When unmarried couples plan their estates in California, they face different challenges than married couples, especially regarding property ownership. California is a community property state, meaning that assets acquired during a marriage automatically become joint property. For unmarried couples, however, the rules differ, and property division can become more complicated. Here’s a breakdown of how California law treats property owned by unmarried couples.
Property ownership and unmarried couples
Unmarried couples don’t automatically share ownership rights over property, even if they’ve lived together for many years. Without a formal agreement, each person typically owns their own property. If both parties purchase property together, they should make sure the title reflects joint ownership. If not, one person may be considered the sole owner, even if both contributed to the purchase.
Rights in case of separation
Unmarried couples lack the same legal protections in the event of separation that married couples have. In a divorce, California law provides guidelines for dividing property, but unmarried couples don’t benefit from those guidelines. If a couple separates, property division depends on legal agreements, like a cohabitation agreement, or principles of “implied partnership.” Without such agreements, disputes over property can lead to lengthy and costly legal battles.
Estate planning considerations
Unmarried couples must focus on estate planning to protect each other’s interests. Without a will or trust, the surviving partner has no automatic claim to the deceased partner’s assets. California laws don’t extend the same protections to unmarried partners as they do to spouses. To ensure that their property passes to their partner after death, unmarried couples should create a will, living trust, or other estate planning documents.
Unmarried couples face unique challenges with property ownership in California, but with careful planning, they can safeguard each other’s rights.