What is Commingled Property?
One of the most complex aspects of the divorce process is dividing marital assets. You will need an experienced New Jersey division of assets lawyer to help protect your property and mediate a peaceful negotiation. Our clients often ask us, “What is commingled property?” An experienced New Jersey divorce lawyer will be able to answer any questions that you might have. Here is what you should know.
What is Commingled Property? | Differentiating Property
The marital estate is comprised of all property and debts you and your spouse acquired during the course of your marriage. Property and debts held by either party prior to the marriage, along with any property received as a gift or inheritance from a third party is generally considered to be “separate property,” and is not included when dividing the marital estate. Common exceptions apply in cases where separate properties are “commingled” to the extent that they lose their original identity, and cases where separate property owes an increase in value to the efforts or sacrifices of the other spouse during the marriage.
What is Commingled Property? | Examples
A commingling of separate property might be said to have occurred when a couple opens a new checking or savings account that is initially funded by one of the spouses separate accounts held prior to the marriage, but thereafter regularly funded with marital earnings. A scenario where separate property owes an increase in value to the efforts or sacrifices of the other spouse during the marriage may occur when one party expends time, effort, and money in remodeling a home or vacation property that was originally owned by the other spouse prior to the marriage.
The distribution of the marital estate can be extremely time-consuming and detailed, particularly when retirement accounts and the marital home are at issue. If you are contemplating a divorce or separation, or are already going through a divorce, you need someone with experience and knowledge by your side to ensure that your post-marital life is as comfortable as possible. Contact our experienced New Jersey division of assets lawyers today to schedule a free consultation.