VIII. Reimbursements

§8.01 Separate Property Contributions to Community Acquisition

When dividing community property you must order that a spouse be reimbursed for his or her contributions to the acquisition of property of the community estate to the extent the spouse can trace the contributions to a separate property source. If you order reimbursement, exclude interest or any adjustment for change in monetary values, and ensure the amount reimbursed does not exceed the property's net value at the time of division [FC §2640(b).]

If a spouse sells a separate property residence and converts it into a community property residence, the value of the separate property is a contribution to the acquisition of community property. For purposes of tracing, there is no rigid requirement that the spouse submit authenticated written documentation establishing an exact value. [Marriage of Stoll (1998) 63 CA4th 837, 841-843.]

But the use of separate property to pay community property credit card debts so that the community can qualify for a loan to purchase property is not a reimbursable contribution to the acquisition of the property. [Marriage of Nicholson & Sparks (2002) 104 CA4th 289, 296-297.]