Woman Forced to Give Jacktpot to Husband in Divorce
Navigating Lotto Winnings and Divorce: A Comprehensive Guide In a twist of fate, winning the lottery can be both a dream come true and a life-altering event. But what happens when you win the lottery after a divorce or de facto separation? And how are family contributions, windfalls, and lottery gains treated during property settlement proceedings? News.com.au reports that a woman in California was ordered by the Court to give her ex-husband the entirety of her lottery winnings after failing to disclose the windfall in her property settlement. In 1996, after 25 years of Marriage to Mr Thomas Rossie, Mrs Denise Rossi won $3.1 million US dollars ($4.6 million AUS dollars) the lottery and eleven days later filed for divorce. Denise did not mention the winnings to her ex-husband and failed to disclose the windfall of $3.1 million in their property settlement. Two years following the property settlement, Mr Rossie came to know of his ex-wife’s lottery winnings and obtained a Court ordered injunction. Mr Rossie filed in Court and successfully obtained an order that Denise pay her ex husband the entirely of her winnings back in instalments. In this article, we will explore these questions and provide you with insights on handling lottery winnings during or after divorce. Q: What Happens if I Win the Lottery after Separation from my Spouse or Defacto Partner - How Do Family Law Property Proceedings Actually Work Winning the lottery can be an exhilarating experience, but it may also bring about complications, especially if you are going through a family law property settlement. 1. Do I Have a Duty to Disclose My Lottery Winnings? Similar to the US, parties to a property settlement in Australia have an obligation to make full and frank financial disclosure.[1] This generally includes bank statements, pay slips, tax returns and disclosure of any windfalls. A consequence of non-disclosure during proceedings, the party who fails to disclosure documents may be held guilty of contempt for not disclosing the document and may be ordered to pay the other party’s costs.[2] Further, the Court the Court may stay or dismiss all or part of a party’s case who fails to disclose documents.[3] 2. How are Family Contributions during the Relationship Important? During marital or de facto separation proceedings, Courts will often consider the contributions made by each spouse or partner to the family during the relationship.[4] This includes both financial contributions, such as income earned, as well as non-financial contributions, such as caring for the home or raising children.[5] Timing is of particular importance to a determination of contributions.[6] Contributions made at the beginning are typically given less weight than contributions made towards the end of the relationship.[7] In addition to contributions of parties to the relationship, a Court must also be satisfied that an Order is just and equitable.[8] Q: How are Windfalls, and Lottery Gains treated in Family Law Property Proceedings – What Does It All Mean? 1. Q: What if I Win Big Before Separation? A windfall gain [...]