Hidden Assets Attorney In Hermosa Beach, CA
Divorce is a life-changing event for everyone involved. It can also be a tedious process because there are several factors to consider, such as child custody, support, and asset and property division. Asset distribution can be a touchy subject, and most couples would like to retain the assets they brought to the marriage. This may cause one party or the other to hide certain assets to come out on top. In this case, hiring a Hermosa Beach hidden assets lawyer may be necessary.
At Kramer & Zitser, LLP, our Hermosa Beach family lawyers have over 50 years of combined experience serving clients throughout Los Angeles, including high-asset families. As a combination of two senior attorneys, we have the skills, knowledge, and experience required to see that our clients are treated fairly throughout heated family disputes.
Asset Division in California
California is a community property state, meaning assets are divided equally instead of fairly per California Family Code 2550. In Hermosa Beach, the median household income is $166,442, and the housing value is over $2 million in areas like The Strand, so couples have a vested interest in making sure their assets are protected and divided according to California law.
Community property includes any assets the couple owns or earns during the marriage. This may include joint bank accounts, a house purchased during the marriage, retirement accounts, and other assets. Separate property is not liable for asset division, and includes property earned or owned before the marriage or after the separation.
What Are Hidden Assets?
Asset division is an essential part of the divorce process, and may be handled amicably or contentiously. Hidden assets are assets that one party may conceal in the divorce process to gain financial leverage. Assets may include cash, bank accounts, property, real estate, and retirement funds. A spouse may also falsely inflate liabilities to achieve the same goal. The following are examples of how a spouse may attempt to hide assets in a divorce:
- Stashing cash in secret locations
- Convincing an employer to delay payment, bonuses, or raises
- Creating fraudulent debts to mitigate assets
- Opening secret accounts
- Creating offshore or foreign accounts
- Creating false businesses or paying fake employees
What Are the Hidden Asset Laws in California?
It is unlawful to conceal assets in California, as the state values transparency and honesty in the property division process. According to California Family Code Chapter 9, 2014, each party in the divorce must serve a preliminary declaration of disclosure within 60 days of the divorce petition. Specifically, they must disclose all assets and liabilities and their percentage of ownership of said assets and liabilities.
If a party fails to comply or refuses to file the declaration of disclosure or hide assets, they can face serious penalties. Some of the penalties they may be subject to are:
- Money sanctions imposed by the county court
- The other party receiving 100% of the hidden assets instead of 50%
- Paying attorney fees and other costs
- Being unable to use certain evidence during divorce proceedings
More severely, the offending party may be found guilty of perjury, which is a serious offense. In California, perjury is a criminal offense, and the penalty may include serving a year in county jail or one to three years in state jail under Penal Code Chapter 5, 118.1. Additionally, the offending party may be charged with fraud, another serious offense.
How a Lawyer Can Help
If your spouse hid assets or attempted to hide assets during your divorce, you have rights. A Hermosa Beach hidden assets attorney can investigate to uncover fraudulent behavior and help you receive your due. Hidden asset cases can be time-consuming, requiring time, money, and the cooperation of external parties such as forensic accountants, banks, employers, and other witnesses.
Most often, hidden assets are uncovered in the discovery process, and your lawyer can assist you with forcing your spouse to disclose hidden assets. In all, when you hire a hidden assets lawyer, it is important to understand the process and the documentation required for the process to go smoothly.
FAQs
Can Your Spouse Hide Money Before You File for Divorce and Not Say So?
No, your spouse cannot hide money before you file for divorce and not say so. California is a community property state and enforces financial disclosure during divorce. Therefore, any property owned by both parties during the marriage is liable for division upon divorce. If a party hides community property, even before filing for divorce, this may be considered unlawful.
What Assets Are Untouchable in Divorce?
Assets that are untouchable in a divorce in California include separate property. Separate property is any property or assets that either party owned before the marriage or after the date of separation. This may include property purchased before the marriage or purchases made with separate property. Your Hermosa Beach hidden assets can inform you what constitutes separate property and what is community property.
How Long Do You Have to Be Married to Get Half of Everything in CA?
There is no time limit for how long you have to be married to get half of everything in California. In the state, the court has jurisdiction over asset division, and once a judgment is made, property division laws come into effect. However, there is a statute of limitations for amending asset division.
What to Bring to a Hidden Assets Consultation?
There are several items to bring to a hidden assets consultation. The more documentation and evidence you bring to your consultation, the more likely you are to receive a favorable outcome. Generally, you want to bring tax documents, which may demonstrate your combined financial status, eyewitness testimony, and other financial documents, as suggested by your lawyer.
Hire an Experienced Hidden Assets Lawyer Today
It can be unnerving to enter into a divorce in which your spouse attempts to hide assets. California’s community property laws are stringent and aim to provide each party with an equal share of their contribution to the marriage. When this is violated, it may be time to hire Kramer & Zitser, LLP, to take your case so you receive the compensation you deserve. Contact us for a consultation and learn how we can represent you both in and out of court.
