Unraveling the Complexities of Offshore Assets in Divorce Proceedings

High-asset divorces come with a long list of complicating factors that can draw out the divorce process, lead to lengthy negotiations, and require the assistance of various experts. One such issue that often arises is offshore assets. Offshore assets are bound by the laws of the country in which they reside, which can make it difficult for the other party in a divorce to get their fair share. However, everything is traceable—it’s just a matter of having the right legal counsel. 

At Kirk Drennan Law, we assist clients facing complex high-net-worth divorces. If you’re still looking for the right Mobile divorce lawyer to represent you, let’s chat. Call us at 205-953-1424 to schedule a consultation. 

Identifying and Valuing Offshore Assets      

The first step in this process is identifying and locating offshore assets. This process differs slightly depending on why the assets are held offshore. In some cases, couples have strategically placed assets in offshore accounts as part of their tax strategy. In this situation, both parties are aware of the existence of the offshore assets and can access them as part of the divorce case.  

In some cases, one spouse moves assets offshore in an effort to hide them during the divorce process and keep them from being divided. This is illegal and can result in legal action against the offending party. 

When both parties know about the offshore assets, identifying and locating them is simple. You’ll still need to secure a fair valuation, which may be time-consuming depending on the nature of the asset. But if your spouse is hiding assets in offshore accounts to keep you from accessing them, you may need the assistance of a forensic accountant who specializes in foreign assets. 

The Legal Challenges of Offshore Assets    

There are numerous legal issues you may face if some of your marital assets are in other countries. Jurisdictional issues may come into play, due to the location of the assets. Even if an American court orders the division of the asset, the foreign court may have no obligation to enforce that order. The location of the assets and that country’s legal agreements with the United States will likely come into play. 

You may also have problems if your spouse refuses to abide by the court order. In general, a divorce decree is between the two spouses divorcing, and it is up to them to fulfill the terms of the court order. But when one spouse refuses to transfer property, the court order may help speed things along. This isn’t always the case when foreign assets are involved; if your spouse does not transfer assets per the court order and the foreign bank won’t enforce the order, you may have to pursue other legal remedies. 

Another issue that often arises with foreign assets is fraudulent transfers. When one spouse is trying to hide the assets to keep them from being split up in divorce, they may intentionally conceal them or transfer them to others to avoid detection. This can be difficult to track with domestic assets; with foreign assets, it’s even more challenging. It’s important to work with a forensic accountant with extensive experience in offshore assets. 

How to Protect Your Best Interests     

The longer you wait to hire a Mobile, AL divorce attorney, the more time your spouse has to devise a legal strategy, move assets around, and decide how they want to proceed. It’s always important to bring in your own legal representation, but it’s even more crucial when you have a complicated divorce case. Retaining a divorce lawyer from the very beginning gives them the time they need to identify, track down, and value assets. This lays the groundwork for negotiating the division of assets. 

Preparing for Your High Asset Divorce? Contact Drennan Law Firm Today 

When you know that divorce is on the horizon, you must protect yourself and your future by talking to a divorce lawyer. The team at Kirk Drennan Law is ready to help you explore your legal options and come up with a plan. Schedule a consultation right away by contacting us online or giving us a call at 205-953-1424.