You can keep the gifts you received during your marriage in the divorce, given that you kept the property separate. Otherwise, it may be subject to asset distribution. The divorce process can be complex so work with an experienced Mountainside property distribution attorney for more information and representation.
Is New Jersey an Equitable Distribution State?
New Jersey is an equitable distribution state. This means that during a divorce all marital property will be distributed between spouses in a way that is fair and equitable to both parties, taking into consideration many factors including:
- The length of the marriage
- Each spouse’s income and earning capacity
- Each spouse’s age and health
- The standard of living during the marriage
- Each spouse’s financial situation
An equitable distribution system, however, also means that all assets acquired during the course of the marriage are considered jointly owned and are therefore subject to property division.
Do I Get to Keep Gifts I Received During My Marriage in the Divorce?
While New Jersey’s equitable distribution system states that assets accumulated during the marriage are considered marital property, a notable exception is found in gifts and inheritance.
Any gift given to both you and your spouse will be considered marital property. This includes wedding gifts, anniversary presents, housewarming gifts, etc. If the giver of the gift intended the item to be used or enjoyed by both you and your spouse, the gift is jointly owned.
However, gifts that were given to one spouse specifically are generally considered separate property and not subject to equitable distribution. If you receive a gift from someone outside of your relationship and it is intended for you and you alone to take ownership of, you can keep the item in your divorce. However, you must be able to prove that it was given to you only and that the gift did not commingle with shared funds or property.
A common issue of contention involves gifts given from one spouse to the other during the marriage. This can include jewelry, artwork, cars, clothes, and more. These are known as interspousal gifts and will be subject to asset distribution during a divorce. Even if the gift was purchased using separate funds, interspousal gifts are considered marital property and will be divided between the spouses during property distribution.
How Can I Keep a Gift?
Even if you believe that your marriage will never end, if you want to ensure that you maintain all rights to a gift in case you get divorced you must take proper steps to keep the asset separate.
First, keep detailed records of who gave you the gift, how, and when. Maintain official documentation proving that the gift was intended for you and follow all legal requirements like paying property or inheritance taxes with separate funds.
It is also important to avoid mixing the gift with marital funds. Do not deposit your inheritance into a joint account and do not put your spouse’s name on any deeds to property.
For more information on how to keep gifts separate, reach out to a skilled lawyer today.
