While each divorce case in California is unique, high-asset divorce cases can be especially complicated because of the amount of assets and, potentially, debt that can be involved in these types of cases. The individuals who are going through high-asset divorce cases may have business interests to protect, as well as rental real estate and investment accounts, among other potential assets. Protecting your property is crucial during the asset and debt division part of a divorce case.
In California, which is a “community property” state, marital assets will be split evenly between the divorcing spouses. However, defining what, exactly, is included in the marital assets to be split is another question. If, for example, one of the spouses owned assets prior to the marriage and those assets have been kept separate from the married couple’s finances, those particular assets may not be included in the marital assets that will be divided. The same goes for debt as well.
For most couples in California who are going through a high-asset divorce, attempts to reach an out-of-court agreement on how property and debt division will be addressed can be beneficial. This can save the couple time, emotional strain and money. However, in some cases, full-on courtroom litigation is necessary.
California residents work hard for the resources and assets they own. Dividing those assets in a divorce can be a stressful situation. However, with the right legal information and approach, it may be possible to protect your property in a high-asset divorce case.