Property distribution is one of the major factors spouses will consider when filing for divorce. Both feel entitled to a certain split of assets and their opinions often differ. This issue often leads to contested and heated cases. Like many states, New Jersey is an equitable distribution state and assets will be divided in an equitable fashion. Equitable distribution is the fair and just allocation of assets. This does not always mean equal and the involved parties may disagree with what the state deems fair. New Jersey courts often encourage couples to come to an agreement outside of court to save time and money for both the couple and the state. Parties are free to agree to terms through mediation, but when that is not an option or fails, this issue will be addressed in court. Contact Paris P. Eliades Law Firm, LLC for a consultation today.
Marital and exempt property
In order to appropriately divide assets in an equitable fashion, the court or mediator needs to establish marital property.
- Marital property- Assets and debt acquired during the marriage or separate property brought into the marriage and turned into marital property.
- Exempt property- Assets and debt acquired before the marriage or agreed not to be brought into the marriage before commencing the relationship.
Once the court decides what is marital property and what is separate property, they will assign a monetary value to the assets and debt. The court will take into consideration the parties’:
- The duration of the marriage
- The value of the property
- The acquisition of the assets
- Age and health
- Contribution to the marital property
- Economic circumstance
- The debts and liabilities of the parties
- Possible tax consequence
The court will then distribute the assets and debt as they deem appropriate in an equitable fashion. It is important to note that, in regards to New Jersey being an equitable distribution state, marital fault is usually not considered in the process. Economic fault, on the other hand, could impact the court’s decision. If one party was to purposefully waste assets in retaliation for the divorce, the court could judge against them and adjust the allocation in favor of the other spouse.
Mediation can save time and money
Similar to many issues related to divorce and separation, everyone may be able to benefit from mediation. New Jersey courts encourage people to agree to terms outside of the courtroom. Mediation saves the court and involved couples time and money. Through mediation, a couple can come to an amicable conclusion to their property division matter. These situations are more likely to end on a positive note because the fate of their financials is in their hands and not in the hands of a judge.
Contact a Sparta firm committed to protecting clients
Paris P. Eliades Law Firm, LLC has years of experience handling cases and mediation related to property division. If you are in need of quality representation during a heated court battle or are inquiring about the process of mediation, contact our firm as soon as possible. Our compassionate attorneys are committed to our clients. We will work tirelessly to resolve their issues with as little emotional turmoil and as efficiently as possible. We are readily available to ease your stress and protect your rights. Contact our firm for a consultation.