MOST IMPORTANT

Question 1

Business is valuable because of effort:

Answer 1

Pereira method of accounting: Pay interest on SP, rest is CP (value of business at time of marriage + interest (10% of value of business X years of marriage)
Pereira would allow a spouse their initial investment back if it is separate property plus a reasonable rate of return (10%) on the initial investment.

Question 2

Business is valuable because of investment:

Answer 2

Van Camp: where capital investment was major factor in business growth, spouse’s skills/efforts are minimal
Value of COMMUNITY labor - family expenses paid, that number results in % of CP.

Question 3

Statute where it is presumed buying property using SP with your own funds:

Answer 3

Anti-Lucas statute. Party using SP to improve CP gets reimbursement for DIP (Down payments, improvements or principal payments)