Marriage is a legally binding contract between two people. Once this contract is signed the pair becomes one and so do most of their belongings and property. During a divorce, assets can be split in various ways depending on the details of the situation. Our Sparta property distribution attorneys understand the delicate nature of divorce and are equipped to assist and represent you during this process. Contact a skilled lawyer for more information today.
Marital vs Separate Property
Marriage combines two families and individuals as well as their property. However, not everything is considered jointly owned. During the divorce process, it is important to establish what assets are marital and what assets are separate.
Marital property is jointly owned by both spouses. Generally, any property acquired during the marriage, by joint funds, or that both parties contributed to in some way is considered marital property.
Not many items fall under separate property but some assets remain individual. Assets that one of the spouses bought or received before the marriage can be considered separate but they may become marital property over time if the other spouse helped take care of or financially contributed to the asset.
Is New Jersey a Community Property State?
A community property state, also known as a 50/50 state, is one where each spouse will receive exactly half of the marital property during a divorce. This means that both spouses own all assets and are liable for all debts equally, regardless of specific circumstances or behaviors. New Jersey is not a community property state, it is classified as an equitable distribution state.
In an equitable distribution state, marital assets are divided fairly and equitably as opposed to equally. A court will determine which spouse receives which assets based on a variety of factors unique to the couple. Most U.S. states have adopted an equitable distribution policy as it is the most fair option.
How Are Assets Split in an NJ Divorce?
Because New Jersey is an equitable distribution state, assets are not always split 50/50, though that is not to say that an equal split will never happen. When a court calculates the value of the marital property and determines each spouse’s fair share, the outcome may be an even distribution. If each party has a similar income and earning potential and is generally in the same financial situation, a court may decide to divide the property with a 50/50 split. However, this is rarely the case.
Each spouse’s legal team will contribute to a discovery process where they will investigate and collect information about the couple, pulling data from bank accounts, paystubs, loans, mortgages, monthly expenses, real estate appraisals, and other personal property. Once all assets and debts are accounted for a calculation will be made based on individual needs, the length of the marriage, each spouse’s income and earning capacity, contributions made during the relationship, and more.
Contact a Family Lawyer Today
Divorces can be complicated and messy. It is important to ensure your rights are protected during the process and fight for possession of the assets and property that are important to you. Speak to a skilled property distribution lawyer today to begin discussing the details of your divorce.
