Charlotte Divorce Lawyer Blog
What Does Equitable Distribution Mean in North Carolina Divorce?
When a married couple decides to divorce, one of the most contentious aspects of the settlement may be the distribution of assets. Couples are expected to try to come to an agreement regarding how to split up their property, but it must be divided in an equitable manner. Before you can divide your assets, you need to understand the differences between marital property, separate property, and divisible property. A knowledgeable Charlotte divorce attorney will help guide you through the process.
Marital Property
Marital property is property that you acquired during the marriage. Anything you or your partner bought after you got married belongs to both parties. It does not matter which person made the purchase. As long as it was made while the couple was married, it is marital property unless it qualifies as an exception. Sometimes it can be challenging to determine marital property, so it is helpful to consult with your attorney as soon as possible.
Separate Property
Separate property is property that one party owned prior to marriage. It includes bank accounts, homes, cars, and any other items that a person bought before they got married. Separate property also includes inheritances and gifts made to one party during the marriage. It is important to note that purchases made after the date of separation are considered separate assets.
Divisible Property
Divisible property is typically property that was acquired during the period of separation but prior to divorce. In some instances, these assets may actually belong to both parties. For example, if both spouses own rental property together, the money collected for rent during the separation may be considered divisible. The value of divisible property is determined at the time of divorce rather than at the time of separation, as marital property value is calculated.
Equitable Distribution
Equitable distribution is a fair division of assets between parties in a divorce. Equitable distribution is presumed in most cases to be a 50-50 split. However, what is equitable may vary based on the individual circumstances of your situation. The key consideration is a fair split between both parties based on a number of factors. The court expects couples to come to an agreement regarding asset distribution before the court. If parties are not able to come to an agreement, the judge may require mediation. Mediation is a meeting with a trained professional to help resolve settlement matters and facilitate a settlement that both parties agree to. The judge will always review a settlement to ensure that it is fair and equitable. If the judge finds it unfair, they may make their own ruling.
Sometimes, the distribution of assets can be quite complex. This is particularly true of couples who have been married a long time and have accumulated a lot of property, as well as when couples are wealthy. A knowledgeable attorney will assist you in determining asset categorization and help with the negotiation and resolution of asset distribution disputes. To discuss the specific details of your divorce, contact our legal team at Arnold & Smith, PLLC, at (704) 370-2828 to schedule a consultation.
The family law practice group at Arnold & Smith, PLLC includes two Board-Certified Family Law specialists and one Child Welfare Law specialist, as well as several attorneys with many years of family law experience that are committed to providing a powerful voice to individuals facing the often-tumultuous issues in this area of law. The range of issues our family law clients may be facing include pre- and post-nuptial agreements; separation agreements; post-separation support; child support (both temporary and permanent); absolute divorce; divorce from bed and board; military divorce; equitable distribution of assets; child custody (both temporary and permanent); retirement benefits and divorce; alimony and spousal support; adoption; and emancipation. Because this area of the law is usually emotionally charged and complicated, the family law attorneys at Arnold & Smith, PLLC act with the utmost dedication to ensure that each client understands his or her options, and then act to achieve the best result possible for that client’s particular situation.
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