Dissipation of Assets: What Is It and Is It a Concern?

If you’re currently going through a bitter divorce, chances are good that you want to make things difficult on your soon-to-be ex-spouse. For you, the opportunity to resolve your disputes amicably has passed. And if things have broken down to a state of complete disrepair, you might even push to get as much as possible during property division, leaving your ex with little to nothing if you can help it.

Feeling this way is a common reaction, particularly when divorce negotiations go sour or in bitter divorces in general. But while you might feel the urge to “stick it” to your ex-spouse, you might want to reconsider doing anything too drastic. That’s because doing so in North Carolina could have serious consequences for the malicious spouse.

We’ve all heard a story about a person taking the 50/50 rule too far, such as actually cutting a piece of marital property is half to signify the equal split of assets. But while some may find this display of irony humorous, the same reaction may not be shared by the spouse who is affected by the destruction of this property. Their right to the equitable distribution of marital property has been denied. And if the spouse has been well advised by their attorney, then they would know that the dissipation of marital assets is frowned upon in states like our own North Carolina.

Dissipation of assets is the act of wasting or converting marital property in order to alter the assets available for equitable distribution. Doing so is considered against the law in North Carolina, and may lead to the intervention of the court which may award damages to the affected spouse for the lost property.

During the thick of divorce proceedings, tensions are high and emotions are on edge. These reasons alone should indicate the high chance of any spouse choosing malice over common sense. It’s because of this concern that today’s readers should know that they can seek an injunction in North Carolina to prevent the dissipation of assets. Taking such a legal action should be done with the help of an experienced lawyer, though.