When Does Marital Property Get Valued for Distribution?

Anyone who is considering divorce or planning to file for divorce in Tampa will need to understand how the distribution of marital property works under Florida law. Florida is an equitable distribution state, but in a Florida divorce, courts presume that marital assets and liabilities should be divided equally unless there is a justification for an unequal (and thus equitable) distribution. In order for property to be divided according to Florida’s definition of equitable distribution, all marital property must first be valued. When does this valuation occur, and what do you need to know about how property will be valued? Our Tampa divorce attorney can explain in detail.

Date of Valuation is at the Court’s Discretion 

Under the Florida Statutes, the date on which marital property is valued is essentially at the court’s discretion. The statute says:

“The date for determining value of assets and the amount of liabilities identified or classified as marital is the date or dates as the judge determines is just and equitable under the circumstances.”

In other words, based on what the court determines to be just and equitable to the parties under their specific circumstances, the court can decide the date (or dates) on which to value marital property. The language of the statute also means that not all marital property must be valued on the same date. If it is just and equitable to value different parts of marital property at different dates, the court has the ability to value that property on different dates. Indeed, the statute says that “different assets may be valued as of different dates as, in the judge’s discretion, the circumstances require.”

Court’s Discretion Does Have Some Limits 

The statute does not expressly list factors for deciding what is “just and equitable” under the circumstances, but the court does have to rely on competent and substantial evidence for deciding the date on which marital property will be valued.

In addition, the recent Florida case of Bellegarde v. Bellegarde (2024) showed that a trial court’s valuation date can be overturned based on what is equitable. In that case, the trial court initially valued a marital home on the date of a divorce filing, which occurred approximately 7 years after the date of separation. Upon appeal, the court determined that valuing some assets upon the date of separation may be more equitable than valuing property on the date a divorce case is filed, especially in circumstances where the parties have been separated for a significant period of time and one of the parties substantially contributed to the increase in value of the property since the date of separation.

Contact a Tampa Divorce Attorney Today 

The date at which marital assets and liabilities are valued can have a significant impact on a divorce, including the financial circumstances of both parties after the divorce and the way in which assets and debts are distributed between the parties. If you have any questions or concerns about the date of valuation for marital property in your forthcoming divorce, it is essential to seek legal advice. An experienced Tampa divorce lawyer at The Law Office of Laura A. Olson, P.A. can speak with you today to learn more about your circumstances and to begin working with you on your plans for divorce.

Sources: 

leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/Sections/0061.075.html

caselaw.findlaw.com/court/fl-district-court-of-appeal/116459774.html