When your spouse has been solely handling family finances, it can feel like they have a big advantage during your divorce.
But that’s not necessarily the case. When it comes to financial matters in divorce, the goal is to create a fair and equitable division of assets—regardless of who manages the money.
However, when one party does handle all the money matters, it can create certain disadvantages for the other party. If they’re not forthright about your financial picture and don’t provide access to the information needed to make informed decisions, it can make determining how to effectuate an accurate division of assets difficult. Moreover, it can have a significant impact on your long-term financial well-being.
Legal methods for gathering financial information during divorce
If your spouse has always controlled the family finances, you might feel unsure where to start gathering the required financial information or how to make sure your soon-to-be ex is sharing everything they should. This is where discovery—the legal process of gathering information—comes in.
Discovery can involve informal information exchanges when both parties cooperate or more structured, formal tools if one spouse withholds critical details.
These include, among other tools, Case Information Statements, Interrogatories, Notices to Produce, and depositions, where sworn testimony is given. These strategies are critical when your spouse’s control of the finances may lead to unequal access to information.
Case Information Statements
In New Jersey divorces, both parties are required by the Court to complete a Case Information Statement (CIS). This detailed financial document outlines income, expenses, assets, and liabilities.
The goal of a CIS is to create a transparent financial baseline that helps the parties—and their attorneys—find a solution to divide assets, determine whether alimony is necessary, and inform any requests for child support. It’s essential for establishing a level playing field regardless of who has historically managed the finances.
However, transparency might not come easily when one spouse controls the finances. Financial discrepancies—intentional or accidental—can surface during negotiations, mediation, or court hearings, complicating the process. Failing to complete the CIS accurately can, in some cases, lead to court-imposed fines, sanctions, or adverse inferences that may favor the other party when determining alimony or dividing assets.
Interrogatories
Interrogatories are written questions that your spouse is legally required to answer under written oath. These can range from general inquiries about monthly expenses to more focused questions, such as asking for the balances of specific bank accounts, identifying income sources from side businesses, or detailing large recent purchases.
For example, if you suspect your ex has opened secret investment accounts, an interrogatory is designed to compel them to disclose those accounts and their balances.
An attorney experienced in financial discovery can tailor questions to target inconsistencies or gaps in prior disclosures, allowing you to uncover details that can protect your financial interests.
Notice to Produce
A Notice to Produce goes further than interrogatories, allowing you to request specific documents that paint a clearer picture of the finances. This might include pay stubs, bank statements, tax returns, retirement account statements, and business financials.
For instance, if your spouse controls a family-owned business, a Notice to Produce is designed to compel them to disclose business financial records to help determine its value and assess hidden income that might be considered part of your marital assets.
If your spouse delays or refuses to comply with either Interrogatories or Notice to Produce, your attorney can escalate the issue to the court, which can impose penalties or sanctions. This ensures you have the documentation to make informed decisions about equitable distribution and support.
Depositions
Depositions provide an opportunity for your attorney to question your spouse under oath, which may help them uncover inconsistencies or details omitted in prior written responses or to elicit information when your ex has skirted accurate responses to Interrogatories or failed to comply with the Notice to Produce.
For example, your attorney might ask why a significant sum was transferred to an unknown account or why certain assets were left off the CIS. If your spouse tries to dodge these questions, their non-answers or contradictions can be noted for later use in court.
The role of forensic accountants in divorce
When a spouse controls the family finances, there is often an imbalance of knowledge, making it difficult to assess the true scope of marital assets. While attorneys can use many tools to gather information in these cases, it is sometimes necessary to enlist outside help in the form of forensic accountants.
Forensic accountants are financial experts trained to uncover and analyze hidden or obscured assets. They ensure that all marital property is identified and evaluated so that parties can make informed decisions.
Forensic accountants can track irregular financial activity, such as undisclosed bank accounts, unexplained transfers, or cash payments. For instance, if your spouse diverted funds to an offshore account, a forensic accountant can follow the financial trail and present their findings in a clear, court-admissible format. They also assess complex assets, such as stock options, retirement plans, and real estate portfolios, to ensure their accurate valuation.
Beyond identifying hidden assets, forensic accountants can provide a detailed analysis of business valuations, uncover overstated debts, and assess whether income has been deliberately underreported. This financial clarity can strengthen your case during negotiations or litigation.
With all this in mind, you don’t have to be worried about hidden assets to benefit from working with a forensic accountant. Financial lives can be complex, and forensic accountants can help create clarity by valuing businesses, offering lifestyle analysis, and helping determine the tax implications of different decisions.
Destress Your Divorce With the Help of Jacobs Berger
Taking charge of your divorce can feel like an uphill battle, especially when your spouse is wielding financial control like a weapon.
Whether using discovery tools like interrogatories and Notices to Produce or securing temporary support to keep your life on track, we’re here to support you.
Our mission is to de-stress the divorce process and empower you to take back control. We’ll guide you every step of the way, helping you make informed decisions so you come out the other side of your divorce with the strongest possible financial outlook.
Schedule a strategy session with our team today.
