Property Division in North Dakota Divorce Cases
In North Dakota, the division of property during a divorce is governed by the North Dakota Century Code section 14-05-24. This statute stipulates that when a divorce is granted, the court shall make an equitable distribution of the property and debts of the parties. The valuation date for marital property and debt is either the date mutually agreed upon between the parties or sixty days before the initially scheduled trial date if no agreement is reached.
Out-of-Court Property Division
While the court has the authority to divide property, it is possible for parties to divide their property without going to court. This can be achieved through a marital settlement agreement or a property settlement agreement. These agreements are legal contracts that outline how the parties wish to divide their property and debts. They can be drafted with the assistance of attorneys and, once signed, are legally binding.
However, it’s important to note that even if the parties agree on the division of property, the court still has to approve the agreement. This is to ensure that the division is equitable and fair to both parties. If the court finds that the agreement is not equitable, it may reject the agreement and order a different division of property.
Compulsory Meeting and Information Exchange
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 in person or by electronic means to prepare a joint informational statement and a preliminary property and debt listing. This meeting is designed to facilitate the exchange of information and documentary evidence relating to the existence and valuation of assets and liabilities. This process can help parties reach an agreement on property division without going to court.
Mediation
In some cases, parties may choose to use mediation to resolve disputes about property division. Mediation is a process where a neutral third party, known as a mediator, helps the parties negotiate and reach an agreement. According to Rule 8.3 of the North Dakota Rules of Court, divorce cases involving property are eligible for mediation. However, any party may request an exemption from mediation under certain circumstances.
Restraining Provisions
It’s also important to note that during the divorce process, certain restraining provisions apply. According to 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, except for necessities of life or for retaining counsel to carry on or to contest the proceeding. If a spouse disposes of assets during the interim period, that spouse must provide an accounting to the other spouse within 30 days.
In conclusion, while the court has the authority to divide property in a divorce, parties can agree on the division of property without going to court. However, such agreements must be approved by the court to ensure they are equitable and fair. Parties can also use mediation to help resolve disputes about property division.