Disagreements over money are one of the leading causes of divorce. As such, it is not surprising that information regarding a couple’s finances is a key component of determining what constitutes a fair and just division of marital assets in Florida dissolution proceedings. Unfortunately, though, it is not uncommon for parties to attempt to avoid providing full and accurate financial disclosures in divorce actions. If you intend to end your marriage and you have questions about your rights with regard to financial disclosures and equitable distribution, it is smart to speak to a lawyer. Attorney Sandy T. Fox is an experienced Miami divorce lawyer who possesses the skills and knowledge needed to help people protect their rights in dissolution proceedings, and if he represents you, he will work tirelessly to help you pursue the outcome you deserve. Mr. Fox is a Florida Bar Board Certified Specialist in Marital & Family Law, and he regularly represents parties in Miami divorce proceedings.
Florida Law Regarding Financial Disclosures in DivorceThe Florida Family Law Rules of Procedure (the Rules) mandate financial disclosures in divorce to ensure transparency and fairness in the division of assets and determination of support obligations. Specifically, pursuant to the Rules, both parties are required to submit a comprehensive Financial Affidavit within 45 days of the initial divorce petition detailing their income, expenses, assets, and liabilities.
This affidavit must be accompanied by supporting documents such as state and federal income tax returns for the past three years, pay stubs, loan applications, bank statements, credit card statements, retirement account statements, and any other records that accurately reflect the party’s financial situation. Additional documents, like deeds, titles, insurance policies, and any other documentation pertaining to assets and debts, must also be disclosed.
Notably, the Rules also impose a duty on the parties to supplement their financial disclosures if any material change occurs during the dissolution process. Changes that may be considered material include an increase or reduction in income, a substantial gift or inheritance, a bankruptcy action, or a civil judgment against either party.
Impact of Incomplete Financial Disclosures in DivorceThe purpose of these disclosures is to allow both parties and the court to have a clear understanding of the financial landscape, which is essential for the equitable distribution of marital property and, if necessary, for determining alimony and child support awards. Accordingly, the failure to provide complete and accurate financial disclosures can lead to significant legal consequences.
If a party is unable to comply with the mandatory disclosure rules within the time allotted, they can request more time. Extensions for mandatory disclosure can be agreed upon by the parties or requested from the court at least five days before the due date, provided there is good cause.
If parties serve mandatory disclosure documents less than 24 hours before a nonfinal hearing or in violation of a pretrial order, the documents will likely be deemed inadmissible unless the court finds a valid reason for the delay. The court may also impose additional sanctions against the party’s attorney.
If a party objects to mandatory disclosure, they must file their objection at least five days before the due date. If the court deems the objection meritless, it can sanction the party.
In cases in which one party believes their soon-to-be former spouse has not complied with the financial disclosure requirements, it may benefit them to hire a forensic accountant to trace their spouse’s assets to ensure the courts have a full understanding of their finances.
Consult With a Trusted Miami Divorce AttorneyDetermining how assets should be divided in divorce actions generally requires parties to fully disclose their finances, and if they fail to do so, it could result in an unjust division. If you want to learn more about financial disclosures in divorce, it is in your best interest to speak with an attorney. The trusted Miami divorce attorneys of the Law Offices of Sandy T. Fox, P.A. can advise you of your options and aid you in seeking a fair and equitable division of marital assets. We have an office in Miami, and we frequently represent parties in divorce actions throughout the city. You can contact us at 800-596-0579 or via our online form to schedule a free and confidential conference.