Property & Asset Division in Divorce Minneapolis
The property and asset division process is one of several steps in divorce. It’s a means of dividing property and debt between two married people.
Even if you and your spouse did not contribute equally to your assets during your marriage, Minnesota law assumes that this is the case. In fact, the law dictates that marital assets and debt be divided fairly.
That means that marital assets are divided equitably when someone is involved in a divorce. The governing principle behind the process is known as equitable division.
- Equitable division does not mean that property is split 50-50 (although sometimes it is!)
What is Marital Property?
The term “marital property” refers to property that is acquired during the course of a marital relationship.
- Marital property is acquired by both spouses
- Property is considered marital regardless of where it’s held individually or by both parties
An overview of non-marital property
Non-marital property is generally property acquired outside of marriage. There are some exceptions:
- When gifts are made by a third party
- Property excluded through a prenuptial agreement
- Property acquired after the valuation date
- Property acquired before the marriage
Assets that you own before you are married are generally considered separate, individual property; but it’s important to know:
- If these assets increase in value during the marriage, they may be considered marital property and may be subject to division
- Some separate property can “turn into” marital property through a process legal professionals call “transmutation”
- Mixing separate and marital property
- Titling separate property in a spouse’s name
What Should I Do if I Think I Have Nonmarital Property?
When it comes down to classifying assets, the wrong decision could leave you without property that’s important to you. The way that assets are classified directly impacts someone’s future after a divorce.
If you think that some of your assets are nonmarital, you may benefit from establish a nonmarital claim early in the divorce process.
Divorce and Debt: How Does Debt Work During Property and Asset Division in Minnesota?
Some people know that property and assets are divided equitably in a divorce. Fewer people are aware that debt is divided equitably, too.
Any debt incurred during a marriage is divided between parties after a divorce. That includes:
- Mortgages
- Credit cards
- Car loans
- Etc.
How Will a Property and Asset Division Attorney Help Me?
When you partner with a family law lawyer, he or she can do a lot to benefit your property and asset division efforts:
- A Minnesota lawyer can help determine which specific assets are considered marital property: Even though the state assumes that all property is marital property, you can work with an attorney to prove that some assets are non-marital (and you should keep them in their entirety)
- An attorney in Minnesota can help determine the marital property’s value: The valuation of property and assets is critical to dividing them; it’s much easier to determine the value of unique assets when a lawyer can consult with experts for help
Property and Asset Division Professionals: Contact Beckman Steen & Lungstrom For Help With Property and Asset Division in Minnesota
At Beckman Steen & Lungstrom, our attorneys are well-prepared to assist clients with a range of property and asset division issues. Lots of people have questions about their divorces— and we can help. We regularly handle matters like:
- High-asset divorces
- Division of debts (i.e. credit card bills and loans)
- Division of 401(k) plans, IRAs, and pension plans
- Protection of separate property rights
- Protection of gifts, family assets, and inheritances
Contact us today to find out more about how our team could help you during your divorce. We have extensive experience helping our clients assess cash flow considerations, the possibility of hidden assets, and valuation.