How Allegations of Asset Dissipation Can Lead to a Contested Divorce

 Posted on July 20,2023 in Property Division

In the sphere of divorce proceedings, disputes over financial assets often contribute to the complexity of the process. One crucial aspect that can lead to significant contention is one spouse's allegation of asset dissipation against the other. Today, we will explore how much allegations can impact the outcome of a divorce case and potentially escalate the proceedings into a contested divorce.

Definition of Asset Dissipation

Asset dissipation refers to the intentional depletion or wasteful spending of marital assets by one spouse intending to diminish the overall value of the marital estate. This can involve various activities, such as hiding assets, lavish expenditures, extravagant gifts to third parties, and transferring assets to family or friends to keep them out of the divorcing spouse’s reach. Such actions are not only unethical but can also have legal consequences during divorce proceedings.

Allegations of Asset Dissipation as a Cause for Divorce Contention

When one spouse suspects the dissipation of assets, it can significantly impact the divorce proceedings. These allegations often generate intense mistrust between the spouses, creating an atmosphere of hostility and making the process even more acrimonious. The accused spouse typically seeks to prove the dissipation of assets, leading to complex investigations and additional legal expenses. Moreover, the accused spouse may face negative consequences if the accusations are proven, such as being required to reimburse the dissipated value or having their share of the marital property reduced.

Legal Approach to Addressing Allegations

To prove asset dissipation, the accused spouse must provide concrete evidence demonstrating their spouse intentionally depleting marital assets. This can be challenging and expensive to prove, as it often involves retaining the services of a financial professional like a forensic accountant. Extensive documentation will be required to prove that the dissipation of assets is occurring. In any event, individuals involved in such cases need to consult closely with a qualified divorce attorney who can advise and guide them on the best legal approach to address the serious dissipation of assets claims.

Contact a Palo Pinto Divorce Attorney

Allegations of asset dissipation often transform uncontested divorces into contested ones, as they introduce complex financial considerations that require thorough investigation. You need to hire the best available legal counsel for legal protection during this momentous process. Contact the Parker County divorce lawyer with The Law Offices of Kary L. Key for high-quality legal guidance. Call 817-599-6969 for a private consultation.

Source - https://statutes.capitol.texas.gov/Docs/FA/htm/FA.6.htm