Marriage of Steinberger
California Court of Appeal
91 Cal.App.4th 1449 (2001)
Buff Jones (plaintiff) and James Steinberger (defendant) married in 1988 and filed for divorce in 1998. During the marriage they bought a loose diamond with community funds, and James had it set into a ring that he gave Buff after their fifth anniversary along with a card congratulating her on a promotion and mentioning their years together. James testified he saw the ring as both a gift and a community investment; Buff testified she knew the ring was valuable and considered it a gift to her. The trial court found the ring was Buff's separate property, and James appealed, arguing section 852 required a written transmutation that was never made.
Whether a gift of substantial value purchased with community-property funds requires an express written declaration to transmute the gift into the recipient spouse's separate property.