When a marriage ends through divorce, assets and property will be divided between the spouses. All states within New England, including Massachusetts, follow equitable distribution rules where marital property is split equitably, but not equally. (Some states follow the community property rule, where all assets and property are split in half between the spouses)

If spouses are able to agree on how they would like to divide their property, they are permitted to draw up their own agreement, however, the court may intervene if they feel it is too unfair to one party.

If an agreement cannot be reached, the court will decide the matters through a trial, and a decision will be made for both separate property – property acquired by either spouse prior to the marriage, or as a result of gift or inheritance during the course of the marriage – and marital property, which is all property, rights, and assets acquired during the course of the marriage, regardless of which spouse actually acquired them.

First and foremost, the court will decide on which category a property falls into. When divorcing in Massachusetts, you are required to file financial statements, which will be used to determine the status of each spouses’ property.

*Misrepresenting facts in a financial statement will put you subject to a fine or jail time (this includes not only intentional but also accidental misrepresentations). This will also put you at a disadvantage during asset division (your partner may receive a larger portion of the assets). If large amounts of money were involved in the misrepresentation, you may become subject to charges for perjury.

*Any overseas assets and property must also be considered and recorded. Overseas real estate is taken care of under the laws within its jurisdiction, and all other assets (financial accounts and other personal property) are usually managed under the laws of the jurisdiction that the divorce is taking place in. Assessing the value of overseas assets properly may be difficult.

*Managing each and every one of your owned assets is a demanding task. It would be wise to start gathering necessary documents (tax returns, loan applications, bank account information, etc.) as soon as you have started considering a divorce.

*Talk to your lawyer in case there are legitimate reasons to believe the other party is not representing their assets truthfully.

Once all assets have been managed and presented properly, it will be decided if they are either separate or marital property.

For separate property, each party will receive their own personal assets and property.

For marital property, the court will consider various facts and elements such as listed below and divide them up from an equitable standpoint.

• Age of both parties
• Health of both parties
• Work and employability
• Income amount and sources
• Debt
• Opportunities for acquisition of future assets
• Real estate
• Length of the marriage
• Present and future needs of children involved
• The misconduct of the spouse who caused the reasons for divorce

Divisions are made with the attempt to return both sides to their pre-marriage state, but this cannot be guaranteed. The longer the marriage, the more likely it is that assets are divided equally, but this all depends on case by case.

Misconduct are actions that have had a negative impact on the marriage or the couple’s assets, especially ones that squander or dissipate a significant portion of the couple’s assets such as through gambling losses or giving away assets without the permission of the other spouse.

Asset divisions are done in three ways; 1. Assign each asset to one spouse 2. Split the profit that comes from selling the assets 3. Joint ownership. The last method is done rarely but is used to keep the house the way it is until the child grows up, or to keep investments invested until they make a profit.