Divorce is already a challenging process, but when one spouse hides assets, it can lead to unfair financial outcomes and prolonged legal battles. In this video, family law attorney Sina Mohajer of Mohajer Law Firm dives deep into the legal and financial consequences of hidden assets in divorce. Whether you suspect your spouse is concealing wealth or want to protect yourself from false accusations, this guide provides the tools and knowledge you need to navigate this complex issue.
Need help locating hidden assets? Contact Mohajer Law Firm for a consultation to ensure your financial interests are protected throughout your divorce process.
Transcript:
When you’re dividing assets during your divorce case, you may come across a situation where you feel the other side perhaps is hiding assets. But the question is, how can you prove it? How can you determine if assets are being hidden? What are those assets? What defines a hidden asset? And what are some possible legal consequences if you’re caught hiding assets?
Well, in this video, we’re going to address all those questions.
Hi, I’m Sina Mohajer with Mohajer Law Firm. We specialize in Family Law, Estate Planning, Criminal Defense and Personal Injury.
In these videos, I like to tackle complex legal issues and try to simplify it for my viewers in order to let you have a better understanding of your legal rights. So if you like the content of this video, please hit that like button. And don’t forget to subscribe, so you’re always in the know of any new videos being posted. And without further ado, I welcome you all to our new series called A Walk in the Park.
What Is a Hidden Asset?
So what is a hidden asset and why do they matter? Well, hidden assets are usually income, property, or other valuables that are deliberately being concealed by one spouse in order not to divide it during a divorce.
And the reason why they matter? Well, sure, it ends up not allowing for an equitable division. The person who is being hidden from these assets, you’re not getting your share of what the community acquired during the marriage.
How Do You Determine If an Asset Is Hidden?
But the question is, how do you determine if an asset is actually hidden? How can you find out if the other side is being deceitful? Well, that is why it’s so important that during the divorce stage, when you’re disclosing your financial documents, number one, both sides must do it thoroughly and truthfully. But you’re not always going to get that in every case.
Review Disclosures Closely
When you receive those disclosures from the other side, it’s very important to go through it thoroughly with detail and a fine tooth comb, because most likely you’re going to find a breadcrumb. And when you find that breadcrumb, it’s going to lead you to the hidden asset.
Subpoenas and Forensic Accountants
Sometimes you might need to subpoena documents based on a breadcrumb you find in the initial disclosures, or you might even need to hire what we call a forensic accountant to dive deeper, more than what we can as attorneys to determine if an asset is being hidden or not.
Examples of Hidden Assets
Some examples of hidden assets also could be unreported income. It could be property that was transferred to third parties, offshore accounts, or even undervalued property. So it’s really important to review all the disclosure documents and look for those red flags to lead you into the right direction.
What Happens If You Hide Assets In a Divorce?
Now, one question I get is, well, what happens if I’m caught hiding assets? What’s going to happen? We’re going to divide it anyways. And sure, if that’s the case, I would say, why doesn’t everybody hide their assets until they get caught? Right. It’s easier to ask for forgiveness than it is for permission. Not in this case.
If you’re caught hiding assets, the court has power to not divide that asset equally, which it would have been had you been forthcoming with it. But instead, the court has the power to give you less of the pie and give the majority to the other spouse who was forthcoming. This is an effort to deter people of not being truthful and forthcoming during the divorce process. Because in a divorce process, the Court, is a court of equity. It’s a court of fairness. If you’re not playing by the rules, there will be penalties.
Get Legal Support from a Family Law Attorney
When dealing with asset division, sometimes it can be overwhelming for an individual who’s representing themselves to look through all this and look for those red flags. That’s why it’s important to work with a knowledgeable and experienced family law attorney. We have access to forensic accountants and other experts who might need to be taking a step into the divorce to determine if there’s any assets being hidden or not.
In any event, if you have questions about your case, you’re curious to see whether you have assets that are being hidden from the other side, I welcome you to contact our office. I’m happy to sit down with you one on one for a consultation to explore your options and determine what’s the right path to take for you.
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