When Hiding or Wasting Marital Money Backfires During a Florida Divorce

Not every dollar spent during a separation is treated equally by Florida courts. When one spouse tries to hide, waste, or destroy marital property to keep the other spouse from getting a fair share, the law has a specific answer for that, and it is not a gentle one.

Background of the case

This case involved a couple in the process of divorcing who jointly owned a business. During the litigation, the trial court found that the husband had dissipated the business and its inventory, concealed assets from both the wife and the court, and generally obscured the true financial picture of the business. Based on these findings, the trial court awarded the wife all of the couple’s tangible assets along with a larger-than-equal interest in the business itself, effectively shifting the loss caused by the husband’s conduct onto his own share of the estate.

The husband appealed, challenging both the unequal distribution and other portions of the final judgment, including an award related to medical expenses.

The appeal

The appellate court upheld the unequal distribution of the business and its assets. Florida law allows a court to award an unequal share of marital property specifically to compensate for the intentional dissipation, waste, or destruction of marital assets, particularly once a divorce petition has been filed. Because the trial court had made clear findings that the husband’s conduct was intentional, and not simply a case of poor business decisions or ordinary financial mismanagement, the unequal award was justified.

The court did, however, reverse a separate portion of the judgment dealing with future medical expenses, sending that narrow issue back for further proceedings, while leaving the unequal distribution itself intact.

Key takeaways

Florida law draws a real distinction between a spouse who makes bad financial choices and a spouse who intentionally destroys or hides marital property to cheat the other side out of their share. The second kind of conduct can, and often does, cost the offending spouse a larger piece of the marital estate.

Talk to Us About Next Steps

If you suspect your spouse is hiding assets or intentionally running down the value of a shared business or bank account before your divorce is finalized, timing and documentation are everything. Our Largo divorce lawyers at Cairns Law, P.A. know how to trace dissipated assets and present that evidence effectively. Call our office today to talk about your situation.

Source:

case-law.vlex.com/vid/siravo-v-siravo-no-889095913