During divorce, assets that are owned by the couple need to be split between them. Since they are no longer going to share a residence or be in a union together, they will have to divide their property to take with them. When judges consider the division of assets in court, they will consider many factors. They use the concept of equitable distribution to divide the assets between the two spouses. his is a process that is intended to split marital property based on a fair and just decision. However, this does not mean that the property will be split evenly between the two individuals. The court will use their discretion to decide how the property is split by considering factors relating to each spouse. These factors can include the duration of the marriage, the standard of living, the value of the marital assets, the health and age of both parties and the earning capacity and income of the couple. The allocation of assets can be impacted by the contribution of each party, tax consequences and an individual’s financial situation. By considering all these factors, the judge will come to a just decision.
How are separate and marital property categorized?
Before a court divides the properties of two spouses for divorce during litigation, they have to establish the difference between what is considered to be marital property and what is separate property. This helps to make sure that assets gained before the marriage are kept with their rightful owner. The division of property into these two categories depends mainly on when the assets were acquired: before or after the marriage of the couple. Marital property is considered as property that is brought into the marriage together or acquired during the marriage, which means that is owned by both individuals and not a specific spouse. This property will be involved in the division of the assets and have equitable distribution applied to see who will gain ownership. Separate property can consist of assets that were gained before the marriage was official. This property was not agreed upon by the spouses to be brought into the marriage as something that was owned by both of them.
If you require strong legal representation for matters related to divorce or family law, Haber Silver Simpson & Russoniello is here to help. We proudly represent clients in Morris County and throughout the state of New Jersey. Contact our firm today to schedule a consultation.