Anytime a marriage ends in divorce, the division of marital property can prove difficult and even contentious. In a high-asset divorce, the complexity only multiplies.
If you are facing divorce in Texas and your marital estate is one of high value, some of the unique issues you may face include:
- The division of business assets: Only in rare circumstances do ex-spouses continue to operate a business together after divorce. The person who runs the business or professional practice typically takes full ownership, but the other spouse must be compensated if the business and its assets are classified as marital property. Only after conducting a full and accurate accounting of real estate, equipment, customer lists and other business property can we ensure a fair outcome.
- Investments: Stocks, bonds and other investments are subject to division upon divorce. Certain retirement holdings such as 401(k) and IRA accounts require a special court order called a Qualified Domestic Relations Order (QDRO) to facilitate the division.
- Real estate transfers: From your family home to vacation properties, any real estate acquired during the course of your marriage is also subject to division. Sharing ownership is rarely a feasible outcome, so you must decide if each spouse will retain ownership of certain properties or if you will be better served by selling the properties and dividing the proceeds.
- Tax implications: Any high-value transactions made to facilitate the division of marital property could come with a significant tax bill. You can avoid unnecessary taxes and other expenses with careful planning.
Resolving property division disputes
Disputes over property division are not uncommon, especially when the financial stakes are high. There are a number of ways to resolve property division disputes, from negotiation to mediation to traditional litigation. You should be prepared for any outcome so that you can protect your financial future to the greatest possible extent.