Equitable Distribution Attorney
In the State of New York, the division of marital property is governed
by the principles of equitable distribution. This does not necessarily
mean that all assets and debts are distributed equally; rather, distribution
is done in an equitable manner. In deciding how marital property is equitably
distributed, the court is required to consider fourteen statutory factors
which include, but are not limited to, the following:
- The income and property of each party at the time of marriage, and at the
time of the commencement of the action;
- The duration of the marriage and the age and health of both parties;
- Any equitable claim to, interest in, or direct or indirect contribution
made to the acquisition of such marital property by the party not having
title, including joint efforts or expenditures and contributions and services
as a spouse, parent, wage earner, and homemaker, and to the career or
career potential of the other party;
- The probable future financial circumstances of each party;
- The wasteful dissipation of assets by either spouse.
Marital property is defined, generally, as property that was accumulated
during the course of the marriage. In comparison, where a party has assets
that were owned before the marriage, has received assets via inheritance
or gift from third parties, or has received money from a personal injury
settlement, those assets can be deemed the separate property of the titled
spouse. Separate property is not subject to equitable distribution and
remains in the name of the titled spouse if that spouse is able to prove
that the asset in question is separate property. However, where separate
property appreciates in value during the marriage, the appreciation can,
under certain circumstances, constitute a marital asset subject to equitable
distribution between the parties. Our attorneys can help you gain a better
understanding of the way that equitable distribution works in New York.
How Equitable Distribution Works
Upon divorce, all marital assets and marital debt must be divided through
the process of equitable distribution. Equitable distribution should not
be confused for equal distribution. Rather, it is the fair distribution
of marital assets. Deciding what is fair and equitable is left to the
discretion of the divorce court, wherein a judge will weigh the requests
of each party to make the appropriate division of marital assets if your
matter is not settled. Assets that are deemed separate property will not
be subject to equitable distribution.
What constitutes a marital asset has been broadly defined over the years.
Businesses and professional practices opened or acquired during the marriage
can be subject to equitable distribution. Even when a business or professional
practice may be separate property, any appreciation in its value during
the marriage can be subject to equitable distribution. That which has
enhanced the earning capacity or led to the attainment of a career, such
as the acquisition of a professional license or degree, is also considered
property that will be subject to equitable distribution. At
Jeffrey S. Schecter & Associates, P.C., we have substantial experience handling high net worth cases with significant
assets that will be subject to equitable distribution and are adept at
assisting you in understanding your equitable distribution rights and
entitlement.