Posts Tagged ‘division of property’

The Divorce Process… Division of Property

Tuesday, November 4th, 2008

More than likely, each spouse entered into the marriage with personal assets. Just as likely, once married, the spouses accumulated joint assets including money, real estate, personal property such as cars and investments, and even debt. How to properly and fairly divide this property can turn even the most amicable divorce into a bitter battle.

Texas, along with California, Louisiana and a handful of other states, use a “community property” system of property division, which was derived from Spanish law. Other states follow an English law tradition.

So what does it mean when we say Texas is a community property state? It means that a court can divide the community property between the spouses, but cannot divide separate property.

Separate property is something one person (1) owned before the marriage; (2) individually received during the marriage by gift or inheritance; or (3) in some circumstances, money received in a personal injuries lawsuit during the marriage (except for lost earning capacity.) Community property is everything other than separate property.

There is a presumption that all property owned at the time of divorce is community property. If either spouse insists that certain property is separate property, it is up to that person to prove their claim in court.

However, not every case has to go before a judge for asset division. After filing for divorce, the spouses are free to agree to divide their assets any way they see fit. They can even split their personal property or agree to pay alimony on their own.

 

More Men Get Alimony As Stigma Lessens

Tuesday, September 30th, 2008

The Wall Street Journal reports that more men are receiving alimony, up to 3.6% over the 5-year period ending in 2006, compared to 2.4% in the previous 5-year period.  Even in the Dallas, Texas area divorces, more men are sacrificing their career opportunities in favor of their wife’s.   Wives make more money than husbands in 33% of all marriages (including those where the husband may  not work.)

Alimony is the money that a higher-earning spouse gives to a lower-earning spouse following the end of the marriage.  Texas has a very limited court-ordered alimony statute, only providing alimony (aka maintenance in Texas) where the parties have been married for 10 or more years, plus the spouses lack property in the divorce to provide for the other spouse’sreasonalbe needs, plus either the spouse lacks the ability to earn wages to meet minimum needs or the spouse or a child have a disability that makes working outside the home difficult.  However, alimony can be provided for by agreement even when the situation lies outsides of the exact parameters of the legal statute.

Men are receiving alimony today for the classic reasons that women traditionally did.  A common argument is that they sacrificed their careers for the sake of their wives or children.

Some spouses find it distasteful to write a check each month to their former spouse.  So, the increasingly common practice is to trade alimony for a fatter slice of the marrital property pie.