Legal Question in Business Law in Massachusetts

Re: Partner's spouses possible access to assets of business

It might make sense to wait until her situation is clarified, so there are no claims that the money she brings to the business belongs to her "to be" ex-husband. If it is already too late, as mentioned in another answer, it would make sense to set up an entity, with clear operating rules (whether an llc or corporation) and clear written agreements as to your business relationship. Not only could the divorce proceedings be a distraction to her attention to the business, but she might end up with more limited financial resources than expected if the divorce is litigated instead of mediated. Proceed with caution!

Partner's spouse access to assets of business

This is an excellent and practical question.

To the extent that there is no action filed or pending, your partner is exposed to potential claims by her spouse.

This situation can often reach into seeking information about the business and your end of it. The current situation creates risks for both of you.

As long as your partner is married, the threat of the spouse's intrusion is a live issue.

There may be some precautionary actions available.

I welcome contact for which I will offer a complimentary consultation.

Re: Partner's spouses possible access to assets of business

Your partner's husband can claim an interest in her business as a part of the divorce, but he can not make a claim for funds in the business per se.

So if she has a 50% interest worth $10,000, then he can make claim against that 50%. However, generally business interests are not transferred as part of a divorce but rather are considered in determining who pays what to whom.

I would suggest regardless of the circumstances that you have a partnership agreement. Depending upon the type of business you may want an LLC or corporation.

If you have any questions, please do not hesitate to contact me.