When Pre-Relationship Investments Complicate an Illinois Divorce

 Posted on November 30, 2025 in Divorce

In today’s society, more couples live together before marriage than those who do not. For example, 76 percent of recent marriages in the United States were preceded by cohabitation. Living together before marriage has become the norm, with almost 60 percent of adults aged 18-44 having lived with an unmarried partner at some point. Couples in Illinois increasingly live together – sometimes for years – before deciding to marry.

During those years, finances can become intertwined, as they do for married couples. One partner may invest in the other’s condo, help renovate a home, pay down student loans, or contribute to the other’s business, long before a wedding ever occurs.

But what happens many years down the road when the relationship ends in divorce and those pre-marital contributions create disputes that do not fit neatly into the state’s marital and non-marital property rules? An experienced DuPage County, IL family law attorney can help you understand how courts treat financial contributions made before marriage.

How Illinois Distinguishes Between Marital and Non-Marital Property

Under the equitable distribution rules (750 ILCS 5/503) of Illinois divorce, property acquired during the marriage is generally assumed to be marital, while property acquired before the marriage is considered non-marital. A home owned by one partner before the wedding, a business formed years earlier, or investments made while the couple was dating will typically remain non-marital property unless the property has been transmuted and/or commingled.

Transmutation can occur when the other partner is added to a deed, non-marital money is placed into a joint bank account, or one partner contributes significant money or labor toward a non-marital asset such that the underlying asset is no longer identifiable. The line between marital and non-marital assets can become even fuzzier when one partner contributed money, labor, or resources to improve the non-marital asset before the marriage. However, none of these contributions magically convert the non-marital asset into marital property, although they can create potential reimbursement claims when strict requirements are met.

Common Pre-Marriage Investment Scenarios

While there are likely as many pre-marriage investment scenarios as there are marriages, some of the more common ones include:

• One partner helps the other fund a down payment or mortgage prior to the marriage.
• One partner pays for renovations on a home that the other partner already owns.
• One partner puts money into the other’s pre-existing business or startup.
• One partner uses his or her personal funds to help the other pay down student loans or credit card debt.
• The couple opens joint bank accounts or merges investment portfolios.

When Does a Pre-Marital Contribution Create a Legal Claim in Illinois?

Under the Illinois Marriage and Dissolution of Marriage Act, a spouse may seek reimbursement when he or she used marital or non-marital funds to improve the other spouse’s non-marital property. It must be shown that a clear financial contribution was made, the contribution was not intended as a gift, and it is traceable. These claims become more difficult when the couple cohabited before marriage, as the court requires strong evidence showing the investment was meant to build shared financial security.  

Was the Financial Assistance a Gift or an Investment?

The courts will look at how the couple behaved financially at the time, whether there was an expectation of repayment or ownership, and whether the relationship was "stable" at the time. The court will question whether either partner explicitly discussed a future interest, and whether documentation supports a non-gift intent. Without clear documentation and intent, courts lean toward classifying pre-wedding contributions as gifts. If the court sees it as an investment, then it typically awards dollar-for-dollar reimbursement.

Contact a Wheaton County, IL Division of Assets Attorney

If you invested time, money, or labor into your partner’s property before the marriage, it may not be gone forever. A skilled DuPage County, IL divorce lawyer from Mirabella, Kincaid, Frederick & Mirabella, LLC can help you trace those contributions, build a strong claim, and protect your financial future during your divorce. MKFM Law serves family law clients at their offices in Kane County, DuPage County, and DeKalb County. Call 630-665-7300 to schedule your initial attorney meeting.