Divorce is usually a very complicated process. Not only does each spouse need to sort through emotions, but they also have to consider how they want their assets divided. Although every divorce involves a division of marital assets, some couples face particularly convoluted negotiations in this regard. When dealing with a high-asset divorce, each spouse may have different ideas about how property should be split, which can create some difficulty as they try to reach a settlement.
In many cases, couples may prefer to settle their property division questions outside of court. Rather than leaving the court to settle asset division, it may be preferable to reach an agreement that meets both spouse's needs while still addressing the complexity of their jointly held assets.
When reaching a settlement after ironing out differences, one spouse may be required to sell or shift assets to adhere to the terms of the divorce. Not long ago, CEO Hubert Joly needed to sell a large share of his company's stock to settle with his ex-wife. Readers are likely familiar with Joly's company, electronics retailer Best Buy, which has locations in the Atlanta area. Reports from CNN Money indicate that Joly sold about 20 percent of his stake in the company in order to provide $16.7 million for his divorce.
Joly took the reins at Best Buy when it was struggling. Although the company still experienced some challenges in the months immediately after he became CEO, the stock's value has tripled this year under Joly's leadership. As such, issues of asset valuation likely became the subject of discussion during his divorce proceedings. The shifting worth of Best Buy's stock could have complicated how and when the marital estate was valued.
Many aspects of divorce are confusing. However, couples shouldn't feel like they can't overcome those obstacles. Seeking trustworthy advice can go a long way in trying to reach an equitable divorce settlement.
Source: CNN Money, "Best Buy CEO dumps large stake to pay for divorce," Chris Isidore, Sept. 11, 2013