3 Reasons Why You Should Never Hide Assets upon a Divorce

Although it doesn’t happen too often, there have been cases where, during the divorce process, one party tries to conceal assets from their spouse. While the temptation to protect your financial interests during a divorce may be strong, as matrimonial solicitors, the team at Vines Legal cannot emphasise enough how detrimental this approach can be in the long run. Hiding assets is not only unethical but also illegal, and it can lead to severe consequences. In this article, we’ll outline three compelling reasons why you should never consider hiding assets during a divorce.

1. Hiding Assets is Against the Law and Could Result in Imprisonment

Family courts have a duty to ensure a just distribution of assets in a divorce settlement, and they rely heavily on the financial information provided by both parties. Hiding assets during divorce will almost certainly complicate and delay reaching a financial settlement. If discovered, the court could choose to impose punishments, from being ordered to pay court fees and that of the wronged party to being held in contempt of court, fines, or even imprisonment.

As well as being ordered to settle all legal costs, hiding assets can result in you receiving a worse financial settlement. If the assets you have hidden by deception are discovered down the line, the court has, in certain circumstances, the power to reopen the original settlement and make changes to the original Financial Order.

2. Damage to Credibility and Reputation

Engaging in deceptive practices like hiding assets can severely damage your credibility and reputation during divorce proceedings. Family court judges and legal professionals expect parties to approach the process with both honesty and integrity. If you are caught trying to hide assets, not only will you lose the trust of the court, but it will also negatively impact your chances of achieving a favourable settlement.

Your credibility is, of course, critical in any legal proceeding, and dishonesty can lead to significant consequences beyond the divorce case. It may affect your standing in the eyes of your children, family, friends, and colleagues. The stigma associated with dishonesty during a divorce can be difficult to shake off and can even lead to long-term personal and professional repercussions.

3. Unfair Financial Settlement

Hiding assets may initially seem like a strategic move to protect your wealth, but it often leads to unfair financial settlements in the long run. When assets are concealed, the court is unable to make an accurate assessment of the true value of the marital estate. Consequently, the disadvantaged spouse may receive a smaller share of the assets or be burdened with additional financial responsibilities that would have otherwise been distributed more evenly.

Family courts frown upon deceptive tactics during divorce proceedings and may take a harsh stance against the party attempting to hide assets. This can result in an even more unfavourable settlement, as the court may impose punitive measures to deter others from engaging in similar conduct.

If you are considering a divorce, Vines Legal would always recommend that you to approach the process with integrity and seek professional legal advice. We can help you navigate the complexities of divorce law, protect your rights, and achieve a fair resolution. Remember, honesty is not just the best policy; it is the only policy when it comes to divorce proceedings. For further help and advice, please contact us on 01246 555610 for a FREE initial consultation.