Community Property in California
California recognizes a “community property” model, meaning that property and debt acquired during the course of the marriage are considered to belong to both spouses and should be divided equally. However, there are important exceptions.
- Separate property: The courts recognize that an asset or debt acquired before the marriage, as well as gifts or inheritances received by one partner during the course of the marriage, should not be subject to division in the event of a divorce. It is essential that individuals document such items, in order to sufficiently prove that the asset should not be subject to the community property division. It is also imperative to note that while an inheritance is presumed separate property, depending on how it is managed, the inheritance could become intermingled with marital property and, thereby, become subject to community property division
- Quasi-community property: Assets and debts that a couple acquired outside of California could be treated like quasi-community property.
- Commingled property. Sometimes, separate property can become inseparably commingled with a couple’s community property. For example, say that one partner used inheritance funds to pay the mortgage on the couple’s jointly-owned house. Tracing the source of the funds may be impossible – resulting in the inheritance being “co-mingled” with the couple’s community property. And, as stated above, community property is subject to equal division upon divorce.
Contact Cardwell, Steigerwald Young
When you are thinking of what your divorce and/or property division action will mean in your own case – you will need to remember to account for the obvious, big-ticket items such as real estate and business interests – but there are many nuances to tease out as well. Experienced San Francisco property division attorneys from Cardwell Steigerwald Young, LLP, can help you to understand the best steps you can take moving forward to protect what interests matter most to you in regard to personal property, financial assets, debts, etc. Contact our office today to begin working with our team.
