Divorce is almost always a complex and emotional undertaking, but when there is a lot at stake financially, an additional layer of stress is often added to the proceedings. In high asset divorces, it is especially important to hire an experienced lawyer who will be able to asset you in liquidating shared assets and paying off joint debts. While this process may be complicated, it is likely to save money and bring you peace of mind down the road. Keep reading to learn more, and contact our skilled Henderson divorce attorneys at Ford & Friedman for representation today.
Liquidating Assets 101
The role of asset liquidation in a divorce is to strengthen your credit and secure your financial future. Consider it like the closing of a business, in which losses are compensated for by selling off as much property and merchandise as possible before the owners close up shop. In a high asset divorce, couples can mitigate losses in a similar way, liquidating assets for cash that can then be split down the middle. This will not only save you time in protracted court battles, but may ensure you receive compensation for assets you might have completely lost otherwise.
For instance, you may be able to sell off an asset and use the proceeds to pay off debt. Many couples liquidate assets like joint mortgages, accounts, and auto loans for this reason. Some couples may also share businesses assets together, which, per our analogy earlier, may also be liquidated to offset overall losses. Joint credit cards, however, cannot be liquidated, and are extremely important to close following a divorce, lest you end up liable for your former spouse’s purchases.
Other Benefits of Liquidating Assets in a Divorce
The chief benefit of liquidating assets may be that it can save you a lot of responsibility in the long-run. For instance, if the judge in your divorce case awards an account to your ex-husband or ex-wife and they do not maintain payments, this will reflect poorly on your credit. Another benefit of liquidating assets is that it can save you from further legal action. While a creditor can bring a lawsuit against you and your ex for various debts, liquidating certain assets could save you from being sued.
What if I Choose Not to Liquidate Assets I Shared with My Spouse?
Some couples may choose to divide assets they share with a former partner rather than liquidate them. This is fairly common if there are ongoing business concerns or other financial ventures involved. It is all the more important to have an excellent lawyer should you choose to go this route, as failing to divide assets properly could lead to lawsuits and credit issues, per what we covered earlier.
Ford & Friedman Are Here for Your Liquidation Needs
At Ford & Friedman, our attorneys know firsthand how difficult it can be to resolve issues in a high net worth divorce. That’s why we provide legal assistance for everything from asset liquidation to forensic accounting to child support determinations. Divorce is hard enough without an attorney who will fight for what you deserve. Call Ford & Friedman today to protect your assets and your future.
To schedule a consultation, call (702) 904-9898, or contact us online.