Fair And Reasonable Division Of Marital Property
In New Jersey, the concept of equitable distribution guides property division in a divorce. Under equitable division, judges will make their determination on what they perceive to be fair. This does not, however, necessarily mean equality.
While a judge will make a fair decision, it may not be what’s right for your family. Deciding on property division in court can also be a contentious, long and expensive process. At Bastarrika, Soto, Gonzalez & Somohano, L.L.P., we believe in finding ways to reduce the complexity and expense of property division while keeping the end result focused on your unique situation.
Understanding Property Division In New Jersey
Your property may include your house, business interests, retirement accounts and investments as well as debts. As your legal representative, we will help you determine the value of your property, illustrate your contributions to the marital finances and negotiate for a result that is in your best interests.
Divorce is a challenging time, emotionally and financially. Our family law attorneys understand that this is your life, and the decisions you make today matter to your future. You deserve a lawyer who will take the time to get to know you and help you make smart choices to protect your livelihood today and tomorrow.
Debts Are Also Subject To Property Division
The divorce settlement must deal with shared debt in addition to property. Typically, a debt incurred by one person prior to marriage will remain the responsibility of that person. Debts that you hold jointly with your spouse could be divided equally. Reasons could arise, however, that shift all or most of the obligations to one party. A court could consider your ability to pay a debt or whether the loan was for your benefit.
Marital Vs. Separate Property In New Jersey Divorce
In New Jersey, property division starts with identifying what is marital property and what is separate property. Marital property includes assets acquired during the marriage and may be subject to equitable distribution. Separate property is usually exempt from division, but only if it can be clearly proven and has not been mixed with marital assets.
Understanding marital property vs separate property in New Jersey rules is important because title alone does not control the outcome. A bank account, home, business or investment may be in one spouse’s name, but if it was acquired during the marriage, it may still be treated as marital property. What is separate property in a New Jersey divorce? It includes:
- Premarital assets: Property one spouse owned before the marriage.
- Individual gifts: Gifts made specifically to one spouse, not to both spouses.
- Inheritances: Money or property inherited by one spouse during or before the marriage.
- Protected assets: Property kept separate through careful financial records or a valid agreement.
However, a separate asset can lose protection through commingling. Commingling assets during divorce in New Jersey often raises issues when one spouse deposits inheritance money into a joint account, uses marital income to pay a mortgage on a premarital home or allows both spouses to manage a separately owned business. Once separate and marital funds are mixed, it can become harder to prove what should remain exempt.
Asset appreciation can also create disputes. For example, if one spouse owned a home before marriage, the original value may be separate. However, if the home increased in value during the marriage because marital funds paid for renovations or mortgage payments, that increase may be treated as marital property. The same issue can arise with businesses, retirement accounts, investments and real estate.
Inheritance and divorce disputes in New Jersey depend on tracing. Tracing means proving where an asset came from, how it was used and whether it remained separate. This may require bank records, closing documents, account statements, tax returns and expert financial review.
Because premarital asset divorce cases in New Jersey can quickly become contested, working with an attorney is important. We can help trace assets, challenge unfair claims and prevent separate property from being wrongly divided during divorce.
Put The Stress Behind You, Contact Our Lawyers Today
Property division can often be one of the most complex aspects of a divorce. You need to work with an attorney who understands what is at stake and who will fight tirelessly to help you get the fresh start you deserve. To schedule a consultation, contact us online or give us a call at our Woodland Park, New Jersey, office at 973-370-0997 to learn how we can help you navigate property division during divorce.