Is a high asset divorce any easier? When Jeff and MacKenzie Bezos announced their separation and pending divorce, speculation spanned all kinds of topics, from the reasons behind the split after a quarter century of marriage to questions about how the couple would divide their many assets. After all, Amazon’s Bezos is purportedly worth nearly $140 billion. He is notably the most wealthy man in the world, and the 28th largest landowner in the United States, with properties in Beverly Hills, New York City, Washington D.C., Texas, and Washington State. As luck would have it, every acquisition that has occurred over the course of the couple’s marriage is joint property. That means it will be a high asset divorce with assets having to be split equitably between the spouses.
High Asset Divorce – Financial Decisions
As one observer noted, people who are rich are generally pretty savvy, and they know they are going to have to part with a chunk of change when they get a divorce. They also realize that they can pay out the big bucks to attorneys while they go through a long and bitter battle, or they can settle things more amicably by simply coming to an agreement as to who gets what, keeping the money in the family, so to speak. Sure, there is still going to be emotional strain—even trauma. But in a high asset divorce when there is a lot of money to spread around, it can make parting a bit quicker and easier. The theory goes like this: When very large amounts of money are involved, there is simply more gauze for the wounds.
Other High Asset Divorces
When Google founder Sergey Brin split with wife Anne Wojcicki, they kept things pleasant, remaining friendly in public, and choosing to raise their kids jointly. They had $50 billion in cash and assets to divvy up in their divorce.
Su Ann Hamm settled for roughly 5% of her husband’s net worth, a paltry $975 million. Husband Harold kept the lion’s share of the couple’s assets, and continued merrily on with his career as an oil and gas executive.
After five years of marriage, Frank and Jamie McCourt divorced. Things proceeded despite bad feelings, and she walked away with a check for $130 million.
Complications Always Possible with a High Asset Divorce
Naturally, money does not solve every problem. There can still be pretty rough emotions around child custody and/or visitation issues, and there may be particular possessions that are held dear by both parties. In some cases, there are significant challenges to a high asset divorce due to ownership of property across multiple jurisdictions. The divorcing couple’s attorneys need to be pretty nimble and willing to investigate particular rules, procedures, and timelines in each. Continue reading →