In a divorce, there are two types of property distribution — equitable distribution and equal distribution. Every state differs, but most states, including New Jersey, follow the law of equitable distribution. Learn what that means and what the difference between the two types of property division are. Also, find out how these laws can affect your divorce and impact your life.
What is Equal Distribution?
Equal property division means that the property is split exactly 50/50 between the two parties. While this can be simple with some assets, such as cash in a bank account, it’s more difficult with property. In many cases, the house will be sold and the revenue split equally between the parties. However, this is not necessarily a desirable solution, since selling property and splitting the proceeds may be counterproductive.
What is Equitable Distribution?
Equitable distribution means that property may not be split 50/50, but the division of property is fair. For example, equal distribution only applies to the marital property, but equitable distribution takes into account separate property. If one spouse has separate property, more marital property may be awarded to the other spouse to make up the difference. Equitable distribution considers the future of both spouses after the dissolution of marriage. It attempts to ensure that both spouses have solid financial footing after leaving the relationship.
Other factors taken into account with equitable distribution are how long the marriage lasted and the age of each spouse. Additional factors include the health of each spouse, whether one spouse has special needs or requires education to become self-sufficient post-divorce, and the value that each spouse brought to the marriage.
When to Contact a Divorce Attorney
If you are considering a divorce and have questions about property division laws in New Jersey, reach out to a competent divorce lawyer for help. At the Law Office of Rita T. Jerejian, LLC, we can help you navigate the difficult waters of divorce and assist you in ensuring property division is fair and equitable under the law. Call us today for a consultation at (201) 489-7714.