Divorce is never easy, but it doesn’t have to be a devastating event. Even if you’re going through a messy divorce, there are things you can do to make the transition easier for yourself and your children. One way to help lessen the impact of the divorce on you and your kids is to separate your assets and liabilities between yourself and your former spouse. You can also appoint a legal asset-protection lawyer to help you with how to divide your assets in the divorce. (This is an excellent idea whether you’re filing for divorce.)
In a property division case like this, there could be debts that have accumulated during the marriage. For example, perhaps one of the spouses took out a large mortgage on the property while the other paid off several smaller loans. In this case, the mortgage note is considered marital property and is usually distributed via a chain of trust. Even if there are no debts left behind, the interest may still accrue, even if there is no money owed on the account.
If there are debts, the division of those debts is often handled by a separate asset division attorney. This doesn’t necessarily mean that there will be a trial, because there may be an agreement to settle those debts outside of the courtroom. However, that does mean that the legal battle will occur in the courtroom, not in the couple’s home. The property and debts issue can be settled, in most cases, through a private or marital settlement agreement.
A very common example of this would be a prenuptial agreement. Similar to a marital settlement agreement, prenuptial agreements outline how the assets and debts will be divided in the event of a divorce if a couple has agreed to marry. Often, prenuptial agreements outline the division of prenuptial support, or spousal support, between spouses in marriage.
One final type of property division occurs when one spouse applies for spousal support or child support from the other. This can occur after separation, by simple divorce proceedings, or after a separation and divorce settlement. In these situations, the application of the law will often focus on one spouse’s community property. Typically, this refers to the property owned individually by the husband and wife in their marriage, but jointly as community property. Community property is not considered part of the property and its value will vary according to many factors, including the length of the marriage and its community standing. This can be an important step in a couple’s property division.
Two basic types of asset divisions generally happen at divorce, regardless of when the assets are accrued? One type occurs immediately after the couple has separated, with one party applying for the retirement benefits from the other, or the other making a claim for retirement accounts or pension contributions. Another type of asset division often happens at post-divorce settlements when one spouse makes an offer to pay spousal support or child support to the other. These cases differ greatly depending on which party made the offer, how much was offered, and how long the settlement is for.
Some other common and less legal methods of dividing marital property and other marital assets after a divorce include equitable distribution, an assignment of marital property, and a partition of marital property. Equitable distribution is the most common type of distribution and takes place after the dissolution of a marriage. This method allows both parties to divide their belongings equally. An assignment of marital property occurs when a testator has created specific titles to real property or shares in stock. A partition of marital property usually occurs when one spouse receives all or a part of a property, asset, or insurance contract during a divorce. A partition of marital property is a legal term that describes an action by one person against another.
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