Common Mistakes in High Net Worth Divorce
Divorce is already emotionally taxing. But it becomes even more stressful because of all the legalities involved. This is especially true when you have a high net worth, because of the complications associated with assets, properties, and other liabilities.
The fair division of these belongings can be very difficult for judges and attorneys handling the case. You don’t want to make the situation worse by committing the following mistakes associated with high net worth divorce.
Letting emotions get in the way
Divorce involve a variety of emotions, such as anger, guilt, jealousy, and relief. But emotion has no place in the divorce process, especially because financial agreements are at stake. Control your anger and jealousy, as your eagerness to get revenge and inflict damage on your partner may result into greater financial damage on your side. If you let guilt and relief take over, you might end up giving up assets unnecessarily.
Signing documents without second thought
Divorce is stressful and it can take a lot of your time, but it doesn’t mean that you can be reckless just to get over it as fast as possible. Always understand the agreements first before signing them. Also, make sure to consult your lawyer to ensure that the agreements go with your best interests.
Failing to account liabilities and assets
A financial affidavit needs to be filled up completely. This is something you should take seriously, because improper accounting of your liabilities and assets might result into taking liabilities that should not be yours and giving up assets that should be yours.
You may be tempted to hide assets to limit the ones that are at stake of being divided between you and your partner. But this act is almost always exposed, compromising your credibility and casting doubt on all the other actions you have done during the divorce process.