Irvine Property Division Attorneys
Helping Clients in Orange County Seek Fair Divorce Agreements
Whenever couples divorce or legally separate, they must deal with property division. Property division is governed at the state level, and each state has its own particular laws. California’s statutes divide community property (marital property) equally when couples cannot reach a settlement, and the court is left to decide. At Michel & Rhyne, our attorneys assist clients in addressing all aspects of California property division, helping them settle matters outside of court whenever possible and representing them through trial when necessary.
Learn more about your situation by calling our property division lawyers in Irvine at (949) 666-7346 or filling out our online contact form today.
Characterizing Property
During divorce, the first task involved with property division is characterizing what property is community and what property is separate. Separate property is not subject to division and includes property owned prior to marriage, along with property acquired from inheritances or gifts to only one spouse.
Property couples acquire jointly during marriage is community property and generally includes the following:
- Gross income
- Assets either spouse acquires through income earned while married
- Bank accounts
- Stock investments
- Retirement accounts
- Cars
- Family home
- Real estate purchased in California or out-of-state
- Any other assets acquired out-of-state using marital earnings
- Family-owned business
Property Valuation
Property valuation is a crucial aspect of property division, and appraisals are often essential. Estimating taxation is another crucial aspect of property valuation, as it is necessary for calculating a fair asset division. In addition, couples must divide their debts and liabilities.
Mixed Assets & Co-Mingling
Property division can become complicated when couples mix or co-mingle their separate assets with marital assets. For example, suppose one spouse owns a house prior to marriage and rents it out for additional income. The income earned from the house is separate property. However, when the spouse combines rental income in a joint bank account with income earned by both spouses during the marriage, the money becomes co-mingled.
The advantages of settling property division outside of court and submitting your own settlement agreement are that you have more freedom to obtain a fair distribution. While courts may take some factors into consideration, they basically divide property 50/50. This statutory rule on division is why some couples consult with a family law attorney and devise prenuptial agreements prior to marrying. A prenuptial agreement ensures separate property stays characterized as separate in the event of California property division.
Our Irvine property division attorneys are here to help however we can. Contact us at (949) 666-7346 to schedule a consultation.