. If the spouses cannot come to an amicable agreement, the court will intervene.
Philadelphia Divorce Lawyers at Freedman & Lorry, P.C. Successfully Resolve High Asset Divorce Settlements
If you are considering a divorce involving significant assets, the Philadelphia divorce lawyers at Freedman & Lorry, P.C. have the knowledge and the resources to protect your best interests. Call 888-999-1962 today or contact us online to schedule a confidential consultation today. Our offices are located in Philadelphia, Cherry Hill, New Jersey, and Pinehurst, North Carolina, and we proudly serve clients throughout Pennsylvania.