By: The Law Offices of Paul J. Duron February 26, 2020

Property Division In A California Divorce (What You Should Know)

How Does A Divorce Begin In California?

To file for divorce in this state, no married person is required to show that his or her spouse is in any way “at fault.” Either partner may request a divorce simply on the basis of “irreconcilable differences.”

Under California law, before you can file for a divorce, at least one spouse must be a resident in the state for at least six months and a resident in the county where the divorce papers are filed for at least three months.

A divorce in California can sometimes be finalized within six months, but if one spouse remains resolutely uncooperative, the process could take a year or longer.

What Property Is Marital Property?

Property acquired by one or both spouses during the marriage is typically categorized as marital property, and exceptions are rare. Non-marital property is property personally owned before a marriage by the individual spouses, and in a divorce, it remains their individual property.

What Happens In “community Property” States?

Property Division In A California Divorce

California is a “community property” state, so if divorcing spouses cannot agree regarding the division of property, the court will divide the property “fifty-fifty.” It’s always better for divorcing spouses to arrive at their own agreement rather than letting a court make the choices.

Agreements about property division, alimony, and children can save a divorcing couple a great deal of money, time, and unneeded aggravation. Courtroom battles over these matters can be lengthy and expensive.

Liquidating marital property usually isn’t required, but the law in California does require divorcing spouses to receive assets of “equal value” when the court decides how to divide the assets and properties.

What Can Happen If A Spouse Hides Assets?

It may not sound difficult, but deciding what is marital property and what is personal property can rapidly become complicated, especially if a couple’s properties and assets are extensive.

When a spouse attempts to hide assets, the right divorce attorney can usually uncover the assets. However, divorcing spouses should know that investigations of hidden assets increase the costs and delay the process.

How Does The Property And Asset Division Begin?

Before a court can divide marital property in a California divorce, both spouses must complete and file a disclosure declaration. This critical step ensures transparency by requiring both parties to provide a detailed accounting of their assets, debts, incomes, and expenses. The declaration must include all marital property acquired during the marriage, as well as any separate property owned by each spouse.

The spouse initiating the divorce is responsible for filing a preliminary disclosure form at the time of filing or within 60 days of submitting the divorce petition. The responding spouse must also file their preliminary disclosure form either alongside their response to the divorce filing or within 60 days of submitting their response. These deadlines are essential, as failure to comply can result in penalties and may delay the divorce process.

California law requires full and accurate disclosure of all properties and assets, regardless of value. This includes real estate, vehicles, bank accounts, investments, retirement accounts, and even less obvious assets such as collectibles or valuable personal items. Intentionally hiding assets or failing to disclose them violates state law and can lead to serious consequences, including financial penalties and adverse rulings in the divorce settlement.

Divorce Courts Take Financial Disclosures Seriously

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Failing to disclose any assets, properties, income, or debts exposes a divorcing spouse to court sanctions and other legal consequences.

Disclosures by the spouses facilitate the dividing of properties and assets by giving the court an accurate look at each spouse’s financial situation. In southern California, you should ask a Long Beach divorce attorney to help you with the financial disclosure forms.

When you divorce, if you own a business, you must protect it. If the business was launched while you were married, your attorney may still be able to persuade the court that your business is personal rather than marital property.

What About Real Estate That Is Jointly Owned?

Real estate can make California divorces complicated. Because the value of real estate fluctuates, disputes over the value of a property are common. Decisions also must be made about liquidating properties or allowing one partner to retain a property and compensate the other partner.

When a couple or a court decides that the couple’s home or another property must be liquidated, the divorcing spouses will have to select a real estate agent and settle on a selling price.

Real estate disputes frequently delay divorce proceedings in California. A rightful division of properties can be exceedingly complicated, but real estate isn’t the only property that can complicate divorce. A business – or the family pet – could be at the center of a property quarrel.

What Is Your Divorce Attorney’s Role?

When you divorce in California, dividing assets and debts requires careful attention and accuracy. California follows community property laws, meaning that most assets and debts acquired during the marriage are divided equally between spouses. However, property division can be complex. A key step is accurately distinguishing between community property and separate property. Community property typically includes income, real estate, and shared investments accumulated during the marriage. Separate property refers to assets owned before the marriage or obtained through inheritance or gifts during the marriage.

How We Can Help

At the Law Offices of Paul J. Duron, we work diligently to ensure every asset and debt is accurately classified, valued, and divided under California law. Mischaracterized assets or overlooked debts can lead to financial losses and unfair settlements. Whether you are dealing with a family home, retirement accounts, business interests, or personal belongings, we analyze each item to determine its proper classification. We also address debt division, ensuring liabilities are fairly distributed and neither party is left with an undue financial burden.

As a Long Beach-based law firm, we guide clients through every stage of the divorce process, offering clear communication and tailored strategies to protect their interests. From negotiations to court proceedings, we focus on achieving equitable solutions that safeguard your financial future. If you are navigating a divorce in Southern California, trust us to help you secure a fair and comprehensive resolution for your property division matters.

What Part Do Prenuptial Agreements Play In Divorce?

In most divorces, if there is a prenuptial agreement (or a postnuptial agreement), it will determine how the marital assets and properties are to be divided. If a “prenup” is contested by one of the spouses in a divorce, the court may want answers to these questions:

Was fraud or duress involved when the document was signed?
Were assets and properties fully disclosed before the document was signed?
Do any of the agreement’s terms conflict with California law?

California courts will enforce a prenuptial agreement signed in this state after 2002 if the partners had:

full details about one another’s assets and properties when the document was signed
seven full days to review and consider the agreement
different attorneys, unless one of the partners expressly waived that right

Some property simply cannot be divided – the family pet, for example. But when the divorcing spouses are able to compromise somewhat, the divorce proceeding will be quicker, simpler, and less expensive.

What Should You Decide Before A Divorce?

Before divorce proceedings begin, decide what assets and properties are important to you, and decide what you will be able to do without. Making these choices ahead of time can expedite the property division procedure and make the divorce experience a bit less overwhelming.

Honest communication between divorcing partners makes a divorce quicker, less stressful, and less expensive. The failure to disclose, the hiding of assets, or any other act of deception will only serve to make a divorce longer and more costly.

Although it’s an important part of the process, asset and property division is only one aspect of divorce. Divorce is always difficult. Before yours begins, make certain that you have the right attorney and the legal guidance that you’ll need. That’s your right.

Get In Touch

Property division in a California divorce can be complex, but understanding the process helps you make informed decisions. By identifying and valuing all assets and debts, you can work toward an outcome that safeguards your financial future. At the Law Offices of Paul J. Duron, we guide you through every step of property division, ensuring your rights are protected.

Read one of our recent blogs here: ALIMONY AFTER A DIVORCE (WHAT YOU NEED TO KNOW)

By: Paul Duron

Paul J. Duron brings an extensive educational and professional background in psychology to the field of family law. Mr. Duron earned his J.D. from the Western State College of Law at Argosy University in Fullerton, California. His practice is focused exclusively on family law. With offices in Cerritos and Long Beach, Mr. Duron represents clients throughout southern California.