California is a community property state. This means that marital assets are owned equally by both people, and courts will typically attempt to find an equal manner of distribution.
As such, it is very important to be able to distinguish between separate property and marital – or community – property. Separate property does not have to go through property division, but is simply kept by the spouse who owns it. Let’s look at a few examples of separate property.
Assets you brought to the marriage
First of all, if you acquired assets prior to getting married, they are likely still separate assets. An example could be if you had significant retirement savings or if you had already purchased a home before your wedding.
Assets you purchase after the separation
It is also important to know your date of separation from your spouse. Divorce can take months or, in some complex cases, even years. You are going to need to buy new assets during this time, but assets acquired after you have separated typically count as separate property.
Some direct gifts
Finally, even during your marriage, there are some direct gifts that you can receive that may still count as separate property, despite the fact that you are married. These are set apart from marital assets like income and earnings. An example could be if your parents left you an inheritance that is only in your name and that they did not intend for you to share with your spouse. Unless the inheritance has been commingled or mixed with other marital property, it is likely separate property that you get to keep.
When disputes arise regarding separate or community property in California, it is crucial for those who are going through divorce to understand all of their legal options.