BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                       SB 1255|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
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                                   THIRD READING 


          Bill No:  SB 1255
          Author:   Moorlach (R) 
          Amended:  5/5/16 
          Vote:     21 

           SENATE JUDICIARY COMMITTEE:  6-0, 5/3/16
           AYES:  Jackson, Moorlach, Anderson, Leno, Monning, Wieckowski
           NO VOTE RECORDED:  Hertzberg

           SUBJECT:   Dissolution of marriage:  date of separation


          SOURCE:    Author


          DIGEST:  This bill defines "date of separation" for purposes of  
          the Family Code as the date that a complete and final break in  
          the marital relationship has occurred, as evidenced by a  
          spouse's expression of his or her intent to end the marriage and  
          conduct that is consistent with that intent, and updates the  
          Family Code to reflect this definition. 


          ANALYSIS:  


          Existing law: 


          1)Establishes that, except as otherwise provided by statute, all  
            property, real or personal, wherever situated, acquired by a  
            married person during the marriage while domiciled in  
            California is community property.  (Fam. Code Sec. 760.










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          2)Provides that the earnings and accumulations of a spouse while  
            living separate and apart are the separate property of the  
            spouse. (Fam. Code Sec. 771.)


          3)Provides that the community estate is liable for a debt  
            incurred before or during marriage, which does not, subject to  
            agreement, include any period during which the spouses are  
            living separate and apart. (Fam. Code Secs. 910, 914, and  
            4302.)


          This bill: 


          1)Defines "date of separation" to mean the date that a complete  
            and final break in the marital relationship has occurred, as  
            evidenced by the spouse's expression of his or her intent to  
            end the marriage and conduct that is consistent with that  
            intent. 


          2)Requires a court to consider all relevant evidence in  
            determining the date of separation.


          3)Recasts provisions of the Family Code in terms of "date of  
            separation" rather than any period in which spouses are  
            "living separate and apart."


          4)States that the Legislature intends to abrogate In re Marriage  
            Davis and In re Marriage Norviel.


          Background


          California is a community property state.  Except as otherwise  
          provided by statute, community property is generally defined as  
          all property, real or personal, wherever situated, acquired by a  
          married person during the marriage while domiciled in  








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          California. (Fam. Code Sec. 760.) Under a community property  
          system, one-half the earnings of each spouse is owned by the  
          other spouse.  Separate property, which is property acquired  
          before marriage, by gift or inheritance, or after the spouses  
          are living "separate and apart," is the separate property of  
          that spouse. (Fam. Code Secs. 770-771.) 


          Unlike a determination of spousal support where courts are given  
          certain amounts of discretion to create a fair award based on  
          the circumstances of the parties (see Fam. Code Sec. 4320), the  
          disposition of separate and community property are strictly  
          governed by statute.  Existing case law over the past 140 years  
          (with the exception of the Supreme Court's decision In re  
          Marriage of Davis (2015) 61 Cal.4th 846) has required that to  
          qualify as living "separate and apart" a party must have no  
          intention of resuming marital relations and that the conduct of  
          the party evidences a complete and final break in the marital  
          relationship.  Davis and In re Norviel (2002) 102 Cal.App.4th  
          1152 are the only published cases to analyze the circumstances  
          of a party claiming to be separated while living in the same  
          residence, and both cases concluded that living in separate  
          residences is a threshold requirement. 


          In Davis, the husband argued that spouses cannot be living  
          "separate and apart" while maintaining a single residence.  He  
          contended that this bright-line rule served to provide clear  
          guidance to judges and offered predictability to litigants.  
          Inversely, the wife argued that the court should instead  
          consider the totality of the circumstances when determining the  
          date of separation based on the conduct of the spouse(s)  
          "evidencing a complete and final intent to part ways with no  
          plan of resuming the marital relationship, even if at that time  
          they are still living in the same residence." (Davis at 850.)   
          Both parties claimed that the other spouse's proposed  
          interpretation was unworkable and would lead to harsh results. 


          The California Supreme Court reversed the lower court's  
          decision, thereby affirming Norviel which held that "living in  
          separate residences is an indispensable threshold requirement  








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          for finding that spouses are living separate and apart" for the  
          purposes of determining what is separate, and not community,  
          property.  (Davis at 865.)  Chief Justice Tani Cantil-Sakauye,  
          writing for a unanimous Supreme Court, emphasized both the plain  
          language and historical interpretations of the statute, and the  
          public policy considerations behind the statutory language,  
          namely that a bright-line rule protects the lower earning  
          spouse. 


          This bill, seeking to restore the discretion that many courts  
          exercised in determining the date of separation, abrogates both  
          the Davis and Norviel cases, and defines "date of separation" as  
          the date that a complete and final breakdown of the marital  
          relationship has occurred, as evidenced by a spouse's express  
          intent to end the marriage, coupled with conduct consistent with  
          that intent, and requires the court to consider all relevant  
          evidence when determining a date of separation.


          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:NoLocal:    No


          SUPPORT:   (Verified5/5/16)


          American Academy of Matrimonial Lawyers, Southern California  
          Chapter
          Association of Family Conciliation Courts 
          Executive Committee of the Family Law Section of the State Bar 
          Family Law Section Beverly Hills Bar Association 


          OPPOSITION:   (Verified5/5/16)


          None received


          ARGUMENTS IN SUPPORT:     The Executive Committee of the Family  
          Law Section of the State Bar (FLEXCOM) argues that the  








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          bright-line rule created by the Supreme Court could result in  
          unfairness, which this bill remedies.  FLEXCOM writes: 


            The Supreme Court's ruling removes the ability for a divorcing  
            couple to continue to co-parent their children in the same  
            house during the divorce proceedings and still keep their  
            finances separate.  This forces at least one spouse to find  
            and pay for alternative housing in order to establish a date  
            of separation earlier than the final court order date at a  
            time when families are trying to closely monitor their  
            spending and transition the family unit through a trying time.  
             Often, one spouse cannot afford to move to a separate  
            residence, and can only afford such a move once a divorce is  
            finalized.  This bill would remedy this situation, ensuring  
            nobody is forced to either continue in a bad marriage, or face  
            being forced out of the residence.




          Prepared by:Nichole Rapier / JUD. / (916) 651-4113
          5/6/16 14:26:30


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