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 South Dakota, as in many states, cars are considered property and can become a point of contention during a divorce. When a couple divorces, their assets and debts must be divided. South Dakota follows the principle of equitable distribution, which means that the court will divide marital property in a way that it deems fair, though not necessarily equal. Marital property typically includes assets and debts acquired during the marriage, which can include cars purchased or leased with marital funds. If the divorcing parties cannot agree on how to divide their assets, including the ownership and financial responsibilities related to their cars, the court will make the decision for them. This can involve determining who will retain ownership (title) of the vehicles and who will be responsible for any outstanding loans and insurance payments. It's important to note that an equitable division is based on various factors, including the length of the marriage, the value of the property, and each party's economic circumstances.