Divorce Property Division in Divorce 2

Question 1

What is 'dissipation of marital assets'?

Accepted Answer

One spouse wastefully or recklessly spending marital assets in anticipation of divorce

Answer

Normal spending during the marriage

Answer

Selling assets to pay off joint debts

Answer

Giving assets to children as gifts

Question 2

What happens to marital debt in a divorce?

Accepted Answer

Courts can divide joint debt, but creditors can still pursue either spouse regardless of the divorce agreement

Answer

All debt stays with whoever incurred it

Answer

Debt is automatically erased upon divorce

Answer

The higher-earning spouse always takes all debt

Question 3

What is 'equitable distribution' in divorce?

Accepted Answer

A fair division of marital assets considering multiple factors

Answer

An exactly equal 50/50 division of all assets

Answer

Division of assets only by a judge's ruling

Answer

Splitting only assets acquired after marriage

Question 4

What is the 'date of valuation' and why does it matter in divorce?

Accepted Answer

The date used to determine the value of marital assets, which affects how much each spouse receives

Answer

The date the divorce petition was filed

Answer

The date the marriage began

Answer

The deadline for filing financial disclosures

Question 5

What is a 'forensic accountant' used for in high-asset divorces?

Accepted Answer

To investigate finances, uncover hidden assets, and value complex marital property

Answer

To negotiate the divorce settlement

Answer

To manage the couple's finances during the divorce process

Answer

To prepare the couple's final joint tax return

Question 6

What is 'wasteful dissipation' and how do courts address it?

Accepted Answer

Courts may credit the innocent spouse with the wasted amount from the guilty spouse's share

Answer

Courts ignore it if both parties agree

Answer

The wasted assets are subtracted from both spouses equally

Answer

It is only addressed in fault-based divorce states