Bowen Ten Cardani, PC

Two convenient office locations in Henrico’s West End and Ashland

Call Us For Your Initial Consultation

804-767-6850

Dealing with business issues in divorce

A Virginia couple may find that financial matters involving a business can be a serious point of dispute during divorce proceedings. However, it is helpful to realize that many of the most heated divorces involving family businesses create an unrealistic public view of what to expect. In most cases, judges are realistic in understanding the importance of a company's ability to continue operating. This means that a judge is not likely to give a contentious spouse a significant share of the other party's business if this would undermine the company as a whole. Continuity for the company would be an important factor for the owner to be able to generate income that would facilitate the alimony payments or other obligations to an ex-spouse.

In preparing for divorce, a business owner might find that it is helpful to streamline financial issues prior to filing. However, it is not wise to create an appearance of restricting the other party's access to credit or funds. Similarly, it is not a good idea to hide assets to avoid their consideration during property division talks. Using one's business to disguise personal assets could lead to greater investigation of business holdings and values.

An ex-spouse might be entitled to collateral in one's company, especially if the business has grown dramatically during the marriage. A prenuptial agreement doesn't necessarily ensure that a business won't be included in a divorce settlement, but it may provide a stronger argument to demonstrate that the company is not a marital asset.

Because the property division stage of a divorce can be difficult, it may be necessary to go before a judge. However, an agreement might be reached outside of the court setting. Even if such an agreement is obtained, it is important to have the matter approved through a court order to ensure that it can be legally enforced. A family law attorney can be of assistance to a divorcing business owner in this regard.

No Comments

Leave a comment
Comment Information
Email Us For A Response

We’re ready to work with you.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Bowen Ten Cardani, PC

Richmond Office
3957 Westerre Parkway
Suite 105
Richmond, VA 23233

Toll Free: 866-601-7371
Phone: 804-767-6850
Richmond Office Location

Ashland Office
9410 Atlee Commerce Blvd
Suite 2
Ashland, VA 23005

Toll Free: 866-601-7371
Phone: 804-767-6850
Ashland Office Location

Super Lawyers | K. Matthew Long