Inheritance as a Marital Property
In North Carolina, marital property typically includes assets acquired during the marriage. While inheritance is generally considered separate property, inheritance as a Marital property can be possible if commingled or used for the benefit of the marriage.
In North Carolina, the general principle is that property acquired during the marriage is considered marital property, subject to equitable distribution upon divorce. However, inheritances are generally treated as separate property, meaning they belong to the individual who received the inheritance. This blog will intends to guide you on how you can separate inherited property from marital property.
The key factor is whether the inheritance remains separate or becomes commingled with marital assets. For example, if funds from an inheritance are deposited into a joint bank account or used to purchase marital property, it might be considered part of the marital estate.
North Carolina follows the principle of equitable distribution, where the court aims to distribute marital property fairly, though not necessarily equally. If there is a dispute over the classification of an inheritance, it’s crucial to seek legal advice to ensure a clear understanding of how the law applies to your specific circumstances. Consulting with a family law attorney can provide tailored guidance based on the details of your situation.
Is inheritance a Marital Property?
No, inheritance is not deemed a marital property. Unless the spouse who received the inheritance transferred the money into a joint bank account, gave the new spouse appropriate access to the inherited assets, or the inheritance was given as a marital gift.
Is It Possible to Distinguish Gifts and Inheritance from Other Property?
Placing separate monies into a separate account in your name alone is the best approach to guarantee that any inheritance or other gifts will be regarded as distinct property and not be included in the marital estate.
Throughout the separation, keep money in different accounts
After that, maintain these accounts apart and refrain from combining your personal and marital funds. A judge will probably decide that your separate funds are no longer separate if you use them to make any acquisitions for jointly named assets.
You should definitely consult with an experienced North Carolina divorce attorney if you are considering a separation or divorce. A competent divorce lawyer can explain to you how North Carolina’s laws on property division and equitable distribution apply to your particular circumstances.
Frequently Asked Questions About Inheritance Being a Marital Property
1. What is the definition of marital property in North Carolina?
Marital property in North Carolina generally includes assets acquired during the marriage, subject to equitable distribution upon divorce.
2. Is inheritance considered marital property in North Carolina?
Inheritances are typically considered separate property in North Carolina, but they can become marital property if commingled or used for the benefit of the marriage.H
3. How does equitable distribution work in North Carolina?
Equitable distribution means that during divorce, the court aims to distribute marital property fairly, though not necessarily equally, taking into account various factors.
4. What happens if an inheritance is commingled with marital assets?
If an inheritance is mixed with marital assets, it may lose its separate property status and could be subject to equitable distribution during a divorce.
5. Should I consult a lawyer about property division in North Carolina?
Yes, consulting with a family law attorney is advisable to navigate the specific details of your situation and get tailored advice on property division and other legal matters related to divorce.