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What is Dissipation of Property?

Dissipation of property during a marriage canphotographs constituted dissipation.
be a hotly contested issue in a divorceDissipation can also consist of failing to
action. Often, one party feels that amaintain property. A spouse's failure to
portion of his or her property has beenmake mortgage payments and prevent
exhausted for no good reason. Dissipationforeclosure in a family home, which results
arises when property is improperly used forin loss of equity therein, can constitute
the sole benefit of one spouse, for a purposedissipation. Failing to pay income tax
unrelated to the marriage, at a time when theliability, resulting in interest and
marriage is undergoing an irreconcilablepenalties,  constitutes  dissipation.
breakdown. Once a prima facie case of
dissipation is made, the party charged withDissipation should be confined to the
dissipation must establish by clear andsituation where value is lost to the marital
convincing evidence how the funds were spent.or non-marital estate resulting in the sole
Once it is established that one party hasbenefit to one spouse for a purpose unrelated
liquidated marital assets, the party chargedto the marriage during marriage breakdown.
with dissipation must establish by clear andThe timing of the alleged dissipation is an
specific  evidence  how the funds were spent.important consideration. Determining the
instant when the marriage becomes irrevocably
What specific acts constitute dissipation?broken down can be difficult. The court may
Generally, expenditures held to constitutecharge a spouse who dissipated assets the
dissipation are extraordinary expenses thatamount dissipated against his or her share of
clearly do not further common maritalmarital property in order to compensate the
interests. For example, gambling losses areother party, but an award of cash or property
patently dissipation. The payment of legalequal to half of the amount dissipated is not
fees from marital assets has been consideredmandated.
dissipation. However, less than
extraordinary expenses have been found toIt is always best for parties to maintain the
constitute dissipation. For instance, livingstatus quo as to spending and selling while
expenses of one party after the marriage'sdissolving their marriage. If this is done,
irreconcilable breakdown were held in oneneither party will be able to make a claim
case to constitute dissipation. "Thefor dissipation. Further, the overall
expenditure of marital funds by one spousesettlement resolution process will be easier
for necessary, appropriate and legitimateto traverse. When one party believes that he
living expenses at a time the marriage isor she is being taken advantage of, the
undergoing an irreconcilable breakdown willdivorce process often stalls. It is wise to
not  be  considered  to  be  dissipation.consult with an experienced divorce or family
law attorney prior to excessive spending or
Dissipation is not limited to financialunnecessary liquidation of marital property.
issues. Wife's destruction of family



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