Marital v. Separate Property

During a divorce, it is important to determine which of your assets and debts are considered separate property and which are considered marital property.  Because California is an equal distribution state, all of a couple’s marital property will be divided evenly between the spouses.  Separate property is not divided.

Marital property is considered any debts or assets that were acquired after the couple got married but before the marriage was terminated.  Separate property is considered any assets or debts that were acquired by either spouse before the marriage.  Inheritances, gift from third parities, and personal injury damages are also considered separate property as well.  

While determining martial and separate property may seen cut-and-dry, it can become quite complicated.  For example, say a man owned a business before he got married. Then after he was married, the value of the business grew.  During a divorce, is the man’s wife entitled to half the business? Or only half of the amount the business grew in value?  What if she worked at the family business while she was married? Is she entitled to more than half since she invested her time and energy into making the business more profitable?

Needless to say, the property division stage of a divorce can be very difficult to resolve amicably, and often is a heated topic in a contested divorce.  If you are thinking of filing for divorce, be sure to protect your assets by hiring a skilled Riverside divorce attorney to represent you.

To schedule a consultation to discuss your case, please contact the Law Office of Michael R. Young today!