Dissipation Of Assets In An Illinois Divorce

While adultery and betrayal can be central to any divorce, there seems to be no greater betrayal than financial betrayal. Illinois, while being a no-fault state for divorce, does recognize financial betrayal and takes strict accounting of extreme financial malfeasance on the part of either spouse. This accounting of marital money spent on girlfriends, boyfriends, drugs, gambling, or other non-marital purposes is referred to as a “dissipation of assets.” What Is A Dissipation Of Assets In An Illinois Divorce? “Dissipation is defined as the use of marital property for one spouse’s sole benefit for a purpose unrelated to the marriage at a time when the marriage is undergoing an irreconcilable breakdown.” In re Marriage of Tietz, 605 NE 2d 670 – Ill: Appellate Court, 4th Dist. 1992 Dissipation is one of the factors the Illinois statute allows when considering the final allocation of marital debts and assets. An Illinois divorce court “shall divide the marital property without regard to marital misconduct in just proportions considering all relevant factors, including: … the dissipation by each party of the marital property” 750 ILCS 5/503(d)(2) A claim of dissipation is NOT exclusively an accounting of expenses related to marital misconduct such as adultery. But, it would be pretty difficult to claim that an activity such as adultery, gambling or drugs were “related to the marriage.” There are innumerable expenses that could be considered “not related to the marriage”; buying a boat when the other spouse protested, a shopping addiction, vacations alone, even gifts or regretable investments. “A spouse may dissipate marital assets even though he or she derives no personal benefit from the dissipation.” In re Marriage of Thomas, 608 NE 2d 585 – Ill: Appellate Court, 3rd Dist. 1993 “The concept of dissipation is premised upon waste,” specifically the “diminution in the marital estate’s value due to a spouse’s actions.” In re Marriage of Brown, 2015 IL App (5th) 140062, ¶ 67 “Dissipation occurs when one spouse uses marital property for his or her sole benefit while the marriage is undergoing an irreconcilable breakdown.” In re Marriage of Stuhr, 2016 IL App (1st) 152370 (citations omitted) The possibilities for dissipation claims are endless and usually get negotiated away in mediation prior to an actual dissipation claim being filed by either party. A dissipation claim is further narrowed by the Illinois statue in that the aggrieved spouse must formally issue a dissipation claim […]

from Russell D. Knight | Family Lawyer Chicago https://rdklegal.com/dissipation-of-assets-in-an-illinois-divorce/