If you are facing a divorce, you have a lot at stake. Many couples wonder whether gifts they receive during the marriage are subject to division during divorce proceedings. If this reflects your circumstances, please continue reading as we explore when gifts are subject to equitable distribution in a New Jersey divorce and how our seasoned Edison Property Division Lawyers can advocate for your rightful share of marital property.
Do I Get to Keep the Gifts I Received During My Marriage in the Divorce?
Before you can fully comprehend how gifts received during the marriage will be allocated during the property division phase of your divorce, it’s essential to first understand the distinctions between marital and separate property. Marital property typically includes assets that were acquired during the marriage, whereas separate property refers to assets that one spouse owned before the marriage. Understanding these classifications is crucial, as they play a significant role in determining how gifts will be treated during divorce proceedings.
New Jersey operates under the equitable distribution rule. This means that property is not always divided equally. Instead, this system aims to divide marital property fairly. The court will consider various factors to determine a fair division including each spouse’s contributions to the union.
In most cases, gifts that were given to one spouse specifically are considered separate property and excluded from equitable distribution. This means if you received a gift from a third party, like a family member or friend, and it was intended for you and you alone to take ownership of, you will likely get to keep the gift following your divorce. However, you have the duty of satisfying the burden of proof that the gift is separate property.
Gifts that were acquired during the marriage are generally considered marital property and subject to equitable distribution. This includes wedding gifts, anniversary presents, housewarming gifts, etc. In situations where the gift is explicitly intended for the mutual enjoyment of both parties, it will be recognized by the court as jointly owned property, thus subject to equitable distribution.
It’s also important to note what happens to gifts exchanged from one spouse to another during the marriage. These are known as interspousal gifts and they are subject to equitable distribution during a divorce. Even if the gift was acquired using separate funds, interspousal gifts are considered marital property. The court will consider the value of the gift when dividing property fairly between parties.
How Can I Keep a Gift?
If you want to retain sole ownership of a gift after your divorce, it’s crucial to take the necessary steps to keep the asset separate. You should maintain official documentation that establishes the gift was intended for you specifically. For instance, a check that is in your name only. You should also refrain from mixing the gift with marital funds. Finally, you should enlist the help of a knowledgeable attorney who can help you navigate the complex legal issues surrounding asset division.
At Arndt, Sutak, & Miceli, LLC we are prepared to help you negotiate a fair settlement with your spouse and represent you in court if necessary to ensure a fair distribution of property during your divorce. Connect with our firm today to discuss your case.
