Total income, belongings, and debts obtained within the marriage are generally marital belongings. Properties acquired individually prior to the marriage are considered separate property and should not be burdened with the equitable distribution.
Properties in Florida are subjected to be divided equally during a divorce. As a matter of fact, even debts and other assets are to be distributed equally. If you undertake a business during your marriage, the business and the properties acquired during the marriage are deemed marital assets. Thus, should be divided between the spouses equally.
As a rule, a spouse may sell his or her business during a divorce especially if the subject property is a property not acquired during the marriage and not part of the marital property regime. However, if the other spouse has ownership rights too, the spouse who sold the property is obligated to compensate the other.
The case for the dissolution of a marriage does not have an adverse effect on the practice of ownership rights, such as, but not limited to, the sale of real property. The compensation mentioned above relates to the equitable distribution principle where the real estate should always be divided fairly. Yet, most of the time, the courts apply the absolute community property rule where spouses should observe the equal distribution of the properties.
On the other hand, if the spouse is part of the business undertaking, his or her share from the real estate should always be appraised to identify the fair distribution of the property. The actual valuation process would be very important to determine the property’s actual value.
Moreover, if the Divorce case affects a business, the business may have its own Attorney to protect its interests.
In determining the equal distribution of such an asset, debts are also factored in because a spouse is not only entitled to the asset value, but also the debt associated with the business. So, the overall value would have a net amount, the value minus the debts associated with the business, and the court will ultimately determine the division as such between Husband and Wife.
Every court in Florida has a status court order that provides guidelines to the parties regarding how marital properties be disposed of. The court may additionally evaluate marital properties to determine the valuation of the properties during the time of the dissolution of marriage. As part of the process, the court may observe corrective measures when it proves that the parties undertook actions to hide assets or destroyed properties in anticipation of the divorce. Moreover, the court may acquire the discovery procedures to learn more about the property subject to distribution, which may require the submission of bank statements, monetary statements of investments, and other similar in nature.
Under Florida divorce law, an “equitable distribution” of the marital assets and liabilities is mandatory. This covers both real and personal properties acquired or obtained during the marriage period. As a general rule, the courtroom will divide marital assets and liabilities 50/50 except when the fair share principle applies.
If real estate is subjected to a sale as part of the divorce process, the accurate determination of the partition is strongly advised to be officially recorded.
If you have owned a business during your marriage, speak with an experienced family law attorney to better understand your rights and options.
Do you wish to learn more about your right to sell your properties during a divorce? For legal queries, call Marquez Kelly-Law at 239-214-0403 or message us for a Free Half-Hour Consultation today.