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III. Circumstances
where marital property and debts may be ...
... divided unequally.
This occurs in relatively rare circumstances. Some examples:
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Prenuptial agreement —
see IV (A) ["Special property issues"].
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Short-term childless marriage.
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Definition of "short-term" is not precise, but would usually
include marriages of less than two years and may include longer
marriages, if there are no significant intervening factors.
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Typical outcome:
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the court will attempt to restore the parties to their
premarital status.
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any increase/decrease in net worth is shared equally, but
see Section II A 5 ["Separate property issues"].
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A different outcome may be expected if one party has become
economically disadvantaged by a significant intervening factor, for
example:
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development of a serious health problem.
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financial set back resulting from the marriage, such as giving
up employment or relocating.
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When one or more equitable factors dictates an unequal property
division:
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Source/contribution, sometimes difficult to
differentiate from "separate property" claim,
see II ["Separate property issues"]..
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Need/health/age/disparity in income, though often adjusted through
spousal support.
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Fault, cannot be given disproportionate weight. Sparks v
Sparks, 440 Mich 141 (1992); McDougal v McDougal,
451 Mich 80 (1996).
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Fault in the breakdown of the marriage rarely dictates a
disproportionate property division unless the conduct is extreme or
has economic consequences. Examples:
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Significant abuse — physical or emotional.
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Blatant infidelity — particularly combined with diversion of
income or assets.
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Wanton dissipation of assets.
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Criminal conduct.
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Fault is not a basis for punitive inequitable division. If fault
is established and there is no countervailing factor, shift would
rarely exceed 5-10%.
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Fraudulent transfer or concealment of assets. In some cases, the
hidden asset could be awarded wholly to the innocent spouse, but there
is no automatic rule of forfeiture. Sands v Sands, 442
Mich 30 (1993).
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