Community Property

Question 1

Crossover Topics

Answer 1

1. Wills
2. Trusts
3. Professional Responsibility

Question 2

What law does CA follow?

Answer 2

Community Property

Question 3

Community Property

Answer 3

All property acquired or earned during a marraige.

-At divorce, CP is divided equally, unless a prior agreement or rule requires division otherwise.

Question 4

Separate Property

Answer 4

Property acquired before the marraige or by gift, bequest, or devise.

Question 5

Quasi-community Property

Answer 5

Property acquired by either spouse that would have been community property, IF the spouse would’ve been domiciled in California at the time the property was acquired.

• Treated as CP at death and divorce, unless a prior agreement or rule states otherwise.

Look for fact patterns where husband and wife buy prop in another state and then move to CA.

Question 6

Termination of the “Marital economic community”

Answer 6

The marital economic community ends at:

1. Death
2. Divorce
3. Permanent Physical Seperation AND intent not to resume the marraige *(Highly Tested)

Question 7

Tracing

Answer 7

Assets will remain separate property ig they can be traced from spearate property (AKA- fruits of seperate property, remain separate propert)

Question 8

Transmutations

Answer 8

An agreement during a marraige to alter the character of an asset
(e.g. CP <—> SP)

-Must be in writing (exception for personal gifts of insubstantial value)

• Statements in a Will/Trust wont work UNLESS clear intent is shown

Question 9

Allocating Responsibility For Debt

1. Liability of the community

Answer 9

community is liable for debts of either spouse before or during marriage

Question 10

Allocating Responsibility For Debt

2. Liability of a spouse’s SP

Answer 10

liable for her own debts incurred before or during marriage, but not liable for the other spouse’s premarital debts;

liable for other spouse’s debt incurred for necessaries of life while living together OR
common necessaries of life while living apart

Question 11

Allocating Responsibility For Debt

3. Pre-existing child and spousal support

Answer 11

CP liable for premarital debt for child or spousal support but can be reimbursed by the debtor spouse’s SP if SP funds existed at the time the payment was made

Question 12

Allocating Responsibility For Debt

4. Tort obligations

Answer 12

liability for a tort committed during marriage while the spouse was acting for the (economic) benefit of the community is paid first from CP and then from the tortfeasor’s SP; if not acting for the community’s benefit, it is paid from the tortfeasor’s SP first before taking CP