Singh v. Singh, 36 Misc. 3d 1218 (N.Y. Sup. Ct. 2012) involved a divorce action in Queens, New York. The Plaintiff, the wife, initiated the case in 2009, seeking an absolute divorce and additional relief related to financial support, property division, and child custody. One issue that was raised was asset dissipation. Asset dissipation occurs when one spouse improperly uses or transfers marital assets in a way that depletes their value, often in anticipation of divorce or without the consent of the other spouse. This can include excessive spending, selling assets below market value, or mismanaging joint finances. In divorce cases, courts may consider evidence of dissipation when determining the equitable distribution of marital property.
Background Facts
The Plaintiff and Defendant married in 1997 and had two children. During their marriage, they lived together in a house jointly purchased by the Defendant and his father. The Defendant used both his separate savings and marital assets to contribute toward the mortgage on the marital home. Over time, the couple’s financial situation became more complicated as the Defendant and his extended family engaged in additional real estate and business investments. Both parties contributed to the household and its upkeep until they separated in 2006.