About the Family Law Week blog

The Family Law Week Blog is a companion site to Family Law Week. It complements the news, cases and articles published on Family Law Week with additional comment and coverage of the wider aspects of family law.

The Blog is edited by Jacqui Gilliatt, of 4 Brick Court and Lucy Reed, of St Johns Chambers.

Monday, 21 July 2008

Divorce settlements and the credit crunch: The US perspective

Following a piece last week on the effect of the credit crunch on divorce settlements in the UK, I found a report in the New Statesman on the impact that is being felt in the USA.

The story quotes a court official from Miami-Dade County who states that divorces are down 18 per cent on the same period as last year; a figure which is apparently reflected elsewhere. According to a magistrate from the county, the cause is that there is not "much point in forcing a sale and splitting the negative equity."

However in New York divorces are higher than at any time since 1980. and the report cites a story of a financial trader whose fortune has declined from $20m to $8m. He claims he has been forced to borrow heavily to keep up with his wife's spending or risk divorce once she found out that he is worth much less.

No comments: