Under Swedish law, spouses who have divorced are obligated to carry out a division of property, known as bodelning. This division is essentially a private agreement between the spouses, and as long as you both agree, you can generally divide your assets and liabilities as you see fit. The rules in the Swedish Marriage Code (Äktenskapsbalken) regarding equal division only come into play if you cannot reach an agreement.
All Property Classified as Maritial Property is Included in the Division of Property
In a division of property, all assets classified as marital property (giftorättsgods) must be included. The fundamental principle under the Swedish Marriage Code is that all assets owned by either spouse are considered marital property and are therefore subject to division. It does not matter which spouse legally owns the property; all marital property owned by either spouse must, as a general rule, be included in the division.
The type of property is also irrelevant – all property, whether it is bank accounts, real estate, vehicles, boats, etc., is subject to the rules of division. However, certain personal belongings are exempt from the division process.
Private Property is Excluded from Division of Property
However, property classified as private property (enskild egendom) is not included in the division. Private property refers to assets that you and your spouse have designated as such through a prenuptial agreement or property received by either of you as an inheritance or gift, with the stipulation that it is to remain private property. There are also certain possibilities for property to be classified as separate through beneficiary designations in certain insurance policies and pensions.
The fact that property is classified as private means that the owner retains it and it is not subject to division. For example, if you own a car that is classified as private property, you will keep the car and will not have to share it or its value with your former spouse.
Swedish Law May Not Apply to the Division of Property in an International Divorce
The fact that your divorce takes place in Sweden does not automatically mean that the division of property will be governed by Swedish law. In international divorces, it is not uncommon for the divorce itself to take place in one country, while the division of property is governed by the laws of another country. The determining factors for which country’s law applies to the division of property are primarily the time and place of your marriage and the countries in which you have resided since the marriage.
If your marriage has an international connection, it is crucial to investigate as early as possible which country’s law will apply to the division of property. In some situations, it is even possible to “steer” the division towards the legal framework of a specific country. However, this may require some foresight, so it is important to act in a timely manner.
Do Not Wait Too Long to Complete the Division of Property
Even though there is no fixed deadline under Swedish law for when the division of property must be completed, it is generally advisable not to delay this process. As time passes, it becomes more difficult to recall which assets and liabilities existed on the so-called “cut-off date” (brytdag). If a long time passes, it can also be challenging to obtain copies of documents such as bank statements and loan notices. Additionally, the valuation of assets must be based on their value at the time of the division, which can lead to complex situations if there is a significant delay between the divorce and the division of property.
Engage a Family Lawyer to Assist You with the Division of Property
The division of property can be a very complex process, particularly in the case of international divorces. It is also crucial that the division is carried out correctly and that a written agreement regarding the division is drafted.
Therefore, it is always advisable to engage a family lawyer in connection with a division of property. This applies even if you and your former spouse agree on how to divide the property. By hiring a family law attorney, you can be sure that you receive what you are entitled to in the division of property and that the legal documents prepared are properly drafted.
