Marital property follows the regime the spouses choose in a marriage agreement (capitulaciones matrimoniales) and, if they choose nothing, the law of the place where they married. For a marriage celebrated in Panama without a marriage agreement, the default is participation in gains. That decides what each spouse receives if you ever divorce. The spouses’ nationality is not what determines the regime. This guide explains the three regimes, what the Family Code says when a foreign element is involved, and what happens to assets located in another country.

In short

  • Without a marriage agreement, the default is participation in gains (article 82).
  • For a marriage celebrated in Panama, the property regime follows Panamanian law (article 10).
  • Marriage agreements can be signed before or after the wedding, in a public deed (article 87).
  • The Code does not say how an asset located in another country is divided: plan for that in advance.

The three regimes, side by side:

Participation in gains

Articles 82, 102 and 112

When it appliesIf there is no marriage agreement (art. 82). It is the default regime.

Acquired during the marriageEach spouse manages their own (art. 103).

When it endsEach spouse's initial and final estates are compared (art. 112).

Community property

Articles 133 to 135

When it appliesIf agreed in a marriage agreement (art. 134).

Acquired during the marriageCommon, in equal shares, if acquired for value (art. 133).

When it endsThe community ends. Property acquired for value during the marriage was common, in equal shares (art. 133).

Separation of property

Article 127

When it appliesIf agreed in a marriage agreement (art. 81).

Acquired during the marriageBelongs to whoever acquires it (art. 127).

When it endsEach spouse keeps what is theirs.

Which regime governs your marital property

Panama’s Family Code (Law 3 of 1994) says the economic regime of a marriage is the one the spouses set out in a marriage agreement (article 81). If there is no agreement, or it is ineffective, the regime is participation in gains (article 82). The Code regulates three regimes.

Participation in gains (the default regime)

Each spouse keeps the management, use and free disposal of the property they owned when they married and of whatever they acquire afterward (article 103). When the regime ends, each spouse is entitled to share in the gains the other obtained while it was in force (article 102).

Gains are calculated by comparing each spouse’s initial and final estate (article 112). The initial estate includes what each spouse owned when the regime began and what they received for free, such as inheritances, bequests or gifts (article 113). The final estate is what each spouse owns when the regime ends, minus outstanding debts (article 117).

Community property (sociedad de gananciales)

Property acquired for value during the marriage by either spouse becomes common property, in equal shares, along with the fruits, income and interest produced by both separate and community property (article 133). Still separate are the property each spouse owned when the community began, what they later acquire for free, and what is bought with or in place of separate property (article 135). The community starts when the marriage is celebrated or, later, when it is agreed in a marriage agreement (article 134).

Separation of property

Each spouse keeps the property they owned when the regime began and whatever they acquire afterward by any title, and is free to manage, enjoy and dispose of it (article 127).

Hand signing a document with a pen
Marriage agreements must be set out in a public deed.

Marriage agreements: how they are signed

A marriage agreement is used to set, modify or replace the marital property regime (article 86). The Code provides:

  • It can be signed before or after the wedding, and to be valid it must be in a public deed (article 87).
  • Anything agreed in view of a future marriage is void if the couple does not marry within one year (article 93).
  • Changing it requires the same formalities and respects the rights of third parties (article 90).
  • It is noted when the marriage is recorded in the Civil Registry, and if it affects real estate, it is recorded in the Public Registry (article 91).
  • Any clause contrary to the law or to good morals, or that limits the equal rights and duties of the spouses, is void (article 92).

Not sure which regime suits you? It depends on your assets, your family and where you live. Message me and we will review it before you sign anything.

If you marry in Panama or one spouse is Panamanian

The Family Code has private international law rules that matter when a foreign element is involved:

  • Property regime. The will of the parties governs, without violating equality between the spouses or public policy, and failing that, the law of the place where the marriage was celebrated (Law 61 of 2015, article 32; the Family Code says the same in article 10). So for a marriage celebrated in Panama, the Family Code normally applies. A Panamanian who marries abroad, however, does not come under the Family Code’s regime for that reason.
  • Panamanian spouse. National law governs family rights and duties, civil status and legal capacity, and binds Panamanians even if they live abroad (article 6).
  • Marriage celebrated in another country. It has the same civil effects as one celebrated in Panama (Family Code, article 9; Law 61 of 2015, article 33). If the spouses are Panamanian, it must be recorded in the Civil Registry (Law 61 of 2015, article 34).

What happens to the property in a divorce

Divorce dissolves the marriage bond, but only takes legal effect once it is recorded (article 219). As for property:

  • Under participation in gains, each spouse’s initial and final estates are compared, as explained above (article 112).
  • Under community property, property acquired for value during the marriage is common, in equal shares (article 133).
  • Under separation of property, each spouse keeps what is theirs.
  • In a divorce that is not by mutual consent, the spouse at fault loses the right to the gains that come from the other spouse’s separate property (article 221).

When a divorce is granted

Article 212 lists the grounds for divorce (items 9 and 10 were amended by Law 269 of 2021), including cruelty, extramarital sexual relations, complete abandonment of duties for at least six months, and de facto separation for more than one year, even under the same roof. A divorce is also available by mutual consent if:

  1. Both spouses are adults.
  2. The marriage is at least one year old.
  3. They confirm their request between two and six months after the petition was filed.

In cases of de facto separation for more than one year and mutual consent, the judge can only grant the divorce once custody, visitation and child support for the children entitled to them have been settled (article 218, as amended by Law 269 of 2021).

Miniature house, keys and a contract on a table
A couple's assets depend on the regime they choose and on where they are located.

Assets in another country

The Family Code does not say how an asset located in another country is divided. What it does provide is the following:

  • Law and court for the divorce. The law of the marital domicile, meaning the place where the spouses habitually live with singularity and stability, governs divorce claims and the rights arising from the judgment (Family Code, article 11). The competent family courts are those of the last marital domicile (Law 61 of 2015, article 38).
  • Law governing each asset. Assets are governed by the law of the country where they are located (Law 61 of 2015, article 60). Real estate located in Panama falls exclusively within the jurisdiction of Panamanian judges (Law 61 of 2015, article 156, item 1).
  • Foreign judgments. To enforce a foreign judgment in Panama, you must request exequatur (exequátur) from the Fourth Chamber of General Matters of the Supreme Court. Law 61 of 2015 (articles 155 to 157) requires, among other things, that the court was competent, that the judgment was not issued in default, that it is not contrary to public policy, that it is submitted as an authentic copy and, if needed, translated, and that it is final. Foreign law is also not applied if it is contrary to Panamanian public policy (Family Code, article 7).
  • Cooperation between countries. Decisions are processed through diplomatic channels, international conventions or reciprocity (Family Code, article 8).

These rules are for enforcing a foreign judgment in Panama. They do not regulate how a Panamanian judgment is recognized in another country: that is decided by the country where the asset is and what that country recognizes. That is why it pays to plan ahead of a divorce and with advice in both countries.

Frequently asked questions

What happens if we do not sign a marriage agreement?

The participation-in-gains regime applies (article 82 of the Family Code).

Can we sign a marriage agreement after the wedding?

Yes. It can be signed before or after the marriage, and to be valid it must be in a public deed (article 87).

Is a marriage celebrated in another country valid in Panama?

It has the same civil effects as one celebrated in Panama (Family Code, article 9; Law 61 of 2015, article 33). If the spouses are Panamanian, it must be recorded in the Civil Registry (Law 61 of 2015, article 34).

At least one year, with both spouses adults and the request confirmed between two and six months after the petition (article 212, item 10).

Does Panama recognize a divorce issued in another country?

To enforce it in Panama, you must request exequatur from the Fourth Chamber of General Matters of the Supreme Court, which checks requirements such as that the court was competent, that the judgment was not issued in default and that it is not contrary to public policy (Law 61 of 2015, articles 155 to 157). Each case needs review.

Who loses the community gains in a divorce?

In a divorce that is not by mutual consent, the spouse at fault loses the right to the gains that come from the other spouse’s separate property (article 221).

What to bring to a first consultation

To review your case in an orderly way, have these at hand, if you have them:

  • Your marriage certificate and, if they exist, your marriage agreement.
  • A list of the assets each spouse owned before the marriage and those acquired during it, with dates.
  • Documents for any assets located in another country.
  • If there are children, their details and how living arrangements work today.

What to do now

If you are going to marry in Panama, or are already married, the most useful step is to decide the regime before any conflict arises. Marriage agreements can be signed before or after the wedding and require a public deed. If you are already thinking about divorce, gather the documents that show which assets you had before the marriage and which you acquired together.

Every case is different, and this article is informational: it does not replace advice from an attorney. If you would like to review your situation, message me directly on my phone: you tell me your case, we see which regime applies and what is best to do first.

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Source: Family Code (Law 3 of 1994) in its original text and amendments, Law 269 of 2021 (Official Gazette 29445-E) and Law 61 of 2015 (Official Gazette 27885-A), consulted on November 4, 2026. Rules may change; confirm them with your attorney.