The husband who "wasted" nearly $4,200,000 of his $6,000,000 of separate property was told by an appeals court that it was a factor in granting his wife maintenance and
equitable distribution of marital assets.
The general rule in a divorce is that separate property, kept separate, remains separate unless there is appreciation in value due to contributions of the non-titled spouse or active growth due to the work of the titled spouse during the marriage. The court found that the husband had grossly mismanaged his money and that it was a factor in determining each person's future financial circumstances for the purpose of
dividing marital property and was also a factor in deciding maintenance based upon the same factors and the ability to be self-supporting in the future and loss of inheritance rights.
The case is very interesting because it states that the division of marital property can be affected by the fact that one person has greater assets than the other, even if they are separate assets. Clearly maintenance can be affected by the difference in the ability to be self-supporting and the resources of each spouse.
Here the appeals court appeared to be offended by the lack of care and oversight and the financial impact the family was caused due to the husband's gross mismanagement and waste of money.
Interesting facts once again make for interesting decisions. If you are in need of legal representation in a divorce or family law matter please contact my office to arrange your free consultation.