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Property Division — Frequently Asked Questions

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This information is for general educational purposes only and does not constitute legal advice. Every case is different. For advice specific to your situation, schedule a consultation with a licensed South Carolina family law attorney.

Below are answers to the most common questions our clients ask about the division of marital property and debts in South Carolina. These questions cover equitable distribution, how specific assets are classified, and how the court values and divides property.

For additional information, see our article on high-asset and complex divorces in South Carolina and our video on equitable division of marital assets.

31. How is marital property divided?

The court seeks an "equitable division," which usually means a 50/50 split of all assets and debts acquired during the marriage. This can vary based on the length of the marriage, contributions of each party, and other statutory factors.

S.C. Code Ann. §§ 20-3-620, -630.
32. Is my inheritance marital property?

Generally, no. An inheritance kept in a separate account in your name alone is non-marital property. However, if you comingle it — for example, by depositing it into a joint account or using it to purchase the marital home — it may become "transmuted" into marital property.

S.C. Code Ann. § 20-3-630(A)(1); Wilburn v. Wilburn, 403 S.C. 372, 743 S.E.2d 734 (2013); Wannamaker v. Wannamaker, 305 S.C. 36, 406 S.E.2d 180 (Ct. App. 1991). Transmutation occurs when non-marital property is treated by the parties in a manner that evidences an intent to make it marital, such as through commingling, joint titling, or use in support of the marriage. Wilburn, 403 S.C. at 381.
33. Is my engagement ring marital property?

No. An engagement ring is a conditional gift given in contemplation of marriage. The condition is fulfilled upon marriage, at which point the ring becomes the separate, non-marital property of the recipient. If the engagement is broken before the marriage occurs, the ring must be returned to the donor regardless of who was at fault for the breakup.

Campbell v. Robinson, 398 S.C. 12, 726 S.E.2d 221 (Ct. App. 2012). "[A]n engagement ring by its very nature is a symbol of the donor's continuing devotion to the donee. … [U]ntil the condition underlying the gift is fulfilled, the attempted gift is unenforceable and must be returned to the donor upon the donor's request." 398 S.C. at 19–20. The Court held that fault in the breakup of the engagement does not determine ownership of the ring.
34. Are gifts between spouses during the marriage marital property?

Yes. Gifts given between spouses during the marriage (such as jewelry or cars) are generally considered marital assets subject to equitable division.

S.C. Code Ann. § 20-3-630.
35. Who keeps the house?

Usually, one spouse buys out the other's share of the equity. If neither can afford to do so, the house is sold and the proceeds are divided. The person keeping the house must refinance to remove the other spouse from the mortgage.

S.C. Code Ann. §§ 20-3-620, -630.
36. How do we value the house?

You can agree on a value (often based on a comparative market analysis or online estimate) or hire a professional appraiser. If you go to trial, the judge will decide the value based on testimony and evidence presented.

Hickum v. Hickum, 320 S.C. 97, 463 S.E.2d 321 (Ct. App. 1995).
37. What happens to our debts?

Marital debts (credit cards, loans) incurred during the marriage are also divided equitably, regardless of whose name is on the account.

S.C. Code Ann. § 20-3-620(B)(13); Hardy v. Hardy, 311 S.C. 433, 429 S.E.2d 811 (Ct. App. 1993); Smith v. Smith, 327 S.C. 448, 486 S.E.2d 516 (Ct. App. 1997).
38. Can I make my spouse pay for my student loans?

Generally, student loans are the responsibility of the person who took them out, unless you can show the loan proceeds were used for marital living expenses rather than solely for education.

S.C. Code Ann. § 20-3-620(B)(13); Hardy v. Hardy, 311 S.C. 433, 429 S.E.2d 811 (Ct. App. 1993); Smith v. Smith, 327 S.C. 448, 486 S.E.2d 516 (Ct. App. 1997).
39. Will I get part of my spouse's business?

If the business was started or built up during the marriage, it is a marital asset subject to equitable division. However, the court distinguishes between "enterprise goodwill" (the transferable value of the business itself) and "personal goodwill" (value attributable solely to the owner's individual reputation and relationships). Enterprise goodwill is marital property; personal goodwill is not. If the business relies entirely on the spouse's personal labor, it may have little "sellable" value beyond its tangible assets.

S.C. Code Ann. § 20-3-630; Moore v. Moore, 414 S.C. 490, 779 S.E.2d 533 (2015). Moore is the leading SC case distinguishing personal from enterprise goodwill, adopting the majority rule that "enterprise goodwill … attaches to the business and is not dependent on the continued presence of a particular individual" and is therefore subject to equitable distribution. 414 S.C. at 511.
40. What date is used to value our assets?

The marital estate is generally fixed on the date of filing. Debts incurred or assets acquired after the filing date are generally considered separate property.

S.C. Code Ann. § 20-3-630(A); Moore v. Moore, 414 S.C. 490, 779 S.E.2d 533 (2015); Hickum v. Hickum, 320 S.C. 97, 463 S.E.2d 321 (Ct. App. 1995).

If you have questions about the issues discussed on this page, call (803) 587-0472 or email Nick@NDMLaw.com to schedule a consultation with Attorney Nick Mermiges.

Law Office of Nick Mermiges, LLC
1720 Main Street, Suite 202
Columbia, SC 29201

Telephone: (803) 587-0472
E-mail: Nick@NDMLaw.com