A RMB 1 billion claim that ended in custody and support only

Background

The claim was framed around alleged fault and around the income of several companies. Claims of this kind succeed or fail on two things: whether the conduct relied on reaches the legal threshold, and whether the income attributed to the respondent is actually marital property capable of division.

What was done

1. Separated conduct from property. The legal consequences of conduct and the division of property are distinct questions. Treating them separately removed the basis for a large part of the claim.
2. Traced the corporate income. Company filings and financial records were used to show what the companies held and what had passed through them, rather than accepting a headline figure.
3. Prepared for trial throughout. The file was ready for a contested hearing, which is what made the negotiating position credible at each stage.

Outcome

The court supported the child's custody and child support. The claim for RMB 1 billion in compensation and corporate income was not supported.

The practical lesson

An inflated claim is not a stronger claim. Where a demand is built on conduct and on business income, the effective response is to separate the two questions and to put the corporate records in front of the court. This is the work described in our pages on business assets and equity division.

Points to take away

• Conduct and property division are separate legal questions — never let them be merged.
• Headline claims are answered with corporate records, not with argument.
• Preparing for trial is what makes a negotiating position credible.