For Texas residents who have decided to divorce, there are many questions that may prove stressful. This can be especially true for couples who have a large number of assets. Texas residents with significant assets often have a lot at stake. They may fear losing some of their assets, such as the family home, a car, or some other large, important asset. Sometimes, this fear may result from them being uncertain as to how property is divided in divorce.
So, how is property divided in divorce? The biggest determining factor of how property is divided in divorce is the type of applicable state law – that is, whether the state recognizes community property or equitable distribution. Texas falls into the first category as it is a community property state.
In a community property state, assets are usually spilt fifty-fifty in a divorce. This also varies depending on the state. Whereas California divides property equally, Texas divides property equitably. With the equitable distribution doctrine, the split does not always equal fifty-fifty. It can, at times, result in an uneven distribution of assets. However, as with any other divorce case, judges will look at a number of factors when deciding on property division, including marital fault, disparity of earning capacities, size of the estate, the parties’ health and physical conditions, and the like.
Property division laws can be complicated. What’s more, there is no telling exactly how a judge will rule when it comes to property division. In a high asset divorce, spouses often want to form a solid legal strategy before moving forward. Thankfully, attorneys are available to help in every step of this process, from the planning to negotiations and the proceedings themselves.
Source: FindLaw, “Community property overview,” accessed on Dec. 7, 2015