If you’re separated and still paying the mortgage on a jointly owned home, Maryland law may entitle you to a credit from your spouse at the time of divorce. Known as “Crawford credits”, named after the 1982 Maryland case Crawford v. Crawford, these credits recognize that one spouse shouldn’t bear the full financial burden of a shared property while the other contributes nothing. They can cover mortgage payments, property taxes, insurance, and other carrying costs paid after separation.
Crawford credits are not automatic, however, and there are important exceptions. If the paying spouse used marital funds to cover the home expenses, no credit will be awarded because both spouses already share an interest in those funds, making a separate credit inequitable. Courts may also deny credits where one spouse was involuntarily forced out of the home, where the parties had a prior agreement governing expenses, or where awarding credits would produce an unfair result given the broader financial circumstances of the divorce.
If you believe you’re owed Crawford credits, you must actively raise the issue and the source of funds you used to pay those expenses matters more than most people realize. Contact our office today at 301-356-4423 to discuss how property payments during your separation may affect your divorce case.
Maryland is an equitable distribution state which means the court will distribute marital property between you and your estranged spouse in a fair manner. You may have heard of Bitcoin, Zcash, Litecoin, and Ethereum as well as other forms of cryptocurrency but you still may be unsure of what cryptocurrency actually is. Cryptocurrency is a digital asset that can be purchased, sold, or exchanged. It is not an actual asset and they have no intrinsic value, thus making it difficult to measure their value. Cryptocurrency, if acquired during the parties’ marriage, is considered marital property.
Cryptocurrency poses difficulties in a divorce case as they are digital and not stored in a bank. Unless both parties know about cryptocurrency purchased during the marriage, it can be easy for one party to hide it from another. Hiding cryptocurrency is a common problem that many divorcing couples face. If you suspect that your spouse is lying about having cryptocurrency, your attorney has different options to help you track them down. These options include depositions, discovery, or hiring a forensic expert to help locate hidden assets.
It is illegal to hide assets in a divorce. If you have any questions about the divorce process or tracking down hidden assets, contact us today a (443) 741-2567 for a consultation.
There are new changes in Maryland divorce laws which will go into effect on October 1, 2023. These changes include:
Elimination of Limited Divorce. Under the current law of limited divorce, a couple could be married but living separately and file for a limited divorce. They could address issues of child custody, child support, alimony, and use and possession of the marital home. Starting October 1, 2023, parties will no longer be allowed to file for a limited divorce in Maryland.
Starting October 1, 2023, the following grounds will be eliminated for parties filing for an absolute divorce:
Desertion
Alimony
12 month separation
Insanity
Excessive vicious conduct
Criminal convictions leading to jail time
Under the new law, couples will be able to obtain a divorce based on two grounds: 1) mutual consent and 2) irreconcilable differences. If you are planning ahead for a divorce and have concerns as to how the new legislation will affect your case, we are here to answer your questions.