Asset valuation key in divorce settlement

The division of assets can sometimes be challenging and even contentious in a high-asset divorce case. Assets must be valued at a certain point in time for the court to properly divide them.

Although a valuation date may be at any time a court decides, each state has a specific rule it tries to abide by. Georgia’s valuation date is the date of the final judgment. If something needs to be valued and there is no date of final judgment, a court will use the current date.

Many states use the date of separation or the date of filing the petition for dissolution of marriage. If you are filing a marital settlement agreement because your divorce is uncontested, you must have a date of valuation, so that asset division and property division is fair in the settlement agreement.

Because Georgia law says to use “today’s date,” that leaves it pretty open-ended. If the parties have been discussing divorce and decide they want to settle out of court, one of the parties could devalue an asset before the settlement agreement is signed. During initial divorce discussions, the parties should choose a fair valuation date and put it in the agreement, if they know the divorce will be uncontested.

A further potential complication is the division of liabilities. For example, one spouse could significantly devalue an asset because he or she doesn’t want the other spouse to benefit from it. It money is owed on that asset, it cannot be sold for the amount owed, and it becomes a liability that cannot be disposed of easily.

If you own property or have high-value assets, contact a Georgia family law attorney experienced in high-asset divorce and equitable distribution for timely response to questions and concerns and diligent representation of your divorce-related legal interests.

Related Resource: Forbes, “How the valuation dates of different assets are decided during divorce” Oct. 12, 2011

Reach Out To Our Experienced Team For Help With Your Legal Issues

How The Siemon Law Firm Can Help

Contact our Georgia Family Law Firm by calling 770-888-5120 or by completing this contact form.

An attorney will respond within 24 business hours.

    Fields marked with an * are required

    I Have Read The Disclaimer *

    Our Office Locations

    Cumming, Georgia

    347 Dahlonega St #100,
    Cumming, GA 30040 770-888-5120 Cumming Law Office Map

    Marietta, Georgia

    1850 Parkway Pl Suite 715,
    Marietta, GA 30067 770-888-5312 Marietta Law Office Map

    Alpharetta, Georgia

    4555 Mansell Rd,
    Alpharetta, GA 30022
    770-888-5093 Alpharetta Law Office Map

    Atlanta, Georgia

    3400 Peachtree Rd NE Suite 555,
    Atlanta, GA 30326 770-888-5078 Atlanta Law Office Map