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Introduction: Equitable Distribution is not about “Equality”
The State of Maryland, like other jurisdictions, does not adhere to the principle that the division of marital property should be presumptively “equal,” but instead follows equitable distribution. In this context, equitable doesn’t translate to equal, or the same amount, but involves a fair settlement which takes into account all relevant facts and circumstances of the marriage. In other words, equitable is about being fair, and sometimes fair actually means an uneven or unequal distribution of the marital estate.
For any number of reasons, a Maryland judge could find that certain circumstances compel a division of 60% / 40%, rather than 50% / 50%. And the division could potentially be even more lopsided, depending on precisely the circumstances. The key point to know about Maryland’s guiding principle (of property division) is that equitable distribution doesn’t necessarily mean that property division will yield equal proceeds for each party.
Maryland judges will review each case and make an independent determination regarding property division. Essentially, the judge will look for supportive evidence for arguments, and then favor those arguments which are both legally viable and have a preponderance of evidence. Again, the guiding principle in this analysis is to develop the most equitable or “fair” result, and so a good amount of fluid reasoning is also used.
Judges Consider Reasonableness Based on a Range of Factors
Another way to think about fairness in this context is to liken it to reasonableness. Judges review cases and take account of a wide array of factors, but certain within the array may have greater significance or superior evidentiary support; with fluid reasoning, the factors of each case are properly weighed and accounted for, and then a determination based on reasonableness is made.
The precise range of factors is theoretically endless, as there can be endless factual permutations. But, generally, the following are known to hold substantial weight in these analyses: (1) the general conduct of the parties during the marriage, (2) the financial contributions of each party during the marriage, (3) the financial situation of each party at the time of the divorce, (4) the employment situation of each party at the time of the divorce, (5) the length of the marriage, (6) any sort of cruelty or abusive behavior during the marriage. Of course, “holding weight” doesn’t necessarily equate to a particular outcome, only that certain factors might theoretically support certain judgments.
Certain Assets More Likely to Be Assigned in Kind
Maryland courts will employ a case-by-case analysis to determine a fair or equitable resolution to any unresolved marital property disputes. Everything is case sensitive, and so the precise composition of a given property dispute resolution will always differ at least to some degree from case to case. But, on the whole, certain assets may be more likely to be “assigned” in kind (in other words, given directly to one party, not liquidated or sold off), whereas others may be more likely to be liquidated in a court mandated sale. Houses, or real estate, is one asset class which is commonly put together in court mandated sales, and the reason is because so many houses are jointly owned. Certain pieces of tangible personal property, such as automobiles, may be highly likely to be assigned because of the ease of distribution.
Regardless of whether a given asset – car, boat, house, etc. -- is assigned or split evenly (or unevenly) in a court ordered sale, the conduct of the parties, including financial behaviors, will be considered when deciding future ownership by the court.
Contact the Murphy Law Firm for Additional Information
Readers who want to know more about the various factors which may be used in the property division process in Maryland, or about equitable distribution, or property classification (as either marital or separate), or any other related family law matter, contact one of the family law attorneys at the Murphy Law Firm today by calling 240-219-1187.
