How Are Gifts Distributed in a Tennessee Divorce?

You may assume it will be difficult for you to look back at the gifts you received throughout your marriage, as they may serve as a constant reminder of your past life and the ultimate breakdown of your relationship with your spouse. However, you may still want to hold onto them to eventually pass on to your children who will appreciate and cherish them more. Or, to sell and get sufficient funds to support you as you become financially independent for the first time in a long time. At any rate, please follow along to find out how gifts are distributed in a Tennessee divorce and how one of the proficient Clarksville property division lawyers at Fendley and Birch can help you keep what you desire most.

How are gifts typically distributed in a Tennessee divorce?

First of all, Tennessee is an equitable distribution state, which orders the family courts to divide marital property fairly and justly between two spouses in the event of their divorce. Marital property is defined as any property acquired by the two spouses jointly during their marriage. So, a marital gift might be when a family member purchases a gift from the couple’s registry and gives it to them on their wedding day.

Separate property, on the other hand, is any property acquired by one spouse before entering into the marriage. For example, one spouse’s parents may have gifted them with an automobile after their graduation, getting their first job, or another milestone made before even meeting their partner, and they may have only put their name on the title. Or, separate property may also be property acquired during the marriage but only addressed to one spouse. A common example of this may be when one spouse gifts another spouse with luxury jewelry, handbags, or clothing on their wedding anniversary, birthday, or any other celebrated holiday.

So, generally speaking, gifts are more likely to be considered separate property in a divorce proceeding. But your spouse may make every effort to have it count as marital property. That is, they may argue that it “commingled” with your marital property. Going back to the example mentioned above, they may argue that you used marital funds from your joint bank account to pay for the necessary repairs on the automobile gifted to you by your parents.

How are inheritances handled in a Tennessee divorce?

If you are the beneficiary of an estate plan, your inheritance is almost positively considered separate property and therefore cannot be subject to equitable distribution. However, to reiterate, you must do everything in your power to not “commingle” this separate inheritance with your marital property. For example, you must not deposit a cash inheritance into your joint bank account shared with your spouse. Or, you cannot use inherited funds to purchase a family home that you and your spouse primarily reside in with your children throughout your marriage.

All of this to say, the time to act is now. Please pick up the phone or message us at Fendley and Birch. Surely, one of the talented Clarksville family lawyers on our team will be the perfect fit for your upcoming legal case.