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TX high asset divorceDivorce can place financial strain on even the most conscientious and budget-minded person, but is especially common when the couple in question has unique, diverse, or especially valuable assets that are difficult to divide. There are, however, things that couples can do to help them financially prepare for a divorce, while also maintaining their current standard of living. To learn more about the financial consequences of divorce, whether you or your spouse could be eligible for alimony, or how your assets will be divided upon the dissolution of your marriage, please contact one of our dedicated high asset divorce attorneys for advice.

Reviewing Your Financial Needs

When a couple decides to divorce and a court holds a hearing on the issue of temporary spousal support, the judge will require the parties to disclose not only their assets and debts, but also their expenses. When assessing the latter to determine whether to award post-divorce maintenance, courts will assess which of each party’s expenses are reasonable and necessary. This includes the cost of everything from food, clothing, and vehicle expenses to utilities, legal fees, rent, and even entertainment. Having evidence of these expenses from the outset of the case can help the entire property division process go much more smoothly, while also clarifying each party’s specific financial needs going forward.

Cutting Extra Costs

Although it can be difficult to cut items from a budget that one is accustomed to, doing so is often a crucial step in helping divorcing spouses learn to live within their new incomes. In most cases, divorce will have some sort of impact on a divorcing couple’s standard of living, at least in the short term and while courts attempt to mitigate this by equitably dividing the divorcing parties’ property, divorce still almost always comes with a financial effect. Operating within a restructured budget can be instrumental in helping people adapt to their new financial situations, while helping ensure that their standard of living does not drastically change.

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TX divorce lawyerDivorce proceedings can be time-consuming and emotional, so many couples breathe a sigh of relief when they are able to successfully negotiate a settlement out of court. Unfortunately, just because parties have agreed to a settlement, does not mean that the other party will comply with its terms. This is especially true in cases where a settlement is the result of a court order and not negotiations between the parties. A failure to abide by a settlement agreement can have devastating consequences, particularly when high assets are involved, as one party’s intransigence could lead to significant assets being tied up and made inaccessible for years. This, in turn, can make it difficult to make ends meet, pay bills, and generally, move on with your life, so if your former spouse is defying all or part of your divorce settlement agreement, it is critical to speak with an experienced high asset divorce attorney who can help ensure that the terms of your agreement are respected.

The Terms of a High Asset Divorce Settlement

While some former spouses may refuse to comply with a court order out of bitterness, most are simply unable to do so. This is especially common when it comes to a failure to pay child support or alimony and the non-paying party was recently let go or fired from his or her job. Alternatively, a party could be failing to comply with a custody order because his or her work schedule conflicts with that arrangement, or because he or she is struggling with health issues. Whatever the reason, in these cases, it is up to that party to seek a modification of the order. Otherwise, they will be subject to the legal repercussions of failing to comply with the terms of a court order.

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Texas divorce lawyerDivorce can be a difficult process, no matter how respectful and amicable the parties are to each other. This is especially true in cases where substantial assets are involved, as it can be extremely difficult to account for and divide a diverse range of property and valuables. If you need help preparing for your own divorce, you should strongly consider speaking with an experienced high asset divorce attorney who can assist you.

Diverse Assets

One of the most difficult aspects of high asset divorces is identifying and fairly distributing assets, which could include:

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Texas complex litigation, Texas high-asset divorce, Texas complex divorce attorney, One of the largest assets to divide in a high-asset divorce is also one of the most difficult ones to value. Because it contains both objective and subjective financial values, and may involve both separate and community property, valuing a business is a very deliberate process that nearly always involves considerable legal debate.

Some Examples

The court-ordered sale of the famed Waggoner Ranch near Vernon is an excellent example of an extremely high-value family business. In much the same way as a high net worth divorce, that litigation involved family members who could not agree whether to keep the property, sell it, or do a little of both.

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Texas collaborative law attorney, Texas complex litigation lawyer, Texas divorce attorney,When asked for a quick definition of collaborative law, many attorneys may say something like "ongoing mediation." Although this synonym is not entirely inaccurate, it does not capture the essence of collaborative law nor does it explain why it is a viable alternative, at least in many cases.

To briefly summarize, collaborative lawyers work with the parties to resolve property division in a high-asset divorce, complex custody disputes, and related matters.

Structure

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Texas marital laws, Texas high-asset divorce attorney, complex litigation,Purchasing a car is nearly always a happy experience. Buyers are understandably focused on the cars' features and their plans for years of freedom on the open road. Auto insurance is only a necessary afterthought. In some ways, marriage is much the same. The bride and groom are understandably focused on their love for each other and their plans for a life together. A premarital agreement is only a necessary afterthought. Although no one plans to get in a car wreck or get divorced, responsible owners, and spouses, should be prepared for any possible outcome.

Content

Especially in a second or subsequent relationship, a premarital agreement can put inheritance plans in writing, virtually eliminating the possibility of a future battle in probate court that no one really wants.

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Texas complex litigaiton attorney, Texas high-asset divorce lawyer, QDRO, A retirement plan may be one of the largest assets in the marital estate, especially in a high asset divorce case when the parties have been married for a number of years. Section 7.003 of the Texas Family Code authorizes the judge "to determine the rights of both spouses" with regard to a defined benefit pension plan or a defined contribution retirement plan, such as a 401k or IRA.

Each plan is different and has its own rules. Some plans, most notably military retirement plans and some other accounts related to federal government employment, require a special Division Order, as opposed to a Qualified Domestic Relations Order (QDRO). It is important that the QDRO or other order be timely and accurate, or else the IRS may assess taxes and penalties against the Alternate Payee, or non-employee spouse.

Payment Options

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Texas divorce attorney, Texas complex litigation attorney, irreconcilable differences,Texas is a no-fault state, and the vast majority of divorces are based on "insupportability," which is Texan for "irreconcilable differences." However, a spouse may still obtain a divorce based on adultery, cruelty, or some other evidence-based ground. An adverse ruling – or a favorable ruling, depending on your point of view – can have a significant impact on a future property settlement in a high-asset divorce.

Section 8 of the Family Code states that "marital misconduct" is a factor when determining the amount and duration of maintenance payments. The statute specifically mentions adultery and cruel treatment, but other types of fault may also be applicable. Meanwhile, Section 7 states that a spouse may be punished in the property settlement, if there is evidence of fraud on the community. Such fraud could include a husband who spends community funds to buy a present for his girlfriend or a wife who has part of her paycheck deposited into a separate account, without her husband's knowledge or consent.

Fault

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