Understanding Required Financial Disclosures
Getting Started With Phase II
Now that you’ve completed Phase 1 in your divorce process, it’s time to enter the second phase. There are two parts. The first involves gathering and sharing financial information between the parties, whether through Disclosure or Discovery. The second is preparing your parenting plan, if there are children involved with your divorce. Let’s begin with disclosure, and its requirements.
Disclosure Requirements in Litigation
In any divorce case or legal separation in California, both parties are required to file Declarations of Disclosure. These documents disclose financial information to each side, including a Schedule of Assets and Debts and an Income & Expense Declaration. Both a preliminary (filed at the beginning of the case) and a final (filed at the end of the case) Declaration of Disclosure must be served on the other party.
Along with financial disclosures, the two parties in a divorce or legal separation are allowed to conduct Discovery. This is gathering information under the Civil code of conduct via use of subpoenas, depositions, document gathering, and other methods.
Parties are required by law to be truthful in their disclosure. Disclosure documents are signed and declared to be truthful under penalty of perjury. Parties are required to comply with the discovery process, or they can be subject to sanctions.
Disclosure Requirements in Mediation
While there are legal paperwork requirements under state law for Disclosure Declarations and certain forms, the non-adversarial mediation process at Peace Talks and in collaborative divorce practice operates under a much gentler ideology.
Involuntary processes such as these, parties agree to give complete, full, honest, and open disclosure of all information having a material bearing on the case, whether requested or not. They also agree to engage in informal discussions and conferences for the purpose of reaching a settlement of all matters.
Find out more about your legal Disclosure Requirements [LINK] here.