Part of the divorce process involves dividing marital property. Division of marital property in Maryland is by equitable distribution, which involves dividing marital property between the divorcing spouses in a way that is fair, rather than according to a formula.

What is Marital Property?

How is property divided in a divorce? In order to answer that question, it’s necessary to understand which property is marital and which is non-marital.

Property acquired by one spouse prior to the marriage is typically considered non-marital. Property acquired by either spouse during the marriage is generally considered marital property that can be divided, regardless of who earned it or whose name it is in. There are a few exceptions to this general rule, however:

  • Property one spouse receives by gift
  • Property one spouse receives by inheritance
  • Property one spouse owned before marriage
  • Property excluded from marital property by agreement (such as a prenuptial agreement)
  • Property that is directly traceable to one of the sources above, or to property owned by one of the spouses before the marriage (premarital property)

With very limited exceptions, only marital property is subject to division in divorce. However, non-marital property can become marital property through commingling—being mixed with marital property. An example is if one spouse inherits $10,000 during the marriage, but deposits it in the couple’s joint bank account with other money earned from income.

Complex Property Division in Maryland Divorce

Division of marital property can be a complex and contested issue in a divorce. Division of marital property can be especially complicated when, for example:

  • A spouse seeks to protect non-marital property, especially when it may have been combined with marital property
  • Property is partly marital and partly non-marital, such as a retirement account acquired by one spouse before marriage and contributed to afterward
  • A spouse has used marital property for non-family purposes
  • One spouse has an interest in a closely-held business
  • Premarital assets have been titled in both spouses’ names
  • Valuation of certain property is disputed
  • Expert valuations are needed for difficult to value assets
  • The spouses owe significant debts or the value of property is less than the loans owed to acquire it
  • One spouse is suspected of concealing or wasting marital assets

Accurate valuation of an asset, or having a certain asset declared marital or non-marital, can make a huge difference in the amount of property you receive—especially in large or complex marital estates. It’s important to have an attorney who understands how best to advance your position, including advocating for you in court if necessary. The benefit you get from working with an experienced attorney may more than offset your legal fees.

Work with a Seasoned Maryland Property Division Attorney

As a life changes attorney, I have been helping my clients navigate transitions like divorce for over 20 years, helping them get the resources they need to move on with their lives. I work with my divorce clients step-by-step to:

  • Identify, value, and trace:
    • Pre-marital and non-marital property;
    • Existing marital property
    • Any “dissipated” or “extant” property (property that existed prior to the irreconcilable breakdown of the marriage, but was transferred or used for purposes unrelated to the marriage)
  • Develop a customized strategy for pursuing my client’s share of marital property

Pursue that strategy, whether through negotiation and settlement or contested litigation

  • Navigate completion of property transfers after settlement or trial

Property division can be financially complex and emotionally fraught. I work to make the process as easy and stress-free as possible, and to give you a strong foundation for your future after divorce.

To learn more about my experience and services or to learn more about the division of marital property in Maryland, check out my blog or contact me to schedule a consultation.