Property Division in Dallas Divorces: How the Court Splits Community Property

Dividing property in a divorce can be one of the most stressful parts of the process — especially in Texas, where community property rules apply. Many Dallas spouses assume that property is only shared if both names are on the title or mortgage, but that’s not always true.

To help break down how Dallas courts divide real estate, retirement accounts, and other marital assets, we spoke with Mary Franklin, Associate Attorney at Modern Family Law in Dallas, who handles complex asset division cases regularly. Her insights shed light on key misconceptions and what divorcing spouses should realistically expect.

Texas Is A Community Property State – But That Doesn’t Always Mean 50/50

Under Texas law, most assets acquired during the marriage are presumed to be community property, meaning they belong to both spouses equally, no matter whose name is on the paperwork.

“The key factor is when the property was acquired,” explains Dallas divorce attorney Mary Franklin. “If it was acquired before the marriage, it is generally treated as separate property. If it was acquired during the marriage, it is usually considered community property, even if only one spouse’s name is on the mortgage.” 

In other words, the title doesn’t determine ownership. Timing does. However, community property does not guarantee a 50/50 split. “It is also important to remember that ‘fair and equitable’ does not necessarily mean a 50-50 split,” Mary emphasizes. “The court must ensure that the distribution is fair, but that can vary depending on the circumstances.” 

Judges can consider factors such as income differences, health conditions, primary caregiving responsibilities, or financial misconduct when determining each spouse’s share.

Retirement Accounts: One Of The Biggest Sources Of Dispute

When it comes to arguments in Dallas divorces, retirement accounts are a top battleground. “Disputes over retirement accounts are very common,” Mary says. “Even when the account is only in one spouse’s name or only one spouse was working, contributions made during the marriage are typically subject to community property rules.” 

Even if a 401(k) or pension was started before the marriage, the portion contributed during the marriage is usually divided.

To determine what belongs to each spouse, courts use a formula that splits the account into separate (pre-marriage) and community (during marriage) portions.

This division is typically enforced using a Qualified Domestic Relations Order (QDRO) for employer-sponsored plans.

Key Takeaways For Anyone Facing Property Division In Dallas

When it comes to property division in a Dallas divorce, the most important thing to understand is that ownership isn’t determined by whose name is on the title; it’s determined by when the asset was acquired. In most cases, anything obtained during the marriage is presumed to be community property, even if only one spouse technically paid for it. However, that doesn’t mean everything is split 50/50. Texas law requires a “just and right” division, which means fair rather than automatically equal. High-value assets like real estate and retirement accounts often create the most complications, especially when they include both separate and community contributions. That’s why thorough documentation is critical; if you expect to claim something as separate property, you’ll need proof to back it up.

Considering Divorce In Dallas? Get Legal Guidance Early

Texas’ community property system may appear simple at first glance, but as Mary Franklin points out, the real challenge lies in applying it to mixed assets like houses, retirement plans, or investments.

A knowledgeable Dallas family law attorney can:

• Trace separate vs. community property

• Protect your financial interests

• Reach a fair settlement early in the process to avoid the stress and expense of trial.

If you’re unsure how your assets might be divided, don’t wait until you’re already deep into the process. A consultation now could protect your future.