Getting Divorced From An Influencer In Arizona

There is no doubt that we are currently in the social media generation. Apps like Instagram and TikTok offer the hopeful possibility that anyone can become viral, develop a following, and eventually make a living just by posting pictures and videos on the internet. But there is more that goes into content creation than meets the eye, especially if at least one of the creators is married. And because of the unique nature of social media as a financial resource, it can make the property division phase of a potential divorce more complicated. If these issues apply to your situation, don’t enter divorce at a disadvantage. Let an experienced member of our Arizona divorce law team review your situation and point you in the right direction. Schedule your free phone consultation today by calling 480-263-1699. 

The Spouse Behind the Lens

While there are selfie sticks and adjustable tripods that can make it easier to take photos without assistance, many married influencers have their spouses operating the camera for their social media accounts. Beyond taking pictures and filming, they could also be editing, managing brand deals, responding to messages, and helping their spouse with all the other tasks that go into being a content creator. Here, the spouse may claim they are a partial owner of the brand, using similar legal theories as when one spouse runs their own business. Arizona is a community property state and that spouse may be legally entitled to some value from the profile. But when a social media account becomes monetized, it is essentially a business. Here, the parties should determine whether the account relies on Enterprise Goodwill or Personal Goodwill. 

Enterprise Goodwill is when the profitability of a business depends on transferable factors that are independent of the owner. Examples include templates, a staff or team of creators working under a brand name, and digital downloads. These are the types of factors to which a specific dollar can be assigned, even if it requires input from a specialist. Personal Goodwill is the value attached to the content creator as an individual. Their face, voice, personality, or even a specific feature like their hair, could be where their social media account derives its value. It would be nearly impossible to assign a dollar value to personal goodwill and find a fair way to divide it in divorce. But this doesn’t make them fully exempt from divorce-related issues. A parent’s personal goodwill as a content creator can be a factor considered for child-support calculations. It can also be used to calculate spousal support obligations. 

Social Media Assets

Even if a social media account was originally started as a hobby, it can eventually become profitable and thus a marital asset in a community property state like Arizona. The doctrine of community property makes everything acquired during a marriage- both assets and debts- each spouse’s equally. So if a spouse’s social media account becomes profitable and the couple gets divorced, the non-influencer spouse can pursue the value of the social media account during property division. This can require assistance from a forensic accounting expert, especially for larger accounts. Some of the revenue streams that can be generated by a social media account, and later divided in a divorce, include:

• Brand deals and sponsorships: This is the most obvious revenue stream from an influencer’s social media account. Certain brands will pay an influencer to post about their product or service, with the amount paid usually depending on the influencer’s follower count. Whether a contract was signed during or outside of a marriage will be one factor in a brand deal’s divisibility in divorce. The court may need to consider prior contract averages to determine an ongoing brand deal’s total value. 
• Affiliate links: If you’ve ever watched a video on any type of social media platform, you’ve probably heard an influencer end by saying, “link in my bio.” Whenever a follower does make a purchase after clicking on the link, the influencer receives a small portion of the sale. This is yet another asset that could potentially require division in divorce. 
• Residuals: These are recurring revenue streams that can be quite profitable for a content creator. The issue here is how much effort the influencer has to continue putting in to keep earning on these residuals. A spouse may be entitled to a share of earnings before a divorce, but not continued efforts after the divorce. 
• Digital products and merchandise: Viral content creators can often earn large sums by selling clothes and other gear with their signature phrases. This is done using similar techniques as other e-commerce businesses. However, it becomes trickier if any trademarks or logos bear the content creator’s likeness. 

Practical Strategies for Social Media Accounts in Property Division

Once you have established that a social media account was a profitable marital asset, the question turns to how it should be split between the spouses in property division. It isn’t always as simple as letting the spouse whose face is on the profile maintain full control and keep all of the profits. How they are divided can depend on each couple’s unique situation and personal preferences. But the crucial thing to keep in mind is that if the spouses can’t come to an agreement about how social media assets are divided, the judge will have the final say in the matter. Reaching a decision via consent decree allows the spouses to maintain more control over their divorce. Some of the strategies the spouses may want to explore for dividing social media assets include:

• The creator spouse “buying out” the non-creator spouse in a one-time, lump-sum payment
• Offsetting the value of the social media account(s) by giving the non-creator a larger share of other marital assets
• Agreeing to split future royalties or residuals for content created during the marriage- this may be a set percentage or a fixed timeframe
• Signing a non-disparagement clause to prevent either spouse from using social media to discuss each other and potentially damage each other’s reputations 
• Signing a likeness clause to prevent the non-creator spouse from copying the creator spouse’s account or reusing photos and videos originally meant for that profile

Do You Have More Questions About Dividing Social Media Assets in an Arizona Divorce? Contact Our Firm for Your Free Consultation Today. 

When someone decides they want to end their marriage, they don’t want the divorce process delayed by novel and complex issues, such as dividing social media assets in property division.  And if you don’t have a competent divorce attorney fighting for your share of community property assets, you could lose out on funds that could support you in this new change of life. That’s why it’s important in these situations to retain experienced legal counsel for an impending divorce and related matters such as child custody and child support. Our Arizona divorce lawyers team can help you move on with your life as quickly and efficiently as possible while still fighting for your assets and rights as a parent. We offer experienced divorce and family law representation with competitive rates and a free initial consultation by phone to get started. Call us today at 480-263-1699 or visit our website to learn more.