Coconut Grove Divorce Lawyers

Attorneys Providing Legal Guidance in Divorce Cases in Coconut Grove, FL

There are a variety of issues that can affect the divorce process, and spouses will need to be sure they are taking the correct steps to protect their rights and interests. Dissipation of assets refers to the spending or misuse of marital assets either in anticipation of a divorce or during the divorce process. This issue can significantly impact the equitable distribution of property. If you believe your spouse is engaging in improper conduct related to the dissipation of assets, contact a lawyer with 305-520-7874 to learn how we can help you protect your financial interests.

What Is the Dissipation of Assets?

In some situations, one spouse may intentionally deplete or misuse marital property for purposes unrelated to a couple's marriage. This often happens during the divorce process, but it may also occur during a couple's marriage but after their relationship has broken down. This behavior can create an unfair financial imbalance and affect the distribution of assets. Common examples of dissipation include:

• Extravagant spending - One spouse may use joint funds to purchase luxury items for themselves. In some cases, this may be done as part of an attempt to hide assets, with a spouse purchasing expensive jewelry, watches, artwork, or other items that they keep secret from the other spouse.
• Unjustified transactions - A spouse may attempt to sell or transfer marital property to family members or friends at undervalued prices, with the intent of getting these items back after the divorce process is complete.
• Gambling or substance abuse - A person may spend significant amounts of money on gambling or addiction issues, reducing marital funds or assets that may be divided during a divorce.
• Affairs - A spouse who engages in an extramarital relationship may spend money on their lover, such as by purchasing gifts or taking them on vacations.

Legal Concerns in Florida Related to the Dissipation of Assets

Florida law recognizes the importance of the equitable distribution of marital assets during a divorce. The courts take asset dissipation seriously, as it can undermine a couple's ability to divide marital property fairly. Key considerations to address in these situations include:

• Marital vs. non-marital property - Understanding which assets are considered marital (acquired during the marriage) versus non-marital (owned before the marriage or received as a gift/inheritance) is important.
• Proof of dissipation - The burden of proof typically falls on the spouse who believes that dissipation has occurred. They will need to demonstrate that the other spouse disposed of or wasted marital assets.
• Timing - The court may consider when the dissipation occurred in relation to divorce proceedings. Actions taken during the divorce will likely be treated as dissipation, and the misuse of assets after a couple's marriage had begun to break down may also be considered. However, if a spouse is accused of wasting assets several years before divorce entered the picture, this most likely will not be considered dissipation.

Proving Dissipation of Assets in Florida Divorce

To successfully demonstrate that assets have been dissipated, a person will need to provide evidence showing that the other spouse acted intentionally and that these actions negatively impacted marital property. Here are some crucial steps to take:

• Document diligently - Keep organized records of all financial transactions, including bank statements, credit card bills, and receipts. Watch out for patterns that indicate wasteful spending.
• Secure evidence - Depending on the situation, documentation may be gathered related to gambling, substance abuse, or other behaviors that could contribute to asset dissipation. Evidence may include videos, photographs, or testimonies from witnesses.
• Consult with financial professionals - Forensic accountants can help trace funds and identify financial irregularities, providing robust evidence for a dissipation claim.

Consequences for Asset Dissipation in Florida

If a court finds that one spouse has dissipated assets, that spouse may face significant legal consequences during property division. Possible outcomes may include:

• Adjustment of asset distribution - The court may award a larger share of the remaining marital property to the non-dissipating spouse to compensate for the lost assets.
• Reimbursement of expenditures - The spouse who dissipated assets may be required to reimburse the marital estate for funds lost due to their actions.
• Impact on alimony - Courts might consider asset dissipation when determining whether spousal support should be paid. The amount or duration of support may also be affected by a spouse's actions.

Protecting Yourself Against Dissipation

If you are considering divorce or have already begun the process of dissolving your marriage, you can take proactive steps to help protect your assets against potential dissipation. Monitor financial accounts for unusual or unauthorized transactions. If possible, withdraw or secure your share of certain assets to prevent potential misuse. Talk with your lawyer to learn about the best ways to ensure that your assets are protected from any further harm.

Contact Our Coconut Grove, FL Divorce Attorneys

Dissipation of assets in a Florida divorce is a serious issue that can have lasting repercussions for both parties. Numerous other issues may affect your case as well, and you will need to make sure you are taking the correct steps to protect yourself. The attorneys at Miami Family Law Group, PLLC are ready to assist you. We will provide the legal help and representation you need to complete your divorce successfully. Contact us at 305-520-7874 to schedule a confidential consultation today.