Divorce is already an emotional rollercoaster, but discovering that your spouse might be hiding assets adds a layer of betrayal that is hard to shake. After building a life together, the thought of being misled during such a vulnerable time can be painful.
However, you are not without options. Understanding your rights is critical in protecting your legacy.
What California law says about hidden assets
In California, marriage is a partnership in which both spouses must act in good faith and with fair dealing. A breach of fiduciary duty can result in damaging the other spouse’s interest in the community estate, which can include:
- Concealing assets
- Unauthorized transfers
- Reckless mismanagement
Additionally, both spouses must submit a Preliminary Declaration of Disclosure. This requires you to be transparent about all assets and debts. Lying on these forms is perjury.
Signs your spouse is concealing assets
Even discreet actions can serve as clues that your spouse is hiding assets, such as:
- Refuses to discuss finances
- Displays a sudden change in lifestyle
- Spends or transfers large amounts of money without explanation
- Claims to have lost tax returns, bank statements and other documents
When your gut tells you that something is wrong, act on your instinct.
Actions to take to protect your financial future
If you suspect your spouse of hiding assets, it would be wise to avoid accusing them of it. Instead, build a paper trail that you can use as solid evidence. With the right legal team, you can use discovery to dig deeper. This includes subpoenas for bank records or hiring a forensic accountant to trace missing funds.
While this process can feel overwhelming, seeking legal counsel can help you build a fair starting point for your next chapter.