Cars are an important asset, and are often the subject of dispute in a divorce—whether the couple owns or leases one car or multiple cars. Because cars are property and often purchased or leased with marital assets (funds), they are subject to the court’s decisions on how to divide the property. If the parties to a divorce are not able to agree on the transfer of ownership (title) and responsibility for payment of any car loans and insurance, the judge or jury may make these decisions for the parties.
In Indiana, as in many states, cars are considered personal property and can become a point of contention during a divorce. Indiana follows the 'equitable distribution' model, which means that the court will divide marital property in a manner that it deems fair, though not necessarily equal. Marital property typically includes assets acquired during the marriage, which can encompass vehicles purchased or leased with marital funds. If a divorcing couple cannot agree on how to divide their vehicles, the court will make a determination. This decision will take into account factors such as the value of the vehicles, the financial situation of each party, and any existing loans or leases. The court will decide who gets ownership of each vehicle and will also address the responsibility for any associated debts, such as car loans and insurance obligations. It's important to note that an 'equitable' division is based on fairness and the specifics of the couple's situation, not strictly on a 50/50 split.