Managing Property Division in Divorce: Addressing Asset Dissipation
The Challenge of Dividing Property in Divorce
Property division often becomes a contentious issue in divorce, especially when a couple has built significant wealth together. In Minnesota, an “equitable distribution” state, marital property gets divided fairly, which doesn’t always mean equally. Minnesota statute 518.58 outlines the factors for this division. However, a key concern arises when a spouse attempts to waste or dissipate assets to limit the other’s share.
Taking Legal Action Against Asset Dissipation
Filing for Divorce and Automatic Restraining Orders
Initiating the divorce process is a critical first step. Filing a divorce petition triggers an automatic restraining order, prohibiting both parties from dissipating assets. This order empowers you to seek court intervention if your spouse attempts to violate this mandate. For instance, if your spouse tries to undersell valuable assets like a boat, the court can intervene to halt the sale and take further actions.
Filing a Motion in Cases of Continued Dissipation
If asset dissipation persists post-divorce filing, you should file a motion with the court. This motion can seek various remedies, from court supervision of accounts to placing assets in escrow for the divorce’s duration. You’ll need to prove that your spouse’s expenditures are unusual and unnecessary compared to spending patterns during the marriage. For example, unusual spending on vacations or jewelry might indicate asset dissipation.
Court’s Role in Adjusting Asset Division
If dissipation has occurred, the court can rebalance the asset division. The non-dissipating spouse may receive a larger share of the remaining marital assets to compensate for the lost value.
Seeking Legal Assistance for Divorce and Asset Division
Divorce and asset division require skilled legal expertise. If you’re dealing with these issues, contact us at (651) 661-2626 for a consultation. We can provide the guidance and support you need to navigate through this challenging process.