Can I Sell My Business During A Divorce?

 

Total income, belongings, and debts obtained within the marriage are generally marital belongings. 

Properties acquired individually prior to the marriage are considered  separate property and should 

not be burdened with the equitable distribution.

 

Properties in Florida are subjected to be divided equally during a divorce. As a matter of fact, even 

debts and other assets are to be distributed equally. If you undertake a business during your 

marriage, the business and the properties acquired during the marriage are deemed marital 

assets. Thus, should be divided between the spouses equally.

 

As a rule, a spouse may sell his or her business during a divorce especially if the subject property 

is a property not acquired during the marriage and not part of the marital property regime. However, 

if the other spouse has  ownership rights too, the spouse who sold the property is obligated to 

compensate the other. 

 

The case for the dissolution of a marriage does not have an adverse effect on the practice of 

ownership rights, such as, but not limited to, the sale of real property. The compensation 

mentioned above relates to the equitable distribution principle where the real estate should always 

be divided fairly. Yet, most of the time, the courts apply the absolute community property rule 

where spouses should observe the equal distribution of the properties. 

 

On the other hand, if the spouse is part of the business undertaking, his or her share from the real 

estate should always be appraised to identify the fair distribution of the property. The actual 

valuation process would be very important to determine the property's actual value. 

 

Moreover, if the Divorce case affects a business, the business may have its own Attorney to 

protect its interests. 

 

In determining the equal distribution of such an asset, debts are also factored in because a 

spouse is not only entitled to the asset value, but also the debt associated with the business. 

So, the overall value would have a net amount, the value minus the debts associated with the 

business, and the court will ultimately determine the division as such between Husband and 

Wife.

 

Every court in Florida has a status court order that provides guidelines to the parties regarding 

how marital properties be disposed of. The court may additionally evaluate marital properties to 

determine the valuation of the properties during the time of the dissolution of marriage. As part 

of the process, the court may observe corrective measures when it proves that the parties 

undertook actions to hide assets or destroyed properties in anticipation of the divorce. Moreover, 

the court may acquire the discovery procedures to learn more about the property subject to 

distribution, which may require the submission of bank statements, monetary statements of 

investments, and other similar in nature. 

 

Under Florida divorce law, an “equitable distribution” of the marital assets and liabilities is 

mandatory. This  covers both real and personal properties acquired or obtained during the 

marriage period. As a general rule, the courtroom will divide marital assets and liabilities 50/50 

except when the fair share principle applies. 

 

If real estate is subjected to a sale as part of the divorce process, the accurate determination of 

the partition is strongly advised to be officially recorded.

 

If you have owned a business during your marriage, speak with an experienced family law 

attorney to better understand your rights and options.

Do you wish to learn more about your right to sell your properties during a divorce? For legal 

queries, call Marquez Kelly-Law at 239-214-0403 or message us for a

  Free Half-Hour Consultation today.