When one spouse uses marital property for purposes unrelated to the marriage in the lead-up to divorce or while the relationship is clearly breaking down, it can shrink the assets available for division, potentially leading to an unfair outcome. Common examples include funding an affair using marital funds, gambling or draining joint accounts for personal luxuries.
New Jersey courts pay close attention to such conduct when deciding how to divide assets, and a judge may adjust each spouse’s share to ensure fairness. That said, you need to prove that the dissipation occurred for the court to act.
Present concrete evidence
Proving dissipation relies heavily on financial documentation. Bank statements, credit card records, tax returns and even messages or emails can reveal patterns of unusual spending. Creating a clear timeline is equally crucial. Courts typically examine conduct that occurs after the marriage has begun to break down, not everyday spending during happier times.
The more detailed the evidence, the stronger the case to show assets were used improperly or in ways that don’t benefit the marriage.
How the court may respond
As mentioned, the court can compensate the spouse who was harmed by the other’s financial misconduct. This may include awarding a larger portion of remaining assets to offset what was wasted or misused in the interests of equitable division.
Protecting your interests
If you suspect your spouse of dissipating marital assets shortly before or during divorce proceedings, acting quickly can better the chances of recovering what was lost and safeguarding your share of the marital estate. You don’t want to wait until it’s too late to save the situation. Start by gathering financial records and seek urgent legal guidance to understand your options and take the necessary steps.
