Can My Actions Influence How Property is Divided in a Pennsylvania Divorce?

In Pennsylvania, the division of marital property during your divorce will follow the principle of equitable distribution, which aims at a fair (but not necessarily equal) division of assets and debts. While marital misconduct, such as adultery, will not necessarily impact property division, a spouse’s conduct can, in some cases, influence equitable distribution. This is particularly true as it relates to the marital assets themselves or how these assets are handled. In this article, the Philadelphia divorce lawyers at the Law Offices of Lauren H. Kane will discuss what type of conduct influences judges to divide the marital estate unevenly.

Financial misconduct and equitable distribution

Financial misconduct can influence a judge to divide the marital estate unevenly and in favor of one spouse. This includes:

• The dissipation of assets – If one spouse intentionally wastes or depletes marital assets for non-marital purposes, this is considered dissipation of the marital estate. For example, if one spouse spends a significant amount of money at the casino, the judge may see fit to punish this spouse by distributing less of the marital estate to them. This is especially true when the spouse intentionally wastes marital assets before equitable distribution can take place. The court may balance this dissipation by awarding more marital assets to the non-dissipating spouse.
• Hiding assets – If one spouse fails to disclose or intentionally conceals assets during the divorce process, they are committing fraud against the court. The court requires full financial transparency to ensure a fair division of assets. If one spouse is hiding assets, they could face penalties, including fines, contempt of court charges, and a division of assets that is skewed in favor of their soon-to-be former spouse. Common methods of hiding assets can include transferring funds to new bank accounts, making large cash withdrawals, creating fake debt, or transferring assets to third parties.
• Reckless spending – Reckless spending is not always considered “dissipation” since dissipation requires an “intent to deprive”. Nonetheless, reckless financial decisions can significantly diminish the marital estate, and the Pennsylvania courts can make note of this by unevenly distributing assets in favor of the other spouse.
• Improperly transferred marital assets – If one spouse improperly transfers marital assets to a third party, the court can impose a constructive trust on the property or consider the value of the transferred property as an advance on the transferring spouse’s share of the marital estate.

The bottom line

Your conduct can be considered a legitimate reason to divide marital assets unequally. This is especially true when one spouse dissipates the marital estate of valuable assets. It is absolutely vital to contact a Pennsylvania family law attorney to discuss the specifics of any financial misconduct that may have occurred. We can help you gather evidence, present it to the court, and ensure that your share of the marital estate reflects the other party’s misconduct.

Talk to a Philadelphia, PA, Family Law Attorney Today 

The Law Office of Lauren H. Kane represents the interests of Philadelphia residents during their divorce. Call our Philadelphia family lawyers today to schedule an appointment, and we can begin discussing your next steps right away.