In a case of first impression under New York law, assets in irrevocable trusts created by Husband were treated as marital property in a divorce, primarily because of Husband’s control over trust assets and because the spouses used trust funds to sustain the family’s lifestyle (even though neither Husband nor Wife were beneficiaries of the trusts). Trust assets were not awarded to either spouse, but the court determined that Wife was entitled to an amount equal to one-half of the marital property; she received all the non-trust assets and Husband was ordered to pay Wife a substantial sum over the following ten years. C.S. v. R.H., 2025 N.Y. Slip Op. 51426(U) (Sept. 8, 2025).
