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Challenges in intestate: community and separate property

On Behalf of | Aug 12, 2024 | Estate Planning

When a person dies intestate, it means they passed away without a will or an estate plan. The court then divides their property based on California intestacy laws. However, the process can bring up various complicated issues, such as distinguishing separate property from community property and how to distribute them to the rightful heirs.

The difference between community and separate property

Community property includes everything a couple earns or buys while married. Meanwhile, separate property includes what a person had before getting married and gifts and inheritances received during the marriage.

If a married person dies without a will, their spouse receives all the community property. They might also get a part of the separate property, along with the kids, the spouse’s parents, or other relatives who are still around.

Knowing what is community property and what is separate is important because it dictates how the court will distribute the assets.

Misclassification can be a problem

Figuring out who gets what can get tricky, especially if the deceased mixed their assets with their partner, and it becomes unclear where they originally came from. Some examples include:

  • Inheritances or gifts that are put into a shared account or used for things that benefit both partners.
  • A business that one partner had before getting married that then grew significantly because both partners worked on it.
  • Real estate property bought before marriage but was paid off or improved using money earned during the marriage.

The probate court examines all the evidence, including financial records and testimonies, to classify each property accurately. But if there’s disagreement over this, it can slow down the whole process and might even require legal intervention.

Advocate for you and your loved one in probate court

Losing a loved one is a challenging experience, and dealing with their estate can add to the emotional burden. If they pass away without a will, there are legal resources available that can help you stand up for your rights and ensure their wishes are honored.