Features and rules of property division through the court during divorce

Property division is a legal procedure for dividing jointly acquired property between spouses upon divorce. It takes into account shares, contributions, children, and agreements between the parties.

Divorce and division of property in Ukraine is a complex and often conflicting process. The law provides for equal division of jointly acquired property between spouses, but exceptions are possible. The court takes into account the contribution of each spouse, the presence of children, and other circumstances. In order for the division process to be fair, it is important to properly file a claim and provide evidence to the court. Competent legal support helps to avoid mistakes and protect your rights.

What are the principles of property division between spouses?

When dividing property with a wife or husband in Ukraine, the principle of equal shares applies: jointly acquired property is divided equally. That is, if there is one apartment, one part goes to the wife, the second part to the husband. In this case, related factors are taken into account – the presence of children, the financial situation of the parties.

Modern judicial practice often provides for the division of property by objects (for example, an apartment goes to one spouse, a house to the other). When property cannot be physically divided, one of the spouses may receive compensation. If the court transfers part of the property into joint partial ownership, the owner has the right to sell it without the consent of the other spouse. It is important to consider that a business started in marriage is also subject to division, as a contribution to the authorized capital.

The process of dividing jointly acquired property can be initiated during the divorce process. If the application is filed simultaneously with the divorce, legal costs can be significantly reduced. You can also file a lawsuit for the division of property after the divorce. However, it should be noted that the statute of limitations for property division is three years after the divorce. A competent lawyer can significantly influence the outcome of the case by correctly formulating a position in court.

How to protect your property rights during a divorce?

One way to minimize property disputes is to conclude an agreement on the division of property. Spouses can voluntarily contact a notary to draw up such an agreement. However, before signing any documents, it is recommended to consult a lawyer, since the notary records the agreement, but does not analyze its legal features and consequences.

It is important to understand that property acquired during marriage is considered joint property, with the exception of items for personal use. However, not all things can be recognized as such. To protect your assets, you should take care of legal registration in advance. Only property received under a gift agreement is not subject to division. A lawyer for the division of property helps to understand the nuances and anticipate possible risks.

How does the trial process work in a property division case?

If the spouses cannot agree on the division of property voluntarily, the issue is resolved in court. The process begins with the filing of a statement of claim for the division of property. The claim specifies a list of property, its value, and the plaintiff’s claims.
After the filing of the statement, the court appoints a preliminary hearing, where the circumstances of the case are clarified and the ways of its consideration are determined. Then the main hearing begins, during which the parties present evidence, witness statements, and expert opinions.

The court analyzes the submitted materials and makes a decision based on the principle of equality of shares. After the decision is made, the parties may appeal it in an appeal procedure. If the decision has entered into legal force, it is subject to compulsory execution through state bailiffs.

What role does a lawyer play in the division of property through the court?

At the first stage, the lawyer advises the client, analyzes the property dispute during the divorce and helps to determine the defense strategy. Then he prepares a statement of claim, collects evidence, including property documents, expert assessments and extracts from registers.
During court hearings, the lawyer for the division of property conducts negotiations, presents arguments in favor of the client and refutes the arguments of the other party. If necessary, he initiates expert examinations or requests additional documents.

After the decision is made, the lawyer can file an appeal if the client is not satisfied with it, and also monitors the implementation of the court decision. The lawyer plays one of the leading roles: helps to prepare documents for the division of property after the divorce, accompanies the entire process in court, reduces the psychological burden and time spent by the client.

What disputes are resolved through the court when dividing property?

Court proceedings on family disputes on the division of property cover a wide range of issues. The main ones are included in the list of services of the company “DE-JURE”. Disputes that are resolved in court when dividing property are as follows:

• determination of the spouses’ shares. The court decides how the property will be divided if the parties have not reached an agreement;
• real estate division – apartment, house, land plot;
• division of cars and valuables, including jewelry, works of art;
• division of deposits and accounts. The spouses’ financial assets are divided, including bank accounts, deposits and investments;
• division of business. If the spouses owned a joint enterprise, the court determines the shares or the procedure for paying compensation;
  division of intellectual property, patents;
• division of debt obligations. The court distributes joint loans, mortgages and other debt obligations;
• establishment of ownership of the disputed property. Occurs in cases where one of the spouses disputes the ownership of specific assets.

It is important to hire a lawyer in time and go to court to protect your property rights.

How is the value of property assessed upon division?

The value of property divided upon divorce can be established by agreement of the parties. If the spouses come to a common opinion on the valuation of the property, the court takes this value as a basis.

However, if a dispute arises between the parties, the court may appoint an independent expert appraisal. As a rule, the initiator of the appraisal is the plaintiff, since it is he who is obliged to substantiate his claims. The court determines the questions for the expert, who analyzes the market value of the property, the degree of its wear and tear, and possible options for division.

The appraisal can be carried out in several ways:

• comparative method – analysis of the value of similar objects on the market;
• income method – potential income from the property is taken into account (relevant for a business or rental property);
• cost method – the cost of restoring or replacing the property is determined.

After receiving the expert’s opinion, the court uses it as the basis for making a decision on the division of property. It is important to consider that the results of the appraisal can be appealed in court if one of the parties considers them to be biased.

Taking into account loans and debts when dividing property

When dividing property, debts are divided if they were taken out during the marriage and were used in the interests of the family. However, the court must establish whether the other spouse knew about the existence of these obligations.

If a loan or debt was issued without the knowledge of the other spouse and was not used for family needs, it may be recognized as personal. In this case, the obligations to repay it remain with the person who issued the loan.

To prove that a debt is joint, the following can be used:

• correspondence between spouses about the loan;
• documents confirming the spending of funds on family needs;
• the signature of the other spouse on the loan agreement;
• the presence of both spouses when the loan is issued.

If the debt is related to business, the court considers its nature and may decide to compensate the share of the spouse who did not participate in the entrepreneurial activity. In some cases, business assets can be valued and compensated in cash equivalent.

Complex cases: property acquired before marriage

According to Ukrainian law, property acquired by one of the spouses before marriage remains his personal property and is not subject to division. However, if one of the partners proves that he made a financial contribution to its purchase, the court may oblige him to compensate for part of the cost. Thus, the division of property outside of marriage depends on the specific circumstances, and you should seek legal advice to defend your rights.

Until 2004, Ukrainian law did not clearly regulate the division of property in a civil marriage. However, after the changes, it became possible to initiate the division of property acquired during cohabitation. The court will establish the very fact of the existence of a relationship in the couple at the time when the property was purchased. Evidence of a civil marriage can be witness statements, joint photos, videos, and the presence of some agreements.

If the court finds that the couple ran a joint household and lived together, property acquired during this period may be considered jointly acquired and subject to division.

What to do if the property is located abroad?

There are legal ways that allow one of the spouses to be awarded property located in another country during a divorce. However, there is a problem of the impossibility of implementing court decisions in such cases. For example, if the court decision was made in Ukraine, it may not be recognized in another country. Therefore, a separate application for the division of property should be filed in the country where it is located.

The lawyers of the company “DE-JURE” have experience and the opportunity to work with European countries. We can recommend a law firm and control the procedures on behalf of our client in order to remotely understand and control the entire division process. In European countries and other jurisdictions with recognized international agreements, this process is simpler, but in a number of countries more complex legal work may be required.

What is not subject to division of property during a divorce?

During a divorce, property belonging to one of the spouses on the right of personal property is not subject to division. This is property acquired before marriage, personal belongings (except for luxury items), gifts and charitable donations. Inheritance is also not divided during a divorce. However, if the inheritance was used in the common interests (for example, an inherited apartment was sold and a new one was purchased for both), the court may recognize it as joint.

How long does the property division process take?

The duration of a divorce with property division can range from several months to several years. This is due to the need to conduct an assessment of the property, review of evidence and the workload of the courts. However, a divorce decision may be made before the property is divided.

Can I appeal the division of property after a divorce?

The court’s decision on the division of property in a divorce can be appealed through an appeal or cassation. An appeal is filed within 30 days from the date of the decision, and a cassation is filed within 30 days after it enters into force.