In numerous divorce cases, disagreements arise between the spouses concerning ownership of specific assets and the division of marital property. However, in their pursuit of a just and equitable distribution of property, many individuals disregard another issue of equal importance, which is the distribution of debts or liabilities. The manner in which liabilities are allocated can have a significant and enduring influence on an individual's financial stability and future. Therefore, it is imperative that anyone considering a divorce should consult an attorney at the earliest to understand their rights and options.
Determining the division of debt in a Texas divorce case starts with establishing whether the debt is part of the marital estate. As Texas follows community property law, most property acquired during the marriage is considered community property, and both spouses have an equal interest in it. This includes both assets and liabilities. Thus, any debt incurred during the marriage is subject to division between the spouses upon divorce. Examples of such debts are car loans, credit card debts, or mortgages. However, some debts may be considered separate and will follow only the borrowing spouse after the divorce.
Debts that are not part of the marital estate are separate debts, which belong solely to the borrowing spouse. One example of separate debt is debt incurred by a spouse before marriage. A prenuptial agreement may be used to specify separate and community property and may also designate debts incurred during the marriage as separate property.
In Texas, debt division in a divorce is typically split equally between the spouses, although there are exceptions. Under Texas law, a court must divide marital property and liabilities in a manner that is "just and right." While this does not necessarily mean an even 50-50 split of property and debt, courts consider various factors to determine if a different division is warranted. For instance, if one spouse was primarily responsible for incurring the debt, the court may adjust the division of liabilities accordingly. A family attorney can assist you in determining whether you have a valid case for a "just" division of debt.
Determining how debt is divided in a Texas divorce can be complex and depends on various factors. An experienced family law attorney can help you navigate the process and determine the best solution for your situation. Some options for dividing debt in a divorce include splitting it equally, selling joint property to pay off debts, each spouse taking responsibility for the debt attached to the property they want, or one spouse taking on more debt because they have primary physical custody of the children.
It's important to note that if the spouses cannot agree, a court-ordered debt division is standard. During the divorce hearing, the court will consider several factors and make a decision on how to divide the community property and debt between the spouses. In most cases, the court will approve an agreement reached by the spouses.
Getting in touch is easy. Use the form below and request a free consultation today.
In order to best prepare yourself during the divorce process, it is vital that you have a
qualified divorce attorney by your side. Our divorce law firm is dedicated to providing knowledgeable, professional, and effective legal counsel for all types of
family and
divorce matters. When you work with our experienced Dallas family law attorneys, you can trust that we will have your best interests in mind.
Dividing debts in a divorce can be a complex matter, but Wilson Whitaker Rynell is here to assist you with that. Our experienced team can help you develop a strategic plan for dividing debts during your divorce. We understand the challenges of divorce and other family-related issues, and we offer compassionate and straightforward advice to our clients. Our firm represents clients in divorce cases in various Texas cities, including Dallas, Austin, Houston, Fort Worth, and all cities within Dallas County, Tarrant County, Collin County, and Denton County.
Recognized in the legal industry as dedicated board-certified lawyers and Rising Stars.
Your project will be handled by legal experts every time. You will have the most experienced attorneys working for you.
Let's talk about your legal issue
Wilson Legal Group P.C.
d/b/a Wilson Whitaker Rynell
(972) 248-8080 (Dallas) MAIN OFFICE
(713) 830-2207 (Houston) Appointment Only
(512) 691-4100 (Austin) Appointment Only
For more information on how we can assist in your intellectual property, commercial litigation, divorce, or other personal needs, let us know how we can help you:
WILSON WHITAKER RYNELL
Thank You for Contacting Us!
Your information has been sent, and we will contact you shorlty...issues.
WILSON WHITAKER RYNELL
Oops, there was an error sending your message.
Please try again later.
Disclaimer:
This form does not establish an attorney-client relationship, and should only be used to contact the firm about scheduling a call or meeting. No confidential or sensitive information should be sent using this form.
We represent clients nationwide, including Dallas, Austin, Houston, and other Texas areas such as Fort Worth, Arlington, Carrollton, Plano, Allen, Lewisville, Flower Mound, Irving, Denton, McKinney, North Richland Hills, and all cities within Dallas County, Tarrant County, Collin County, and Denton County.
Wilson Whitaker Rynell
16610 Dallas Parkway, Suite 1000
Dallas, Texas 75248
972-248-8080 (MAIN)
972-248-8088 (FAX)
info@wrrlegal.com (E-MAIL)