As opposed to “Community Property” states which divide marital assets 50/50, Georgia is an “Equitable Division” state which means that marital assets are divided “equitably” or “fairly.”  Of course in order to determine which marital assets are to be divided, the first step is to ascertain which are “marital” and which are “separate.”

The three most common types of separate property in Georgia are (1) property owned prior to the marriage, (2) property inherited by one of the parties, and (3) property given specifically to one of the parties during the marriage.  In either of these three scenarios, the property is considered “separate” and is not subject to equitable division under Georgia law.

The issue of distinguishing separate vs. marital property in Georgia becomes a bit murkier when getting into the subject of the “appreciation” or “enhancement” of the property.  In these cases, a court will look to whether the appreciation of the property was caused as a result of “natural market forces” or as a result of “active management” by one or both spouses.  In other words, if one party receives a “gift” during their marriage, that would be considered separate property.  However, if over the course of 3 years it increased in value, a court would need to determine whether the increase was the result of general inflation, general market conditions, or the result of “active management” by either one of the spouses.

If a party “actively managed” a separate asset, Georgia law provides that the management could turn the separate asset into a “partial marital asset.”  The types of things that could turn a separate asset into a partial marital asset can be as mundane as helping your spouse negotiate the refinance rate of their investment home, helping restore a car, or even traveling with your spouse to one of their investments.

Getting Started

As can be seen, determining what is a marital asset, what is a separate asset, and what is a partial marital asset can be quite murky.  If you are dealing with a divorce in Georgia that involves the separation of marital assets, we recommend that you speak with one of our Atlanta divorce attorneys.  We are proud to say that our attorneys are among the most  knowledgeable and experienced in the state. Click here to see our Credentials and Client Reviews.  Please note that for a typical divorce proceeding, our law firm retainer begins at $2,500.00. To set up a consultation with one of our attorneys, please give us a call at (404) 239-3932, or visit our Divorce Attorney Homepage to fill out our contact information form.  Thank you and we look forward to working with you.