Jane Pribek

Wisconsin Law Journal

Divorce is hard enough — but the economy is making it worse. The current situation is creating huge problems in divorce cases that require valuations of real estate and/or a closely held corporation, partnership or other business. Madison family law practitioner Linda Balisle, of Balisle & Roberson S.C., said that the poor economy has led some people to decide they can’t afford to divorce until the financial outlook improves. Others are going forward, but they’re having a tough time.

“Our clients have generally relied on their homes and whatever other real estate they might have as sort of a bank,” said Balisle, a past-chair of the American Bar Association’s Family Law Section. “They use them for second mortgages, and to borrow money for needs unrelated to the home or to pay bills. “About a year [ago] the values of most people’s homes dramatically dropped, to the point where there was insufficient equity in some cases to even justify the existing mortgages. They didn’t have the ability to obtain additional funds,” she said. Less cash means less wiggle room to structure equitable settlements, Balisle noted.

Source: http://www.wislawjournal.com/article.cfm/2009/09/28/Economy-complicates-divorce