Achieving an Equitable Division of Community Property
In Texas, there are two types of property in family law: community property (which is subject to division by the court) and separate property (which is not). Determining what is community property and what is separate is an important issue in divorce, especially when significant assets are involved.
At The Haston Law Firm, P.C. in Houston, Texas, we advise clients in North Houston and surrounding communities on issues such as asset characterization and asset tracing in divorce.
What is Community Property in Texas?
The simple answer is that if you cannot prove that a marital asset is separate property, then it will be considered community property.
What is Separate Property?
There are four types of separate property:
- Property owned before your marriage that is still owned at the time of your divorce
- Property given to you by gift during your marriage by a spouse or third party
- An inheritance
- A personal injury settlement for pain and suffering
Any transmutation (change in the form) of separate property is also separate. For example, if you have $200,000 in a separate savings account and use it to buy a house, that $200,000 is transferred into the house, thus preserving your separate property interest. Transmutation is proven though tracing of the property. Property is traced using legal theories, case law and rule of thumb. Every case is different, and the creativity of your lawyer is very important to protect your interests.
The person who asserts that property is separate has the burden of proof. If a party cannot meet that burden, it will be considered community property. Therefore, a lawyer that knows and understands the many methods and procedures of proving separate property can often make the most significant impact in your divorce case.
Why is it Important to Prove Separate Property?
Often, marriages last many years, and the significant assets that parties bring into the marriage become mixed or commingled with other assets gained during the marriage. It is vitally important for the party bringing the asset into the marriage to be able to prove which parts of the commingled assets are separate property. Otherwise, you may be facing the unhappy news that the asset which once was yours and yours alone, is now part of the community estate and therefore can be awarded to your spouse. At The Haston Law Firm, P.C., we have years of experience and many resources available for the tracing and protection of these valuable assets.
Learn more about complex property division issues.
Schedule an Attorney Consultation
To schedule a consultation with Houston lawyer Craig Haston about divorce, child custody or other family law issues, call 866-470-4816 or fill out the contact form on this Web site.
