The engagement ring is not only a symbol and promise of a happy and committed future of a couple intending to marry, it often is the single most expensive purchase by the prospective groom for his prospective bride other than the wedding itself. It is no wonder that when a marriage ends if the husband asks himself – and his attorney, if he can get back the engagement ring or if not, at least ask whether the ring is considered marital property such that its value will be divided. The short answer is that in North Carolina when a marriage fails, an engagement ring will be considered the separate property of the wife. While there is no case directly on point in North Carolina, North Carolina courts will likely follow the majority rule in other equitable distribution states which is that upon marriage, an engagement ring becomes unconditionally the separate property of the wife and will not be treated as marital property in the event of a separation and divorce.

The general rule is that an engagement ring is a conditional gift to the prospective bride – the condition being that the marriage take place. When the marriage occurs, the condition is met and the ring unconditionally becomes the separate property of the recipient. In order to constitute a completed gift in North Carolina there must be an intention to make a gift coupled with delivery of the gift and loss of dominion and control over the gift by the donor. When these elements are present, the gift is complete and becomes the unconditional property of the recipient. The giving of an engagement ring, absent an unequivocal statement to the contrary, is a completed gift conditional only upon the occurrence of the marriage. When the marriage occurs, the gift becomes unconditional. Unfortunately, even if the marriage is of a short duration the rule still applies.

The rule that an engagement ring will be considered as the separate property of the recipient in a divorce proceeding can be a serious point of contention in cases where the ring is a family heirloom from the husband’s side of the family. The husband and family will most certainly want the ring back in the event of a divorce. This potential for this problem should be anticipated prior to marriage by use of a prenuptial agreement which contains provisions for the return of the engagement ring to the husband’s family and reasonable compensation to the wife for the ring’s return.

Contributor: Carole S. Gailor: Carole S. Gailor, Raleigh Family Law Attorney is a leading North Carolina Divorce Lawyer. She is a Board Certified Family Law Specialist and a Fellow of American Academy of Matrimonial Lawyers. Ms. Gailor is a founding partner with North Carolina Family Law Firm of Gailor, Wallis & Hunt, PLLC.

For more information contact: North Carolina Family Law Firm, Gailor, Wallis & Hunt, PLLC, 1101 Haynes Street, Suite 201,Raleigh, NC 27604,Tel: 919-832-8488, www.gailorwallishunt.com.

Disclaimer: The information contained in this article is intended as a general guide and is not to be used as legal or tax advice by Gailor, Wallis & Hunt, PLLC. Whether or not you may be entitled to take action in regard to the information addressed in this article can only be determined after a thorough review of the facts and circumstances of your case by a qualified family law attorney.

This entry was posted on Wednesday, November 26th, 2008 at 5:47 pm and is filed under Separation and Divorce. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.