Ending a marriage in New York City can be challenging in many ways, especially for business owners. You’re likely to have many difficult questions about divorce and intellectual property, and it is crucial that you hire a divorce lawyer who has proven experience handling cases like yours. A skilled divorce attorney can help you understand the NYC divorce laws that apply to your situation and explain your options for retaining control over the business you have built.
Divorce and Intellectual Property Concerns in New York City
One of the most contentious aspects of most divorce cases in New York City is property division. Under New York law, property division unfolds according to the equitable distribution rule, which requires the divorcing spouses to divide their marital estate fairly. Each spouse may keep separate property, but whether your business and intellectual property count as your separate property depends on several factors.
The divorce rate in New York was 2.3 per 1,000 residents in 2024, and couples choose to end their marriages for various reasons. Regardless of the underlying reason for your divorce, you need to understand your options for handling the situation and the various issues you and your spouse must address to complete this difficult process. If you are a business owner, your attorney can help you determine whether your business qualifies as separate or marital property.
Generally, “separate property” can include anything a spouse owned before they got married, including real estate, business interests, and more. However, even if you owned your business before you got married, the business may qualify as marital property based on your spouse’s contributions to the business during your marriage.
It is important to understand that their contributions may have been direct or indirect. If they helped you run your business and appreciated the value of your intellectual property in any way during your marriage, then it will likely qualify as marital property in divorce. If they managed your household so you could focus on running your business, then this would likely qualify as an indirect contribution and would mean the business qualifies as marital property.
How Your Divorce Attorney Can Help
If you started your business before marriage, it is understandable that you would want to protect it from your divorce as much as possible, and you are likely to have many questions about whether the business could qualify as marital property due to your spouse’s direct and/or indirect contributions toward the business during your marriage.
You need to hire a divorce lawyer who has proven experience handling these complex financial issues. One of the most important parts of any divorce is financial disclosure, during which both spouses must submit complete and accurate financial records proving separate property ownership and marital assets. Your attorney can determine whether any separate property was ever commingled with marital assets in a way that would make it subject to division.
When it comes to intellectual property you own, it can be difficult to accurately determine whether this will qualify as part of your marital estate. Your divorce attorney can consult forensic accountants and other experts to help you prove when you established your intellectual property and calculate future royalties, the value of licensing, and other factors. If the intellectual property was registered during your marriage, future proceeds will likely qualify as marital property.
The Levoritz Law Firm excels at resolving complex divorce cases. We know that sophisticated problems require sophisticated solutions, and we have successfully helped many business owners, artists, and other professionals resolve property division disputes in New York City. Reach out to our firm as soon as possible so we can explain the NYC divorce laws that apply to your situation.
FAQs
What Qualifies as Separate Property in a New York Divorce?
In a New York divorce, separate property can include anything you owned before you were married, gifts that were given only to you, and an inheritance left only to you. You will need to complete a financial disclosure statement to proceed with property division in your divorce, which will be a complete and accurate set of financial records.
Can I Buy Out My Spouse’s Share of a Business in Divorce?
You may be able to buy out your spouse’s share of a business in divorce. If the business qualifies as part of your marital estate, your attorney may be able to negotiate a trade of other marital assets to effectively buy out your spouse’s share so you can retain sole ownership of the business after divorce. This could be done as a lump sum or a structured payment plan.
What Happens if a Spouse Hides Assets in a Property Division Case?
If a spouse hides assets in a property division case, they can face severe penalties, including contempt of court, a reduced share of marital property, and being forced to pay the other spouse’s legal fees. Refusal to comply with a lawful court order for financial disclosure is illegal. If you believe your spouse has hidden assets, consult your attorney, and they can advise you as to what steps you can take to address this.
Why Should I Hire a Divorce Lawyer in New York City?
You should hire a divorce lawyer in New York City because your case is likely to be more complex than it initially appears, and you’re likely to encounter complex issues that you will not be able to resolve alone. A skilled local attorney can help you navigate your proceedings in the New York County Family Court efficiently, and you have a better chance of reaching favorable results with their assistance.
What Will it Cost to Hire a Divorce Lawyer in New York City?
The cost to hire a divorce lawyer in New York City generally depends on how much time your attorney must spend handling your case. Most family lawyers in New York will charge an hourly rate and track all time they spend handling a client’s case, so more complex cases typically lead to greater attorneys’ fees. Thoroughly review your chosen attorney’s billing policy so you know what to expect.
Contact The Levoritz Law Firm
The team at Levoritz Law Firm has an extensive record of successful divorce representation in New York. We have helped many corporate executives, business owners, and high-earning professionals with difficult property division cases, and we’re ready to explain what to expect with divorce and intellectual property. Contact us today to schedule your consultation with our team and learn how we can assist with your case.
