630-584-4800

630-584-4800

Unique Property Division Challenges for High-Asset Divorces

 Posted on February 24, 2025 in Property Division

Kane County, IL divorce lawyerDividing assets in a divorce is rarely simple, but high-asset divorces present additional layers that can make the process more complex. When significant wealth is involved, property division can often include investments, stock options, luxury assets, business interests, and more. Without careful financial analysis and legal guidance, divorcing spouses risk overlooking valuable assets or agreeing to an unfair settlement. If you are navigating a high-asset divorce, a skilled Illinois divorce lawyer can help with these challenges and protect your financial interests.

How Does State Law Impact High-Asset Property Division?

In Illinois, marital property is divided fairly, rather than an automatic even split. Under this equitable distribution model, courts consider factors like the duration of the marriage, each spouse’s contributions to the marriage, and both spouses’ financial circumstances when determining a fair property division.

In high-asset divorces, identifying and valuing marital versus non-marital property is an important first step. Assets obtained during the marriage are typically subject to division, while those acquired before the marriage or through inheritance may be considered separate property. However, if separate assets are commingled with marital funds, they may also become subject to division.

What Challenges Arise with Stock Options and Investments?

Many high-net-worth individuals hold stock options and other investment assets, which can be difficult to divide. Unlike cash or real estate, stock options often come with restrictions on transferability and vesting schedules. Key questions to ask yourself include:

  • Are the stock options marital or separate property? If granted during the marriage, they may be subject to division.

  • When do the stock options vest? Some options may not vest until after the divorce, which can raise questions about whether they should be included in the marital estate.

  • How will taxes affect the division? Selling or transferring stock options may trigger tax consequences that impact their actual value.

How Are Business Interests Handled in Divorce?

A business owned by one or both spouses can be one of the most challenging assets to divide. First, the business must be properly valued, which often requires the knowledge of a forensic accountant. The valuation will consider the company’s assets, liabilities, and projected earnings.

Ownership interests must also be assessed. If one spouse founded the business before the marriage but it grew significantly during the marriage, the increase in value may be considered marital property. Sometimes, one spouse may buy out the other’s interest, or the spouses may choose to sell the business. Continuing joint ownership post-divorce is another option, but this requires careful planning to avoid future conflicts.

What Happens to Luxury Assets?

High-asset divorces often involve luxury assets such as vacation homes, fine art, jewelry, and high-end vehicles. Thorough valuation and division strategies must be used for assets like:

  • Real estate: If multiple properties exist, a spouse may buy out the other’s share, or properties may be sold and profits can be divided.

  • Art and collectibles: Professional appraisals are often needed, and assets may be divided based on cash value and sentimental worth.

  • Jewelry and personal items: Some of these valuables may be considered separate property, but others received during the marriage could be subject to division.

Contact a Kane County, IL High-Asset Divorce Attorney

Whether you are concerned about stock options, luxury assets, or business interests, working with a St. Charles, IL divorce lawyer can help ensure a fair and equitable outcome. Contact Goostree Law Group at 630-584-4800 to schedule a free consultation and discuss how to protect your financial future.

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