
When marriages break down, some spouses make questionable financial decisions. Maybe it's booking a luxury vacation with a new romantic interest, or suddenly developing an expensive hobby that drains joint accounts. In Illinois, courts have a specific term for this behavior: dissipation of assets. As a family law practitioner, I've seen countless cases where one spouse's spending habits during separation become a major point of contention.
Understanding Dissipation in Illinois
At its core, dissipation occurs when one spouse uses marital funds for purposes unrelated to the marriage after the marriage has broken down irretrievably. The key here is timing - Illinois courts typically look at spending patterns that occur after the marriage has begun experiencing serious problems. This "irreconcilable breakdown" date is crucial, as it marks the point from which courts will scrutinize potentially wasteful spending.
The Burden of Proof
Here's what makes dissipation claims particularly interesting in Illinois:
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The spouse alleging dissipation must first make a preliminary showing of specific dates and amounts of suspicious spending. They can't simply claim "my husband wasted our money" - they need receipts, bank statements, or other concrete evidence.
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Once this preliminary case is made, the burden shifts to the accused spouse to justify their spending. They must prove the expenses were legitimate and for the benefit of the marriage.
What Qualifies as Dissipation?
Courts in Illinois have developed a nuanced view of what constitutes dissipation. Traditional examples include gambling losses, spending on extramarital affairs, or excessive gifts to family members. However, the reality is often more complex. For instance, if a spouse starts a new business venture during the separation period using marital funds, is that dissipation? The answer often depends on factors like whether the business was started in good faith and whether both spouses could potentially benefit from its success.
The Remedy: How Courts Address Dissipation
When dissipation is proven, Illinois courts don't simply order the spending spouse to write a check for half the dissipated amount. Instead, they typically factor the dissipated assets into the overall property division. For example, if a husband is found to have dissipated $100,000 through gambling, the court might award the wife a larger share of the remaining marital estate to offset this loss.
Preventive Measures and Practical Considerations
The best defense against dissipation is often preventive action. When couples first separate, establishing clear boundaries regarding marital assets can prevent future disputes. Some couples opt for temporary court orders to freeze certain accounts or require joint approval for large expenditures. This might seem extreme, but it's often cheaper than litigating dissipation claims later.
Recent Trends in Illinois Courts
In recent years, Illinois courts have shown increasing sophistication in handling dissipation claims involving digital assets and cryptocurrency. They're also more attuned to subtle forms of financial misconduct, like deliberately tanking a business's value before divorce or making unnecessary high-risk investments. This evolution reflects the changing nature of marital wealth and the creative ways some spouses attempt to diminish it.
Final Thoughts
Dissipation claims remain one of the more challenging aspects of Illinois divorce law, requiring careful documentation and often complex financial analysis. For couples heading toward divorce, understanding these principles isn't just academic - it can mean the difference between a fair property division and years of costly litigation. Whether you're worried about a spouse's spending or defending against dissipation claims, early legal counsel and meticulous record-keeping are your best allies in navigating these troubled waters.
Remember, while courts take dissipation seriously, they also recognize that not every questionable purchase during a failing marriage constitutes legal dissipation. The key is understanding where normal marital spending ends and dissipation begins - a line that often requires careful legal analysis and strong advocacy to establish. For legal assistance and guidance, contact us at Katherine Maloney & Associates at 815-577-9763.
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