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Property Division in Texas
If you and your spouse enter into a written property division the courts will almost always approve the agreement. The settlement agreement must include all assets (house, cars, stocks, bonds, retirement, etc.), and liabilities (mortgages, loans, credit cards, taxes, etc.). If the parties cannot agree on a division of property, then the court will divide the parties' community property "in a manner the court deems just and right, having due regard for the rights of each party and any children of the marriage" at trial. The Court is not required to divide community property 50/50. The Court, in making a division, may consider disparity of income, education and training, health, age, fault in the breakup of the marriage, nature of the property, custody and any special needs of the children, and the parties' capabilities. There is no way to know for certain how the court will divide the community property --- the outcome at trial is a gamble.
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A spouse's separate property consists of
| the property owned or claimed by the spouse before marriage | |
| the property acquired by gift, devise, or descent (inheritance) and | |
| the recovery for personal injuries sustained by the spouse during marriage (except for any recovery for loss of earning capacity during marriage). |
The court cannot award your separate property to your spouse or your spouse's separate property to you. Separate property must be included in the settlement agreement. The burden is upon the spouse claiming separate property to prove that it is separate property by clear and convincing evidence.
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Community property consists of property (other than separate property) acquired by either spouse during marriage. All community property must be included in the settlement agreement.
Community property could include:| Real Property | |
| Cash accounts, including brokerage accounts | |
| Non-business receivables, such as expected income tax refunds | |
| Retirement accounts | |
| Company retirement benefits | |
| Military benefits | |
| Deferred compensation benefits | |
| Life insurance and annuities | |
| Stocks, bonds and other securities | |
| Closely-held business interests | |
| Motor vehicles | |
| Household furniture, furnishings and fixtures | |
| Antiques, art work, and collectibles | |
| Electronics | |
| Clothing and jewelry | |
| Livestock, pets and other animals | |
| Club memberships | |
| Frequent flyer mileage accounts | |
| Community claim for reimbursement and/or economic contribution |
To assist the judge in determining a "just and right" division of
property, each party provides the judge with an inventory of the
property and debts. The inventory lists the values of the community
and separate property, and the liabilities of the parties. This
inventory is the judge's "road-map" to the parties' property. The
judge decides the value of the property, based on the evidence whenever
there is a dispute.
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Spousal Support is periodic payments from one spouse for the
support of the other spouse, but is referred to differently
depending on whether it is ordered while a divorce is pending
(temporary spousal support), court-ordered in a divorce decree
(maintenance), or agreed upon by the parties as part of the
terms of a final court order (contractual alimony).
Either a husband or a wife can receive court-ordered maintenance.
If maintenance is court-ordered, the judge shall set a
time not to exceed three (3) years, unless the former spouse cannot
become self-supporting due to an incapacitating physical or mental
disability. The limit on court-ordered maintenance is the lesser of:
NOTE - The information provided in this section applies to court-ordered maintenance; this section does not address temporary spousal support or alimony based on a court-approved agreement by the parties.
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When is the character of the property determined?
Whether property is community or separate is determined by the time and circumstances under which it is acquired. For instance, if a house is purchased before marriage but paid for during the marriage, the house is separate property, but the community estate might have a right of reimbursement or economic contribution for payments made during the marriage. The inception of title occurred prior to the marriage, so the house is separate property.
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(This document is considered "advertising" under Supreme Court Rule 3:07)