High Asset Divorce

On behalf of Morna Challoner of Challoner Law posted in High Asset Divorce on Friday, June 16, 2017. Celebrity prenuptial agreements tend to make news because of the different (and odd) provisions that couples hold each other to. It is not surprising to find clauses requiring a spouse to remain at a certain weight, or prohibiting in-laws and friends from staying in the home for more than a week at a time. As prenuptial agreements evolve, more are including what referred to as "lifestyle" clauses. A common example of such a clause is an "infidelity" section. Essentially, a cheating spouse may be subject to a financial penalty if he or she strays from the marriage. One example is the cheating clause rumored to be in the prenuptial agreement established between Justin Timberlake and Jessica Biel. According to Forbes magazine, Timberlake would have to shell out $500,000 if he cheats. Like many clauses in celebrity prenuptial agreements, the infidelity clause may make its way into prenup for everyday people. Indeed, no one wants to face the prospect of being cheated on, and an infidelity clause can help soon-to-be married couples talk openly about what would happen if the relationship gets complicated. While it may sound good while negotiating the agreement, it is important to understand whether such a clause is actually enforceable. Of course, there is no clear cut answer, but courts generally look to a number of factors to ascertain whether the couple actually intended to include an infidelity clause and hold each other accountable. They include, but are not limited to, whether each party had legal counsel while negotiating the agreement, and whether either party signed it under duress. If you have additional questions regarding prenuptial agreements, an experienced family law attorney can advise you.

On behalf of Morna Challoner of Challoner Law posted in High Asset Divorce on Thursday, July 6, 2017. If you and your spouse have made the decision to divorce, no doubt that you have many questions about the process. For many people in Santa Rosa, their biggest concerns lie with how the child custody process and the asset division process will be handled. Every situation is different based on the best interests of the child and the financial aspects of the divorcing couple, among other factors. When a family has multiple assets, including a vacation home, you might be wondering how to procure that asset for yourself in a divorce. If a vacation home is marital property (and it often is) it will be considered an asset that qualifies for division between the two spouses. If the vacation home is a priority for a person in a divorce, and it falls under the category of marital property, one may have to sequester or give up another asset in lieu of the vacation home. However, one should be aware of the tax obligations that may accompany a vacation home. Since virtually all real estate is taxed under California state law, one may need to consider the financial obligations of the property both now and in the future. At Challoner Law, we understand that you may have assets that are very important to you and we do our best to procure those assets for our clients. The tax obligations could help offset the immediate cost of taking sole ownership of the family's vacation home. There are many ways that an asset division can be handled during a divorce. It is important to get a full and complete understanding of all assets and liabilities that can affect the asset division process. This will be the basis [...]

On behalf of Morna Challoner of Challoner Law posted in High Asset Divorce on Thursday, August 10, 2017. Money is a have it or have not situation. For those who have it, it is a great blessing but also a big responsibility. For married couples who have decided to go their separate ways, financial aspects will begin to creep into the minds of those who are looking to separate. So, which assets belongs to whom in a Santa Rose high asset divorce? Financial assets could be any tangible asset like property and savings accounts. Many people have questions about their 401(k)s, many of which have been accumulating assets for years of a couple's marriage. Oftentimes, it is accumulated by the income of one spouse, so the non-earning spouse may have concerns about accessing those funds. Unless previously determined (like in a prenuptial agreement), 401(k)s are typically considered marital property and, thus, subject to equal division between divorcing spouses. However, transferring these assets successfully and with minimal fees is key to getting the most out of your financial assets and investments. When filing for divorce, there are often special considerations or filings that need to be done in order to avoid extra and unnecessary taxation and fees. This could apply to transferring financial accounts like 401(k)s and stocks in case of a divorce. The process can be enough to deal with, so any unnecessary costs or hassles should be avoided during the asset division process, if possible. Special considerations could also apply to the family home if divorcing spouses decide to sell the property and divide up the profits. If not approached correctly, there could be unnecessary costs associated with this process. Divorcing spouses are usually allotted specific tax breaks or discounted fees associated with asset division or transfer. Other parties not going through [...]