So here you are. You’ve decided to get a divorce, but now you’ve got questions—a lot of them. Like, “Where do I even start?” and, “Should I hire an attorney?” and, perhaps the most worrisome of all, “How much does divorce cost, anyway?”
Unfortunately, while a lot of these queries have straight forward responses, the answer as to how much your divorce will cost is a little less than satisfactory. In a nutshell?
We don’t know.
The varying details between divorces make it virtually impossible to predict someone’s eventual bottom line. On the bright side, our team has seen enough breakups to know which divorce types are most likely to break the bank, and how you can be financially savvy.
Here’s what you need to know about how much divorce costs in California, and what Maples Family Law can do to work within whatever budget you have.
Breaking Down the Cost of Divorce
You can’t keep down the cost of your divorce without first knowing what the costs are. This is especially important, considering how widely the arc of our divorce cost pendulum can swing.
For example, in California, you can technically get a bare bones divorce for nothing more than a filing fee of $435 (assuming no one fights back, and there’s nothing to argue about, that is). Realistically, however, it’ll probably be a lot more, with some divorces easily racking up more than $50,000 for the same breakup.
The first step to curbing these numbers is knowing where the costs are coming from.
In general, there are four main areas that will keep you up sweating dollar signs at night:
Your attorney’s initial retainer.
Your attorney’s billable rate.
Paperwork filing fees.
Expert witness rates.
Here’s a quick peek at how each of these break down.
1. Attorney Retainer
A retainer is a large payment that you submit to your attorney, at the onset of your case. This money both reserves your attorney’s services, and acts as a kind of savings account, from which your attorney will draw from to pay expenses, as your case proceeds.
In California, an initial divorce retainer can range anywhere from $3,000-5,000. Your attorney will use this money to pay for things like:
Their own billable hours;
The billable hours of any staff who work on your case;
Filing fees for documents submitted to the court;
Compensation for any outside experts you call upon; and in some cases,
Office expenses relating to your case.
Different firms all have their own system of billing, which is why you should always take the time to thoroughly review your retainer contract, before signing anything. That way there won’t be any surprises.
2. Attorney Hourly Rate
In California, most divorce attorneys charge an hourly billable rate. This amount typically ranges between $250-$400 an hour, and will vary based on where you live, and who you hire.
“But wait!” you might be thinking. “Didn’t I already pay for my attorney? Wasn’t that what the retainer was for?”
Sorry, but no.
Remember, a retainer is just a reservation fee—an initial deposit, so to speak. While this money will go towards paying for your divorce, the biggest mistake you can make is in assuming that it will cover your whole divorce.
In reality, you’ll almost certainly have to replenish this account several more times, before your case is over. (Especially when you consider that the average price tag on a California divorce is a cool $17,500.)
3. Filing Fees
California might have some of the highest filing fees in the nation, but $435 to submit an initial divorce complaint suddenly doesn’t seem like very much, when you consider how much you’re going to spend, overall.
If you and your spouse file for an uncontested divorce, then this initial filing fee might be the only payment you’ll make. However, since this type of divorce doesn’t work for most couples, it’s much more likely you’ll have other filing fees crop up, as your divorce progresses.
The good news is if you’ve retained representation, then your attorney will take care of this cost for you (using funds from your retainer account). If not, you’ll be responsible for this cost—as well as the other logistics of filing for divorce—on your own.
4. Expert Witnesses
Depending on your situation, you may need to hire an expert witness.
The cost of these professionals will swing dramatically, depending on what you need them for, and how much time they put into your case. Most work on an hourly rate, and—similar to attorneys—will require an initial retainer.
The most commonly used expert witnesses in divorce are forensic accountants. These professionals can be used to:
These retainer fees typically start between $3,000-5,000, but can potentially be more, depending on the breadth and scope of the project.
Tips for Keeping Divorce Costs Low
By now, you’ve probably realized that the easiest way to cut down the cost of divorce, is to just skip the attorney altogether. After all, we lawyers easily have the highest price tag, so… it only makes sense, right?
Wrong.
Before you let these numbers scare you into a hasty, D.I.Y. divorce, remember that divorce laws are incredibly complex, and self-representation comes with a high likelihood of error. These mistakes can be incredibly costly—sometimes impossible—to reverse. Meaning that it’s almost always better to simply hire the attorney, and get it right your first time around.
If finances are a concern, there are much less riskier ways to cut costs during divorce. Here are just a few:
Educate yourself about California divorce laws (the library is a great resource).
Do your own legwork (such as gathering documents and making copies for your attorney).
Email your attorney, don’t call—calls take up more time, and time equals more billable minutes.
Utilize legal assistants and paralegals as much as possible; they have a significantly lower billable rate and are almost always just as smart as your attorney.
Hands down, the single biggest thing you can do to avoid high divorce costs, is to avoid court, altogether. Instead, opt for an alternative method of dispute resolution, such as mediation, or collaborative divorce.
Not only will these types of divorce save you a lot of time and money, but they’re also more flexible. This gives you the ability to set your own terms, rather than having them decided for you by the whims of an outside judge.
Do You Have More Questions About the Cost of Divorce in California?
While divorce might not come cheap, it also doesn’t have to be as bad as you might be thinking. With a little bit of planning, the right divorce type, and a willingness to compromise, it’s more than possible for couples to keep costs reasonable.
If you have more questions about how much divorce costs in California, and what this process might look like for your situation, we want to hear from you. Call the Maples Family Law team at (209) 989-4425, or get in touch online, and let us help you get divorced within whatever budget you have.
Is California a community property state? Here’s what you need to know if you’re getting divorced in San Joaquin County or elsewhere.
Is California a Community Property State?
California is considered a community property state – but to many people, that doesn’t mean exactly what it sounds like. Under California law, the property a couple acquires during a marriage is community. That means it belongs equally to both parties, and when the couple divorces, they must divide it fairly.
What Counts as Property Under California Law?
Property is anything you can buy or sell, like:
Houses
Vehicles
Furniture
Clothing
Household goods (like dishes, pots and pans, televisions and other items you use around your home)
It’s also anything that has value, even if it’s not something you’d buy or sell, such as:
Bank accounts
Cash
Pension plans
401(k) plans
Stocks
Life insurance that has cash value
Businesses
Patents
When you divorce your spouse, you’re free to come up with an agreement that gives you both your fair share of the property. However, even if you agree, the judge in your case will still have to sign off on it. If the settlement you and your spouse work out is unfair to one of you, the judge can tell you to come back with a different plan.
If you and your spouse can’t agree, you’ll either have to go to mediation or ask the judge to rule. If you ask the judge to rule, you’ll have to provide an accurate valuation of all the property you own – and that can be tricky for assets like businesses. (In that case, you’ll most likely have to hire a professional to value the business.)
Is California a Community Property State When it Comes to Debt?
California law treats debt just like it treats assets. If you accrued the debt while you were married, it most likely belongs to both of you. (There are some rare exceptions, though. For example, if one spouse racked up a bunch of credit card debt because he or she was spending money on a paramour, you can let the judge know – that kind of debt may only belong to the party who created it.)
As a general rule, the assets and debts you brought into your marriage belong to you alone. The same is true for your spouse.
For example, if your spouse had a paid-off car, furniture and money in a bank account before you married, those assets will most likely still belong to your spouse when you divorce.
Sometimes these things get tricky, though. If your spouse had partially paid off a car when you married and continued to make payments on it after your marriage, it’s neither community property nor separate property. Likewise, if your spouse has a pension or retirement benefit that he or she paid into before and after your marriage, the same is true. In these cases, the property is commingled.
In California, the property you divide has to be equal. But that doesn’t mean you need to chop your toaster oven in half or sell the house and split the proceeds (although you absolutely can do that if you wish). Instead, the total net value of the assets each spouse receives has to be pretty close to equal. That means it’s okay for one spouse to get the house and the other to get the family business. As long as the assets end up being equivalent in value, you have a fair agreement.
Do You Need to Talk to a Lawyer About Community Property?
In the end, what’s most important is that you know California is a community property state and that means you and your spouse have to divide your assets (and debts) equally. You may find that talking to a Stockton divorce attorney can help you sort through the situation you’re in.
When you’re a business owner going through a split, you need to know about dividing a business in a divorce. Do you have to give your spouse half of the company, will you have to sell it, or can you “buy out” your soon-to-be ex?
Dividing a business during a divorce can be a big challenge – and that’s why it’s so important that you work with a Stockton divorce attorney who understands what you’re going through and who can connect you to the experts you need to work with.
Dividing a Business in a Divorce: The Basics
During your divorce, you’ll make a lot of important decisions. You’ll have to think about child custody, spousal support, and how you’ll divide your regular assets and debts – and if you’re a business owner, you’ll have to consider what happens next in that area, as well.
Typically, you have three options:
One of you keeps the business
Both of you keep the business
You sell the business
Before you can start considering any of those options, you have to find out exactly how much your business is worth. A business valuation is an in-depth look at exactly how much the business is worth, and typically, it requires a professional assessment. So many factors can impact the value of a company, including its financial history, projected future revenues and expenses – so in the vast majority of cases, a professional valuation is necessary.
Here’s a closer look at each option you may have if you’re dividing a business in a divorce.
It’s fairly common for one spouse to keep the business. This works when one spouse is willing to “buy out” the other spouse’s interest in the company. The buyout is based on the business’s appraised value, which many people consider the most tax-efficient method of dividing some companies. In many cases, the buyout is considered a transfer of property incident to divorce, so it’s not like an ordinary buyout.
If one spouse doesn’t have the money to buy the other spouse’s interest in the company, the court may allow you to work out an arrangement for payment over time. Your attorney can give you case-specific guidance if this is a route you’re interested in taking.
Sometimes both spouses hold on to their own shares in a business. While it’s straightforward and simple to do this, it might not always be the best solution. For example, when two soon-to-be ex-spouses cannot get along well enough to manage the company effectively, it can do more harm than good. However, if you and your ex can keep things amicable – and effectively work together to keep the business going – it might be an option for you.
In some cases, both spouses decide to sell the entire business. When that happens, they typically split the proceeds. However, it can take time to sell a business – and it can drag out your divorce, too. If you choose to sell your business during your divorce, you’ll have to decide who’s in charge until it sells or if you can work together to manage it.
Unfortunately, there’s no one-size-fits-all approach to dividing a business in a divorce. You and your attorney – and your soon-to-be ex-spouse – will have to work together to figure out which option is right for you. Ultimately, what you decide to do will have an impact on your divorce and on your future after the divorce.
Do You Need Legal Advice on Dividing a Business in a Divorce?
If you and your spouse are splitting up – or if you’re simply considering divorce and would like to learn about what might happen in your case – we may be able to help you. Call us at (209) 546-6870 or get in touch with a Stockton divorce attorney online to schedule a consultation.
Hiding assets during divorce is a major problem – and if you’re caught doing so (or if your ex is caught doing so), you’ll face big problems in court. Here’s what you need to know.
Hiding Assets During Divorce
When your marriage is ending, your spouse may decide to hide some of his or her assets so you can’t get them. That’s because property in California falls under specific categories – it can be community property or separate property (and in some cases, it’s a hybrid of both).
If you weren’t active in your family’s finances, or if you aren’t up-to-speed on your spouse’s income, it may be fairly easy for him or her to hide assets during your divorce. Some spouses do this so they don’t have to share – but doing so is more than unethical. It’s illegal.
During a divorce, you must both file forms with the court that truthfully disclose all your assets. That includes bank account balances, real estate and other types of income, such as pay and support from previous relationships. If you fail to do so, or if you lie on the forms, you could be held in contempt of court or be charged with perjury.
Devaluing Assets
Sometimes the value of an asset isn’t obvious without an appraisal, and in cases like those, it’s sometimes easier for a spouse to “devalue” them. That happens when one spouse says something is worth less than it really is in an attempt to share less of its worth with the other spouse. The courts don’t allow this, and in many cases, judges require professional appraisals on things that could be intentionally devalued (like houses, jewelry, businesses and other high-dollar assets). Nobody is allowed to deliberately devalue an asset for the purpose of defrauding the court.
Usually, people hide assets during divorce to prevent their spouses from getting a fair share. Unfortunately, it’s not always easy to tell if your spouse is hiding assets. Usually, if you suspect that he or she is doing so, it’s your job to track them down so you get your fair share of the community property.
What Happens if You Hide Assets?
The judge in your case can hold you in contempt of court if you hide assets – or, even worse, charge you with perjury. Perjury is a crime, and it involves deliberately giving false information while under oath. You’re subject to prosecution for perjury if you’re testifying in court or being deposed, or if you signed an affidavit or declaration that contains information you know is false. Perjury is a felony, and it’s punishable by up to 4 years in California State Prison. It’s safe to say that perjury is something you should steer clear of, particularly when it comes to disclosing your assets during divorce. It’s just not worth the risk.
Where to Look for Hidden Assets During Divorce
If you suspect that your spouse is hiding assets, you can do a little detective work of your own. You should start by taking an inventory of your property – especially if you notice that things are disappearing from your home, like jewelry and other high-dollar items. Check for safety deposit box registrations, look in your home safe and see if you can find evidence that your spouse is investing money without your knowledge. Other than that, though, it can be difficult to tell if your spouse is squirrelling away things that belong to you – and you may need to work with a Stockton divorce attorney who has the resources necessary to help discover hidden assets.
Do You Need to Talk to a Lawyer Because Your Spouse May Be Hiding Assets During Divorce?
If you suspect your spouse is – or will in the future – hide assets, it’s important that you get legal guidance. We may be able to help you, so call us today at (209) 546-6870 or get in touch with a Stockton divorce attorney online to schedule a consultation.
Divorcing an addict is incredibly difficult. You may be struggling with guilt, confusion or even remorse after you make the decision to leave – but it’s your decision alone, and hopefully, you trust yourself enough to know that you made the right choice.
When you divorce an addict, you have to plan, prepare and muster your courage. It’s not an easy road, but in many cases, it’s an easier path to take than staying with an addict would be.
Divorcing an Addict: What You Need to Know
While many professionals can explain that there’s a spectrum of addiction, with some people being on both ends (functional and dysfunctional, but not in the way you’re probably thinking), you have to make the right decisions for yourself – and your kids, if you have them.
The ends of the addiction spectrum – functional and dysfunctional – are simply ways to measure how much harm the addict is doing to your family, other than just to him- or her-self.
Functional Addicts
Functional addicts can typically hold down a job, make a decent wage, and usually present themselves as normal, functioning members of society. Sometimes functional addicts binge-use drugs or alcohol, and often, they build up a tolerance so it’s tough to tell if they’re under the influence.
Dysfunctional Addicts
Dysfunctional addicts are generally the opposite of functional addicts. They may struggle to hold a job, have criminal records related to drugs or alcohol, or have a history of going to (and dropping out of) rehab programs. Some dysfunctional addicts are so caught up in drug or alcohol use that they’re at risk of dying every day; usually, their addiction is long-term. These addicts can be a danger to everyone around them, as well.
Divorcing an Addict: You Need Legal Counsel
For most people who are divorcing an addict, talking to a lawyer is an essential first step. Your attorney can help you determine how to proceed with a divorce, and she can tell you what kind of evidence you’ll need to gather in order to keep your children safe when it comes to child custody.
Divorcing an Addict: Be Ready to Follow Through
You should never threaten divorce unless you mean to follow through with it. That’s true in any situation – not just when you’re leaving a drug addict or alcoholic.
Unfortunately, many people threaten divorce thinking that it will make their spouse “come around” and quit using drugs or alcohol. Usually, it doesn’t work. An alcoholic or drug addict is suffering from a disease, so his or her refusal to get help and turn things around isn’t an indicator of how much they love their spouse – it’s just the way addiction works.
Divorcing an Addict: You May Feel Guilty
You, like many people, may feel like you’re abandoning your spouse in his or her worst moments. But the reality is that there is only so much you can do – and you have to keep yourself and your children safe. You cannot force an addict to get help or get clean. However, you can protect your family by leaving a toxic situation. Remember, too, that kids learn how to behave from their parents – and you don’t want your children to learn these behaviors or be even more at-risk for addiction.
Divorcing an Addict: Protect Your Assets
Unfortunately, it’s fairly common for an addict to spend all of his or her family’s money on the addiction. While you should never drain a joint bank account (doing so could get you into legal trouble), you should talk to your attorney about how you can protect your assets. If you don’t already have a separate bank account and your own credit cards, now is the time to establish them. You may need to remove your spouse as an authorized user on your credit cards, as well.
Are You Considering Divorcing an Addict?
If you’re thinking about divorce, or if your spouse has already filed, we may be able to help you.
California divorce law and the division of assets can be confusing. Some things are community property and belong to both of you, and some things are separate property and belong to only one of you – and worse, some things are “commingled,” which means part of them belong to both of you together and one of you separately.
California is a community property state, which means the things that you and your spouse accumulate during the time that you’re married actually belong to both of you. That’s true even if one of you stays home to care for the kids and house and one of you works to earn all the money. If you and your spouse acquired money or belongings during the marriage, you are both entitled to your fair share of them.
But California also recognizes separate property, as well. Separate property refers to money or belongings that one of you had before you got married, or that was given to one of you alone during your marriage (like a gift or inheritance).
Commingled property is property that one of you brought into the marriage – like a house, in many cases – but that you continued to pay for while you were married (which is the time when the things that belong to you are community property). Businesses and other assets can also be considered commingled property.
What Does California Divorce Law Say About Division of Assets for Community Property?
Under California law, you and your spouse have to divide your community properly fairly when you divorce. That doesn’t necessarily mean a 50-50 split (although it can) – it just means that you have to be fair about splitting things up when you divorce.
Sometimes people are able to simplify property division by selling the marital home and splitting the proceeds, or by otherwise reaching agreements to “trade” things between each other. For example, one party may really want the restored sports car in the garage while the other really wants the living room furniture. In cases like these, the judge will typically let couples figure out what they each want to keep during the divorce, and as long as negotiations result in a reasonably fair settlement, the judge will most likely sign off on it.
What California Law Says About Division of Separate Assets
If you brought something into your marriage – say, a car that was completely paid for – you can typically expect to leave your marriage with it. In some cases, you may have to prove to the court that an asset was yours before the marriage; you can talk to your attorney about your situation and she’ll give you guidance.
Things like inheritances and gifts given only to one party are typically separate assets, too, although there are exceptions. For example, if you inherited a large sum of money from your grandmother and it was left specifically to you and not your spouse, there’s a good chance that you don’t have to split it with your spouse when you divorce. However, there are always exceptions – so if you have a situation like this, talk to your attorney so you can get case-specific legal guidance.
What if You And Your Spouse Can’t Agree?
Your attorney will most likely encourage you to reach an agreement on property division with your spouse. There are several good reasons for this – one being that it’s much more cost-effective to agree with your spouse than it is to engage in a time-consuming court battle over your belongings – and it’s nearly always in your best interest to try to negotiate. Often, when people go to court and ask the judge to divide their property after filling out a Schedule of Assets and Debts, both parties walk away feeling as if they lost (even if they get many of the things they wanted). However, when you negotiate a settlement on your own, you’re more likely to walk away feeling reasonably satisfied with the outcome.
Do You Need to Talk to a Stockton Divorce Lawyer About California Divorce Law and Division of Assets?
If you need to talk to an attorney about the way California divorce law addresses division of assets, we can help. Call us right away at (209) 546-6870 or get in touch with a Stockton divorce attorney online to schedule a consultation today.
High-asset divorces can be incredibly contentious – and unfortunately, when there’s a lot of back-and-forth, people make mistakes. But making a mistake in a high-asset divorce can cost you for the rest of your life, so it’s important that you’re aware of the potential pitfalls and that you know how to steer clear to protect your assets.
Check out these five high-asset divorce mistakes so you know how to protect yourself – and your future.
5 High-Asset Divorce Mistakes: What NOT to Do
The most common high-asset divorce mistakes we see in our offices include things like:
Letting emotions rule over logic
Making rush decisions just to get the divorce over with
Hiding assets from one spouse
Failing to consider tax consequences
Going straight to litigation rather than negotiation
Here’s what you need to know about each of these high-asset divorce mistakes.
High-Asset Divorce Mistake #1: Letting Emotions Rule Over Logic
Divorce is an emotional process, whether it’s due to infidelity or anything else – and that can make it tough to make logical decisions. However, now is the most important time to focus on what’s most important: your future.
It’s not uncommon for one party in a divorce to feel guilty about what’s happening, but it’s a big mistake to let that guilt guide the decision-making process. For example, if you feel bad and agree to give your spouse double the spousal support he or she would ordinarily receive, or you decide to hand over more than half your marital assets, you’re cutting into your own future.
On the other side of the coin, you can’t use the court system to exact revenge on your spouse. Divorce is a legal process, and if you try to use the legal system to get back at your ex for what he or she has done, it’s more than likely going to backfire on you.
High-Asset Divorce Mistake #2: Making Rush Decisions
In many cases, both parties just want the divorce to end – and they’re willing to make less-than-informed decisions in an effort to wrap things up quickly. There are several reasons people want to rush through divorce, such as hoping the divorce will attract less media attention or simply wanting to be done with a spouse they can’t stand any longer.
Unfortunately, though, you can’t rush through a divorce and cover all your bases. You need to take the time to avoid making serious mistakes that will cost you long after your divorce is final.
In some cases, one spouse hides assets from the court so he or she doesn’t have to split them. California is a community property state, which means the assets you accumulate during your marriage – in most cases, anyway – belong to both spouses.
Hiding assets can get you into serious hot water with the courts – and in addition to the court finding out about those assets and dividing them anyway, you’ll lose your credibility. The majority of hidden assets are eventually discovered during the divorce process.
High-Asset Divorce Mistake #4: Failing to Consider Tax Consequences
Divorce changes your financial situation – sometimes drastically. Most of the financial transactions that take place during divorce have tax consequences, including the division of retirement accounts and the sale of homes, vehicles and other property.
Your attorney may suggest that you hire a tax professional or another financial expert to help you understand the tax consequences of the financial decisions you make now.
High-Asset Divorce Mistake #5: Going Straight to Litigation
For most people – even in high-asset divorces – negotiation is the way to go. You may not mind spending money on attorney’s fees through litigation, particularly if it means you’re going to “win,” but the vast majority of people who negotiate their own settlements end up being far more satisfied with the outcome than those who litigated in court.
When you and your spouse reach agreements on the major issues surrounding your divorce, including child custody and property division, your divorce will go faster and be less stressful for everyone involved. If you and your spouse can’t reach agreements on your own, your attorney might suggest that you work with a mediator who can help.
Call us at 209-546-6870 for a divorce case evaluation. You’ll talk to an experienced Stockton divorce lawyer who can give you the advice you need to begin moving forward.
If you’re getting a divorce in Stockton and you’ve signed a prenuptial agreement – commonly just called a prenup – here’s what you need to know.
What is a Prenup in California?
A prenup is a legal document that can help one party’s assets in a divorce. The Uniform Prenuptial Agreement Act covers prenups under California law. The law says that parties to a prenup – in this case, you and your spouse – can agree to things like:
The rights and obligations of each party in any of the property, regardless of where or when it was acquired
Spousal support if the couple divorces
The making of a will, trust or other arrangement to carry out the agreement’s provisions
The ownership rights of a life insurance policy’s death benefits
Other matters that don’t violate public policy
The content of the agreement can’t be extremely unfair, though – if it is, the judge in your divorce will most likely rule against it.
A prenup is only valid if both parties signed it knowing full well what they were signing.
If the court finds that it’s valid, there may still be some parts of it that the court views as unenforceable. For example, if there’s something that’s extremely unfair in it, the court can rule against it.
Sometimes, attorneys can fight against a prenup in court.
Prenuptial agreements made after 2002 are only enforceable if:
Both spouses have received complete information from the other spouse about property and finances before signing (meaning the other party was honest at the time)
The spouse who agreed to the prenup had at least one week between receiving it for the first time and signing it (that gives the person enough time to have an attorney review it)
The spouse who signed it was represented by an attorney of his or her own when signing it, or received full information in writing about the terms and effects of the agreement, as well as having signed a separate document that says he or she did receive that information
Does a Prenup Protect One Party From Paying Alimony?
A prenup can protect one party from paying alimony. However, in the past, courts have ruled that a waiver of alimony can only be enforced when spouses have pretty equal education and intelligence and who were both self-sufficient when they made the agreement.
If one spouse would need to go on public assistance to live while the other suffered no such hardship, that’s an example of extreme injustice – and the court may elect not to honor that part of the prenup.
Does a Prenup Protect One Party From Paying Child Support?
Prenups cannot address child support. California law requires that both parents are responsible for the support of their children, and the state uses a complex formula to determine how much child support will change hands in a divorce.
Your prenup might address community property in a way that prevents you from having to divide it. In some cases, things like earnings during a marriage (which are ordinarily divided) can remain separate property. That means the spouse who earned them is the spouse who is entitled to them.
Inheritances and other assets can be addressed, too. For example, a parent with children from a prior relationship may use a prenup to exclude his or her current spouse from inheritance rights – that way, he or she can ensure that any inheritances are divided among the kids, rather than the kids and the spouse.
Do You Need to Talk to a Divorce Lawyer About Your Prenup?
If you’ve signed a prenuptial agreement and you’re getting a divorce, we may be able to help you.
Call us at (209) 546-6870 or get in touch with a Stockton divorce attorney online to schedule a consultation today. We’ll discuss your case, find out about your circumstances and start formulating a plan that gets you and your family the best possible outcome.
If you’re like most people contemplating a split from your spouse, you think a regular divorce is the way to go – but instead, a summary dissolution might be right for you.
What is Summary Dissolution?
Summary dissolution is one way to end your marriage or domestic partnership. It’s not for everyone, but for some people, it’s a quicker, less complex way to bring an end to the legal contract you signed with your “other half.”
It’s kind-of a fast-track, and it’s available to all married couples and domestic partners, regardless of gender. You can also use it if you were domestic partners at one time and later married.
Who Qualifies for Summary Dissolution?
Only some people qualify for summary dissolution. You must meet all these requirements to qualify:
At least one of you must have lived in California for the past 6 months
At least one of you must also have lived in the county where you file for dissolution for the past 3 months
You both agree to terminate your marriage or partnership because you have irreconcilable differences
You do not have minor children together, and neither one of you is pregnant with a shared child
Your marriage or domestic partnership lasted 5 or fewer years from the date you were married or registered as domestic partners to the date that you separated
You don’t own any land or other “real property” (like a house or commercial building)
Neither of you has built up more than $6,000 in debt since you began your marriage or partnership (car loans don’t count)
You must have less than a certain amount in community property (the amount is subject to change, so ask your attorney about the current limit)
You both complete and sign a property settlement agreement to divide the community property that you do own together
You both agree to give up any rights you may have to spousal support
You have both read and understand California’s Summary Dissolution Information booklet (here)
There is an exception to the residency requirement: If you are a same-sex married couple who no longer lives in California, but you were married in California, you can still file in our state if the state you live in now won’t dissolve your marriage. You’ll have to file in the county where you were married to take this route.
What is the Difference Between Summary Dissolution and Divorce?
Summary dissolution is a divorce. It’s simply one that’s a bit less complex than the traditional route.
How Long Does it Take to Get a Summary Dissolution in California?
There’s a 6-month waiting period for a summary dissolution. What that means is that your attorney will file your petition for you – and once the 6-month period is over, the court will enter a judgement that orders the dissolution of your marriage or domestic partnership. Once that’s done, you can remarry or start a new domestic partnership – your previous marriage or partnership is officially over.
Is There a Downside to Summary Dissolution in California?
While there isn’t a downside – you still get to dissolve your marriage or domestic partnership using a summary dissolution – the catch is that it’s only available to certain people. You can’t have minor children together (neither biological nor adopted) and you can’t have much community property together.
If you don’t meet the criteria, you’ll have to file for divorce rather than summary dissolution. Divorce brings about the same results.
Do You Need to Talk to a Stockton Divorce Lawyer About Summary Dissolution?
If you think that summary dissolution might be the right option for you to end your marriage or domestic partnership, we can help you. Keep in mind, though, that it’s not for everyone – you may need to end up filing for a standard divorce.
Call us at 209-546-6870 to schedule a consultation with a caring, compassionate and knowledgeable divorce attorney in Stockton right now. We’ll answer your questions about child custody and child support, property division and more.
The term community property refers to assets or income that belong to both parties in a marriage. Even if only one spouse earned or brought in the asset, the other party is entitled to a fair share of it.
The same is true with debts, in many cases.
If the debt was incurred during the marriage, by either or both parties, it’s community.
There are some exceptions that fall under separate property, though. Separate property is property that belongs to only one party. Usually, that means one party brought it with them into the marriage.
How is Credit Card Debt Split in Divorce in California?
When you have community credit card debt, you and your spouse will have to figure out how to divide it equitably and fairly. You don’t have to split it down the middle. You just have to make sure that it’s fair.
Examples of Splitting Credit Card Debt in Divorce
Let’s say you and your spouse have combined credit card debt of $10,000. You have two savings accounts between you – one is worth $30,000 and the other is worth $20,000. It would be fair to give the $20,000 account to one spouse while the other spouse gets the $30,000 account and the $10,000 debt responsibility.
In another scenario, you have combined credit card debt of $7,500. You have a joint savings account that’s worth $17,500. It would be fair to pay off the debt of $7,500 from that account and split the remaining $10,000 – or to give one party $5,000 and the other party $12,500 plus the debt responsibility.
If you don’t have savings and you’re getting a divorce with credit card debt, you’ll most likely end up having to agree to splitting the responsibility for the debt.
You can also negotiate other ways to make it fair. For example, if one of you receives a vehicle that’s paid off, a certain piece of art or anything else of value, you may choose for that person to be responsible for a larger portion of the debt.
Your creditors are just along for the ride in a situation like this. You need to remember that if your name is on a credit card and your spouse ends up being responsible for paying it, your name is still the one attached to it – and it’s your credit score that will take a hit if your spouse fails to pay. You will still be liable for the debt.
For this reason, it’s often best to sell property before the divorce is final and use the proceeds to pay off the debt. Another option: You can use balance transfers or refinancing to shift the debt responsibility into your spouse’s name.
The bottom line, though, is that every situation is different. You and your spouse might be able to reach a fair agreement that doesn’t match anything you see here, or you might choose to see a mediator to hammer out your differences and find fair resolutions.
Do You Need to Talk to a Stockton Divorce Lawyer About Credit Card Debt and Divorce?
If you’re divorcing your spouse, we can help you find solutions that work out best for everyone involved.
Call us at 209-546-6870 to schedule a consultation with a caring, compassionate and knowledgeable divorce attorney in Stockton right now. We’ll answer your questions about child custody and child support, property division and more.
