If we had a penny for every time a millionaire or billionaire got married without signing a prenup, we’d have a couple of pennies. It’s not exactly a booming business, but it certainly happens more often than we’d like to admit. And each one of these headline-making marriages makes us question: Why?
Why keep neglecting something that’s clearly the smart choice?
In today's “no-prenup, no-problem” divorce, we’ve got David Geffen, legendary film producer, record executive, and multimillion-dollar mogul who recently divorced his husband of two years, David Armstrong, a 32-year-old dancer. We’re diving into the possible thoughts that went through Mr. Geffen's mind when he made the decision to skip the protective paperwork.
Thought 1: “Our love is too strong for us to ever part”
That sounds like a line from one of many records Mr. Geffen helped produce (think power ballads and soaring love anthems). That may very well have been a thought that ran through his mind when he decided to marry his much younger husband. But with a net worth of over $8 billion, it would have done him well to take a step back and consider his portfolio as much as his heartstrings.
Thought 2: "If things go south, I’ll just throw money at it...literally."
Mr. Geffen went on record saying he intends to pay spousal support because that’s just the kind of thing billionaires can comfortably offer when things fall apart. And since the marriage was relatively short (two years), the payments probably won’t be astronomical. In theory, the support will be spread out over a period equal to about half the length of the marriage. But given Mr. Geffen’s net worth, we can’t help but think that even "half" of that would still be enough to buy a small country.
Besides his multimillion-dollar record label and film company, Mr. Geffen has quite a collection of high-value assets that would make anyone’s divorce settlement look like pocket change. We’re talking:
- Multiple properties in Beverly Hills and East Hampton
- A luxury yacht named Rising Sun worth around $400 million
- An art collection so valuable it could fund a small nation (with pieces by Jackson Pollock, Willem de Kooning, and Mark Rothko)
Now, it’s not just the stuff that’s impressive; it’s how Geffen’s income flows in. The New York Post notes that his fortune largely comes from stocks and equities, an area where the term “passive income” really applies. His investments are kept in a separate account, neatly tucked away from any claim Mr. Armstrong could make. So, even if the marriage is dissolving, those stocks are staying firmly in Mr. Geffen's corner.
Thought 3: "In case we divorce, he’ll be cooperative…if he knows what’s good for him”
With a 50-year age difference between them, the marriage between Mr. Geffen and his husband have a built-in power dynamic that’s hard to ignore. We’re betting that Mr. Geffen thought that if it comes to divorce, he’d be the one holding the cards.
Mr. Geffen probably figured that, in the end, his younger husband would recognize who’s really in charge and wouldn’t be too combative if they split. Because really, how could a man worth billions and has a history of building empires not have the upper hand?
Lesson learned: When the rich get divorced, they stay rich
While we often shake our heads at the lack of foresight from the affluent when it comes to marriage, we can confidently say that Mr. Geffen likely had no real concerns (besides a smidge of heartbreak). He wasn’t thinking about what he’d lose if the marriage failed; he was dreaming of what he’d gain if it worked out.
Also, it was Mr. Geffen who pulled the plug, and we can imagine that he knew cutting ties sooner rather than later would save him from a more expensive and drawn-out separation. A billionaire like him probably wasn’t sweating the idea of parting with a small chunk of his fortune.
For the ultra-wealthy, the cost of divorce might seem miniscule. But for everyone else, being smart about how you approach divorce can save time, money, and sanity. That’s exactly what our legal team offers if you consult us for your divorce case here in Washington State. Leave us a message or visit our law offices in Kent.