What Is the Role of Financial Disclosure in a New Jersey Divorce?

Divorce can be an incredibly emotional and complex matter. However, it’s important to understand that, in addition to the emotional complexities you will face, you’ll also have to navigate a number of complicated legal and financial issues. As such, it’s imperative to familiarize yourself with the financial disclosure process, as this can have a considerable impact on the outcome of your divorce. The following blog explores what you should know about these matters, including what happens if financial disclosure is not honored, as well as the importance of working with New Jersey property division attorneys to help you navigate these difficult times.

What Is Financial Disclosure and How Does It Impact a Divorce?

When you and your spouse file for divorce, one of the most contentious aspects you’ll need to navigate is the division of property and determining matters like spousal and child support. Because these are financial matters, they can often result in disagreements and long negotiation periods. However, to ensure this process is fair, both spouses are required to provide full financial disclosure.

Essentially, financial disclosure is the process in which both spouses provide a full picture of all assets, liabilities, income, and expenses. In New Jersey, this process is completed through a Case Information Statement, which will contain all necessary information regarding each party’s finances.

Financial disclosure has a significant impact on the outcome of a divorce, as it ensures that the court can fairly distribute property under New Jersey’s equitable distribution statute. This means that marital assets will not be divided evenly, but fairly, based on each spouse’s financial and domestic contributions to the marriage.

In addition, this information is paramount in determining whether or not to grant spousal support and how much child support should be awarded in the event the couple shares a child.

What Happens if a Spouse Hides Assets During This Process?

Unfortunately, some spouses may feel as though their spouse is less deserving of a favorable outcome in the divorce, so they may make the decision to hide, omit, or falsify their documents to receive a better outcome in the divorce.

Because New Jersey requires full financial disclosure during a divorce, any spouse who hides assets can be heavily penalized for their actions. Not only can this include awarding their spouse the assets they were attempting to conceal, but this can even result in a spouse being guilty of perjury for lying to the court.

To best protect yourself and fight for the assets you are entitled to during your divorce, it’s in your best interest to understand the signs that asset concealment has occurred. This includes unexplained withdrawals, mail from banks you don’t have accounts with, or even sudden property transfers to friends and family.

If you need assistance completing the Case Information Statement form or you suspect that your spouse is attempting to conceal assets, it’s imperative to work with an experienced attorney with Haber Silver Russoniello & Dunn. Our dedicated family law team understands that this is a complicated and emotional time, which is why we can help you protect your best interests. If you need help, contact us today.