What happens when non-marital property is commingled with marital property in community property states?

In community property states, when non-marital property is commingled with marital property, it generally becomes community property. This occurs because the nature of the property can change when it is mixed together. The law presumes that when spouses share assets, any property that has been commingled loses its classification as separate property. For example, if one spouse has a non-marital asset and deposits it into a joint account that is used for family expenses, that asset may be deemed to have become part of the community property because it is now treated as jointly owned due to its integration into the marital economy.

In contrast, retaining the non-marital property status, legally separating assets, or requiring a court division does not typically apply as they would not accurately reflect the legal principles governing commingling in community property states. The principle of commingling implies that the traceability of the original non-marital property becomes blurred, and thus it transitions into community property through shared use or possession.