In many high-asset divorce cases in Tennessee, one spouse earned the bulk of the income and assets while the other was a homemaker or earned substantially less. The person who had the larger fortune could want to limit what they will pay in alimony and want to shield their assets as much as possible.
The other could claim that they put their own career objectives aside and that they contributed by taking care of the home and children leaving the high-earning spouse free to build their business or advance in their career.
There are different types of alimony that can be awarded, depending on the circumstances. For some, it is important to know what “alimony in futuro” means and how it can impact their case.
Long-term alimony is known as “alimony in futuro”
Alimony in futuro is also referred to as periodic alimony. It will be paid for an extended time period until the person receiving the payments either remarries or dies. This is common in high-asset cases where there is a disparity in income and assets.
Other types of alimony, like rehabilitative alimony, are not feasible under these circumstances because the person receiving the payments is deemed unlikely to achieve the same high income as the other person regardless of the type of education and training they receive. For example, if the wealthier spouse has a successful business or is a prominent investor, it can be difficult to emulate and achieve the same success.
The standard of living the receiving spouse had during the marriage will also be factored in under this part of the law. The court will want to ensure they can achieve a similar lifestyle.
The court oversees this type of award while it is in effect. It can increase it, decrease it, terminate it, extend it or modify it. If the recipient cohabitates with another person, the court will scrutinize the finances and determine if there is a contribution that would impact the need for alimony in futuro.
For high-asset divorce and alimony determinations, legal help is essential
Since this category of alimony is open ended, it is important for both sides to understand what the law says, how the court will consider these types of cases and the financial ramifications. People generally want to have a concrete idea as to how their finances will be affected as part of a divorce.
For this or any other area of a complex, high-asset divorce, it is wise to consult with professionals who are experienced in these types of cases. Calling for advice is vital from the start to try and reach a positive outcome.