Dividing Assets and Debts in Michigan Divorce

Understanding Property Division in Michigan

Facing divorce raises important questions about how assets, debts, and inherited property will be divided. Michigan law generally requires an equal split of assets and debts acquired during the marriage, but there are important exceptions.

If fault caused the marriage breakdown, the court may award a greater share to the non-faulting spouse.

Special Considerations for Short Marriages and Inherited Property

For marriages under 5 years, courts aim to restore parties to their pre-marriage financial positions. Inherited property, gifts, workers’ compensation, and personal injury settlements may be excluded from marital assets, but courts have discretion.

Factors courts consider include:

• Length of the marriage
• Intent of the donor
• Whether the property was commingled with marital assets

Even separate property can become marital if both spouses contributed to its upkeep or improvement, such as an inherited home maintained during the marriage.

Because property division can be complex and contentious, consulting an experienced divorce attorney is critical to protect your interests.