Mesa Hidden Asset Lawyers

Assisting Clients With Hidden Asset Matters During Divorce in Arizona

Unfortunately, not all divorce proceedings go smoothly. One of the most common issues involves spouses hiding their assets from their partner and the court. Fortunately, you can use a legal tool called “discovery” to uncover these hidden assets.

If you suspect that your spouse has not been completely honest or is concealing property from you, be sure to work with a skilled hidden assets attorney in Mesa. The team at Edwards & Petersen | PLC has extensive experience in this area of divorce law – and we are ready to put our experience to work for you and your family in the East Valley.

Contact us online or call (480) 418-5656 to discuss your concerns with our Mesa hidden assets lawyer during a free consultation.

How to Identify Hidden Assets During Divorce

Spouses attempt to hide assets from one another for a variety of reasons, sometimes motivated by anger over an affair or other indiscretions. When it comes to marital property, most people think of the family home, savings and checking accounts, and retirement funds.

However, these tangible assets are easy to discover and are hardly ever hidden assets.

Other types of property are often forgotten during divorce settlements, such as:

• Tax refunds
• Frequent flyer miles
• Vacation property and timeshares
• Collectibles such as art or pop culture memorabilia
• Intellectual property such as copyrights, patents, and trademarks
• Security deposits for purchases such as storage units and rental property

Common Tactics Used to Hide Assets

During divorce proceedings, some individuals may resort to various tactics to conceal assets, potentially jeopardizing a fair settlement. Understanding these methods is crucial for anyone navigating this complex situation. 

Common tactics include:

• Offshore Accounts: Creating accounts in foreign banks can obscure funds from discovery.
• Shell Companies: Establishing businesses that appear legitimate can be a way to hide income or assets.
• Gifting to Family or Friends: Transferring assets to relatives or friends under the guise of gifts to make them inaccessible during divorce proceedings.
• Inflating Expenses: Overstating financial liabilities or expenses can make it seem like fewer assets are available for division.

Remember that, in addition to these strategies, less obvious assets such as collectibles, frequent flyer miles, or ownership interests in family businesses may also be concealed. 

Understanding the Discovery Process in Divorce

If your spouse handled most of the financial affairs during your marriage, you may be called the “out spouse” by your attorney. This term means you lack immediate access or knowledge of financial information, while your spouse has full access. If this is the case, you need to request copies of all financial records, preferably with the help of an experienced divorce attorney who knows exactly what to ask for.

The Arizona Rules of Family Law Procedure require all parties to disclose certain information, but also allow you to request other information and seek the court’s help if the other spouse fails to provide the information request. Your attorney will use a legal process called “discovery” to gain access to the relevant information and documentation.

Discovery process provides your legal team with several options, including:

• Demanding documents: Your attorney can ask your spouse for documents such as loan applications, tax returns, account records, and financial statements.
• Inspection: Your attorney can help you inspect property such as a wine collection or a safety deposit box.
• Written questions: These are sometimes called “requests for admission” or “interrogatories.” By using these tools, your attorney can force your spouse to answer specific questions in writing or admit to certain statements you know are true.
• Testimony under oath: This involves you, your spouse, and your attorney appearing before a court reporter in what is called an “oral deposition.” An attorney will ask your spouse questions under oath.
• Subpoenas: This involves drafting a specific request to a third party, like a bank, to turn over documents and information to you. This method costs money and the non-party who you are seeking to provide information can charge you a reasonable cost for responding to the subpoena.

The discovery process is an excellent way to extract important information from a spouse who is otherwise refusing to cooperate, as the court has the power to compel an individual to comply with certain orders.

For instance, if your spouse is not giving you access to certain documents, you can ask a judge to issue a court order. If your spouse still refuses to provide the paperwork, an Arizona court can impose a sanction, which could consist of a fine and/or a judgment against your spouse on a certain issue.

Don’t wait to protect your interests. Contact us online or at (480) 418-5656 for a free consultation with our experienced Mesa hidden assets lawyer.

Signs of Hidden Assets

Identifying hidden assets can be challenging, but certain signs may suggest that a spouse is attempting to conceal wealth. Look for the following indicators:

• Unexplained Changes in Income: Sudden drops in reported income or unexplained financial fluctuations can be a warning sign.
• Evasive Behavior: A spouse’s reluctance to share financial documents or vague responses to inquiries about finances may indicate concealment.
• Large Purchases or Transfers: Significant transactions occurring just before filing for divorce, such as large gifts or transfers to unknown accounts, can raise suspicions.

Legal Consequences of Hiding Assets During a Divorce in Arizona

Hiding assets during a divorce carries serious legal ramifications. Consequences may include:

• Forfeiture of Hidden Assets: Courts may impose penalties that require the concealing spouse to forfeit a portion of hidden assets to the other spouse.
• Unfavorable Settlement Terms: Concealing assets can lead to a judgment that is significantly less favorable for the dishonest spouse.
• Contempt of Court Charges: Failure to disclose assets can result in a finding of contempt, which carries its own penalties.
• Perjury Charges: Lying under oath about asset ownership can lead to criminal charges, with significant legal repercussions.

Arizona law mandates full transparency during divorce proceedings, and the failure to comply can lead to severe consequences that impact the outcome of asset division.

The Role of Mediation

Mediation can serve as an effective tool for addressing hidden assets during a divorce. This collaborative approach allows both parties to discuss financial matters in a neutral setting, facilitating open communication. Mediation also provides a less adversarial environment compared to court litigation, which can reduce stress and promote a more amicable resolution.

A skilled mediator can encourage transparency and help ensure that both parties disclose all relevant financial information.

the Deposition process in Arizona

If you suspect your spouse is being dishonest, a deposition is the ideal way to get information. If he/she lies under oath, a perjury charge may follow; in Arizona, perjury is a Class 4 felony carrying a minimum sentence of 12 months.

To help your attorney track concealed assets, you should:

• Gather as much financial information as you can, including mortgage amounts, tax returns, credit card bills, stock transaction reports, and bank statements.
• See if any real property or registered vehicles have been given as “gifts” by checking with local government agencies such as the Department of Motor Vehicles and the county assessor’s office.
• Take note of your spouse’s job title changes, wage increases/decreases, and known bonuses.
• Look for bill overpayments, especially credit card statements, as this is a classic method of reducing the amount of fungible cash available in a divorce settlement.

Contact Our Mesa Hidden Asset Attorneys Today

If you are getting a divorce and you believe your spouse is hiding assets as a means of ensuring you do not receive your fair share, you will want an experienced Mesa hidden assets attorney by your side. The assets you locate during the discovery process could be substantial and have a major impact on your future quality of life. The team at Edwards & Petersen | PLC is committed to finding these assets and ensuring you get every piece of the marital property that you are entitled to.

Discuss your case with our Mesa lawyers team today by calling (480) 418-5656 or contacting us online.