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19 Cards in this Set

  • Front
  • Back
Tort Liability
Generally CP assets are liable

If done for benefit of community --> CP first, SP second

If not for benefit of community --> SP first, then CP; non-tortfeasor spouse's SP cannot be reached
Management Rules
Equal Management Powers

Each spouse has equal management and control over property --> power to buy or sell CP and contract debts without other spouse's joinder or consent

GIFTS of CP require other spouse's consent

See Personal Belongings, Business Exceptions
Also Bank Accounts (strictly individual ones)

See also Real Property Conveyances
Management Rules

Conveyances of Real Property
Both spouses mustexecute written instrument conveying real property

If title in one spouse's name only --> subsequent bona fide purchaser can take for consideration

BFP has no notice of other spouse --> 1 year SOL to void transfer

BFP has notice of other spouse --> no SOL

Non-transferring spouse can:
1) Ask for half of proceeds from sale

2) Void transaction (pay subsequent purchaser for paid amount) and get RP back
Management Rules Exceptions
Personal Belongings: Cannot sell or encumber personal property or community furniture without consent of spouse
--> transaction voidable by other spouse at any time -- do not have to pay back whoever got the property

Business Exception: If spouse operates all or substantially all of business, they have management + control UNLESS to sell, lease, or encumber substantially all (they need consent to do so)
Creditors' Rights -- Generally
Creditors can reach the debtor spouse’s SP and all of the CP for debts incurred before or during marriage.

A nondebtor spouse, however, is not responsible for SP earnings
(1) held in separate bank account
(2) not commingled;
(3) where debtor has no withdrawal rights.
Creditors' Rights -- Necessaries of Life
Nondebtor’s SP is liable for necessaries

food, shelter, med expenses, incurred by debtor spouse during marriage

IF CP funds available to pay for medical bills, SP can be reimbursed with those funds
Creditors' Rights -- @ Divorce
After divorce, credit cannot reach CP awarded to a spouse (that becomes their SP) unless court assigns debt to that spouse
Creditor's Rights - @ Death
Probate Code requires debt of a decedent be characterized as CP or SP and deducted from the appropriate classification
Creditors Rights - @ death
(set-aside law)

Surviving spouse personally liable for all of SP's debts through CP and SP
Multistate/Conflict of Laws

Property acquired while domiciled in non-community property state that would have been community property if couple domiciled in CA --> quasi-community property (QCP)

Generally treated as SP during marriage (except for debt collection -- creditors can reach as QCP)

@ divorce -- split 50% - 50%

@ death
depends on whether acquiring/non-acquiring spouse:
Acquiring spouse obviously gets at least 50%

BUT if acquiring spouse dies before non-acquiring spouse --> non-acquiring spouse gets all

BUT if acquiring spouse survives non-acquiring spouse -->
non-acquiring spouse gets nothing
Court can award 50-50 split by: 1) assigning other property show split effectuated
2) ordering party with title in another state to sell property and divide profits
Property Acquired Outside Marital Relation --
Common Law Situations
CA does not recognize common law marriage but enforces common law marriages validly contracted to in other states

Property acquired during those non-CA valid common law marriages is quasi-marital property (treated as CP)

Marvin situations
K law governs

express/implied from conduct

NOT INCLUDED: sexual service Ks (against public policy)
Putative Spouse
No valid marriage existed, however spouse believed they were married.

Property acquired during putative spouse relationship is quasi-marital property (treated as CP) IF:

1) reasonably objective 2) good faith belief in marriage
3) solemnization
Essay Boilerplate
California is a Community Property state. In California, there is a community property presumption where assets acquired during marriage are assumed community property. There are four separate categories that do not fall into this presumption. They are (before, gifts, wills/inheritance, separate property).

The characterization of an asset as community or separate property depends on three factors: 1) the source of an item, 2) actions of the parties that may have altered the character of the item, and 3) statutory presumptions affecting the item.
Setting Aside Judgment on Property Distribution

CCP 473(b)
No time limit:

extrinsic fraud (not allowing party to testify)
extrinsic mistake (inability to testify because of issue outside of proceeding)

Within 6 mos. from judgment:

intrinsic fraud (making stuff up)
intrinsic mistake (basic misunderstanding of terms)
Setting Aside Judgment on Property Distribution

Within (one) year:

actual fraud
non-disclosure (time starts running upon discovery)

Within (two) years:

mental incapacity

With exception of non-disclosure, time starts running upon judgment
Management Rules --
Fiduciary Duty

1) fiduciary standard = gross negligence/recklessness that results in substantial impairment

2) includes duty to account

3) consent required when gifts, personal belongings, and substantial transactions
Rights to Reimbursement
3 years upon discovery of reimburseable transaction


@ death/divorce