Personal Injury Settlement and Divorce: What You Need to Know
If you are considering a personal injury settlement and you are also in the process of getting a divorce, you need to be aware of the potential implications. A personal injury award can be affected by the divorce in a number of ways, and it is important to understand how your settlement will be handled if things don’t go as planned. In this blog post, we will explore some of the things you need to know about personal injury settlements and divorces.
A personal injury settlement can be greatly affected by a divorce. This is especially true if the settlement involves assets or money that is jointly held by the married couple. But what happens to the award when the couple divorces? The answer, unfortunately, is not always straightforward. It depends on a number of factors, including the state in which the couple lives, the nature of the personal injury award, and how the couple’s assets are divided in the divorce. In order to protect your interests, it is important to work with an experienced personal injury attorney who can help you negotiate a settlement that takes into account potential divorce proceedings.
The first thing to understand is that a personal injury award is considered to be marital property in most states. This means that it is subject to division in a divorce just like any other asset, such as a house or a car. However, there are some exceptions. For instance, if the personal injury award was given to only one spouse, it may be considered to be that spouse’s separate property. This spouse should seek the advice of a personal injury lawyer as soon as possible.
Another factor that can affect how a personal injury award is divided in a divorce is the nature of the award itself. For example, if the award is for pain and suffering, it may be considered to be non-liquid and, therefore, not subject to division. On the other hand, if the award includes compensation for lost wages, it may be considered to be liquid and subject to division.
Finally, it’s important to understand that even if a personal injury award is considered to be marital property, it does not necessarily mean that it will be evenly divided between the spouses in a divorce. In many states, courts will take into account a number of factors when deciding how to divide marital property, including each spouse’s income and earning potential, their age and health, and their role in raising any children from the marriage. As a result, there is no guarantee that an equal split will occur.
A personal injury award can have a significant impact on a couple’s divorce. However, there is no one-size-fits-all answer when it comes to dividing the asset in a divorce. A personal injury settlement may be affected by a divorce, and it is crucial to understand how that will impact your case. The best way to determine how your personal injury award will be affected by your divorce is to speak with an experienced divorce attorney in your state who can evaluate your specific situation.