Why Ending a Common Law Marriage Can Affect Your Financial Future
In Oklahoma, common law marriage holds the same legal weight as a traditional ceremonial marriage once proven by a court. This means that all the rights, responsibilities, and legal procedures tied to marriage apply equally. If you and your partner have lived as spouses without a formal ceremony but meet Oklahoma’s criteria for common law marriage, the law treats your relationship with full recognition. In re Hyde, 2011 OK 31, ¶12.
When a common law marriage ends, it is important to understand how retirement benefits, insurance policies, and other financial rights are affected. Unlike a formal divorce, Oklahoma does not recognize common law divorce. However, the legal end of your marriage is necessary to clarify your rights and obligations, especially when it comes to dividing assets or claiming survivor benefits. Without officially terminating the marriage, one party may be estopped from denying the existence of the marriage or the associated benefits, especially after death. Tatum v. Tatum.
Financial Consequences of Recognized Common Law Marriages
Once a court confirms a common law marriage, the surviving spouse has rights similar to those in a ceremonial marriage. For example, if a spouse passes away, the other may be entitled to death benefits, life insurance proceeds, or retirement payouts that name the spouse as a beneficiary. However, if the marriage ends, either by formal divorce or death, these benefits may be affected.
Oklahoma law provides that if a grantor divorces their spouse, any trusts or contracts naming that ex-spouse as a beneficiary are revoked by law. This revocation applies to life insurance, annuities, retirement accounts, and other death benefits created after November 1, 1989. Okla. Stat tit. 15 § 178. This means that without updating beneficiary designations after ending the marriage, benefits may unintentionally go to an ex-spouse.
Understanding these nuances is critical. For example, retirement systems governed by state statutes—such as the Firefighter’s Pension and Retirement System or the Oklahoma Public Employees Retirement System — have specific rules about how benefits are paid to surviving spouses or former spouses. Consulting with an Oklahoma attorney can help clarify how these rules apply to your situation.
How Property and Retirement Benefits Are Divided
When a common law marriage ends, the division of property and retirement benefits follows certain guidelines. Oklahoma law gives the surviving spouse the right to an “elective share” of the deceased spouse’s estate. This share can include up to 50% of the property acquired through the joint efforts of the spouses during the marriage, known as “joint industry property.” Okla. Stat tit. 84 § 44.
It is important to note that this elective share only applies to property acquired during the marriage. Property owned individually before the marriage or acquired separately afterward is generally not subject to division. The surviving spouse must exercise this right during their lifetime.
Without a formal court order ending the marriage, a surviving spouse may continue to claim these rights, even if one spouse believed the relationship had ended. This is where the absence of a recognized common law divorce creates complications, making legal guidance essential.
Alimony, Remarriage, and Death: What You Should Know
Alimony obligations in Oklahoma end when either party dies. Okla. Stat tit. 43 § 134(B). If the recipient spouse remarries, alimony typically ends unless the recipient files a motion within 90 days after the remarriage to continue receiving support, demonstrating ongoing need. Mathis v. Mathis, 2004 OK CIV APP 32. An annulment of the remarriage does not reinstate terminated alimony obligations. Kildoo v. Kildoo, 1989 OK 6.
These rules apply equally to spouses in a common law marriage that has been legally established. If you are navigating the end of such a relationship, understanding these deadlines and conditions is vital to protecting your rights.
Contact an Oklahoma Attorney Today
Terminating a common law marriage in Oklahoma involves complex legal and financial issues, especially regarding retirement, insurance, and death benefits. The process can affect your financial security and future planning. If you need legal help, call Divorce Law Office Of Tulsa at (918) 924-5526. Experienced guidance can reduce confusion and ensure your rights are protected during this challenging time.