How Is Property Divided During Divorce?

Oregon law divides property during a divorce using equitable distribution. Under this method, marital property is divided fairly but not necessarily equally between spouses. State law directs the court to decide what is just and proper in determining how and to whom the marital property is distributed. Before determining what property goes to which spouse, a list of all property must be submitted to the court. The court determines whether the property is community property or separate property.

Community property is property acquired during the marriage. Separate property is the property a spouse acquired before marriage or after marriage by inheritance, bequest or gift. By agreement between the spouses or by order from the court, the community property is divided and distributed equitably to each spouse. When a court distributes community property, it assesses what is just and proper based on facts and circumstances specific to the spouses to determine what property or percentage of the divisible property goes to each spouse. Separate property remains with the spouse who holds title, possession or ownership of the property. Spouses that have premarital agreements may have provisions in them that determine property division in case of divorce. If the court deems that the agreement is valid and the provision for dividing property is enforceable, the court divides the property as outlined in the premarital agreement.