California is a ‘community property‘ Divorce state. This means that assets as well as income that is earned or acquired during the marriage are shared equally. Community property includes real estate, retirement funds, investments and other assets as well as debts.
Community property is determined from the date of marriage to the date of separation. Be advised, that in California, the ‘separation date’ does not need to be a ‘legal separation’. The date of separation may be the ‘move out’ date or simply the date when either party believes that the marriage is over.
In essence, assets and debt that are acquired before the marriage or after the date of separation are generally considered ‘separate property‘. Problems can occur when:
- One party receives an inheritance or gift, both of which can remain as separate property, but the party chooses to place the gift in a joint account
- One party has an asset such as a house or condo which was purchased before the marriage but the party decides to add the spouse on title
- The other party contributes to the ‘separate property’ by paying for expenses or by performing work such as upgrades. This may cause a percentage change in ownership.
As you can see, the concept of ‘community property‘ can be complicated. Most problems that occur can be avoided by getting sound legal advice and thereby understanding the legal ramifications of possible actions.
Legal Action Workshop the Law Firm that offers Low Flat Fees, has more than 35 years’ experience in Divorce when community property is involved. Make the time to consult with one of our highly experienced Divorce Lawyers so you are assured that you are handling your community and/or separate property appropriately. We can be reached @ 1-800-HELP-444 (1-800-435-7444) or visit our website www.LegalActionWorkshopLAW.com .