Navigating the Complexities of High Net Worth Divorces

For those with significant property and multi-million-dollar assets, navigating the complexities of a high net-worth divorce can be a challenge. Under Ontario law, marriage is considered an equal partnership, meaning that in the event of a divorce, all property acquired during the marriage must be divided equally between the parties.

This process can be particularly complicated for high net-worth individuals who may hold a variety of assets, including high-value real property, stocks, trusts, and business interests, as well as existing marriage contracts (pre-nuptial agreements). Working with a divorce lawyer experienced with high net worth divorces is essential for a fair and lasting resolution.

When it comes to high net-worth separations, valuing the family's assets is a significant challenge. Accurately defining the family's wealth may require the assistance of multiple professional appraisers. Below are a few tips to consider for high net-worth separations. 

5 Tips for High Net Worth Divorce:

1. Don't rush into a settlement. It takes time to determine the appropriate value of assets, especially when multiple assets are involved. Rushing may result in a flawed settlement that could be set aside in the future and lead to increased legal costs.
2. Don't compare your case to others. Every high net worth divorce is unique and requires the expertise of a trusted divorce lawyer. Don't rely on advice from friends (even if they have a similar net-worth)
3. Avoid bad behaviour. Don't act in anger and don't attempt to deplete assets or cut off your partner’s access to accounts. This behaviour can negatively impact the proceedings if the matter goes to court. Consult with a lawyer prior to making any changes to the status quo.
4. Consider tax consequences.  We often bring in professionals from different industries to help our clients, ensuring all appropriate tax reduction strategies are implemented for the various assets involved.
5. Listen to your lawyer. Your lawyer will consider multiple factors, including protecting your reputation and brand, in advising you throughout the proceedings. Trust their expertise to guide you towards a fair outcome.