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Property Division and Equitable Distribution (ED) in Hendersonville, NC
Marriage as a Partnership for Divorce
North Carolina’s Equitable Distribution of Property Act (Act) mandates how property is distributed at the end of the marital relationship. The Act recognizes that marriage is a partnership and shared enterprise to which both spouses make valuable contributions. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
50/50 split in Divorce: Hendersonville, NC?
Do I get 50% of everything in a Hendersonville, NC, divorce? The Act presumes that property acquired after marriage is marital property and that an equal (50/50) division of property is “equitable.” However, there are a many factors that the court must consider in deciding whether to give one party a share of marital property greater than the 50% presumption. These factors include, but are not limited to: the income, property and liabilities of each party; duration of the marriage; need of a parent of custody of a minor child or children of the marriage to occupy the marital residence; expectation of retirement or pensions; contributions to separate property; tax consequences; acts of preservation or waste of marital assets. So in short, the presumption is an equal division of marital property, but the presumption can possibly be rebutted to provide one party with a greater share. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
What Is Marital Property In Hendersonville, NC?
This includes all presently owned real or personal property acquired by either spouse during the marriage, but before separation. Also included is all vested and nonvested retirement rights. All property acquired during the marriage and before separation is presumed marital property, except those items the Act defines as separate property. The marital estate is frozen at separation. Therefore post separation transfers of property do not effect their status as marital property.
Another consideration is marital debt. Marital debt, which is debt incurred during the marriage for the joint benefit of the marriage, is frozen at a value on the date of separation for ED purposes. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
What Is Divisible Property In Hendersonville, NC?
Divisible property identifies changes in value of marital property after separation. This property is divided at its value on the date of distribution. Property in this category consists of: passive appreciation and diminution in value of marital and divisible property after separation and before distribution; property rights received after separation, but before distribution, if acquired by labor during the marriage and before separation; passive income from marital property received post-separation; and increases and decreases in marital debt. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
Source of Funds Rule
Property can be both marital and separate. If one party can prove that property acquired during the marriage was purchased with separate funds of that party, which funds existed before marriage, then a portion of the property acquired during marriage with separate property funds will be classified as separate property. The key here is to keep specific track of funds to document how property was purchased. It can be difficult to trace funds if spouses finances have been intermingled.
Also under this rule, property acquired by one spouse after separation can still be marital property if the property was acquired with marital funds. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
What Is Separate Property in Hendersonville, NC?
This includes property acquired before the date of marriage including premarital cohabitation. It is very easy for separate property to become mixed and identified as partially marital and partially separate if money earned during the marriage is used for that separate property. However, if one spouse places separate real property into tenancy by the entirety, North Carolina presumed an interspousal gift to transfer that separate property into marital property. This presumption does not apply to personal property.
Property inherited by one spouse during the marriage is that spouses personal property unless there is an intent shown by the testator that the gift or devise be to the marriage. There are certain exceptions to these rules which can make equitable division complex and confusing. But we are here to make this process as simple as possible. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
Valuation of Property
The different categories of property have separate valuation dates. Martial property is valued at the time of separation, while divisible property is valued at the time of distribution. But note, the court has great flexibility in finding values for the property. Because this area of law can become complex, descriptions of the various aspects of ED on this webpage are extremely abbreviate. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
One of the best and most affordable ways to handle ED is by agreeing on a fair and equitable distribution without going to trial. To learn more about Separation Agreements click here. Mr. Jones, as a divorce lawyer in Hendersonville, NC, aggressively represents clients facing these issues.
Disclaimer: The information contained on this page is merely for educational purposes only. There are certain statute and case law not included here that you may need to consult. No legal advice is being given to the viewer of these webpages. No attorney client relationship is created between you, the reader, and the attorney named in this website. An attorney client relationship is only created between you and the attorney after you have met with the attorney in-person and the attorney has agreed to represent you. As in any case, the facts and circumstances of each client may change the outcome of the case. And always, the law in North Carolina is continuously changing and being updated. Schedule an appointment to talk with an attorney before you take any legal action.
Mr. Jones is a divorce lawyer in Hendersonville, N.C. handling equitable distribution issues.