How Will My Property Be Divided in a California Divorce?
Whether you and your spouse are dividing a multi-million dollar fortune or just a few items, it always makes sense to research the property division process before your divorce. The way in which property is divided depends on your state, and California has its own way of doing things called the “community property” system. Understanding how this system works will help you move forward with greater confidence and pursue the best possible results.
The Community Property System Explained
California is among only a handful of states that follow the “community property” system when it comes to property division. This involves dividing all community property in a 50/50 manner. Unlike other states, California family courts do not really consider any relevant factors when dividing this property, and the division occurs in a simple manner. The community property system has pros and cons. Some might complain about its somewhat arbitrary approach, but there is no denying its simplicity.
What is Community Property?
But what exactly is community property? This includes all assets acquired during the marriage. For example, you and your spouse might have purchased a family home during the marriage. You might have acquired a car or a pet. Maybe you invested in stocks. You might have started a business. Under the community property system, these would all likely classify as community property.
So what isn’t community property? Everything that you acquired prior to the marriage is considered “separate property.” For example, you might have owned an apartment prior to marriage. Maybe you never sold the property after moving to a family home. Maybe you were given stock options by your employer prior to the marriage. Separate property also includes property acquired after the date of separation. Finally, gifts and inheritance are considered separate property – even if they were acquired during the marriage.
Do I Have to Go Through the Community Property System?
Even though California uses the community property system for property division, you may not necessarily need to follow these rules. For example, you might have established a prenuptial agreement that dictates the manner in which your property will be divided. As long as the prenup is legally enforceable, it supersedes the community property system.
You and your spouse also have the opportunity to negotiate the terms of your divorce outside of court through mediation or collaborative law. Your separation agreement does not necessarily need to follow the community property system, and you can handle complex assets in a more beneficial manner when negotiating behind closed doors.
Where Can I Find an Experienced Divorce Lawyer in California?
If you have been searching for a divorce attorney in California, look no further than RM Law Group. If you still have questions about California’s “community property” system, a consultation represents an excellent opportunity to ask questions. We can explain these concepts in more detail, and we can provide targeted guidance based on your specific situation. Remember, internet research can only get you so far. Reach out today to get started with an effective action plan.
Jason Martinez is a co-founding partner of RM Law Group, LLP. His practice focuses exclusively on California Family Law and community property division, including litigation and settlement of complex and high-conflict divorce and child custody proceedings. Jason understands that divorce and family law issues have long-term effects on all family members, especially the children.
