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3 Prong Community Property Agreement

In re Marriage of Ladner, (Div. I,
Unpublished, Filed March 31, 2008

Facts: William and Paulette Ladner married in 1991. In 1995, William received an inheritance from his father consisting of approximately $400,000 in cash and stock as well as a 1915 family home in Point Roberts, Washington. William had a massive heart attack on May 3, 1997. While he was in the hospital, his wife brought a 3 prong Community Property Agreement to the hospital which they signed. The CPA provided that all property that the parties owned was community property, that all property acquired by the parties in the future would become community property and that, upon the death of one of them, all community property would go to the survivor.

Decision: In Washington, everything acquired after marriage is presumed to be community property except property acquired as a gift or an inheritance. The inheritance that William received was his separate property but the parties may make agreements as to the status of their properties. In the present case, William argued that he was not competent to execute a CPA as a result of the medication he was taking in the hospital; however, the trial court did find him competent and enforced the Community Property Agreement.

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