Asset Division in Divorce
Our Monmouth County Divorce Lawyers Help Divide Property & Businesses
Marriage is viewed as a partnership, almost like a family business. Property
that was acquired during the marriage is subject to what is called “equitable
distribution.” There are exceptions to this rule, such as: property
acquired during the marriage by either party as a gift from a third party
or inherited property.
Equitable distribution of marital property does not always mean an equal
division. There may be reasons why one spouse would receive more or less
than an equal share of an asset.
COMMON PROPERTY DISTRIBUTION ISSUES
New Jersey is an equitable distribution state. This means that all marital
assets and liabilities are divided by applying the equitable distribution
factors in accordance with New Jersey’s Equitable Distribution Statute,
N.J.S.A. 2A: 34-23.1.
While there are a great number of potential issues that can arise during
the course of a divorce proceeding, there are some issues that frequently arise.
- One common issue that arises is the impact of pre-marital contributions
to the marital property. For example, if one party owned a pre-marital
home which is sold and proceeds utilized to purchase the marital residence,
the marital residence is usually considered marital property. It does
not necessarily mean that the property should be divided equally.
- Another common issue is a business or professional practice that is operated
by one spouse. While the business may have a marital value that renders
it an asset subject to equitable distribution, this may not be an asset
that is divided equally.
- The issue of inheritances received by one spouse is also a common occurrence.
Property inherited by one spouse generally is not an asset that is subject
to equitable distribution by the Court unless co-mingled with marital
property. For example, if an inheritance is comingled the inheritance
may no longer be immune and may be subject to equitable distribution.
There are too many potential equitable distribution issues to list, however
it is important to discuss the facts specific to your case with an experienced
attorney to assure that all relevant factors are given consideration.
It is important to consult with a divorce attorney on issues related to