Separate Property vs. Community Property in Texas
ATTORNEYS IN DALLAS
Assets acquired during a marriage is community property unless a spouse can prove (or the spouses agree) that it is separate property.
Separate Property vs. Community Property
Married couples usually accumulate substantial assets over time, and when they opt to dissolve their marriage, they need to divide their property fairly. Disagreements over asset distribution are not unusual, and such disputes often require the intervention of the court. However, it's worth noting that not all assets are subject to equal treatment in Texas divorce proceedings. Therefore, it's crucial for anyone contemplating a divorce to have a comprehensive understanding of their marital-property entitlements.
Property in Texas Divorces
In Texas, during divorce proceedings, property is categorized as either community property or separate property. Community property refers to assets that are equally owned by both spouses, while separate property is the sole property of one spouse. The Texas Family Code outlines the rights of each party with respect to property and governs how property should be categorized. Any property that either spouse obtains during the marriage is assumed to be community property, including income, personal belongings, motor vehicles, retirement funds, and other assets.
If a spouse disputes that an asset is community property, they must provide clear and convincing evidence that it is separate property. The Code defines separate property as property that a spouse claimed or owned before the marriage, assets received by one party through a gift, descent, or devise, and damages awarded in personal injury lawsuits, excluding compensation for lost earning capacity during the marriage. Parties may also define property as separate through pre-marital or post-nuptial agreements. If a spouse has separate real property, they may record a schedule of their separate property in the deed records of the county where they reside or where the property is located.
The courts will divide community property in a just and fair manner, taking into account the rights of the parties and any children of the marriage. Separate property is not subject to division. If a party obtained property while living in another state, the courts will treat it the same as if it was acquired in Texas. In some cases, parties may have mixed assets, which require the courts to consider how and when each party initially obtained interest in the property when determining a fair division.
Speak with an Experienced Divorce Attorney
Dividing property can be a major point of disagreement in divorce cases, and it is crucial for individuals going through a divorce to comprehend their entitlements in relation to marital versus separate property. The attorneys at Wilson Whitaker Rynell will inform you of your choices and assist you in taking the necessary measures to protect your interests. 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.
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