A top issue during most divorces is how to divide property equitably between spouses. This is property division at its most basic. The factors that all play an integral part in this process include how long a couple was married, how much each couple earned while married, and the assets that the couple had prior to and during their marriage.
One of the most contentious issues during divorce proceedings is how to divide property equitably between spouses. This process is known as property division, and it involves several factors that influence the final outcome. Property division lawyer Jessie Hardy and the team at J Hardy Family Law can assist clients in navigating this complex process to ensure a fair settlement.
Property division primarily considers the length of the marriage, each spouse’s earnings during the marriage, and the assets owned both prior to and during the marriage. In Alabama, each spouse retains their separate property, but disputes often arise over what constitutes separate property. Jessie Hardy and her team are skilled at resolving these disputes and clarifying what assets are considered marital property.
Marital Property: These are assets acquired by the couple during their marriage. This category includes not only tangible assets like homes and cars but also debts incurred by either spouse during the marriage. If the spouses cannot agree on how to divide these assets, the case may go to court, where a judge will make a decision based on what is fair and equitable.
Separate Property: This includes property that one spouse owned before the marriage, as well as gifts and inheritances received individually during the marriage, provided they were not commingled with marital assets. Retirement accounts and other annuities are divided based on the contributions made during the marriage, with the non-owning spouse receiving a portion of the earnings.
The property division process can be broken down into three main steps:
Identify and Classify Assets: Couples must first identify which assets are marital and which are separate. In Alabama, property acquired before the marriage remains separate and is not subject to division. Similarly, gifts and inheritances are not divided if they were kept separate from marital property.
Assigning Value: Once assets are identified, they need to be assigned a monetary value. This can be done through appraisals, public records, online resources, or consultations with real estate experts and financial professionals.
Dividing Property: With values assigned, the property is then divided between the spouses. This can be accomplished through selling property and dividing the proceeds, assigning specific items to each spouse, dividing shared investment properties, or transferring retirement account funds via a tax-free order. Debts incurred during the marriage, such as mortgages, car loans, and credit card debts, are also divided.
Several factors can influence how property is divided, including the behavior and background of each spouse. This includes:
A history of substance or alcohol abuse
History of neglect or domestic violence
Mental illness that does not respond to treatment
Religious affiliations
Activities that negatively impact the child’s development and safety
A skilled property division lawyer, like Jessie Hardy, is essential in navigating these complexities. Jessie Hardy’s team can help ensure that property division is handled fairly and equitably, protecting clients’ rights and interests. They assist in mediating agreements or litigating cases in court to achieve the best possible outcome for their clients.
Property division is a critical aspect of divorce that requires careful consideration and professional guidance. Jessie Hardy and her team at J Hardy Family Law are dedicated to helping clients achieve a fair division of property, ensuring that all assets and debts are properly accounted for and divided.
Contact our office today to schedule a consultation and learn more about how we can assist with your property division needs.