Bzzt! The IRS doesn't care, because division of assets in divorce is tax-free. The man who takes legal advice from flyertalk has a fool for a lawyer. And no, I'm not a lawyer, but legal theory (as opposed to practice) tends to be remarkably close to common sense. If the state says that assets acquired during marriage are to be divided 50/50, they will be divided or properly valued and bought out.

If I were a judge, I'd let the two sides bid for a buyout of the other to establish the value of any asset, including FF miles. Simple, really. If one side wanted to claim they have no value, I'd agree and order them transferred to the other side with zero dollar credit to the donor of the miles. As you can see, I have a low tolerance for tricky and dishonest legalisms. (This *proves* that I'm not a lawyer.)

As to the original question, I think that the friend's lawyer should make a fair dollar offer to buy out the mileage, ideally including an offer to let the spouse buy *him* out on exactly the same terms. If the spouse turns the offer down, he has at least shown good faith and his value estimate is much more credible to the court.

The foregoing is common sense and is not legal advice. Some assembly required, batteries not included...