When going through a divorce, one of the most significant concerns that may arise is how the property division will be handled. In Colorado, property acquired during the marriage is usually divided equitably between the spouses. However, what happens to inheritance in a divorce case? Will you be able to keep what you have inherited? This article aims to answer these questions.
Understanding Inheritance in Colorado Divorce Cases
In Colorado, inheritance is generally considered separate property, adding a layer of complexity to the property division process. This means that property acquired by inheritance before or during a marriage is not subject to division in a divorce case. In other words, if you receive an inheritance from a relative, that inheritance is not likely to be divided between you and your spouse, provided that it was not commingled with marital property.
Commingling of Inherited Property: A Potential Challenge
While inheritance is typically considered separate property, there are circumstances where inherited property may become part of the marital property, creating a challenge during divorce proceedings. For example, if you inherit money and deposit it into a joint bank account with your spouse, or use it to purchase a marital asset such as a home or a car, the inheritance may be considered commingled with marital property.
To avoid the possibility of commingling, it is crucial to keep inherited property separate. By keeping the inherited property distinct from marital property, you can protect it from being subject to division.
Safeguarding Inherited Property: Best Practices
To ensure the protection of your inherited property in a divorce case, consider implementing the following best practices:
- Separation of Property: Keep inherited property separate from marital property to maintain its classification as separate property. For instance, if you receive a monetary inheritance, consider depositing it into a separate account solely in your name. Avoid using it to cover marital expenses.
- Maintaining Legal Documentation: To establish the uniqueness of your inherited property, refrain from including your spouse’s name on any documents, such as titles or deeds, associated with the inherited property.
- Physical Separation: If your inheritance comprises physical objects, store them in a secure location where they cannot be confused with marital property. This physical separation serves as a visual reminder of their distinct status.
- Detailed Record-keeping: If you utilize inherited property for the benefit of the marriage, diligently document it. For instance, if you use inheritance funds to renovate the marital home or settle marital debts, maintain comprehensive records of these transactions.
By diligently adhering to these safeguarding measures, you can enhance the clarity and protection surrounding your inherited property.
Seeking Legal Guidance: Consulting with an Attorney
Considering the intricacies associated with inheritance and divorce, it is vital to consult with an experienced attorney. An attorney can guide you through the necessary steps to protect your inheritance during a divorce case. They possess the expertise to clarify your rights and obligations concerning property division, alleviating any uncertainties you may have.
Conclusion
In conclusion, inheritances are generally considered separate property in Colorado divorce cases. However, it is crucial to maintain a clear separation between inherited property and marital property to ensure its protection. By adhering to best practices such as maintaining separation, documenting usage, and seeking legal guidance, you can safeguard your inheritance throughout the divorce process. If you find yourself concerned about how inheritance will be handled in your divorce case, consult with a qualified attorney who can provide the necessary guidance and support.