Arizona residents may be familiar with the famous Indy and NASCAR race car driver who has made great strides for women in the sport. Danica Patrick, who recently won the Nationwide series award for most popular driver, has just announced her plans to initiate the divorce process with her husband of seven years.
The couple was married in 2005. In 2006 Danica Patrick’s net worth was approximately $5 million and today it is currently estimated at approximately $18 million. Her husband is a physical therapist who Ms. Patrick met when she was being treated for an injury that was unrelated to racing.
Ms. Patrick’s net worth nearly tripled during the parties’ marriage, making this a high asset divorce. It is unknown whether the dissolution will proceed without protracted litigation. However, Ms. Patrick suggested in a statement to her fans that the couple had decided to “amicably” end their marriage and that they would remain friends.
It is also unknown whether a prenuptial or postnuptial agreement was entered into between Ms. Patrick and her husband. Emotions frequently run high during the divorce process, and this can lead to bad decision making when it comes to finances. A prenuptial agreement can be utilized to limit the impact of a divorce on a person’s financial well-being by protecting some or all of that person’s individual assets attained prior to entering a marriage.
A postnuptial agreement, which is entered into after the marriage takes place, is another option for dividing assets in the event that a divorce occurs at some future date. These agreements can significantly reduce the financial and emotional costs of a divorce by doing away with the added cost of litigation over the division of assets in court.
Source: ESPN, “Danica Patrick divorcing,” Nov. 21, 2012