n.
Property owned jointly by spouses.
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American Heritage Dictionary:
community property |
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Britannica Concise Encyclopedia:
community property |
For more information on community property, visit Britannica.com.
Barron's Business Dictionary:
community property |
| Community Association, Community Antenna Television (CATV), Communism | |
| Community Reinvestment Act, Commutation Right, Commuter |
Barron's Real Estate Dictionary:
community property |
| Community Association, Common Property | |
| Communityassociations Institute (CAI), Communityreinvestmentact |
West's Encyclopedia of American Law:
Community Property |
The holdings and resources owned in common by a husband and wife.
Community property law concerns the distribution of property acquired by a couple during marriage in the event of the end of the marriage, whether by divorce or death of one of the parties. In community property states all property accumulated by a husband and wife during their marriage becomes joint property even if it was originally acquired in the name of only one partner. The states that utilize a community property method of dividing resources were influenced by the civil law system of France, Spain, and Mexico.
Laws vary among the states that recognize community property; however, the basic idea is that a husband and wife each acquire a one-half interest in what is labeled community property. A determining factor in the classification of a particular asset as community property is the time of acquisition. Community property is ordinarily defined as everything the couple owns that is acquired during the marriage with the exception of separate property owned by either of them individually. Separate property is that property that each individual brings into the marriage, in addition to anything that either spouse acquires by inheritance during the marriage.
Generally, four types of property acquired after marriage amount to community property: earnings, damages obtained from a personal injury suit, damages awarded in an industrial accident action, and rents and profits from separate property.
Divorce
In many community property law states, a husband and wife may enter into a premarital agreement that there will be no community property. Divorce terminates the community relationship in all community property states; however, the manner in which the property is divided differs.
Upon the dissolution of a marriage, the source of property becomes important in determining whether an asset is community or separate property. Ordinarily, separate property includes that which is acquired through gift, descent and distribution, and devise or bequest. Each partner in a property settlement reacquires whatever he or she owned prior to the marriage.
In some states, community property is divided equally; in others, the division is based on the court's discretion. In certain jurisdictions, the guilt of a spouse in a divorce action can be a factor in reducing his or her share of the community property.
Inheritance Laws
Each spouse owns one-half of the couple's property in community property states, and, therefore, when a husband or wife dies only one-half of the marital property is inheritable since the surviving spouse owns in his or her own right one-half of the marital property.
Investopedia Financial Dictionary:
Community Property |
A U.S. state-level legal distinction of a married individual's assets. Property acquired by either spouse during the course of a marriage is considered community property. For example, an IRA in the name of an individual with a spouse, accumulated during the course of the marriage, would be considered community property.
Also known as "marital property".
Investopedia Says:
This legal definition exists to protect spousal rights. Generally, the spouse of the retirement account owner who resides in a community or marital property state must be the sole primary beneficiary of an investment account designated as marital property, unless the spouse provides written consent to have someone else designated as primary beneficiary of the retirement account. Usually, gift and inherited assets are not considered community property.
Related Links:
In breakup, divorce or death, community or common law will determine how property is divided. State Laws Dictate Division Of Joint Property
Deciding what will happen to your assets when you pass away is a must - no matter how wealthy you are. Estate Planning Basics
Check out the perks designed to promote and preserve your post-work savings - if you're married, that is. The Tax Benefits Of Having A Spouse
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Life changes make it time to rewrite your plan's designations. An Estate Planning Must: Update Your Beneficiaries
Find out how best to claim and convey ownership on your assets. Holding Titles On Real Property
Learn how different rules of asset handling apply to various retirement plans. Getting A Divorce? Understand the Rules Of Dividing Plan Assets
Random House Word Menu:
categories related to 'community property' |

| Separate Property (business term) | |
| Joint Ownership | |
| Marital Estate [Property] |
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![]() | American Heritage Dictionary. The American Heritage® Dictionary of the English Language, Fourth Edition Copyright © 2007, 2000 by Houghton Mifflin Company. Updated in 2009. Published by Houghton Mifflin Company. All rights reserved. Read more |
![]() | Britannica Concise Encyclopedia. Britannica Concise Encyclopedia. © 1994-2012 Encyclopædia Britannica, Inc. All rights reserved. Read more | |
![]() | Barron's Business Dictionary. Dictionary of Business Terms. Copyright © 2007 by Barron's Educational Series, Inc. All rights reserved. Read more | |
![]() | Barron's Real Estate Dictionary. Dictionary of Real Estate Terms. Copyright © 2008 by Barron's Educational Series, Inc. All rights reserved. Read more | |
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![]() | West's Encyclopedia of American Law. West's Encyclopedia of American Law. Copyright © 1998 by The Gale Group, Inc. All rights reserved. Read more |
![]() | Investopedia Financial Dictionary. Copyright ©2010, Investopedia.com - Owned and Operated by Investopedia US, A Division of ValueClick, Inc. All rights reserved. Read more | |
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