Top Five Questions About Property Division During a California Divorce
If you are going through a divorce, one of the biggest concerns you may have is what happens to property. One of the defining features of California divorce is that property and debts built up during the marriage are typically shared between spouses and divided equally. However, property division is rarely straightforward. Questions about separate property, businesses, homes, and agreements between spouses can make the process complicated. Here are five common questions (and answers) about dividing property in a California divorce.
- How Do You Determine Community vs. Separate Property?
The first step in property division is identifying whether an asset or debt is community property or separate property.
Community property includes assets and debts accumulated during the marriage. This can include:
- Income earned by either spouse during the marriage
- Property purchased during the marriage
- Debts taken on during the marriage
- Retirement benefits earned during the marriage
California law generally requires community property to be divided equally between spouses.
On the other hand, separate property includes the following:
- Assets owned before the marriage
- Gifts or inheritances received by one spouse
- Property acquired after the date of separation
- Debts from before the marriage
However, things can get complicated when property is comingled. For example, if one spouse owned a home before marriage but marital funds were later used for mortgage payments or renovations, the other spouse may have an interest in the property.
- How are Businesses Divided in a Divorce?
A business can be one of the most complicated assets during a California divorce. Even if only one spouse owns the business, the other spouse may have an interest if the business increases in value during the marriage or was built using marital resources.
Before dividing a business, it must be valued. Based on the valuation, the division may be through:
- One spouse buying out the other spouse’s interest
- Selling the business and dividing the proceeds
- Negotiating another arrangement that accounts for the business value
- Will a Prenup Protect My Assets?
A prenuptial agreement or a postnuptial agreement created during the marriage can help define which assets will remain separate and how property will be divided.
A valid agreement may simplify property division, but it has to be enforceable. If one spouse signed under pressure, relied on false information, or if legal requirements were not followed, the agreement can be challenged.
- Who Gets the Family Home?
A home purchased during the marriage is generally considered community property. But if children are involved, the parent with primary custody may have stronger reasons to request staying in the home. However, custody and property division are separate legal issues. Guidance from an experienced divorce attorney is important to understand your property rights.
- If My Spouse Caused the Divorce, Does This Affect Their Share of the Property?
California is a no-fault divorce state. This means that misconduct such as infidelity usually does not affect how property is divided. A spouse will not receive a large share of marital property just because the other spouse caused the breakdown of the marriage.
Contact the Law Office of Bradley S. Sandler Today
If you need guidance with property division during a California divorce, our experienced divorce attorneys at the Law Office of Bradley S. Sandler can help you protect your interests and work toward a fair resolution. Contact us today to schedule a consultation.