Divorce is a legal process that addresses very personal issues. Specifically, spouses who have come to realize that their marriage is not sustainable ask the courts to officially dissolve their connection to one another.
That process usually involves financial separation. Spouses have to divide their assets and debts so that they can begin living independently. To achieve a reasonable property division outcome, spouses generally have to make thorough disclosures to one another and to the family courts. There are specific documents required during that process.
The financial disclosure statement, Ohio Uniform Affidavit of Property and Ohio Uniform Affidavit of Income and Expenses are all key documents during contested or litigated divorces. What do people generally need to know about the role of these documents in the divorce process?
Complete Financial Disclosure
A complete financial disclosure is required in a divorce or dissolution action. Each party must provide information about everything from mortgage balances and the fair market value of the marital home to the value of stocks, vehicles and insurance. Spouses have to indicate what property and debts they share, as well as listing out their separate property. They must also disclose sources of income and ongoing financial obligations, like child support payments. By providing thorough information about various assets and debts, spouses help ensure that the professionals assisting with their divorce have a reasonable understanding of their financial circumstances. These disclosures are provided in two separate documents discussed below.
Asset and Debt Disclosure
Also called an Affidavit of Property and Debt, this five-page document requires information about real estate holdings and other assets, including vehicles, business interests and the like. Spouses must disclose their financial accounts and their investments, as well as their various secured and unsecured debts. They even have to inform the courts of bankruptcy cases, all while under oath. Misrepresentations can lead to Court sanctions.
Income and Expenses Disclosure
This affidavit must include identifying information about both spouses, including basic information about their employment. Each party must also inform the courts of their current employment, as well as all sources of income over the last three years. This helps identify cases involving intentional unemployment or under-employment. Each spouse must also disclose who lives in their household and what expenses they regularly cover.
Learning about standard procedures, state law and common documents can help people prepare for complex property division matters in an upcoming divorce. Those concerned about securing a fair and appropriate property division outcome generally need to understand the disclosure process and the paperwork required before litigation.
