When a divorce involves parties with high net worth, unique issues may arise which require specialized legal counsel. Financial planners, hedge fund managers, stockbrokers, corporate officers, and other high net worth individuals should take special care to retain a matrimonial attorney who is well-versed in complex commission structures and the ways in which their complexity impacts the ability to equitably distribute assets. Compensation factors that must be considered, among others, include stock options, restricted stock, deferred compensation, WAP accounts, sign-on or stay bonuses and forgivable loans.
An attorney with substantial experience handling sophisticated finances will be able to identify and differentiate between all forms of income of the financial planning party when attempting to accurately determine an appropriate demand for spousal support. Critical analysis of varying types of compensation, including one-time sign-on or retention bonuses, or any future bonuses that may be received, will be crucial in achieving an equitable distribution of assets.
Working with an attorney that lacks a keen financial literacy may have a significant and negative impact on the distribution of assets typically required in divorce proceedings. Choosing an attorney with specialized experience working with high net worth individuals could make the difference in the helping the client achieve their desired outcome, and ultimately, in the quality of their future.
If you have any questions about the above, or any family law concern, give Joe a call at (732) 726-6236.
