Any debt that is incurred for items and services that are not essential to your daily living are considered to be luxuries. However, the timing of these purchases is the determining factor as to whether or not these items are included in the marital estate. In general, if the debt was made before your separation, it will be assumed that both parties approved of the debt; accordingly, the debt will be included in the marital estate.

Any debt that is incurred for items and services that are not essential to your daily living are considered to be luxuries. However, the timing of these purchases is the determining factor as to whether or not these items are included in the marital estate. In general, if the debt was made before your separation, it will be assumed that both parties approved of the debt; accordingly, the debt will be included in the marital estate.

 

On the other hand, if the debt was incurred at some point after the separation, it will be assumed that the debts were not mutually made; thus, the debt will be excluded from the marital estate. If you have questions regarding certain debts in your case, your San Diego family lawyer will be able to further advise you.

However, due to the variance in local rules and regulations, debt valuation dates may differ. For instance, one jurisdiction may mandate a specific date of valuation and state that any debt incurred prior to this specified date is marital and any debts incurred afterward are not.

Furthermore, some jurisdictions may use a default valuation date of the actual date of divorce, which is seldom changed. This means that anything that occurs with respect to the couple's finances prior to the divorce is deemed to be part of the marital estate. As expected, this type of provision will generally require review by the court if numerous transactions are involved in order to ensure the equitability of the debts that are included in the marital estate.

If you need a skilled San Diego family lawyer, please call Lisa Zonder at (xxx) xxx-xxxx for a free consultation.