Divorce is complicated, especially when it involves international property. For professionals and small business owners, protecting these assets requires careful planning and strategy.
Understand Massachusetts divorce laws
Massachusetts follows an “equitable distribution” approach. This means the court divides marital assets in a way it deems fair, but not necessarily equal. This can include property located outside the United States.
Consider a prenuptial or postnuptial agreement
A prenuptial or postnuptial agreement is a powerful tool for protecting international assets. These agreements specify how property, including international assets, gets divided in a divorce. These agreements are enforceable if both parties enter them voluntarily and with full disclosure. If an agreement is in place, it can simplify the process and provide a clear plan for asset division.
Use trusts or other legal entities
Placing international property in a trust or another legal entity offers an extra layer of protection. Transferring ownership to a trust means the property is no longer directly owned by either spouse. This can help shield it from division in a divorce.
Keep thorough documentation
Keeping detailed records of the purchase, ownership, and management of international assets is essential. Documentation can establish the origin of the property, which may affect how it is treated in divorce proceedings.
The courts may consider when you acquired the property. Cours handle property acquired before marriage or through inheritance differently than marital assets. Clear records can support claims that the property should remain separate from marital assets.
Navigating the complexities of international property in divorce
Protecting international property assets in a divorce requires understanding multiple legal systems and careful planning. By following these methods, you can better safeguard international assets during a divorce.