Community Property Laws in Arizona
Arizona community property laws make Arizona a community property state.
Arizona is one of a handful of “community property” states in which any assets acquired by a husband or wife during their marriage are considered community property, subject to equal division upon divorce. Spouses can make a mutual decision to avoid this outcome, such as by using a prenuptial agreement. Otherwise, Arizona law will dictate how property is divided.
At the core of the community property principles is that each spouse has equal ownership and control over all community property acquired during the parties’ marriage.
Arizona Revised Statute Section 25-318 provides that the court shall fairly and equitably divide all community property and quasi-community property. Assets acquired in a community property state is, by definition, community property. However, property purchased by a married couple who lived in a non-community property state is instead considered “quasi-community property”; which means Arizona law requires Arizona divorce courts to treat such quasi-community property as if it was acquired in a community property state and divides it as if it were community property.
In some respects, the concept of community property simplifies the matter of property division. There is no need to argue about who contributed more to the acquisition of an asset. If marital property in Arizona were a pie, there would be no inquiry as to who bought the ingredients or did the work of baking it. It would simply be divided in half, with each party receiving an equal share upon divorce. During the marriage, however, each party has an equal and undivided interest in all community property.
Understanding Community and Separate Property in Arizona
Essentially, marital property is property acquired by either spouse, or both spouses, during the marriage, regardless of the name in which the property is titled. There are exceptions to this rule, most notably property one party receives during the marriage by gift or inheritance. Such property is considered separate, but it may be commingled with community property, after which it can be treated as community property. An example would be an inheritance of $10,000 received by one spouse, but deposited into the couple’s joint checking account and possibly becoming untraceable as a result. These types of situations often occur and become disputes between the parties in a divorce.
Separate property is property acquired by either party before the marriage begins or after one spouse is served with the divorce petition.
At Shaffer Family Law, we have extensive experience with community property issues, including identifying whether certain property is likely to be considered marital or separate. Whether in negotiation or litigation, we advocate aggressively in order to protect our clients’ rights to their property.
Community Property Attorneys Serving the Valley of the Sun the Surrounding Communities
The family law attorneys of Shaffer Family Law serve all of Maricopa County and the surrounding communities, including Pinal, Pima, Yavapai and Coconino County. Contact Shaffer Family Law online or call (480) 470-3030 today to consult with us about your concerns regarding community property and the division of assets and debts.