Divorce can be an emotional and complex process, with one of the most contentious topics being the division of marital property. In Pennsylvania, asset and debt distribution is based on equitable distribution. Understanding the process used to divide property is crucial for anyone filing for divorce. Continue reading for more information and secure the help of an experienced York County, PA property division attorney today.
How Does PA Divide Property in Divorce Cases?
Pennsylvania is an equitable distribution state when it comes to dividing marital property in a divorce. This means that assets and debts are not necessarily split 50/50, but rather divided in a manner the court deems fair and just based on the couple’s specific circumstances. The court considers various factors when determining an equitable split, including the length of the marriage, the economic circumstances of each spouse, the standard of living established during the marriage, and whether either party contributed to the other’s education or career. The goal is a fair, not equal, division.
What is Considered Marital Property?
Marital property is considered all assets and debts acquired by either spouse during the marriage, from the date of the marriage until the date of separation. Common examples are the marital home, retirement funds, investment accounts, and credit card debt accumulated during the marriage. The name on the account or title does not matter; both spouses are entitled to marital property.
Separate property is defined as any property owned by either spouse before the marriage, or property acquired during the marriage as a gift or inheritance specifically intended for only one spouse. Separate property is not subject to equitable distribution in a divorce.
However, it’s important to understand that separate property can become or generate marital property. Commingling occurs when separate property is mixed with marital property to the point where it loses its distinct separate character. For example, if one spouse deposits inherited money into a joint bank account that is regularly used for marital expenses, that separate property may become commingled and potentially subject to equitable distribution.
Can Spouses Decide Property Distribution Through Mediation?
Yes, spouses in Pennsylvania are strongly encouraged to reach their own agreement regarding the division of marital property, debts, and assets through negotiation, collaborative law, or mediation. Reaching a mutual agreement through one of these methods allows couples to maintain control over the outcome and tailor the division to their unique needs. This often results in a less expensive and faster resolution than litigation.
However, if the couple cannot agree on property distribution, the court will step in to resolve the matter. The Pennsylvania court will use equitable distribution, considering the relevant factors to determine a fair division. The court’s decision is legally binding, so attempting mediation or negotiation is highly recommended.
Reach out to an experienced family law attorney today for more information and legal advice.
