 |
 |
Before 1973 in Arizona, the husband was in charge of the management and control of the community property of marriage. Generally speaking, community property includes most of the property acquired during marriage. Married women were not permitted to make contracts binding this property. In 1973, the law changed. Since that time, each spouse has had equal management, control and disposition over community property. Either spouse can separately acquire, control or dispose of this property. This right to manage and control includes the right to bind the community with debt. For example, if a purchase requires borrowing money to finance it, either spouse can complete the transaction without participation by the other. The bank or other lender may require both signatures on loan documents, but this is not required for the marital community to be liable. One spouse may not "disavow" the purchase of the other. Equality under the law does not allow one spouse to control the purchasing habits of the other. Like so many other areas of the law, there are a few exceptions to this general rule of separate control. For example, both husband and wife must join in a transaction involving the purchase, sale or encumbrance of real estate or a lease of real estate where the lease is for more than one year. In addition, both husband and wife must join in any transaction to guarantee the debt or obligation of another. For example, if parents are going to guarantee their child's automobile loan, both must join for it to be enforceable against the community property. Business or financial equality may be practiced within any particular marriage, but, with few exceptions, the law no longer distinguishes between husband and wife in the area of community property management. The only surprise to most is that it was so long in coming. |