The process of dividing the marital estate is one of the most complicated aspects of the divorce proceeding. The first step is to identify which property is considered “marital” and which is considered “non-marital”. In general, assets and debts that the spouses acquired before they were married or after they were legally separated are considered non-marital property, while assets and debts that the couple acquired while they were married are considered to be marital property.

There are some exceptions to this general rule, however. For example, gifts and inheritances received during the marriage are still generally considered non-marital property. On the other hand, the home the couple lived in is often considered marital property, even if it was purchased before the couple was married. Retirement benefits are usually part of the marital estate, although this can become complicated if the account was opened prior to the marriage, but the majority of the assets within the account were accumulated during the marriage.

Once the marital and non-marital property have been identified, it must be valued and divided by the court. Valuation of marital assets can be a challenging task, especially in high net worth divorces. For example, family-owned businesses may require an outside evaluator, and complex investments such as commercial real estate may require an independent appraiser.

Because the marriage dissolution process can take several months, courts typically order the spouses to refrain from:

• Wasting or destroying marital property.
• Donating marital assets or giving them away to family or friends.
• Putting marital property at unreasonable risk of destruction or theft.
• Selling marital property without the permission of the court.