Finances & Divorce: Don’t Trip Over a Dollar to Pick Up a Penny

There is an old saying in family law, “don’t trip over a dollar bill to pick up a penny.”
Resolving financial disputes can be one of the most acrimonious and subsequently expensive aspects of the divorce process. Often, parties are willing to spend more money litigating over an item or issue than the item or issue is worth For example, if you and your spouse are $20,000 apart on the value of a property item or a reimbursement issue, divide that amount in half, because California is a community property state. Your best financial interest are not served spending $10,000 in litigation fees and costs to potentially get $10,000.
Often people walk away from a divorce litigation dissatisfied because the judge invariably rules on some issues for one side and rules for the other party on other issues. This has nothing to do with the judge trying to be fair to both parties. It has to do with mathematical probability. As retired family court judge Hank Goldberg points out: If you have a case with four uncorrelated issues and a 50% chance of winning each issue, the chance of winning all four issues drops from 50% for the first issue, to 25% for the second, 12.5% for the third and finally 6.25% for the fourth issue. For example, winning on child custody will have no impact on the disputed value of a community property asset for debt.
Without the right representation and legal strategy, litigating financial disputes can end up costing you more than the items your fighting for are worth. An experienced family law attorney can narrow down the financial issues in a divorce case, and if necessary, partner with a forensic accountant or valuation expert to help you make fact-based and informed decisions that make financial sense. Contact the experienced attorneys at The Reape-Rickett Law Firm today at 888-846-6166 to help you make informed and empowered decisions for your best interest now and in the future.
For more information on family law matters contact The Reape-Rickett Law Firm at 661-288-1000.