Divorces can be emotionally and financially burdensome, especially when your assets have to be divided. Because California follows community property laws, this means that all marital assets are divided equally between both spouses if they divorce. This often leaves many people going through divorce asking how to protect their assets in a divorce in California.
By understanding relevant divorce law and taking the steps required to protect your property, you can work to ensure that both your property and your rights are safeguarded.
In California, any assets or debts collected during a marriage are deemed community property. Therefore, during divorce, these community assets must be divided equally between each party. Separate property, on the other hand, includes assets and debts that are accrued before a marriage, in addition to gifts and inheritances. Separate property is generally not subject to division.
To ensure that both your separate and marital assets are adequately protected, you can take the following five steps:
Once you have established that you and your spouse are divorcing, it’s critical that you begin to detail all of the joint assets you shared together. Having clear records of your varying assets and debts is the strongest way to ensure your spouse doesn’t hide or sell property that belongs to you. Plus, having clear documentation that demonstrates which of your property is separate is crucial in ensuring your own property doesn’t get distributed.
If you are a business owner, your business could be considered community property, especially if you established it with your spouse or it saw significant growth during the marriage. By ensuring that all business finances and other personal finances are kept separate from the marital accounts, you can increase your chances of protecting these assets during divorce. Tactics like separate bank accounts and even financial auditors can ensure a smooth transition upon divorce.
Prenuptial or postnuptial agreements are robust legal tools that can help individuals understand the financial responsibilities of each spouse and protect individual assets. Well-crafted prenuptial or postnuptial agreements can provide clarity and help avoid unnecessary disputes regarding asset divisions during divorce. However, you need to think ahead of time if you want to create a prenuptial agreement that addresses potential property division in the future.
Upon divorce, it’s important to ensure that your financial accounts are secured. Be sure to frequently check in with your joint accounts, ensuring that no funds are being abused or taken out without your consent. You should also open up an individual account to secure your personal finances. Furthermore, during the divorce process, you can work to prevent any additional marital debt accumulation by freezing all joint credit accounts.
An empathetic and experienced divorce attorney can help you navigate the complexities of divorce law, ensuring that your rights and interests are protected and that your assets are kept safe. They can help you create a clear inventory and evaluation of all assets, ultimately helping you advocate for their fair division when it’s time. During any negotiations or court proceedings, a lawyer can fiercely advocate on your behalf, ensuring you receive the property you’re owed.
To protect your assets in a California divorce, it’s crucial to create an in-depth inventory of all property and debts that you own, labeling everything as either personal property or marital property. During this process, it’s critical to ensure that all assets—such as the family home—are valued accurately. To ensure the protection of your rights and hard-earned assets in a California divorce, you should always work with an experienced family attorney.
In a California divorce, property is divided according to the state’s community property laws. This means that all assets and debts acquired during a marriage are divided equally among each spouse, regardless of how long the marriage lasted. Separate property, such as a family business owned by one spouse prior to a marriage, is not subject to division under this legal framework.
Yes, assets that are acquired before marriage are generally considered to be separate property and, therefore, can be protected from property division in a divorce. It’s crucial to note, however, that clear evidence must be provided to prove that these assets are truly separate and not from the marriage. A detail-oriented attorney from our firm can ensure your separate assets are identified and protected during your divorce.
Yes, having a valid prenuptial agreement is a crucial tool in ensuring that your assets are protected during the divorce process. These legal documents clearly lay out how all assets should be divided among each divorcing party, therefore safeguarding certain types of assets from being subject to division upon divorce. A diligent lawyer can help you craft a strong prenuptial agreement that clearly protects your interests in case of a divorce.
To protect your business during a divorce, you can take steps such as crafting a legally enforceable prenuptial or postnuptial agreement, ensuring that business and personal finances are separate during the marriage, and having a professional evaluate your business to determine an accurate value. A fierce California divorce lawyer can work with financial professionals to ensure the accurate valuation of your business and the protection of these assets.
Whether you’ve built a strong real estate portfolio or have a family business that reflects generations of hard work, it is crucial to fight for what is most important to you during a divorce. At the Edgar & Dow, our experienced legal professionals are here to work closely with you, helping you fiercely defend your assets and your legacy. Contact us today to start discussing your case.
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