When one partner takes out a mortgage or mortgage secured by marital property with out the opposite partner’s participation, a particular set of issues arises throughout dissolution of marriage proceedings. This example typically entails dividing property and money owed acquired throughout the marriage. For instance, if a husband obtains a house fairness mortgage solely in his identify throughout the marriage, the spouse, although not legally obligated to the lender, might have her share of the marital property affected throughout the divorce.
The relevance of such preparations lies within the potential affect on marital asset division and spousal help determinations. Courts should equitably, or in some circumstances equally, distribute marital property, together with each belongings and liabilities. The presence of debt incurred by just one partner necessitates cautious examination of its origin, goal, and profit to the marital property. Traditionally, the dealing with of those conditions has developed, with courts more and more specializing in equity and financial realities slightly than strict adherence to the identify on the mortgage paperwork.
