Coming to Terms with Property Distribution in a Divorce
Divorces are difficult, emotional ordeals that can rapidly grow complex if not resolved amicably. While child custody often takes center stage in any contentious divorce proceeding, property distribution is usually close behind. A few decades' worth of shared property can be difficult to divvy up fairly, and this often gives rise to serious disputes with no clear or easy resolution. While there are often no silver bullets to solve this problem, understanding how property division is seen by the law can be a helpful starting point.
Assets Are Not Necessarily Split Evenly
Divorce law varies by state, but a commonly repeated myth is that assets are always divided evenly. The terms of note here are "community property" and "equitable distribution." Put simply, states with community property laws will enforce an even distribution of property. States with equitable distribution, on the other hand, will attempt to award a fair distribution of property that may not actually result in an even split between both parties.
While community property laws are somewhat straightforward, equitable distribution can be complex and contentious. Fair or equitable does not mean that you will necessarily receive all of the property that you believe you are owed, and it does not mean that the judge will attempt to award property in a way that is reasonably close to 50-50. In fact, equitable distribution can lead to highly lopsided settlements if there is reason to believe that one party has a greater claim to certain property or should take on a greater share of the debt.
Assets and Liabilities Are Shared
Unfortunately, property assignment in divorce isn't just about assets. In addition to splitting what you own, you will also be splitting what you owe. As with asset distribution, how this will be determined is going to largely depend on the state that you live in. For states with community property laws, your liabilities will split along with your assets. For equitable distribution states, your liabilities will be split using the same yardstick of fairness as your assets. This can easily lead to one party taking on a greater share of the debt if that is determined to be an equitable distribution.
Marital vs. Premarital Property Matters
One generally universal aspect of property division in divorce is that marital vs. premarital property is taken into consideration. With community property law states, your premarital property will usually remain yours and the other party will be allowed to keep their premarital property. Of course, in contentious divorces it may be necessary to prove that property is premarital in order to avoid having it divided along with shared property.
It's Generally Better to Handle Property Division Out of Court
If all of these facts make property division seem fraught with pitfalls, you are absolutely correct. Having a court divide up assets and liabilities in your divorce should always be a last resort, and it can often lead to outcomes that leave both parties feeling unsatisfied. A divorce attorney will help you negotiate with the other party so that you can reach a fair division of assets outside of court, saving yourself the stress and uncertainties of having a judge split your property for you.
Call a divorce attorney service for more information or assistance.