Introduction

In practice, many cross-border divorce cases become stalled not because of the divorce itself, but because one party cannot identify or access assets in Japan. For example, a spouse may suspect the existence of bank accounts or real estate in Japan but cannot determine where they are or how to obtain reliable information.

In practice, these difficulties often arise from differences between legal systems, particularly the absence of broad discovery procedures in Japan. This article focuses specifically on financial disputes, including asset identification, monetary claims, and enforcement issues.

1. Why Financial Disputes Become Complex in Japan-Related Cases

Financial disputes in cross-border divorce cases involving Japanese assets often arise from structural differences between legal systems.

In practice, parties familiar with jurisdictions such as the United States may expect broad disclosure obligations. However, Japan does not have an equivalent pre-trial discovery system.

As a result, if one spouse does not voluntarily disclose assets, it may be difficult to determine:

• whether assets exist
• where those assets are located
• how they are held

In practice, this lack of visibility can delay negotiations and complicate financial resolution.

2. Typical Types of Japanese Assets in Dispute

In practice, financial disputes often involve:

• real estate located in Japan
• bank accounts with Japanese financial institutions
• shares or business interests in Japanese companies

These assets may be substantial, particularly in high-net-worth cases.

However, in practice, even confirming their existence may require careful investigation, especially when documentation is limited or located in Japan.

3. Practical Limits of Asset Investigation

A key challenge is the limitation of asset investigation tools.

In practice, Japanese courts may issue an inquiry (chōsa shokutaku) to financial institutions if requested and approved.

In many cases, responses are provided.

However, this procedure generally requires that the financial institution be identified in advance.

As a result, if it is unclear which bank holds the account, this mechanism may be difficult to use effectively.

In practice, this creates a gap between suspected assets and provable assets.

4. Recent Developments in Asset Disclosure

Recent legal reforms in Japan (effective from 2025) have introduced measures aimed at improving asset disclosure in family law matters.

These reforms are intended to enhance transparency and may create incentives for disclosure in certain situations.

However, in practice, their effectiveness depends on how they are applied in individual cases.

They do not eliminate the fundamental challenge of identifying unknown assets at an early stage.

5. Enforcement Challenges Involving Monetary Claims

In cross-border divorce cases, financial disputes often involve monetary claims rather than specific assets.

In practice, a foreign judgment ordering the payment of money cannot be enforced in Japan automatically.

Under Japanese law, it is necessary to obtain an enforcement judgment from a Japanese court. In doing so, the foreign judgment must satisfy the requirements set out in Article 118 of the Code of Civil Procedure, including, among other things, compatibility with Japanese public policy.

This means that even if a party has obtained a favorable judgment abroad, separate legal proceedings in Japan are required before enforcement can take place.

In practice, this additional step can significantly affect the timing and feasibility of recovering monetary claims involving Japanese assets.

6. Practical Approach to Financial Disputes

In practice, resolving financial disputes involving Japanese assets often depends on early understanding of limitations.

Key considerations may include:

• what information can realistically be obtained
• which assets can be identified
• how different jurisdictions may interact

In practice, structuring the case with these limitations in mind may help avoid unnecessary delays.

Conclusion

Financial disputes in cross-border divorce cases involving Japanese assets present unique practical challenges, particularly in identifying and addressing assets.

In practice, outcomes may vary depending on the availability of information and procedural constraints.

Understanding these limitations is often essential before deciding how to proceed in practice.

If you are facing uncertainty about Japanese assets in a cross-border divorce, clarifying what can realistically be identified and addressed at an early stage may help you better assess your options and avoid unnecessary delays. In addition, where enforcement of a foreign judgment is required, separate legal procedures in Japan may be necessary, and obtaining guidance from professionals familiar with Japanese procedures may assist in clarifying the available steps.