Will Your Property Be at Risk in a Divorce?

We all know that a divorce is not a pleasant emotional experience. Still, many people may need to consider that if they are not advised and represented by a Silver Spring property division attorney, a divorce can also be disastrous for their finances and long-term best interests.

Make sure the attorney you choose has ample experience handling the division of assets and property for divorce clients and that you discuss your legal options for protecting your properties and assets with that attorney.

What Does Maryland Require for a Divorce?

You may file for divorce in Maryland only if you or your spouse is a Maryland resident. If the grounds for the divorce occurred outside of Maryland, one spouse must have been a Maryland resident for at least six months before either spouse may file a divorce petition.

If your spouse filed for divorce and you received divorce papers in Maryland, you have thirty days to submit your response. If you received divorce papers in another state, you have sixty days to respond and ninety days to respond if you received divorce papers outside the United States. The courts in Maryland recognize three grounds for divorce:

  1. Irreconcilable differences: If you divorce on the grounds of irreconcilable differences, it is a “no-fault” divorce, and you do not have to prove that your spouse is “at fault” or “to blame” for your divorce.
  2. Voluntary mutual consent: You and your spouse may agree to divorce and sign a marital settlement agreement that resolves questions related to alimony, the division of marital property, child custody, and child support.
  3. Six-month separation: You and your spouse have resided separately for at least six months without interruption.

What Must Divorcing Spouses Disclose?

In Maryland, state law requires divorcing couples to disclose their incomes, assets, expenses, and debts to the courts. A financial disclosure statement must accompany the divorce petition and the other spouse’s response to the petition for divorce.

Any failure to disclose assets may have legal consequences. If you believe your spouse is hiding assets to prevent those assets from being divided, compile the evidence that makes you suspicious and share your concerns at once with your Silver Spring property division lawyer.

How is Property Divided in a Maryland Divorce?

Divorcing spouses who reach voluntary agreements about property and assets can save time and money. It is best when divorcing spouses can voluntarily reach agreements instead of having a court make and enforce those decisions.

When divorcing spouses cannot agree on how to divide marital assets, a court will divide them. A Maryland court divides marital assets on the “equitable” distribution principle, meaning they must be divided fairly but not necessarily equally.

A court usually characterizes assets acquired by either partner during the marriage as marital assets. Assets that either spouse owned before the marriage are personal or non-marital property. In most divorces, personal property remains with the original owner.

Personal gifts and inheritances received by only one spouse during the marriage are not usually categorized as marital property and are not usually divided in a divorce proceeding.

How Can You Protect What is Yours?

Protecting your assets in a divorce does not mean hiding assets from your spouse or failing to disclose your assets to the court. Instead, it means accurately identifying your non-marital assets to ensure a fair divorce settlement.

Prenuptial agreements protect assets by determining how the court would categorize them in a divorce. Properties and assets categorized as marital property in a divorce proceeding can be designated personal property in a prenuptial agreement.

A postnuptial agreement provides comparable protections but may face more scrutiny in court. If you and your spouse want to formalize a postnuptial agreement, have that agreement prepared by a Silver Spring property division attorney who can ensure that the agreement will be enforceable.

Try to Avoid Commingling Assets

Non-marital personal assets may be categorized as marital property when those assets are so thoroughly intermingled with marital assets that a court cannot distinguish the personal share from the marital portion. If an asset is personal, you and your attorney may have to prove it to the court, or the court may divide it.

Having a personal bank account for inheritances or monetary gifts will help prevent commingling. If you divorce, that separate account indicates that an asset is personal and not marital.

Before you file for divorce in Maryland, or when you learn your spouse has filed for divorce, list your assets and the ownership status of your properties. You and your divorce attorney should know which assets are marital and non-marital and what those assets may be worth.

What About Businesses and Real Estate?

If you own a business in Maryland, protecting it is a priority in a divorce. In some cases, even if you started the business while married, a Silver Spring property division lawyer may persuade the court that your business is personal and not marital property.

Disputes over real estate are common in Maryland divorce proceedings. Decisions must be made – by the divorcing spouses or by the court – regarding whether properties will be liquidated or whether one spouse may compensate the other to keep a property.

Who Can You Trust to Protect What is Yours?

Paré & Associates provides aggressive and effective representation to divorcing couples in Montgomery County. As our client, you will receive sound legal advice, and we will handle your divorce with discretion and sensitivity.

Since 1991, attorney Alice Paré has led a legal team that can resolve the most challenging property and asset disputes. Paré & Associates also handles child custody, child support, and alimony disputes, and we prepare prenuptial agreements for couples who are getting married.

If you have properties and assets that need to be protected, if your spouse has served you with divorce papers, or if you are ready to file for divorce, schedule a free case evaluation now by calling the legal team at Paré & Associates – at 301-962-2492 – and put us to work for you.