For many couples, dividing shared property is one of the most contentious aspects of filing for divorce, as both parties may feel entitled to the asset. As such, if you and your spouse cannot agree on how to handle these matters during your divorce, the state will intervene to determine how these assets should be divided. It’s important to understand how this process works and how certain assets, like gifts exchanged between you and your spouse or presents gifted to you as a couple, will be divided. The following blog and Morris County property division lawyers can assist you in navigating these matters to seek the best possible outcome.
Are Gifts Considered Marital Property in New Jersey?
It’s important to understand that New Jersey adheres to the equitable distribution method of dividing marital property. This means that a couple’s assets will not be automatically divided evenly, but rather will be divided fairly after the courts examine the circumstances of the marriage and each party’s financial situation.
You should also note that only assets deemed marital property are subject to distribution. This means that any asset obtained during the marriage, regardless of who technically owns it, is considered the joint property of both parties. In some instances, there are exceptions, like gifts given individually to one spouse, like a birthday present or personal gifts from friends or family.
However, other gifts, like those given to a couple or gifts given to one spouse that are then co-mingled with other assets, are considered marital property. This means they will be divided during the divorce. For example, if your spouse’s parent gifts them a car, but you use it and contribute to insurance, gas, and maintenance, it would be considered marital property.
What Happens to Presents Exchanged Between Spouses?
Typically, gifts exchanged between spouses are considered marital property when a couple files for divorce, unless you have proof that the gift was solely intended for the use of one spouse, such as notes associated with the property or proof that the gift was only used by one party.
In terms of matters like your engagement ring and wedding band, you’ll find that the engagement ring, since typically given before marriage, will be considered your separate property. Your wedding band, on the other hand, is generally deemed marital property.
It is also important to understand that, in many instances, the court will simply divide the property by determining the value of the asset and giving your spouse another asset of equal value. For example, if your spouse gifts you a $2,000 watch, you may be allowed to keep the watch while your spouse receives their share of the value when your joint bank account is divided.
Going through a divorce is an incredibly complicated and overwhelming legal process, leaving many unsure of how to proceed or what to expect. As such, working with an experienced attorney with the Leslie Law Firm is in your best interest. Our team understands how difficult these matters can be to navigate, which is why we will do everything in our power to assist you through this process. When you need help, do not hesitate to contact our firm today to learn more.
