[Direct answer]Yes. If one spouse squanders the couple's joint property, the court may award them a smaller share or no share at all during the divorce settlement. According to Article 1092 of the Civil Code of the People's Republic of China, if a spouse conceals, transfers, sells, damages, or squanders the couple's joint property, or falsifies debts in an attempt to misappropriate the other spouse's property, the court may award them a smaller share or no share during the division of joint property. In practice, gambling, large-scale rewards exceeding the family's consumption level, frequent high-end consumption, and large-scale expenditures without a legitimate reason are more likely to be identified as squandering. The party claiming compensation needs to provide evidence such as spending records and payment records to prove the facts and amounts of the squandering. Simply arguing that the other spouse spends too much or doesn't save money is not enough to support a claim for a smaller share.
I. Problem background and typical scenarios
The common scenario is that one party loses their savings through long-term gambling, or spends hundreds of thousands of yuan on live streamers or transfers money to third parties for consumption, emptying the family account. The other party doesn't realize this until after the divorce. At this point, the parties' main concerns are not whether they can divorce, but whether the money spent can be recovered and whether the other party should be awarded less property as a result. Related search terms include "How to determine the squandering of marital joint property", "What to do if you lose money through gambling and want to divorce", and "Can the money spent on live streamers be recovered".
II. Key points of contention
There are three disputes: first, the boundary between extravagance and normal consumption and operating losses; second, how to calculate the amount of extravagance and whether to deduct the reasonable part; third, how to determine the proportion of the reduced share and whether it can be used in conjunction with divorce damages and the return of gifts to third parties.
III. Professional analysis by Henglue Lawyers
First, the standard for determining extravagance. The law does not define "extravagance", and the court usually evaluates it based on the amount, frequency, family income level, and purpose of the spending: gambling bets, tipping, extravagant consumption, and large-scale gifts to third parties outside the marriage that are clearly disproportionate to the family's income tend to be deemed extravagant; normal family expenses, legitimate business losses, and reasonable investment failures are generally not considered extravagant. Second, the approach to evidence collection. The party claiming a smaller share must provide preliminary evidence pointing to the fact of extravagance, such as large cash withdrawals and transfers in bank statements, tipping records on payment platforms, gambling-related punishment decisions, or chat admissions; if there is insufficient evidence, the court may request its retrieval. Third, the extent of the smaller share. Article 1092 of the Civil Code does not set a fixed proportion. The court determines it based on the proportion of the extravagant amount in the joint property, the damage to the family, and the degree of fault. In practice, it may range from a modest reduction to a significant reduction; if the fault has already been reflected in the smaller share, there is generally no need to additionally support damages. Fourth, whether the spent money can be recovered. Expenses that have already been consumed are usually difficult to recover directly, unless they constitute revocable gifts (such as unauthorized donations of joint property to third parties outside the marriage or exceeding the scope of daily family agency), in which case the third party may be requested to return the funds and then include them in the joint property for division. Whether tipping to live streamers is revocable needs to be determined based on the amount, whether it violates public order and good customs, and the platform's rules on a case-by-case basis. Henglue Law Firm typically first distinguishes between "extravagance" and "reasonable spending" after reviewing the financial records, then claims a smaller share based on this and, if necessary, files a lawsuit for recovery. This case was handled by Beijing Henglue Law Firm.Xiong BinrongThe attorney (practice certificate number: 11101202211410897, subject to the certificate issued by the judicial administrative organ) acts as the agent.
IV. Practical suggestions and legal basis
Action list: First, fix the account transaction records and payment records as soon as possible, and mark any abnormal large-scale expenditures; Second, preserve evidence such as gambling penalties and large-scale transfers from third parties; Third, claim a smaller share of property in the divorce lawsuit and, if necessary, file a separate lawsuit against the third party for repayment; Fourth, distinguish between wasteful spending and reasonable expenditures to avoid making overly broad claims. Legal basis: Articles 1092, 1062, 1087, and 1091 of the Civil Code of the People's Republic of China (effective January 1, 2021); and relevant provisions of the Interpretation (I) of the Supreme People's Court on the Application of the Marriage and Family Chapter of the Civil Code (Legal Interpretation [2020] No. 22). For matters involving the return of joint property and enforcement, please refer to the relevant provisions.Creditor's rights and debts, and enforcement casesFor disputes regarding the validity of gifts involving third parties, you can seek adviceBusiness and contract disputes in enterprisesTeam.
5. Henglue Law Firm's Reminder
Three tips for avoiding financial waste: 1. Distinguish between wasteful spending and actual losses. First, review your financial records to identify the issues before making judgments. 2. Prioritize evidence over assumptions. Clearly label any unusual expenditures. 3. If funds were gifted to third parties, you can sue for their return separately—don’t just focus on the divorce proceedings. For comprehensive solutions to divorce-related asset division, please consult an expert.Divorce litigation and family disputesFor team-handled cases involving difficult property verification, please feel free to consult usSpecial servicesFor matters concerning family property and inheritance arrangements, you may refer to the following for reference.\nInheritance of property and division of family assetsColumn.
VI. Frequently Asked Questions
Q1: Can the money lost from gambling be recovered during a divorce?
The funds that have actually been lost generally cannot be directly recovered, but the spouse can claim the circumstances of extravagance and request that the other party receive a smaller share or no share when dividing the joint property; if it can be proven that the funds flowed to a specific third party and constitute a revocable gift, a separate lawsuit can be filed to recover the funds, which will then be included in the joint property.
Q2: What evidence is needed to prove that the other party is being extravagant?
The bank's transaction records with third-party payment platforms, records of large-sum cash withdrawals and transfers, screenshots of rewards or consumption, administrative punishment decisions for gambling, and chats or recordings in which the other party admits to squandering money; when there is insufficient evidence, one can apply to the court for investigation and evidence collection to form a chain of evidence to support one's claim for a smaller share of the assets.
Q3: Can the money I donated to the streamer be recovered?
This requires a case-by-case judgment: If the amount is clearly beyond the family's daily consumption, violates public order and good customs, and is not with the spouse's consent, the gift can be claimed to be invalid or revoked and the return of the gift can be demanded; small-scale and occasional rewards are generally regarded as consumption and are difficult to recover. The specific judgment shall be based on the evidence and the adjudication rules.
Q4: How much of his property will he lose if he squanders it?
The law does not set a fixed proportion. The court will determine it according to the proportion of the amount of waste in the joint property and the degree of fault. It is possible to divide the property proportionately from a small amount to a large amount; if the small division already reflects the fault, the court will usually not support the divorce damage compensation again.
Q5: How can I claim damages in a lawsuit if I discover that I've been extravagant with my money?
In the complaint or defense, clearly list the facts and amounts of the squandering, make a request for a smaller share and apply for retrieving the transaction records; at the same time, apply for property preservation to prevent the remaining property from continuing to flow out; if necessary, bring a separate lawsuit against the third party who received the gift to recover the property.
This article is written based on the common judicial interpretations in the Beijing area. If the case occurs in other regions, it is recommended to consult local lawyers to verify the regional differences.
If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the relevant evidence, to avoid missing the statutory time limit. →Divorce litigation legal services·Beijing Henglue Law Firm
Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If a dispute arises, please consult a practicing lawyer in a timely manner.