Dividing assets during a divorce can be one of the most challenging aspects of the process. In California, community property laws generally demand that marital assets be divided equally between spouses. However, there are instances where a judge may order an unequal distribution.
Here is a broad overview of instances where California law allows for equitable division, not a 50/50 split.
California’s Property Division System
California’s community property laws mandate that all marital assets be divided equally upon divorce. These laws assume that both spouses have contributed to acquiring and maintaining these assets. The law is not concerned with spouses’ individual incomes or direct financial input.
Therefore, each spouse is entitled to half of the total marital estate. This even split typically includes real estate, bank accounts, investments, and personal belongings obtained during the marriage.
However, exceptions exist. A judge may order an unequal division based on the marriage’s circumstances.
Grounds for Unequal Asset Division
Misappropriation of Assets
Misappropriation of assets involves one spouse hiding, wasting, or improperly spending marital funds. Examples include secret bank accounts, frivolous spending, or transferring assets to third parties. Such conduct disrupts equitable division, and judges can use this behavior as a reason to award a larger share to the affected spouse.
Outstanding Debts
When one spouse is responsible for significant debts incurred for their sole benefit, a judge may order unequal asset division. The court aims to offset the financial impact on the non-debtor spouse, dividing assets favorably to balance the economic outcome.
Health and Financial Needs
When one spouse's health or financial situation demands special consideration, a judge may order unequal asset division. The court evaluates medical expenses, future care costs, and financial stability to ensure fairness. This assessment helps protect the vulnerable spouse, ensuring equitable support post-divorce.
Earnings and Education
Differences in earning potential and education levels can influence asset division. A judge may order unequal division if one spouse supported the other's education or career development, resulting in higher earning capacity. Doing so ensures a fair distribution, accounting for financial advantages gained during the marriage.
Prenuptial and Postnuptial Agreements
Prenuptial and postnuptial agreements can lead to unequal asset division. These contracts specify asset distribution terms, often favoring one spouse. Their enforceability depends on fair disclosure and voluntary consent. Courts respect these agreements if they are just and do not leave one party unfairly disadvantaged.
Pleading for a Greater Share of Assets
If your circumstances justify a larger allocation of marital assets, it is crucial to prepare a well-structured argument.
You must support this argument with factual evidence such as:
- Your financial needs post-divorce
- Any misappropriation by your spouse
- Documentation that highlights your contributions to the marital estate
Present evidence of your financial dependence. Additionally, demonstrate any sacrifices you made during the marriage that impacted your earning capacity. Be candid about your current financial situation and any future needs that may arise.
Protecting Yourself from Unfair Distribution
Conversely, if you aim to protect yourself from an unfair distribution, you will need accurate records of your finances throughout the marriage.
Document your contributions, whether financial or otherwise, to ensure a balanced perspective during negotiations. Additionally, a well-crafted prenuptial or postnuptial agreement can serve as a protective measure, stipulating asset divisions and minimizing potential conflicts.
Legal Advice and Considerations
Seeking legal counsel is crucial when dividing assets in a divorce. Experienced attorneys can provide strategies to present a compelling case for unequal division, or they can protect you from unfair distribution. Hiring an attorney can help ensure fair compensation for spouses impacted by economic misconduct or significant contributions.
To protect your assets in a divorce, or to plead for a greater share, schedule a free consultation with Palmer Rodak & Associates. You can reach us online or by phone at (760) 573-2223.
