When Texas individuals with high net worths consider divorce, there are numerous aspects that will need thorough consideration. It is also not uncommon for spouses in complex divorce situations to disagree on multiple levels, and suspicions or mistrust may lead to lengthy litigation procedures. Each spouse may benefit from selecting a team of professionals to preserve his or her financial and emotional investments throughout a high net worth divorce.
In complex divorces, the respective assets of each spouse may include businesses, investment portfolios, partnerships, valuable collectibles and more. The valuation of assets in partnerships or trusts or those held in different jurisdictions can be a complicated process. Also, valuations of life insurance, deferred compensation arrangements and retirement plans will have to be obtained.
Sadly, some spouses choose to hide marital assets. One spouse may resort to tricks, such as the use of dummy corporations, the creation of fake debts, an increased business payroll and many more, to conceal his or her real income from the other spouse. Such a person may do anything to show a lower income in order to avoid dividing assets and capital with the other spouse.
The most practical first step for a Texas spouse may be to consult with an experienced high net worth divorce attorney. After assessing the relevant information, a lawyer can assist in putting together a team of professionals to protect the client’s interests. Included may be a financial professional, such as a forensic accountant, who can scrutinize investment portfolios, tax returns, bank statements and more. Whether through negotiation, mediation or litigation, an attorney can make every effort to obtain an outcome that will minimize the negative impact of the divorce on the client and any children that may be involved.
Source: Forbes, “When The Wealthy Divorce, They Regularly Engage Forensic Accountants“, Russ Alan Prince, Sept. 22, 2015