Protecting Assets in a North Carolina Divorce

When a married couple owns property jointly acquired during their marriage, it is referred to as marital property. This typically refers to homeownership or businesses that are owned by both spouses, but there are many cases where it can also include pension plans, antiques, sentimental items, and much more.

North Carolina General Statute § 50-20 defines marital property as real and personal property acquired by either or both spouses, which includes anything that is currently owned or obtained throughout the marriage prior to the date of separation.

In general, family law matters are never easy to confront. Fortunately, an experienced and compassionate lawyer may be able to help you see your best options and fight to achieve the most strategic result based on your situation. Years of experience have prepared the family law attorneys at King Law with an unparalleled understanding of the intricacies of family law.

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Courts in North Carolina hold is that marriage is a partnership that involves shared assets and debts. Under North Carolina law, the division of property between separating or divorcing spouses will be equal unless the court determines that a 50-50 split is not fair or equitable.

Property and assets in North Carolina are classified as either marital property, divisible property, and separate property.

Marital property: Any property that is acquired during the course of the marriage is classified as “marital property” and is subject to equitable distribution in North Carolina.

Divisible property: Changes that occur to a couple’s assets or property during the time between their legal separation and the court’s distribution, which is also any property or assets that are earned during the marriage but not received until after their separation. North Carolina guidelines state that divisible property is:

• Property
• Property rights
• Any portion of property or property rights obtained after the date of separation but before the date of distribution.

Separate property: This is classified as any property that was obtained by one of the spouses prior to the marriage or was acquired as a gift from one spouse to the other.

The courts will consider several factors to establish what is fair to both parties. Some of these factors include:

• How long the marriage lasted
• Nonmarital property, if one spouse owns considerably more than the other spouse
• Prenuptial agreements
• Services as a homemaker, as well as how that might influence future earning capacity
• The earning power of both spouses
• The health and age of both spouses
• Tax implications of property division
• Who bought or maintained the asset, especially in reference to a family business.

No matter what kind of property or debts you and your spouse have obtained throughout your marriage, it is important to ensure that your right to marital assets is upheld. If you feel that your divorce proceeding in North Carolina requires the supervision of a skilled divorce lawyer, the team at King Law is ready to help and defend you and your rights.

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When you and your spouse are going through a separation or divorce, determining equitable distribution of property in North Carolina can be one of the most complex and technical parts of the process.

The state of North Carolina classifies separate property as any real and personal property that is acquired by either spouse prior to the marriage. Any property that was acquired by a spouse by inheritance or gifts throughout the marriage is also considered separate property and is not subject to division.

There are a few other methods of protecting your assets in the event of a divorce.

A prenuptial agreement is written and signed before a couple marries. A prenuptial agreement is often used to protect an individual’s wealth or business assets in the event of divorce.

A postnuptial agreement can be written and signed any time after the couple is married. Anytime one of the individuals in the marriage has accumulated wealth, receives an inheritance, has built a sizeable business, or marries someone who was known to be unfaithful in their previous marriage, a postnuptial can provide some protection for their assets. The postnuptial agreement can be used to:

• Indicate who gets what in the event of a divorce
• Set forth rules and standards by which the couple must abide during the marriage
• Institute guidelines of conduct by which the couple must act
• Provide conditions under which a spouse would not be entitled to money or assets in the event of divorce

If you and your spouse signed a prenuptial agreement prior to marriage or a postnuptial agreement during the marriage, that agreement determines the distribution of marital assets.

The process of dividing property can be overwhelming for many married couples in North Carolina who are pursuing a legal separation but retaining the services of a dependable divorce lawyer can help make matters easier to understand.

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