Inheritance, Divorce, and What Happens to Those Assets
Dividing assets during a divorce can be emotionally charged. In New Jersey, one area that often creates confusion is how inheritances are handled. If one spouse receives a financial gift from a relative or family trust, does the other spouse have a right to any portion of that money or property?
Several factors are reviewed when it comes to inherited assets and ending a marriage. A couple of facts that are assessed including timing and how the funds were treated during the marriage. To have your personal situation evaluated, connect with a Somerset County family lawyer.
When Was the Inheritance Received?
New Jersey follows the principle of equitable distribution, which means that marital property is divided fairly between spouses. Typically an inheritance received by one spouse is considered separate property and is not subject to division, but there are important exceptions.
If inherited funds or assets were commingled with marital assets (such as being deposited into a joint bank account or used to buy jointly titled property) the inheritance may lose its separate status. In these cases, the court could find that the inheritance became part of the marital estate and may be divided during divorce.
Another key factor is when the inheritance was received. An inheritance received before the wedding is usually considered separate property, provided it was kept in the inheriting spouse’s name and not used for joint purposes. If an inheritance is received while the couple is married and is kept separate, it may still be protected. Yet any income or appreciation from that inheritance could be subject to division if it benefited both spouses or was actively managed.
Additionally, inheritances received after a separation but before the divorce is finalized may still be viewed as separate property, depending on the circumstances. Courts will evaluate whether the inheritance was intended for both spouses or solely for the recipient.
Can You Access Your Spouse’s Inheritance?
You may have access to your spouse’s inheritance if:
- Funds or property were commingled with marital assets,
- The inheritance was used to benefit both spouses, or
- Assets were converted to joint ownership (such as titling a home in both names).
Whether you’re trying to shield an inheritance from division or argue for a fair share, working with a knowledgeable Somerset County family lawyer is essential. Your lawyer can help trace the origin of inherited assets and present financial documentation to support your claim. Legal professionals also have the skills to advocate for your financial interests through negotiation or litigation
The process of dividing property in divorce is rarely simple, but inheritance issues can and often do add an extra layer of complexity. If you’re navigating a divorce where inherited assets are in question, legal guidance can make all the difference in protecting your future.
Do you have questions about inherited funds? The attorneys at the Law Offices of Kisha M. Hebbon, LLC are available to answer your inquiries. If you live in New Brunswick, North Brunswick, Piscataway, Edison, Somerset County, or Middlesex County, book a confidential consultation.
