QUESTION
Is owning a business with my brother considered marital property?
Asked on May 01st, 2014 on Divorce - California
More details to this question:
I have a pension and I own 1/2 of a business with my brother. Are these two things considered martial property and if my wife decided she wanted to go after it, can she?
9 ANSWERS
Your portion of the business may be marital property but it depends upon a number of facts-what was the source of funds used to establish the business, did you invest money during the marriage, did you take a salary. You should consult a family law attorney to review all of the facts and advise you.
Answered on May 05th, 2014 at 5:32 PM
Social Security Disability Attorney serving Melbourne, FL
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Law Office of Robert E. McCall
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Depends on the Judge, in your example one-half may be martial.
Answered on May 01st, 2014 at 4:46 PM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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The short answer is it depends.. you do not give enough facts.. was the business started during the marriage how much of the pension accrued during the marriage?
Answered on May 01st, 2014 at 4:35 PM
If the business was started during marriage it is community property. If started before marriage it is probably separate property but there may be a community property interest.
Answered on May 01st, 2014 at 3:25 PM
When you say she might want to go after it, you should consider that she can only claim 1/2 of what is yours during the marriage. Regarding the Pension, her claim could be 1/2 of all monies added, principal and interest, during the marriage and with regard to the business, she could claim 1/2 of the value of your half interest of the business IF THE BUSINESS WAS STARTED DURING THE MARRIAGE. My suggestion is that you consider Mediation.
Answered on May 01st, 2014 at 3:24 PM
Bruce Provda
It could be, a lot more information would be needed to determine the equitable distribution of assets. You should speak with a divorce attorney.
Answered on May 01st, 2014 at 3:24 PM
Domestic Relations Attorney serving Omaha, NE
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Diane L. Berger
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If the pension was acquired BEFORE you were married it would not be marital property in Nebraska. The same is generally true of the business, except there is an argument to be made for whatever assets you may have put into the business while you have been married.
Answered on May 01st, 2014 at 3:18 PM
Family Law Attorney serving Irvine, CA
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Law Office of Julie A. Ringquist
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All property acquired during marriage, unless by gift or inheritance (to you alone) is community property. Therefore, if your wife requests it, there will need to be an evaluation made of the worth of the business. If the asset (the business in your case) was acquired during the marriage, then it's entire value will be used, and she will be entitled to 50% of your share in the business. If the asset was acquired before the marriage, she will be entitled to 50% of the increase in value to your share of the business from the date of marriage to the date of separation. Usually, a financial expert will be needed to place a current value on the business (and a value at date of marriage, if necessary).
Answered on May 01st, 2014 at 3:17 PM
Arbitration Attorney serving Irvine, CA
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Law Office of Linda K. Frieder
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Yes. Especially if they were acquired during the marriage.
Answered on May 01st, 2014 at 3:17 PM