The Impact of Wasteful Dissipation in Arizona Divorces

Arizona's divorce laws prioritize a fair and consistent approach to spousal maintenance (alimony) and property division. While recent updates have removed marital fault as a factor in awarding spousal maintenance, one form of misconduct — wasteful dissipation of marital assets — can still have significant consequences during divorce proceedings. Understanding what constitutes wasteful dissipation and its potential impact is important to protecting your share of the marital property.

Arizona courts no longer consider marital fault when determining spousal maintenance. The focus has shifted towards fostering self-sufficiency for the receiving spouse. This means demonstrating a need for financial support while establishing a path towards independence. However, wasteful dissipation can indirectly affect spousal maintenance by reducing the overall marital assets available to both parties. If one spouse squanders marital funds, the remaining spouse may have a more compelling need for financial support due to the diminished resources.

Wasteful dissipation occurs when a spouse intentionally or irresponsibly spends or destroys marital assets, often in the lead-up to or during divorce proceedings. Examples are spending sprees, gambling losses, extravagant gifts to a paramour or accumulation of excessive debt unrelated to marital needs or purposes.

Wasteful dissipation can have a significant impact on division of community property. Arizona is a community property state, meaning most assets acquired during the marriage are considered jointly owned and are divided evenly during a divorce. However, if you can prove your spouse dissipated marital assets, the court may award you a larger share of the remaining estate in compensation. 

If you suspect that your spouse may be engaged in wasteful dissipation, there are immediate actions you can take. Gather evidence by keeping detailed records of suspicious expenses, such as credit card bills, bank statements and receipts showing excessive or unusual spending. Look for abrupt changes in your marital finances, such as large withdrawals or maxed-out credit cards.

The impact of a spouse's wasteful dissipation can extend far beyond the immediate financial loss. It can complicate the divorce process, create additional emotional strain, and ultimately hinder your ability to achieve financial stability post-divorce. An experienced Arizona divorce attorney can guide you through the evidence-gathering process and may even recommend involving a forensic accountant for a deeper investigation into financial records. Additionally, your attorney can petition the court for an injunction to prevent further dissipation of assets during the divorce proceedings.

The attorneys at Clark & Schloss Family Law, P.C. in Scottsdale is experienced in helping Arizona divorce litigants obtain fair spousal maintenance and property division awards. Call [PHONE] or contact us online to arrange for a consultation.