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Property Division for High Net Worth Clients

Property Division Lawyer in Texas

Division of Marital Property in Texas

In some states, the court divides marital property 50/50. In Texas, that’s not necessarily the case.

Just-and-Right Division

Texas uses the term “Just-and-Right Division,” which means that property division can vary from a strict 50/50 split under certain circumstances.

Factors Influencing Property Division

  • Fault in the Breakup: Historically significant, but its importance is decreasing in modern times.
  • Relative Earning Capacity: Currently the most important factor. This refers to the disparity in future earning potential between spouses.

Understanding Relative Earning Capacity

Relative earning capacity means:
– One spouse may have the ability to earn significantly after the marriage.
– The other spouse may have limited earning potential, often due to prior responsibilities, such as raising children.
– The length of the marriage increases the relevance of this factor.

Property Classification

In Texas, property is classified as:
Separate Property: Property owned by one spouse before the marriage or received as a gift or inheritance.
Community Property: Property acquired during the marriage.

Divorce Process

During a divorce in Texas:
1. All property is identified.
2. Property is characterized (determined if it’s community or separate property).
3. Separate property is confirmed, and community property is divided.

This process can get complicated, but we’re here to help make it more understandable for you.