Types of property in divorce cases
There are many different kids of property recognized by Arizona family law. It is important to discern between them in the event of divorce so you can protect your property rights. For this reason, you should consider reaching out to a lawyer from our firm to learn more about the types of property in Mesa divorce cases so you can adequately prepare for the court’s asset division.
What are Real and Personal Property?
Real property is real estate and includes buildings and land. Essentially, anything attached to land is considered real property. It doesn’t need to be owned by two people, it could be owned by one person or even a trust. In fact, it could be owned (or titled) in a lot of different ways.
Personal property is all your stuff and includes computers, furniture, tools, clothes, shoes. Anything inside your house that’s not real property or vehicles is considered personal property.
Marital versus separate property
Marital property is anything that was purchased by the community or by either spouse during the course of their marriage. Separate property, on the other hand, is any asset that was owned before the couple was married. It can also include any property acquired through inheritance or via a gift.
What counts as commingled property?
Commingled property is when a couple has some separate property and some community property all intertwined together. This type of asset can be very difficult to divide or classify but is subject to distribution in the event of a mesa divorce or separation.
Jointly titled property
Jointly titled property is owned by both spouses. For example, a car, a piece of real property, and bank accounts can be jointly or individually titled.
What are the regulations on titling an asset?
After someone files for divorce, a preliminary injunction goes into place that prevents anyone from changing titles. Before someone files for divorce, they can change the title of their assets, their beneficiary designations, and even update their powers of attorney. People sometimes do change the way houses, homes, or marital property is titled, which can be a problem during divorce litigation and violates the preliminary injunction.
Privately held businesses
A privately held business is not publicly traded. That could be a corporation, an s-corp, or an individual sole proprietorship.
For people who own a business, their company is usually their largest piece of property and their biggest asset. For this reason, determining the value of a personally held business is essential for a divorcing couple.
If the business opened during a couple’s marriage, it is community property subject to equitable division. Usually this means one party buys out the other over time or with other assets. Additionally, if it is opened before they’re married, but the business grows while they are married, the community may still have a claim on at least a portion of the growth. These are complex cases that modern law has significant experience with, and you will definitely want an experienced attorney on this issue.
It is highly recommended to get a business evaluation during divorce litigation with your partner or before. If your business started out separate, you should talk to an attorney who has a lot of experience in this area to protect what you have created and grown. Our team can help you understand the types of property in mesa divorce cases and how to protect your rights.