The property that spouses acquire during marriage is subject to division when they divorce. On the other hand, the resources that they owned before marriage or that they received as inheritances or gifts can remain the separate property of one spouse.
Separate property often becomes the foundation on which divorcing individuals build their financial futures. However, separate resources can sometimes be vulnerable during divorce if commingling has occurred. Spouses may need to look at their financial records carefully to determine what they can protect and what they likely need to divide.
What is commingling?
Commingling is the act of combining separate property with marital property. If one spouse inherits tens of thousands of dollars, they can commingle those assets with marital property by depositing them into a shared financial account for example.
Additionally, the use of marital resources to maintain or improve separate property can lead to allegations of commingling. Certain types of assets, including businesses and real property, are particularly susceptible to commingling because of the constant expense associated with their upkeep.
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What impact does commingling have?
The act of commingling may transmute separate property and make it at least partially marital property. It could then be part of the property division process during a divorce.
Even if the spouse who initially owns those assets retains the commingled assets, their value can affect the distribution of other property. For some spouses, proving that they maintained assets separately is a key component of their overall divorce strategy.
For others, proving that commingling occurred could help expand the marital estate to include certain valuable resources. Reviewing financial records and learning more about Washington’s unique property division rules can help people determine if commingling may have occurred and what impact it may have on their property division proceedings.
Those with particularly large and complex marital states may especially need help reviewing their circumstances to determine what assets are separate and what resources are subject to division when they divorce. Commingling can have a profound impact on the final outcome of the asset division process. Seeking legal guidance can provide individuals with clarity in this regard.
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