Dividing assets during divorce is rarely an easy process. When it comes to high-value items, like a boat, the stakes of negotiation or litigation can be particularly high. As a result, it’s important for spouses to understand how the courts will handle disagreements about such assets if spouses and their legal teams cannot reach a mutually agreeable solution.
In Florida, the distribution of marital assets, including watercraft, is governed by the principles of equitable distribution when divorce cases become litigated matters. This means that the courts aim to divide the contents of a marital estate fairly, although not necessarily equally. What does this mean, practically speaking?
An estate, its valuation and distribution determinations
Before dividing a couple’s assets, it’s necessary to determine whether each is considered marital or non-marital property. Most of the time, property acquired during a marriage becomes part of a couple’s marital estate. However, there are some exceptions to this rule, including certain gifts and inherited assets that have not been commingled.
If it’s established that a boat is a marital asset, it’s important to accurately determine its value. The value of a boat can be appraised by a professional to better ensure an accurate assessment. A couple may be able to negotiate successfully after accurately valuing their significant assets. But, if they can’t reach an agreement, the court will consider several issues – including the following – when determining who gets to keep it post-divorce:
- Usage and contribution: If one spouse primarily uses the boat or contributes significantly to its maintenance and upkeep, the court might consider awarding the boat to that spouse.
- Economic circumstances: The court will evaluate each spouse’s financial situation. If one spouse has a greater need for liquid assets or other types of property, they might be compensated with different assets instead of the boat.
- Debt and liabilities: Any outstanding loans or debts associated with the boat will also be considered. The court may allocate the boat to the spouse better positioned to manage these financial obligations.
If you and your spouse are divorcing in Florida, and you’re concerned about who will get to keep your boat, know that seeking personalized legal guidance can help you determine how these broad legal principles may affect your circumstances uniquely.