As part of Brazil’s online divorce, you’d be able to divide assets.  While this seems like it should be simple enough, many of the most difficult issues in a divorce come up when figuring out who gets what.  For example, under California law, do you know what happens if one spouse started a business before getting married (making it separate property), and continued working in the business during the marriage?  As a general rule, separate property stays with the spouse it belongs to and isn’t divided when divorcing.  So does the other spouse have an interest in the business?  Well, assuming there was never an agreement to change the ownership of the business, the business is generally still that spouse’s separate property…but that’s not the end of the story.  If the business has grown during the marriage, part of that increased value is often shared by both spouses.  This is because under California’s community property system, once you’re married, each spouse’s labor is considered a community effort.  After all, had that spouse not spent the community’s time improving his or her own business, and instead had earned a salary by working for someone else, then that salary would have been community property. 

Once it’s determined that at least part of the business is community property, then you have to figure out what the business’s value is, and how much the community is owed.  Depending on the circumstances, it may be that the business earned well over what’s considered to be a fair return on the investment, and so any earnings beyond a “fair return” could be considered a community asset to be divided upon divorce.  While at other times, a better approach may be to set a reasonable value on the services of the spouse who worked in the business, and this salary would be the community’s interest in the business.  The community may have already received part of this value during the marriage, such as when the money earned is used to pay family expenses.  Those payments would be deducted from the salary, and whatever amount remains would be divided at divorce.

Every divorce is different, and many more factors need to be evaluated to fully determine a business’s value.  We’ll assess these factors to determine how to fairly value and divide a business and other marital property.  Valuation methods vary, and we’ll always work to protect your interests as assets are divided.  It may be true that at first glance, a do-it-yourself divorce is tempting for obvious reasons, e.g. speed and cost.  But even when couples are on good terms with each other, tough questions come up.  You need to know your rights under California law to help ensure you get a fair divorce, and you must fully understand what you’re agreeing to.  Otherwise, you may wind up having to deal with dreaded surprises later on if mistakes were unknowingly made during the divorce.  Instead, consider cost-effective alternatives such as collaborative divorce and mediation.  We’ll discuss your options with you and help you get through the complex property division and divorce process.  Reach San Diego Law Firm’s experienced divorce attorneys at (619) 794-0243.

At least for now, the uncertainty surrounding same-sex marriage continues, but committed couples can secure many important rights and benefits by forming a California domestic partnership. These rights and protections include family rights, the right to make medical care decisions, property rights, and inheritance protections. We’ll discuss the pros and cons in forming a domestic partnership so you and your partner can make the best decision for your relationship. Based on that, our family law attorneys can help you create a domestic partnership, or carefully prepare a cohabitation agreement that will meet your goals. Couples should also create documents such as a will and living trust to provide further financial and legal protection. Speak with our attorneys at San Diego Law Firm by calling (619) 794-0243.

When your divorce is handled by San Diego Law Firm, we’ll strategize and help you legally protect your net worth during your divorce by getting expert appraisals when valuing assets (such as a business or retirement benefits), identifying which assets are community property and what belongs only to you, and then skillfully negotiating on your behalf so that your finances are protected to the full degree permitted by law. We understand the importance of preserving your net worth, and we will do everything we can to make sure you get the best divorce settlement possible.