California Divorce Law...

Money received on account of personal injuries sustained during marriage is community property. But there are three exceptions. The exceptions are:

• An injury arising during separation or after the judgment of dissolution;
• If the lawsuit was one spouse against the other.
• If the court, considering the economic condition and needs of the parties, and considering the time that has passed since the injury happened or the money was received, wants to allocate the proceeds differently.

In the event of the third exception above, the court must allocate at least half to the injured party. This law is an exception to the general community property notion that all community property always gets split 50/50. The exception goes in favor of the injured party, because the court may award that party up to 100% of the proceeds.

Sections 2603, 780, 781.

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