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 Oregon, as in many states, cars are considered personal property and can become a point of contention during a divorce. Oregon is an equitable distribution state, which means that in the event of a divorce, all marital property, including cars, is divided in a manner that is fair, but not necessarily equal. If a car was purchased or leased during the marriage with marital funds, it is likely to be considered marital property and subject to division. If the divorcing couple cannot agree on how to divide their cars, the responsibility for car loans, and insurance obligations, the court will intervene. The judge will make a decision based on various factors, such as the length of the marriage, the contribution of each spouse to the marital estate, and the economic circumstances of each spouse. The court's goal is to reach a fair division of property, which may result in one party being awarded the car while the other receives different assets or compensation. It's important to note that the division of property, including cars, can be complex, and an attorney can provide guidance specific to the individual's circumstances.