Dissipation

What does Dissipation mean?

Dissipation is considered, "The use of an asset for an illegal or inequitable purpose, such as a spouse's use of community property for personal benefit when a divorce is imminent." Dissipation at its core deprives one spouse of the enjoyment of their assets or property.

For instance, if a spouse realizes their spouse is going to file for divorce and they decide to take their mistress on an all expense paid weekend to the Bahamas, including paying for meals and a nice diamond ring for the lady, although their state generally does not use evidence of one spouse's misconduct in court to determine how property is divided, the court may adjust amounts awarded to each party given evidence that one spouse decided to squander marital assets.

To prove a dissipation claim, one spouse needs to show that all questionable expenditures were made when it was understood the marriage was not going to last. It is up to the "guilty" spouse to prove the funds were used for legitimate reasons. Dissipation claims can be made for excessive spending on gambling, drinking, or indiscriminate spending. Transferring assets to other family members can also be considered dissipation.

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