Sometimes spouses planning divorce do shelter their assets in international
asset protection trusts. Although they must disclose these trust assets
to the divorce court, the court generally cannot recover or divide these
trust assets under divorce. But this hardly assures victory.
Divorce courts can award the victimized spouse a greater share of the U.S.-based
assets to compensate for the trust-shielded assets. The court might also
award the injured spouse compensatory alimony. However, the international
trust can effectively secure separate property when you have few or no
remaining assets within the United States and your income is too low for
the court to even the score through a larger alimony award.