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As a family lawyer in Dallas, I often receive inquiries from couples undergoing divorce in Texas regarding financial responsibilities. A common question is whether one spouse is responsible for the debt of a business owned by the other spouse before the marriage.
Texas Law on Marital Debts and Business Ownership
In Texas, debts incurred before marriage are considered separate property and not subject to division during a divorce. However, the situation can become more complex if the business continues to operate during the marriage. If joint funds or marital assets are used to support the business, the debt may transition from being separate property to marital property, and thus, be subject to division.
Protecting Your Assets in a Texas Divorce
To safeguard their separate property and avoid any potential conflicts during a divorce, couples may choose to draft a prenuptial agreement prior to marriage. This agreement can clearly define each spouse’s separate property, including pre-marital businesses and debts, and provide peace of mind for both partners.
In addition to a prenuptial agreement, couples may also consider maintaining separate bank accounts and avoiding the mixing of funds. This can help maintain the separation between separate and marital property, further protecting individual assets.
Seeking Legal Assistance in Texas Divorces
When it comes to financial responsibilities in divorce, it is essential to understand the laws and potential consequences specific to Texas. If you are going through a divorce in Texas and have questions about marital debts, prenuptial agreements, or any other family law matter, do not hesitate to reach out to a trusted family law attorney.
If you need representation or have any questions, please contact The Blacknall Firm. We are dedicated to helping our clients navigate the complexities of marital finances and divorce.
