When a couple divorces, both parties must divide their assets and debts. However, some actions during the marriage can affect how assets are split. Marital waste is one of these factors. This concept refers to the misuse or squandering of marital assets by one spouse, which can impact the overall division of property. In New Jersey, the court considers marital waste when deciding how to fairly distribute assets.
What is marital waste?
Marital waste occurs when one spouse spends or disposes of marital assets in a way that is wasteful, excessive, or unfair to the other spouse. This can involve spending money on activities or items that don’t benefit the marriage or using joint funds irresponsibly. If one spouse makes large, unnecessary purchases or spends money in a way that harms the marriage’s financial stability, it may be considered marital waste.
Examples of marital waste
Examples of marital waste include spending large sums of money on gambling, excessive shopping, or having an affair that results in financial costs. For instance, if one spouse secretly spends a significant amount of money on a lover, the other spouse may be able to argue that this qualifies as marital waste. Other examples can include one spouse making extravagant purchases or taking expensive vacations without the knowledge or consent of the other spouse.
How marital waste affects divorce settlements
When the court identifies marital waste, it can adjust the distribution of assets. The spouse who is found responsible for the waste may have to compensate the other spouse, either by giving up a portion of their share of the marital property or by other financial adjustments. The goal is to ensure a fair division that takes into account any unfair depletion of assets.
When dividing assets in a divorce, fairness is key, and actions like marital waste play an important role in that determination.
