Parties intending to divorce within New York and Long Island are entitled to full financial disclosure from each other. This requirement is met through the exchange of various documents, with one of the initial filings being the “Net Worth Statement.” Both spouses typically complete their respective Statements of Net Worth, which serve as sworn affidavits notarized by a public notary. These statements aim to provide a comprehensive overview of each party’s financial situation.

The Net Worth Statement encompasses essential details such as the case caption, demographic information including children’s names and ages, date of marriage, occupations, and addresses. It delves into monthly expenses covering various categories like food, utilities, housing, insurance, medical payments, and taxes. Additionally, it outlines income from diverse sources such as investments, employment, disability, social security, and assets like checking accounts, securities, and loans. Other pertinent information includes household furnishings, accounts payable, taxes, mortgages, transferred assets within the past three years, counsel and accountant fee requirements, support needs, and any other financial data deemed relevant by the court.

Typically, parties exchange these statements voluntarily through their attorneys, or during mediations.   This exchange often occurs prior to court appearances, although Net Worth Statements must be provided at the preliminary conference, which is scheduled either upon motion filing or request. The court may issue orders mandating the exchange of specific documents, including attorney retainer statements, tax returns for the past three years, retirement account statements, securities accounts, and other relevant disclosures.

While these documents are court-ordered, some individuals fail to comply, risking judicial repercussions. During the Preliminary Conference, a discovery schedule is established, and the court may order evaluations to determine the value of various assets such as degrees, businesses, jewelry, real estate, and retirement benefits. It is imperative for both parties to adhere to these procedures to ensure transparency and fairness throughout the divorce proceedings.