+
+
TOP
Dividing property during a divorce in Riverside can be stressful and emotional. It’s not just about splitting finances; it’s about the home you’ve created, the memories you’ve made, and the future you’re working to secure.
At Family Law Matters, we understand how important it is to protect your assets while navigating the legal complexities of property division.
For many couples, property division is one of the most contentious issues in a divorce. The laws governing property division can be complex and sometimes unclear, adding to the stress of the situation.
Before you begin dividing assets, it’s essential to distinguish between "community" and "separate" property. Community property includes assets acquired during the marriage and is generally divided equally between spouses.
Separate property includes assets owned before the marriage or acquired individually by gift or inheritance, and it typically remains with the original owner.
While some couples can agree on how to divide their property, others may find the process more challenging.
If you and your spouse cannot agree, the court will step in and make a decision based on California’s community property laws. This makes it crucial to have experienced legal representation to protect your interests.
When you undergo a divorce, it is crucial to clearly define what constitutes property. Generally, "property" includes all items you can buy or sell, such as real estate (both residential and commercial), vehicles, furniture, clothing, and electronics.
In legal terms, property also covers various assets with monetary value, including bank accounts, investment portfolios, patents, and even security deposits on rental properties.
During divorce proceedings, it's essential to understand how the court will classify all assets that you and your spouse own. These assets will fall into one of two categories: community property or separate property.
Sometimes, property may combine elements of both, a situation known as commingling. Properly labeling these assets is critical because it will directly influence how the property is divided once the divorce is finalized.
California is a community property state, meaning that when a couple marries or registers a domestic partnership, they create a legal "community."
Any property or debt acquired by either partner during the marriage is considered community property, belonging equally to both.
Under California Family Code Section 760, this includes all real and personal property obtained during the marriage. Upon divorce, community property is generally split 50/50.
Separate property includes assets owned by one spouse before marriage, as well as gifts and inheritances received during the marriage.
Additionally, property purchased with separate funds after the marriage remains separate property.
Income from separate property, such as rent or profits from a business, also remains separate as long as it is not mixed with community assets.
Quasi-community property refers to a legal concept used in California and a few other jurisdictions.
This classification applies to assets acquired by either spouse outside of California that would have been considered community property if they had been acquired within the state.
In the event of a divorce, these quasi-community assets are treated as community property and are subject to equal division between the spouses.
To avoid the default rules regarding the division of community property, couples can create prenuptial or postnuptial agreements.
These legal agreements allow couples to set their own terms for dividing property in the event of a divorce, offering a way to protect significant assets or business interests.
By clearly defining the ownership and distribution of assets, these agreements provide crucial protection for both parties, ensuring that their financial futures are safeguarded.
When you choose us, you can expect:
We know how personal and impactful family law issues can be. That’s why we’re committed to:
If you’re in need of caring, compassionate help with your divorce or family law case in Riverside, CA, we’re here for you. Contact us to start the conversation.
In California, property acquired during a marriage is categorized into different classifications, each with specific legal implications during a divorce. Understanding these classifications is crucial for determining how assets and debts will be divided.
Community property refers to the legal principle that any property acquired during the marriage is jointly owned by both spouses. This includes assets obtained from the date of marriage until the date of separation. Under California law, community property encompasses any asset acquired through the expenditure of time, effort, or skill during the marriage. Unless a written agreement specifies otherwise, these assets are typically divided equally during a divorce.
Gifts and inheritances that are given to one spouse exclusively are classified as separate property. Since these assets are not acquired through the investment of time, effort, or skill, they do not qualify as community property. As a result, the recipient retains full ownership, and these assets are not subject to division during a divorce.
Funds received from an Indian Reservation as a result of tribal membership are considered the exclusive property of the individual recipient.
Anything purchased with these funds also remains the distinct property of the individual. Since these funds are not earned through time, labor, or expertise, they are treated as separate property and are not subject to division during a divorce.
Community debt refers to the financial obligations incurred during the marriage that are considered jointly owned by both spouses.
Similar to community assets, nearly all debts accumulated during the marriage are classified as community debt and are subject to equal division upon divorce.
When one spouse acquires a vested interest in a pension, retirement, profit-sharing plan, or any other employee benefit plan during the marriage, the portion earned during the marriage is considered community property.
Under California law, these retirement benefits are subject to division through a legal document known as a Qualified Domestic Relations Order (QDRO).
A QDRO provides detailed instructions on how the retirement funds will be divided between the spouses.
Military retirement is governed by specific federal regulations that differ from civilian retirement plans.
Notably, under federal law, a spouse's right to receive a portion of military retirement benefits is recognized only if the couple was married for at least ten years during the service member’s active duty.
This requirement, often referred to as the "10/10 rule," is crucial for spouses seeking to secure a share of military retirement benefits in a divorce.
When minor children are involved in a divorce, the custodial parent may be allowed to continue living in the family home.
This can be achieved by delaying the sale of the property or through a property settlement agreement that awards ownership of the home to the custodial parent.
A common settlement provision allows both parties to remain on the property title until the youngest child completes high school.
Afterward, the property can be sold, and the proceeds divided equitably between the former spouses.
Separate property refers to assets and possessions that one spouse acquired before marriage, as well as any gifts, wills, or inheritances received during the marriage.
It also includes assets obtained after the spouses have legally separated. These assets remain the sole property of the spouse who originally owned or received them, and they are not subject to division during the divorce.
Debts incurred during the marriage are typically considered community debts and are divided equally between the spouses.
However, debts accumulated after the date of separation are assigned to the individual who incurred them.
Upon the dissolution of the marriage, any income or assets acquired by each party are classified as separate property, belonging solely to the individual who earned or acquired them.
While most debts accrued during a marriage are considered shared responsibilities, student loans are an exception.
Student loans are generally the sole responsibility of the individual who took them out, unless both spouses signed as co-debtors. In such cases, the loan remains the obligation of the person who incurred it.
Disclaimer: The above rules are merely generalities and should not be construed as legal advice and should not be acted upon or relied upon in any way. If you have specific questions about any of the above, please call our office for more information.
Property division during a divorce is often a complex and intricate process, particularly when separate and community property have become commingled. For example, if one spouse used separate funds for a down payment on a home, but the mortgage payments were made using community funds, the equity in the home could consist of a mix of both separate and community property.
In such cases, it is crucial to engage the services of forensic accountants who can meticulously trace financial transactions and ensure that assets are divided equitably in accordance with the applicable legal framework. When assessing the division of property, consider the following key questions:
Often, your legal counsel can play a crucial role in negotiating a fair settlement that allows you to retain possession of the family home.
This may involve creating an innovative resolution within the divorce settlement, negotiating to delay the sale of the marital residence, or helping you identify financial resources to facilitate a buyout of your spouse's share of the property.
If you are currently going through a divorce and wish to keep ownership of your family home, we are here to work with you to achieve this goal.
For further information, please contact our office by phone or email. As experienced legal professionals, we are committed to providing the assistance and guidance you need during this challenging time.
A property division lawyer offers the expertise needed to guide you through the complexities of equitably dividing assets during a divorce.
They play a crucial role in protecting your legal rights, ensuring a fair allocation of assets, and expertly managing challenges such as commingled property and disputes over ownership.
Whether through negotiation, mediation, or litigation, retaining an experienced attorney can be the key to achieving a smooth resolution, helping you avoid a prolonged legal battle.
27307 Via Industria
Temecula, CA 92590
