It is common for a divorcing couple to decide about dividing their property and debts themselves (with or without the help of a neutral third party like a mediator), rather than leaving it to the judge. However, if a couple cannot agree, they can submit their property dispute to the court, which will use state law rules to divide the property.
Courts divide property under one of two basic schemes: community property or equitable distribution. Debts are divided according to the same principles.
Community property. In California all property of a married person is classified as either community property (owned equally by both spouses) or the separate property of one spouse. At divorce, community property is generally divided equally between the spouses, while each spouse keeps his or her separate property.
Equitable distribution. In all other states, assets and earnings accumulated during marriage are divided equitably (fairly), but not necessarily equally. In some of those states, the judge may order one party to use separate property to make the settlement fair to both spouses.
Division of property doesn’t necessarily mean diving the property physically. in court a judge will decide a percentage of the total value of each property. Each person will get personal property, assets, and debts whose worth adds up to his or her percentage. It is illegal for either spouse to hide assets in order to shield them from property division.
At the law offices of Amy M Montes any questions can be answers and guidance provided to get all your property as well as debt in order during your divorce.
