We wrote last week here on our Tustin California Family Law Blog about community property laws and the process California couples go through to divide their property at the end of a marriage. There are many potential complicating factors that can give rise to disputes, one of which is when partners in a marriage are also partners in a business.
As a recent example, news broke last week that Grammy-nominated singer and reality television show personality Tamar Braxton has filed for divorce from her husband and manager, Vincent Herbert. The couple wed in 2008. Braxton is the sister of singer Toni Braxton, and a 2011 reality television series focusing the Braxton sisters gave Tamar Braxton's music career a lift. Braxton indicated in her divorce filing that she wants their 4-year-old son to live with her, albeit with a joint custody arrangement.
With Herbert as her manager, much of the income from Braxton's career in the entertainment industry will likely be considered community property in California, with each partner entitled to an equal share. This includes income from the 2011 television series and Braxton's subsequent musical success, all of which occurred after the marriage in 2008. That is, of course, unless the couple has a prenuptial agreement, in which case they would most likely have agreed to terms regarding property division in advance.
Marrying a business partner -- or forming a business with one's spouse after getting married -- can have undeniable benefits when the couple shares a passion for something and can each bring unique talents to the mix. Should the marriage end, however, it is important to seek experienced legal counsel to help ensure that one's rights are fully protected.
Source: Us Weekly, "Tamar Braxton Files for Divorce From Vincent Herbert After Nearly Nine Years of Marriage," Nicholas Hautman, Oct. 25, 2017