Property Settlement

 

 

           A gavel is a small ceremonial mallet commonly made of hardwood, typically fashioned with a handle and often struck against a sound block to enhance its sounding qualities. It is a symbol of the authority and right to act officially in the capacity of a chair or presiding officer.^[1] It is used to call for attention or to punctuate rulings and proclamations. It is customarily struck to indicate the opening (call to order), keep the meeting itself calm and orderly, and the closing (adjournment) of proceedings, giving rise to the phrase gavel-to-gavel to describe the entirety of a meeting or session. It is also used by judges in the courts of some countries and by auctioneers to signal a sale.

An agreement entered into by a Husband and Wife in connection with a Divorce that provides for the division of their assets between them.

Property settlements can arise through agreement of the parties, subject to approval by the court, or by court order. Once approved, the settlement functions like a contract for enforcement or modification purposes. Some states use alternate terms to describe a property settlement, such as property agreement, settlement agreement, or separation agreement.

A property settlement involves the property that the couple obtained either before marriage or during marriage. The agreement also may include such issues as maintenance (otherwise known as Alimony) payments to one spouse or even custody of the children.

       

Function of a Settlement

• The function of a property settlement is to divide the assets and debts accumulated during the course of a marriage.

Effects

• Once you reach an agreement with your spouse regarding the assets and debts of a marriage and sign the settlement agreement, the court will include it as part of the final divorce decree.

Significance

• A property settlement agreement is significant. Once signed and incorporated into a divorce decree, a property settlement agreement can only be changed in rare circumstances.

Benefits

• By reaching a settlement agreement, you avoid having a judge decide who receives which assets and who is responsible for certain debts. Leaving these decisions in a judge's hands can result in a court order that might meet neither your nor your spouse's needs.

Expert Insight

• Drafting a settlement agreement should not be left to chance. Your interests--and those of your spouse--are best served by engaging the services of a qualified attorney to prepare this document.