You might think it is simple to determine what constitutes separate or marital property, and in some cases, it is easy. However, there are numerous assets where the determination is not so simple. As a result, dividing assets in an Oklahoma divorce can be more complicated than expected. Although Oklahoma follows equitable distribution laws for marital assets, a fair distribution is not necessarily a 50/50 split. Contact an experienced family law attorney before you file for divorce to understand how your assets will likely be divided.

Community Property vs. Common Law

The first issue to understand is whether your state recognizes property as “community property” or “common law.” Oklahoma, along with most of the states, uses common property laws. Generally speaking, Oklahoma views all assets acquired during your marriage is considered “marital” or “joint” property that can be divided by the court. There are a few exceptions to this rule, including the existence of separate property in certain circumstances.

A few examples of separate property are assets that were brought into the marriage by one spouse, such as a vehicle or a home. Additionally, if one spouse is gifted or inherits assets, they remain separate property (even if the gift or inheritance occurs during the marriage).

A few examples of marital property include assets purchased during the marriage or gifted to the couple together. If one spouse uses joint funds to purchase a vehicle, that vehicle is considered marital property. You may be wondering if this holds true if only one spouse is employed and all marital money is earned by that spouse. In short, the answer is yes because it does not matter who earns the marital money. Of course, each situation is unique, so it is wise to consult with an Oklahoma family law attorney regarding your asset division matter.

Transmutation of Assets

It is important to understand that separate assets can be transmuted into joint property. This occurs when the asset is commingled with joint property. For example, if one spouse inherits $100,000 and deposits $50,000 into a marital account, the $50,000 becomes a marital asset. The same is true if the inherited money is used to pay off a joint mortgage – it becomes a marital asset. Thus, to remain separate property, the money or asset must remain in only one spouse’s name and not be comingled with joint property.

If you are wondering if joint property can be turned into separate property, the answer is NO. In other words, you cannot withdraw money from a joint account and deposit it into a separate account to keep it. In fact, many judges view this as an act of bad faith.

Burden of Proof

If there is a dispute regarding whether an asset is separate or marital property, the party claiming it is separate property has the burden of proof. Your family law attorney can help you “track” how the asset came into existence and proof of individual ownership. Failing to meet the burden of proof will result in the asset being divided as a marital asset in the divorce.

Contact Babbit, Mitchell & Ogle Today

Every family law matter is unique but understanding what Oklahoma courts consider in your case is critical. Whether you need help dividing assets or seeking custody of your children, our family law attorneys can guide you through the process.

If you are looking for a family law attorney, contact BMO Law for a consultation. We aggressively fight on behalf of our clients. There are long-term implications for those affected by a family law case, and we are here to protect your best interests. Call us at (405) 692-7676 to schedule your appointment.

At BMO Law, you are not just getting one attorney, you are getting a team!