Tracing follows separate funds through transactions to demonstrate their continued presence in a current asset. Methods include direct tracing of specific transactions and family expense presumptions attributing spending to community funds.
The burden rests on the party claiming separate character.
Alternative Names:
Asset Tracing|Property Tracing
Why it Matters?
Documentation gaps defeat tracing, since the claiming spouse must follow funds through each transaction and missing statements for any period breaks the chain, which makes account records the determinative evidence in these disputes. Family expense presumptions in community property states attribute spending to community funds first, which preserves separate contributions in a commingled account longer than direct tracing alone would.
Frequently Confused with
Related terms
Frequently asked questions
What defeats tracing?
What is the family expense presumption?
