What Happens When the Super Rich gets Divorced?

I’m sure you know by now that Bill and Melinda Gates are headed their separate ways. Similar to Jeff and MacKenzie Scott, these two have quite a few assets to divide. While not in Arizona, they are in a community property state, like Arizona. So, what does that mean exactly?

In short, their property acquired during the marriage will be divided equitably. A quick Google search results in the Merriam-Webster definition of equitable as “having or exhibiting equity: dealing fairly and equally with all concerned.” For the purposes of family law in Arizona, it means  essentially equal. Not necessarily 50/50, but somewhere close. Perhaps 45% to 55% or something similar. Equitable is not necessarily equal.

Another thing to keep in mind is that only community property is divided during a divorce. Community property entails the property and assets obtained from the marriage date until the date of service. These dates are important because if you enter into a relationship, but you do not get married, you are not creating community property.

Let me give you a classic scenario. Guy meets girl and they fall in love and live together for 10 years, then decide to get married. After 5 years of marriage, they call it quits. Although the parties have been “together” for 15 years, they will only divide what was acquired during the five years of marriage.

With Bill and Melinda, prior to marriage, Bill had already become a rock star with Microsoft. Bill and Melinda have amassed considerably more funds since becoming husband and wife, but what Bill did prior to marriage, is his and his alone (his sole and separate property).

Keep in mind, you can always agree to almost anything in mediation. I tell folks that it is so much easier to come to an agreement than to let a stranger, the judge, divide the life you’ve built with your soon to be ex – yikes! Based on the type of petition that Bill and Melinda filed, it seems like they’ve already have practically a full agreement.

Perhaps you are like Bill and Melinda and you have a full agreement or are pretty close – we conduct mediations. Even if you and your soon to be ex are worlds apart, we focus on getting our clients to their next best foundation – situated for whatever comes next after this phase of your life ends. Either way, give us a call for a free consultation so we can help chart your course for the future. 480.442.4142