Law Lessons from LeCLAIR v. KHAIRZADA, App. Div. (A-120-07T1, Decided August 29, 2008):

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To determine an equitable distribution, the trial court should follow the three-step process derived in Rothman v. Rothman, 65 N.J. 219, 232 (1974). “Assuming that some allocation is to be made, he must first decide what specific property of each spouse is eligible for distribution. Secondly, he must determine its value for purposes of such distribution. Thirdly, he must decide how such allocation can most equitably be made.” Ibid. In the last step of the analysis, the court should be guided by the factors set forth in N.J.S.A. 2A:34-23.1.

A party that asserts an asset’s immunity from equitable distribution bears the burden of establishing the immunity. Painter v. Painter, 65 N.J. 196, 214 (1974); Sculler v. Sculler, 348 N.J. Super. 374, 380 (Ch. Div. 2001).

In New Jersey, all property acquired during the marriage is subject to equitable distribution:

the state of title is of no significance when dividing marital assets. A spouse, for instance, does not acquire a vested right to property merely because an asset is put in sole name of that spouse or in their joint names. Perkins v. Perkins, 159 N.J. Super. 243 (App. Div. 1978). All assets acquired during the marriage in which either spouse has an interest, regardless of how acquired or what the state of title may be, are subject to equitable distribution.

[D'Arc v. D'Arc, 164 N.J. Super. 226, 242 (Ch. Div. 1978), aff'd in part, rev'd in part, 175 N.J. Super. 598 (App. Div. 1980), certif. denied, 85 N.J. 487 (1980), cert. denied, 451 U.S. 971, 101 S. Ct. 2049, 68 L. Ed.2d 350 (1981); see also Genovese v. Genovese, 392 N.J. Super. 215, 226 (App. Div. 2007) (declaring that "[m]arital assets acquired in the course of that joint undertaking fairly should be included in the marital estate subject to equitable distribution.”).]

NOTE: My legal services include family law, divorce, child support, litigation, arbitration, mediation, child custody and visitation, alimony, equitable distribution, separation agreements, palimony, PSA, property settlement agreement, premarital and prenuptial agreements, midmarriage and marital agreements.

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