Division of a car in a divorce
A car is considered indivisible property, awarded upon termination of a marriage only to the husband or only to the wife, since it cannot be divided equally, like, for example, money. With regard to the car subject to division, it does not matter at all in whose name of the spouse it is registered. A much more important aspect is how it was acquired: the disputed car must have been purchased by the spouses, but not received as a gift or inheritance by one of the parties to the family relationship, since in this case it will go to the one who was its recipient in the gift or inheritance.
This rule does not apply if the value of the gifted or inherited car has increased significantly due to the efforts or investments of the other half. Thanks to this, he gets the opportunity to demand its division as jointly acquired property.
Methods of dividing a car during a divorce
In practice, the following options are possible for determining who will own the car after a divorce.
- This issue can be resolved by the parties reaching a peaceful agreement, which it is advisable to have certified by a notary. Such an agreement specifies who will own the car and who will receive compensation in one form or another. It is permissible to compensate half the cost of the car in money or by transferring other equivalent property.
- The issue of transferring ownership of the car can be regulated by a marriage contract, which can be concluded either before marriage or at any time after starting a family. Spouses can specify the appropriate conditions in the marriage contract even in relation to a car that they will only acquire in the future.
- It is possible to resolve this issue through the court if the parties cannot agree on their own. The court can:
- include the car in the property share of one of the parties along with other things;
- if there are two cars, award one to each of the spouses – as a rule, the one that each of them owned;
- award the car to the party that used it most often, imposing on that person the obligation to pay the other party half the cost of this thing.
Division of a car purchased on credit during a divorce
A credit car can go to any party. A more serious problem is the division of obligations to repay the loan. If the loan for a joint car was taken out by the spouses and was paid from joint funds, then after the dissolution of the marriage it must be repaid by both parties, regardless of who gets the car after the divorce.
Family law provides for proportional distribution of spouses’ responsibilities in the common debts of the family. It is also possible for one party to assume the responsibility for paying a loan if the other party makes commensurate concessions when dividing property.
Assessing the value of a car when dividing property
In order to determine the value of a car subject to division, peacefully divorcing spouses, as a rule, resort to the services of appraisers. If the divorce is carried out through the court, a corresponding examination can be appointed. This is usually necessary if the car was purchased not in a showroom, but from a private individual. When buying a car from an official dealer, the proof of its value will be the purchase and sale agreement, which always indicates its real price. When buying from a private individual, the value of the car is usually reduced in contracts.
The services of professional appraisers are also used when the car has been used for many years, and the price has significantly decreased. This issue is especially relevant if the car was involved in a traffic accident or was used carelessly.
How to Divide a Car in a Divorce: Help from a Lawyer
The division of a car, like any indivisible property, is always a problem during a divorce. The parties try to reach a mutually beneficial solution to this issue. If necessary, they can go to court, which will make an objective decision on the case.
