Why It’s Always Best To Disclose Your Assets Before A Divorce
Posted on 21st May 2021
News stories have spread recently of a Russian oligarch who was fined for helping his father hide money in his divorce. Our expert Family solicitors have weighed in on the event, and explain why it’s always best to disclose all assets before a divorce.
Our expert family and divorce solicitors at MG Legal know all too well the importance of asset disclosure. Before any divorce proceedings begin, we always do our absolute best to ensure that everybody involved is aware of what exactly there is in terms of money and other tangible assets involved in the proceedings. The process of doing so is generally called ‘disclosure’, and requires both parties to tell our local solicitors here at MG Legal of all aspects of their finances, through providing official documentation.
What does it mean to hide assets?
In any divorce proceedings, both parties are legally obliged to disclose all of their asses, and can begin doing so using a Form E from the government; this can be downloaded online, here. Still, there are many ways in which people still may attempt to hide assets throughout the process.
These include, but are not limited to:
Deliberate underestimation of business interests
Alluding to debts that do not actually exist
Failing to disclose money within a company
Attempting to transfer cash assets to third parties
Attempting to transfer cash assets to offshore accounts
Why do people hide assets?
Over the years, many people have been involved in divorces in which they are concerned about how their property, money, and other assets will be divided. Because of this, some people, especially those with a significant amount of assets, may feel tempted to try and hide these from their spouse in order to prevent them from receiving any share of them. When we see this at our local solicitors, it normally always comes from a place of anger, in which one party feels resentment at the possibility of the other party receiving assets that they believe they solely worked for and deserve.
Under England and Wales law, the starting point for the division of assets in a divorce is always 50/50, and our family law experts will always try to ensure that this is adhered to in most cases. Still, the final divorce settlement may vary from case to case, and is dependant on the parties’ circumstances.
What is the punishment for hiding assets?
The hiding of assets in a divorce proceeding might seem like a good idea, but it is a huge risk, and is never worth it. If you are found to be hiding assets of any kind in a divorce, there are a number of different ways in which you can be punished by the course; this works on a case-to-case basis.
The offence could lead to the guilty party having to fork out for the others’ legal costs, or even doing worse off in the final settlement than they previously would have done. One of the worst, and most common, outcomes of hiding assets is that it can often lead to the complete breakdown of negotiations, resulting in the only option being to take the case to court.
How can MG Legal help with divorce cases in which assets have been hidden?
Here at MG Legal, ‘solicitors near me’, our expert divorce solicitors are always available to assist our clients in any way we can with their divorce. We have always offered solid and sound advice to all of our clients about the importance of disclosing all assets before a divorce proceeding begins. If a client is suspicious, and thinks that their partner may be hiding assets in the divorce, we are always on-hand to give advice and walk them through step by step what should be done to resolve the matter. We offer fixed fees on all services, including divorce. See a collection of these prices, here.
We know that the advice we give could affect the rest of your life. Because of this, we always take the time to sit and listen to our clients, and advise them as to the options available, and then do more than any other legal team to achieve the best outcome in the case. Our success rates are second to none - read our reviews.
How can I contact MG Legal?
Our team can be contacted at your local office- Lancaster, Garstang or Longridge. You can also submit an enquiry online, here, and a member of the team will get in contact with you to discuss your matter.
MG Legal’s expert local solicitors for divorce and family law are available Monday to Friday, 9am to 5pm, using the methods above.
Alternatively, for out of hours enquiries, email email@example.com and our expert member of the Divorce and Family department, Sara, will be back in touch to discuss your enquiry.
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