Division of Property in North Dakota Divorce
In North Dakota, the division of property in a divorce is governed by the principle of equitable distribution, as outlined in North Dakota Century Code 14-05-24. This means that the court will divide the marital property and debts in a manner that it deems fair and equitable, but not necessarily equal. This principle applies to all types of property, including intellectual property.
Intellectual Property as Marital Property
Intellectual property, such as patents, copyrights, and trademarks, can be considered marital property if they were created or acquired during the marriage. As such, they are subject to division in a divorce. The court will consider various factors, such as the contributions of each spouse to the acquisition, enhancement, and production of income from the intellectual property, in determining how to distribute it.
Valuation of Intellectual Property
The valuation of intellectual property can be complex due to its unique nature. According to North Dakota Century Code 14-05-24, the valuation date for marital property is either the date mutually agreed upon by the parties or sixty days before the initially scheduled trial date if the parties cannot agree. If there is a substantial change in the value of an asset, such as intellectual property, between the valuation date and the trial date, the court may adjust the valuation to effect an equitable distribution.
Restraining Provisions
Under Rule 8.4 of the North Dakota Rules of Court, neither spouse may dispose of, sell, encumber, or otherwise dissipate any of the parties’ assets, including intellectual property, during the divorce proceedings, except for necessities of life, for the necessary generation of income or preservation of assets, or for retaining counsel to carry on or to contest the proceeding. If a spouse violates these provisions, they may be held in contempt of court.
Case Management in Divorce Cases
According to Rule 8.3 of the North Dakota Rules of Court, within 30 days after service of the divorce complaint, the parties and their attorneys must meet to prepare a joint informational statement and a preliminary property and debt listing. This includes information and documentary evidence relating to the existence and valuation of assets, including intellectual property.
In conclusion, the division of intellectual property in a divorce in North Dakota is a complex process that involves determining whether the intellectual property is marital property, valuing the intellectual property, and distributing it in a manner that the court deems fair and equitable. It is advisable for parties involved in a divorce where intellectual property is a significant asset to seek legal counsel to ensure their rights and interests are protected.