How to deal with Division of Property during a Divorce

The rules and regulations regarding the division of property can vary substantially depending on the jurisdiction. For that reason, it’s vital to receive trusted input and guidance from legal counsel with ample experience. Nevertheless, certain standards are the same regardless of where a couple lives when the divorce takes place.

For example, anything that was owned by one spouse prior to the marriage is likely to be granted to that individual after the divorce. The only major exception is if the other spouse actively worked to increase the value of that asset. Therefore, lawyers will be interested in differentiating between property that was obtained prior to the wedding and that which was acquired by both parties while legally married.

Although other factors can influence the way a court rules, the following points offer a broad view of how most divorces come to a resolution.

In the most basic terms, a court generally refers to marital property as anything of value that was purchased by both parties while they were married. Although prenuptial agreements can dictate how much each individual receives following a legal separation, a wide array of assets are otherwise considered products of the marriage and will be divided accordingly during the divorce process.

Physical goods including art, furniture, automobiles, real estate, and much more are commonly considered marital property and are thus subject to being divided as long as they were acquired during the marriage. Additionally, assets found in retirement accounts and other investment vehicles can also be divided between the two individuals.

This can be tricky, since the value of such assets can vary depending on market forces and other factors. For this reason, courts typically determine that the division of property should be based on its value when the divorce occurs instead of when it was initially acquired.

Just because a court decides a so-called equitable division of property, that doesn’t necessarily mean that it will satisfy one or both of the parties involved in the divorce.

How do you divide property in a divorce when there’s no agreement between the parties? The answer typically lies in whatever the judge believes is fair. There are several issues that the court is likely to consider before arriving at a resolution.

For starters, the judge can base a ruling on each party’s ability to earn money. If one individual is significantly older or has health limitations that could limit such earning capabilities, those factors can play a role in deciding how assets and debts are divided. Furthermore, if one individual is expected to either face additional financial hardships or receive a substantial influx of money after the divorce, such information could sway the court’s decision.

Another major factor for spouses with children involves custody agreements. If one individual is given full or primary custody of the kids, a judge might be inclined to take that added responsibility into consideration when reaching an equitable resolution during the divorce process.

For various reasons, it’s possible that an equitable division of property will not be the same thing as an equal division of property. If one party has contributed significantly more to the marriage and joint assets, that person could receive more following the divorce. Legal agreements between the spouses, whether reached before or after the wedding, could also shape the outcome of these proceedings. Furthermore, if one party is deemed to be at fault for the divorce, particularly in the case of domestic abuse, such information could work in the favor of the other individual.

The decision to file for divorce is a serious one and should never be taken lightly. Nevertheless, marriages dissolve for a wide range of reasons and it’s important to know what to expect before entering into such a process. Knowing how property and debts will be divided between the two parties is one helpful piece of information to have.

If you’re planning to go through a divorce and have questions about what to expect, call the expert legal team at WGS Law. Call today to schedule a virtual Zoom consultation.