Are debts and property treated equally in a Carlsbad CA divorce? How will your personal property, vehicles, real property, investments, retirement accounts and pets be divided during the division of community property?
The first concept to understand is the difference between “community” property and “separate” property. Community property is generally defined as any asset or debt which is acquired by either or both of the parties between the date of the marriage and the date of separation. There are of course exceptions to this such as properly structured and separately maintained inheritances, gifts or personal injury settlements.
Separate property is defined as an asset or debt which was acquired or owned prior to the date of the marriage or after the date of separation. In order to be considered as a “separate” asset or debt, the instrument or property in question must not have been commingled with marital funds.
This is why it is important to speak with the proven, experienced Certified Family Law Specialists at Burke & Domercq. Will you see debts and property treated equally in a Carlsbad CA divorce? Generally speaking, yes, community property will be divided equitably between the parties. Separate property or debt (such as student loans) usually remain with the spouse who owned or owed them prior to the marriage.
One word of caution regarding debt: The mortgage on the family home cannot be affected by the Order of the Family Court. For example, one of the former spouses may wish to keep the family home. To do so, they must pay the other party half of the accumulated equity in this community asset. You may even attempt to change the deed to remove the non-resident former spouse. However, unless the underlying mortgage is refinanced to remove the original spouse, that spouse will continue to be responsible for any late or missed payments. This will affect their credit and can create additional financial issues down the road.
If you wish to see debts and property treated equally in a Carlsbad CA divorce you will need strong representation from the divorce and family law attorneys at Burke & Domercq.