Although Katy Perry's divorce was relatively painless despite the amount of the money involved, there are still some matters to be sorted out.
One of these involved Russell Brand leaving Katy Perry's home in California, as reported by Houston Chronicle.
To be more specific, he gave up his stake in the $6.5 million he used to share with his once-wife. The legal method Russell Brand used to leave Katy Perry's home involved a quitclaim deed.
In a divorce, when one spouse elects to keep the home, the other spouse often signs a quitclaim deed, which severs any claims he or she has to the property.
However, warns FindLaw’s KnowledgeBase, using a quitclaim deed after divorce only removes the other spouse’s name from the home’s title — it does not take his or her name off the mortgage.
One way to take a name off a lease is to refinance the mortgage. Another way is to use a release of liability.
A release of liability is a relatively simple way to take another person’s name off a mortgage. But, not all lenders allow releases of liability, and not all borrowers qualify for them. If the mortgage balance is greater than the value of the home, a release of liability is not possible.
To prove their eligibility for a release of liability, individuals seeking the dispensation typically must provide their tax return, monthly bank statements, and investment statements. Obviously, in Katy Perry’s case, all of these statements are going to be pretty solid, since she’s worth nearly $50 million.
- Find a Houston Family Law attorney (FindLaw)
- Marital Agreements in Texas (FindLaw’s KnowledgeBase)
- What are the Texas Rules for Separate and Community Property? (FindLaw’s Houston Family Law Blog)
- Divorce Overview (FindLaw)