HOW IS PROPERTY DIVIDED IN A TEXAS DIVORCE?
When married couples divorce, the court either approves their agreed upon property division settlement, or makes property division decisions on the couple’s behalf. Texas is an equitable distribution state, which means that courts divide marital property fairly, but not necessarily equally.
When dividing property between spouses, the courts often consider the marriage duration and the spouses’ ages along with their mental/physical health. Reckless asset management, abuse and infidelity can also influence the court to decide against the spouse involved.
SEPARATE VS. COMMUNITY PROPERTY
The Court refers to divisible property as community property. Community property is property that couples own in common. According to the statute, community property is any property that is not separate property. Texas courts presume that property is community property unless a spouse proves otherwise by presenting clear and convincing evidence.
Generally, to prove that property is separate, you would trace asset acquisition and show that the spouse maintained the property separately during the marriage. Inheritances, gifts and assets acquired prior to marriage are examples of separate property.
However, when a spouse sells a piece of separate property and deposits the proceeds into a joint bank account, the money becomes co-mingled and it may be difficult to prove that the proceeds were separate.