Overview
Vermont is an equitable distribution state, meaning courts divide marital property at divorce in a manner that is fair given the totality of the circumstances. Vermont’s statute lists the factors courts must consider, including the duration of the marriage, the age and health of the parties, their occupations, and each party’s contributions as homemaker. Vermont enforces prenuptial agreements under statute and common law.
What Counts as Marital Property?
Marital property in Vermont includes all property acquired by either spouse during the marriage, regardless of how title is held. This encompasses wages, real estate, retirement benefits earned during the marriage, and the appreciation of marital property through marital effort or funds. Vermont courts take a comprehensive view of the marital estate when making equitable distribution decisions.
What Stays Separate?
Separate property in Vermont includes assets owned before the marriage, gifts and inheritances received individually, and property excluded by a valid prenuptial agreement. Vermont courts generally protect premarital property and inheritances from division, particularly in shorter marriages. Commingling separate assets with marital funds can undermine their protected status.
Prenuptial Agreements in Vermont
Vermont enforces prenuptial agreements under Vermont Statutes Title 15 § 1204 and common law principles. A prenup must be in writing, voluntarily executed by both parties before the marriage, and based on fair financial disclosure. Courts will not enforce provisions that are unconscionable or obtained through fraud or duress. Vermont’s prenup standards are consistent with UPAA principles even though Vermont has not formally adopted the Act by name.
Key Considerations
- Vermont’s equitable distribution standard gives courts meaningful discretion — a prenup provides certainty about how assets will be treated at divorce.
- Vermont was the first state to recognize civil unions (2000) and later same-sex marriage; its family law framework is well-adapted to diverse family structures.
- Vermont does not recognize common-law marriage formed within the state.
- Prenups in Vermont should address both property division and spousal support, and are especially important for those with significant premarital real estate or investment holdings.
Key Statutes
- Vermont Statutes Title 15 § 751 (equitable distribution of marital property)
- Vermont Statutes Title 15 § 1204 (premarital agreements)
This is educational content, not legal advice. Consult a licensed Vermont family law attorney for guidance specific to your situation.