Division of Assets

  • Classifying Marital and Nonmarital Property

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce

    When a married couple gets divorced in the Orlando area, part of the divorce process involves property division or property distribution. This is a process in which the court divides marital assets and liabilities according to a theory known as equitable distribution. When property is distributed equitably, it is divided between the parties in a manner that is fair to both of them based on a variety of factors outlined in the Florida Statutes (Fla. Stat. § 61.075). While the equitable distribution usually means that property is divided equally between the parties, it is important to recognize that equitable does not mean equal. But how do Florida courts even determine what property is subject to distribution? Unless the parties agree to a property settlement, the…

  • Calculating a Spouse’s Interest in Premarital Assets After Years of Marriage

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce

    When a married couple decides to file for divorce in Florida, they should be prepared for the division of marital property. Under Florida law (Fla. Stat. § 61.075), marital property is divided in Florida according to a theory known as equitable distribution. When property is distributed equitably, it is distributed (or divided) in a manner that is fair to both parties but is not necessarily equal. In many cases, the court might decide that equal distribution would be fair or equitable, but sometimes that is not the case. Marital property that is subject to division includes both marital assets and liabilities, meaning that property of value as well as debts from the marriage are distributed between the parties. Property distribution in general can be quite…

  • Issues Surrounding the Division of the Marital Home in Divorce

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce, Family Law

    How to address whether to keep or sell the family home in the wake of divorce is a looming issue for a lot of couples, since the house is often the largest tangible asset they own. There is also the issue of a child’s attachment to the home for security, community and school purposes that can complicate selling the property and splitting the proceeds. Florida follows the equitable division model when distributing marital property in divorce, which says the court will award property according to what is most just, though there is a presumption the marital estate should be divided equally. Often, the family home is titled in the names of both spouses, and both are responsible for any outstanding mortgage on the property. Whether…

  • Dividing your Small Business in your Divorce

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce, Family Law

    When you rely on a small business for income, whether it is your sole income source or it provides a large percentage of your income, your divorce can be more complicated than a divorce between two salaried individuals. Your business or share in a business is considered to be a marital asset if it provided income to the household, even if you started the business before you were married. As such, it must be divided with your other marital assets during the divorce process. Determine your Plan for the Business Before you have your business appraised and divided, determine your plan for its future. Depending on your spouse’s involvement in the business, this conversation might include him or her. Some former couples continue to successfully…

  • The Fight Over Fido — Who Gets to Keep the Family Pets in a Divorce?

    ByGoodblatt • Leo Hours Categories Collaborative Divorce, Division of Assets, Divorce

    We’ve all heard the joke that says, “We’re staying together for the sake of the dog”.  But in reality, many couples do end up facing a divorce, and in addition to all the other painful decisions about who gets what, pets become part of that dilemma. Although many of us love our pets as if they are children, when it comes to divorce, the State of Florida regards pets as property –no differently than living room furniture.  Changes in our society have resulted in changes in our households, and as a whole, couples are having fewer children than they did decades ago.  With that, more couples than ever view their pets as children.  With sixty-five percent of all American households being home to a pet,…

  • Asset Division: Deciding Who Gets What

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce

    By far the most complex part of any divorce is usually asset division. While Florida is an equitable distribution state, which means that the couple’s assets will be divided according to fairness rather than a strict 50-50 split, it can be difficult even within the equitable framework to decide who gets what, and which asset may offset the value of another. There is no set formula, but there are some rules of thumb. Starting From Equal Unlike many other states, Florida law on asset division starts from a somewhat unique place. While the state uses equitable distribution theory, Sec. 61.075 states that a court’s division of assets will begin from the premise that “distribution should be equal, unless there is a justification” for altering it….

  • When a Spouse Stops Paying the Bills

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce, Family Law

    Divorce is usually not just an emotional challenge, but a financial one as well. When two people decide to split up, it means severing the economic ties that hold the marriage together. Indeed, this separation of assets and income is what consumes the lion’s share of the time spent on many divorces. In most marriages, there is one person who handles the bills, or at least takes the lead in handling the finances. In other marriages, couples might choose to keep finances separate. Still, even if keeping finances separate, there are no doubt large expenses that must be shared, such as a mortgage. So what happens when, during a divorce, one spouse simply stops making payments on certain bills that will affect the other spouse?…

  • Is my Self-Employed Ex Hiding Income and Assets?

    ByGoodblatt • Leo Hours Categories Alimony, Division of Assets, Divorce, Family Law

    Child support and alimony can be difficult to collect, especially when an ex tries to hide his or her assets. Some spouses may discover that business owners hide assets and profits in their businesses just to avoid paying the right amount of child support or alimony. This becomes even more difficult to notice the longer two people have been separated, because over time people may quit jobs, move around, start or close businesses, and obtain pay raises, all of which they may not report. There are several key considerations when trying to collect from an ex who is self-employed. Self-Employment Income Is Different When you work for someone else, you usually receive a W-2. This means that the employer has already withheld your taxes and…

  • Florida Supreme Court Upholds Prenuptial Agreement Waiving Spouse’s Interest in Nonmarital Property

    ByGoodblatt • Leo Hours Categories Division of Assets, Divorce, Family Law

    In a recent appeal to the State Supreme Court, the Court found that broad prenuptial language waiving a spouse’s right to any claims against the other spouse’s nonmarital property, even accrued interest or increases in value of that property, are waived. To understand a little better, one must look at how Florida law divides property in a divorce. Equitable Distribution When two people get divorced in Florida, the courts will divide all marital property “equitably,” meaning the court decides what is fair under the circumstances. This gives the court a lot of wiggle room in deciding who gets what, so to speak. However, the court generally will not divide nonmarital property. Nonmarital Property Nonmarital property constitutes the assets the parties own separately acquired from a…

  • When Relationships Go Bankrupt, the Obligations Do Not

    ByGoodblatt • Leo Hours Categories Bankruptcy, Chapter 13, Division of Assets, Divorce

    Few things are as certain in life as the reality that divorces are not only emotionally draining, but financially exhausting as well. Similarly, few couples make it through a divorce without some financial hardships. Even if just a minor reduction in credit score or the loss of equity in a vehicle, divorce hurts the wallet. For this reason, it is no surprise that many divorcees ask their divorce lawyers how they might use bankruptcy to either reduce or eliminate support obligations. Ultimately, however, this is not possible. Under the U.S. Bankruptcy Code (11 U.S.C. 523(a)(5) and 11 U.S.C. 101(14A)), “domestic obligations” cannot be discharged in a bankruptcy. Of course, this makes sense. If you were not getting divorced, to the extent you are able, you…