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Dividing Personal Property in Separation & Divorce

Published: June 11, 2016

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Dividing Personal Property in Separation & Divorce

When you think about divorce, you probably think about all the normal things that you and your soon-to-be-former spouse must split up:  time with the kids, money, the house, and the bills.  But you also have to decide how to divide your personal property.  Whether it’s something as big as an expensive television or as small as box of old books, everything will need a home with one of you or the other.  It can seem overwhelming at first, since up until now you and your spouse have been spending time filling up your home with various items.  But here are a few things to think about as you tackle the problem.

Work with Each Other:  Yes, you’re getting ready to go your separate ways, and you probably aren’t getting along all that well right now. But that doesn’t mean that you have to argue about who gets a spatula.  See what items the two of you can agree on before you head to court.  This will save you some hassle as well as money, since it means there will be less time that an attorney has to work on your case.

Be Reasonable:  This sounds pretty obvious, but many times people allow their hurt feelings over a failed marriage to affect them.  Did your husband’s grandmother give him that quilt?  Then let him have it.  Does that set of dishes hold sentimental value for your wife?  You can buy another one.  Practicality also goes a long way here.  If you have two sets of linens, for example, then it makes sense to split them.  If one of you is moving to an apartment that includes lawn maintenance, then that spouse doesn’t need the lawnmower or the weed trimmer.

Take Inventory:  Make lists or take pictures so you know what you’re dealing with.  If you and your spouse have already agreed on some items, this will help your attorneys understand which items you have already divided and which ones still need to be hashed out in court.  Taking inventory of your possessions will also help you realize which items are most and least important to you.

Appraise Big-Ticket Items:  If there are valuable items that the two of you simply cannot agree on, it could be beneficial to have them appraised.  Remember that its appraisal value, resale value, and replacement value are not all necessarily the same.  Check with your attorney regarding picking an appraiser and who should pay for it.

Pick Your Battles:  It may be tempting to argue for items simply to aggravate your estranged spouse, but this will only make things worse between the two of you.  Instead, think about how much a particular item will matter to you six months or a year from now.  If it isn’t something that you have great emotional attachment to or that you need, consider letting it go.

Overall, combing through your household and splitting your assets doesn’t have to be a difficult project if the two of you can work together, even for just a short time.  The attorneys and the court systems are there to help you, but there’s no point in dragging the proceedings out over the little things.  Try to keep a good balance between your emotions and your economic interests.  Consider each other’s feelings, and only fight for the items that really mean a lot to you.

Written by Lisa Gelman

Senior Lawyer

Senior Lawyer Lisa Gelman has over 25 years of family law experience and founded Gelman & Associates to provide strategic legal counsel in family law matters concerning divorce, parenting, separation, and more.

Frequently Asked Questions - property division

The best way to protect your business during a divorce is to designate it as separate property in a prenuptial agreement. Your pre-nuptial agreement will serve as a protection because it ensures that your business is still a separate entity no matter how much your spouse contributes.

No, a limited company is not protected from divorce. Business assets such as shares in a limited company, assets owned as a sole trader, or an interest in a partnership can be considered part of your divorce financial proceedings.

Yes, a business is considered marital property, especially if acquired during the marriage and with joint funds. If this is the case, then its value should be shared by the couple equally upon divorce.

When you separate or divorce, you could be forced to share the inheritance with your spouse if you are not careful with what you do with it. As long as you received your inheritance during the marriage, you can exclude the value of the inheritance you left on the date of separation from your net family property.

If you are legally divorced, then most likely, the division of all of your assets and debts occurred at the time of divorce, your ex spouse would have no right to property acquired after the divorce, including inherited money or personal property received after the divorce.

Future inheritances are not taken into account when dealing with the financial aspects of a divorce, but if it is expected that the person making the bequest will die in the near future, and if the inheritance is likely to be substantial, it may be.

Yes you can. What you can do now is for you and your wife to designate the second home as the matrimonial home, and register it as matrimonial home before the land registry office. After doing so, the first home that you purchased using your inherited money will no longer be considered a matrimonial home. In this case, you can now exclude the amount you paid to purchase the first home from the net family assets.

No. You cannot exclude an inherited property that was already used and no longer existing at the time of separation.

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