Marriage always ends either in divorce or the death of a spouse. Many people fail to carry out a division of assets, i.e. the official paperwork detailing what portion of the spouses' property belongs to each. This asset division agreement should always be made, even if the parties divide their assets amicably.
What is a division of assets?
In marriage, spouses gain the right to each other's property. When a marriage is dissolved, the marital property relations are settled by carrying out a division of assets, on which a deed is drawn up Distribution agreement.
A deed of partition is a formal document. It must state the parties involved, the assets and liabilities subject to marital property rights, and how they are to be divided, along with the parties' signatures and witnesses.
What if the division of assets is not carried out?
Usually, upon divorce, spouses first arrange their housing matters. The shared home is either sold or one spouse buys out the other's share. In this situation, it is advisable to immediately draw up the necessary documents, i.e., a distribution agreement, which states how the joint property has been divided.
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For example, if a flat that has been used as a common home is later to be sold, the ex-spouse's consent to the sale is required if a division agreement has not been made, even if the seller is the sole owner of the flat.
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It must also be remembered that if a divorce in community property marital property is sold or leased, the proceeds from it are also subject to divorce in community property marital property, meaning they belong to both spouses.
The division of assets should be done as soon as possible!
There is no time limit for the completion of a division of matrimonial assets. For this reason, a division may not be carried out for decades. The sooner the division is carried out after a divorce, the easier it is to determine the amount of assets to be divided. As time passes and spouses potentially remarry, the situation becomes complicated:
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If, at the point when a spouse dies, there has been one or more divorces and undivided marital property in the background, difficult and contentious estate divisions may arise.
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If a divorced spouse remarries and divorces again, information from the distribution of assets conducted on the basis of the first divorce is also needed when conducting the latter distribution of assets.
Shareholder agreement
A separation agreement describes the couple's joint property and debts and arranges how these will be divided between the couple.
Download the settlement agreement →
Amos Law Firm all lawyers assisting with matters related to division. You can always call us free of charge on 010 299 5090. You can familiarise yourself with our price list Here.
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Book of partition and inheritance
Article drafted by the Advocate Tuula Rainto, Amos Law Firm. You can always call him free of charge on 010 299 5090.
