The Economic Impact on Divorce

Under Indiana divorce law, property is to be divided equitably, which is not necessarily equal. Equitably means fair under the circumstances. Where the parties are unable to agree how their property should be divided, the court must decide. When the court decides it starts with the presumption that dividing the property equally is fair. However, either party may rebut that presumption by submitting evidence or testimony which demonstrates why equal would not be fair.

A court may consider the following factors when deciding how to come up with an equitable division of property: Whether the property was acquired by one party prior to the marriage or the extent to which property was acquired by one spouse in his or her own right. The court may also consider whether to award a larger share of the property to a spouse who is expected to have less income earning potential in the future.

In addition to those factors a court might award some form of rehabilitative or disability maintenance to a spouse who deserves and requests an opportunity to continue his or her education or who suffers from some sort of physical or mental impairment which is likely to have a negative impact on their earning potential.

These are the key considerations Indianapolis divorce lawyers must face when dividing up marital property in a contested divorce.

The United States officially entered this current recession in December of 2007. After four long years this sagging economy has impacted every facet of American life. While there have been winners and losers, the vast majority of Americans have lost in one way or another.

Surveys of family law attorneys around the country reveal an interesting trend. It turns out that the divorce attorneys who handle high dollar divorces generally report an increase in new divorce cases. Attorneys who handle clients with more modest means, report a decline. Apparently, valuing assets during a recession reduces the amount of money some divorcees would otherwise have to pay since their assets are valued at fair market value. In other words, if you have to divide up what you have, divide it up while it’s worth less.

Unhappy couples with more modest means are choosing to circle the wagons and share their bullets as they fend off the constant threat to their financial security. Ironically, the ailing economy might actually be responsible for saving some families from divorce in Indiana.