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In a divorce, does community property always get granted…

In a divorce, does community...
In a divorce, does community property always get granted when it’s a business that was started with no help or financial help from the spouse?
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Answered in 1 minute by:
1/12/2018
Lucy, Esq.
Lucy, Esq., Lawyer
Category: Family Law
Satisfied Customers: 32,264
Experience: Attorney with experience in family law.
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Hi,

I'm Lucy, and I'd be happy to answer your questions today.

A business started during the marriage is community property, regardless of whether both spouses contributed to it. There is an exception if the business was founded using only assets owned by the spouse before the marriage, and those assets were never combined with marital funds. Otherwise, the judge is only looking at when the business was started, not what either spouse put into it.

If you have any questions or concerns, please reply WITHOUT RATING so I may address them. My goal is to provide you with excellent service. Otherwise, please rate my answer positively so I get credit for the time spent speaking with you today. Mobile users may have to scroll to the right. Thank you.

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Customer reply replied 5 months ago
I️ have a promissory note from a family member who let me borrow the funds to start the business. That’s the only money I️ used to start it and paid it back with money made from the business.

If the loan was clearly made only to you, and the money never went into a joint bank account, you can argue that the business is your separate property.

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Customer reply replied 5 months ago
It was so long ago I’m not sure if I️ can get records to prove the money was deposited into the bank and we paid a supplier to order merchandise
Customer reply replied 5 months ago
The loan was given to us in cash and paid back with a business check if I’m not mistaken
Customer reply replied 5 months ago
Will banks still have record of statements from about 9 yrs ago

The burden would be on the person claiming that an asset isn't community property to prove why it's separate. The only way to get the judge to side with you is to get evidence showing that the loan was only to you and not to the marriage as a whole. It might help if the relative who loaned you the money would sign an affidavit (and testify at trial if necessary).

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Customer reply replied 5 months ago
Ok, I️ have a promissory note but I’m sure he would be willing to sign an affidavit and even testify

That will help.

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Please rate my service positively, as this is the only way that I get paid for the time spent answering your questions. Mobile users may have to scroll to the right. Thank you.

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Customer reply replied 5 months ago
I️ will thank you!!!

Thank you! Have a good weekend.

Lucy, Esq.
Lucy, Esq., Lawyer
Category: Family Law
Satisfied Customers: 32,264
Experience: Attorney with experience in family law.
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Lucy, Esq. and 87 other Family Law Specialists are ready to help you
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Customer reply replied 5 months ago
You too!!
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