In Florida, the equitable distribution of marital assets aims for fairness, not necessarily equality. When a spouse hides or mismanages assets, the court takes specific actions to ensure a just division of property.
Hidden assets
The courts treat hidden assets as a serious offense. If one spouse tries to conceal assets, the other spouse can request detailed financial records during the discovery process. Forensic accountants often step in to track down hidden accounts, properties, or investments.
When the court uncovers hidden assets, the dishonest spouse may lose out on a larger share of the marital estate. Hiding assets is a fraud, and judges may award the other spouse a greater portion of the marital property as a result.
Mismanaged assets
If one spouse recklessly spends or mishandles marital funds, the court can adjust the asset division. The court evaluates whether the mismanagement caused significant losses to the marital estate. If one spouse deliberately wastes assets, they could receive a smaller share of the remaining assets. This ensures fairness for the other spouse who did not mismanage the property.
Ensuring fair asset division
The courts require both spouses to submit financial affidavits, tax returns, and bank statements during the discovery process. When a spouse refuses to fully disclose their financial information, the court can penalize them. The penalty may include holding the non-compliant spouse in contempt of court.
Why honesty matters in property division
Transparency and accountability in financial matters are crucial during a divorce. Both parties benefit from a fair asset division when the marital estate is clearly and accurately represented. This ensures that each spouse receives what is rightfully theirs based on the true value of their shared assets.
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