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Business Interests

Learn about characterization rules applicable if one or both spouses own a business started before or during marriage.


An ownership interest in a business is a type of property. Consequently, if one or both spouses have an ownership interest, then a court will need to characterize it as either community or separate property to determine what portion, if any, is divisible upon dissolution.

I.     Businesses Started during Marriage Using Community Funds

A business started during marriage using community property funds is community property. Because of the community property presumption, a...