Written by attorney Michele Marie Charbonneau

Restricted Stock Units (RSU's) in California Divorce Cases

RSU's have become more common in CA divorce cases. An RSU is a promise by an employer to issue a set number of shares to an employee in the future, upon satisfaction of certain vesting conditions. They can be either separate or community property (or part both) depending upon the facts.

Additional resources provided by the author

Marriage of Brown (1976) 15 C3d 838 Marriage of Frahm (1996) 45 Cal.App.4th 536, 544 Marriage of Lehman (1998) 18 C4th 169, 183 IRS “Section 83(b) election” Fam. Code §760 Civ. Code §687 Marriage of Bonds (2000) 24 C4th 1, 12. A spouse that contends that certain property acquired during the marriage is separate has the burden to overcome the presumption that it is community. Marriage of Mix (1975) 14 Cal.3d 604.

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