You and your spouse can agree or the court does. The court will classify which assets, debts, and properties of a divorcing couple should be considered marital and which are considered to be non-marital. Then, the court assigns a monetary value to the assets before distributing them equitably between both parties. This does not mean the marital assets will be equally divided between both parties, but rather what the court decides is fair. Marital misconduct does not influence the outcome of this distribution.