What Valuation Dates Are Important in Divorce Matters?
In a divorce or separation matter, the Court has discretion to value property as of date of separation, the date of trial, or some other date that the Court determines is equitable.
If you or your spouse separated in 2021, but neither party filed a petition for dissolution or separation until 2026, then your property values will likely have fluctuated greatly since separation. It is important to present the Court with evidence of what those values were at the time of separation and what the present values are to determine an equitable distribution of property.
If neither party obtained an appraisal at the date of separation, the Court cannot reasonably infer what the value was at the time. This means that even if one party resided in the home, paid the mortgage, remodeled the home, etc., then the increase in value may very well be attributed to the community even though it was likely the result of separate labor or income.
Ultimately, the Court has broad discretion to determine the valuation date for the purpose of distribution of assets, but it is imperative that evidence be provided to objectively show the value of property at specific times and to show evidence as to why a party may be entitled to reimbursement or a greater share of an asset. Our Family Law Group is available to assist you with all family law related matters including dissolutions, separations, support, and parenting plan matters. Please contact Beresford Booth at info@beresfordlaw.com or by phone at (425) 776-4100.