Pereira accounting is one of the two manners in California community property law that explains how to deal with community funds and/or labor used to enhance the value of separate property. The method is named after a 1909 divorce case, Pereira v. Pereira. [1] To calculate, courts will add the original principal amount of the business which is separate property to a reasonable rate of return expected from the nature of that business. The result is considered separate property. The remaining amount of the business is considered part of the community. This method is preferred when the management of the spouse was the primary cause of the growth or productivity of the business. In the case where the character of the business is the main reason for its growth and production, Van Camp accounting should be used. [2]
Pereira is used when the appreciation of the business is due to the skills, efforts or talents of the spouse who is working in the business. In that case, the separate property is awarded the initial investment plus a reasonable interest rate, as if the capital had been invested. The remainder of the profits are community property. [3] Typical businesses that would be considered for Pereira accounting: single person professions or very small businesses such as sole proprietorships, or businesses where the efforts of the owner-spouse comprise more than 50% of the labor to grow the company's value.
Pereira accounting is typically chosen when the business was spousal labor-intensive (typically smaller and/or labor-intensive businesses).
Van Camp accounting is typically chosen when the Business itself or economic factors produced the profits (typically larger and generally more capital intensive businesses). [4]
Divorce is the process of terminating a marriage or marital union. Divorce usually entails the canceling or reorganizing of the legal duties and responsibilities of marriage, thus dissolving the bonds of matrimony between a married couple under the rule of law of the particular country or state. Divorce laws vary considerably around the world, but in most countries, divorce requires the sanction of a court or other authority in a legal process, which may involve issues of distribution of property, child custody, alimony, child visitation / access, parenting time, child support, and division of debt. In most countries, monogamy is required by law, so divorce allows each former partner to marry another person.
Alimony, also called aliment (Scotland), maintenance, spousal support and spouse maintenance (Australia), is a legal obligation on a person to provide financial support to their spouse before or after marital separation or divorce. The obligation arises from the divorce law or family law of each country. In most jurisdictions, it is distinct from child support, where, after divorce, one parent is required to contribute to the support of their children by paying money to the child's other parent or guardian.
Legal separation is a legal process by which a married couple may formalize a de facto separation while remaining legally married. A legal separation is granted in the form of a court order. In cases where children are involved, a court order of legal separation often makes child custody arrangements, specifying sole custody or shared parenting, as well as child support. Some couples obtain a legal separation as an alternative to a divorce, based on moral or religious objections to divorce.
A prenuptial agreement, antenuptial agreement, or premarital agreement, is a written contract entered into by a couple prior to marriage or a civil union that enables them to select and control many of the legal rights they acquire upon marrying, and what happens when their marriage eventually ends by death or divorce. Couples enter into a written prenuptial agreement to supersede many of the default marital laws that would otherwise apply in the event of divorce, such as the laws that govern the division of property, retirement benefits, savings, and the right to seek alimony with agreed-upon terms that provide certainty and clarify their marital rights. A premarital agreement may also contain waivers of a surviving spouse's right to claim an elective share of the estate of the deceased spouse.
Division of property, also known as equitable distribution, is a judicial division of property rights and obligations between spouses during divorce. It may be done by agreement, through a property settlement, or by judicial decree.
Matrimonial regimes, or marital property systems, are systems of property ownership between spouses providing for the creation or absence of a marital estate and if created, what properties are included in that estate, how and by whom it is managed, and how it will be divided and inherited at the end of the marriage. Matrimonial regimes are applied either by operation of law or by way of prenuptial agreement in civil-law countries, and depend on the lex domicilii of the spouses at the time of or immediately following the wedding..
Community property also called community of property is a marital property regime that originated in civil law jurisdictions but is now also found in some common law jurisdictions.. Community of property regimes can be found in countries around the world including Sweden, Germany, Italy, France, South Africa and parts of the United States. In civil law countries such as Spain, France and Germany, spouses can generally select one of several matrimonial regimes to divide property, with community property being one option, along with the separate property system and a participation system.
Usufruct is a limited real right found in civil-law and mixed jurisdictions that unites the two property interests of usus and fructus:
In a no-fault divorce the dissolution of a marriage does not require a showing of wrongdoing by either party. Laws providing for no-fault divorce allow a family court to grant a divorce in response to a petition by either party of the marriage without requiring the petitioner to provide evidence that the defendant has committed a breach of the marital contract.
Attorney's fee is a chiefly United States term for compensation for legal services performed by an attorney for a client, in or out of court. It may be an hourly, flat-rate or contingent fee. Recent studies suggest that when lawyers charge a flat-fee rather than billing by the hour, they work less hard on behalf of clients and clients get worse outcomes. Attorney fees are separate from fines, compensatory and punitive damages, and from court costs in a legal case. Under the "American rule", attorney fees are usually not paid by the losing party to the winning party in a case, except pursuant to specific statutory or contractual rights.
The judicial system of Israel consists of secular courts and religious courts. The law courts constitute a separate and independent unit of Israel's Ministry of Justice. The system is headed by the President of the Supreme Court and the Minister of Justice.
Pettkus v Becker[1980] 2 S.C.R. 834 was a landmark family law decision of the Supreme Court of Canada. The Court established a new formulation of the constructive trust as a remedy for unjust enrichment based on the ideas of Professor Donovan Waters, and in particular the requirements for such constructive trust in a common law relationship separation. The Pettkus formulation of constructive trust was subsequently adopted elsewhere in the common law world.
A putative marriage is an apparently valid marriage, entered into in good faith on the part of at least one of the partners, but that is legally invalid due to a technical impediment, such as a preexistent marriage on the part of one of the partners. Unlike someone in a common-law, statutory, or ceremonial marriage, a putative spouse is not legally married. Instead, a putative spouse believes themselves to be married in good faith and is given legal rights as a result of this person's reliance upon this good-faith belief.
This article is a general overview of divorce laws around the world. Every nation in the world allows its residents to divorce under some conditions except the Philippines and the Vatican City, an ecclesiastical sovereign city-state, which has no procedure for divorce. In these two countries, laws only allow annulment of marriages.
United States trust law is the body of law regulating the legal instrument for holding wealth known as a trust.
Family law in Canada concerns the body of Canadian law dealing with domestic partnerships, marriage, and divorce.
Divorce in the United States is a legal process in which a judge or other authority dissolves the marriage existing between two persons. Divorce restores the persons to the status of being single and permits them to marry other individuals. In the United States, marriage and divorce fall under the jurisdiction of state governments, not the federal government.
Van Camp accounting is one of the two methods California community property law uses to deal with community funds and/or labor used to enhance the value of separate property. The method is named after a 1921 divorce case, Van Camp v. Van Camp.
The Custom of Paris was one of France's regional custumals of civil law. It was the law of the land in Paris and the surrounding region in the 16th–18th centuries and was applied to French overseas colonies, including New France. First written in 1507 and revised in 1580 and 1605, the Custom of Paris was a compilation and systematization of Renaissance-era customary law. Divided into 16 sections, it contained 362 articles concerning family and inheritance, property, and debt recovery. It was the main source of law in New France from the earliest settlement, but other provincial customs were sometimes invoked in the early period.
Under a community property regime, depending on the jurisdiction, property owned by one spouse before marriage, and gifts and inheritances received during marriage, are treated as that spouse's separate property in the event of divorce. All other property acquired during the marriage is treated as community property and is subject to division between the spouses in the event of divorce. The United States has nine community property states: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. Three other states have adopted optional community property systems. Alaska allows spouses to create community property by entering into a community property agreement or by creating a community property trust. In 2010, Tennessee adopted a law similar to Alaska's and allows residents and non-residents to opt into community property through a community property trust. Most recently, Kentucky adopted an optional community property system in 2020, allowing residents and non-residents to establish community property trusts.
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