Texas is a community property state, which means that all assets classified as “marital property” will be subject to division in a divorce. Furthermore, because Texas is a community property state, the community estate is generally divided equally among the parties, unless a disproportionate division is warranted. As we’ve discussed in earlier articles, marital property is essentially any property acquired after the marriage, unless one of several exceptions applies. For instance, property acquired via inheritance, or via gift, is typically considered separate property even if acquired during marriage.
In order to properly divide property in a divorce, both parties need to be fully transparent with their asset holdings. Sadly, in some cases, parties are less than fully transparent, and sometimes people even deliberately hide assets in order to “cheat” their spouse. Divorce is very often a process involving heated emotions, and so we shouldn’t be too surprised to learn that this happens from time to time. Nevertheless, it is still unfortunate to see.
In this post, we’re going to discuss the various methods that spouses use to conceal assets in a Texas divorce, and then go over some of the potential consequences for this type of behavior.
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