Dividing Overseas Property in a Divorce

Nature of the Overseas Property

The division of property in a Texas divorce case depends on whether the property in question is community property, belonging to both spouses, or separate property, belonging exclusively to one spouse. Under Texas law, any property acquired by either spouse during the course of the marriage is presumed to be community property. This presumption can only be rebutted by clear and convincing evidence that the property is separate. Moreover, property that a spouse owned prior to the marriage, as well as property acquired through inheritance, gift, or devise, is deemed separate. The spouses can also agree through a contract that certain property will be separate. Although Texas law provides clear guidelines for determining the nature of property, international laws may view property differently, resulting in disagreements over the classification of international assets.

Identify and Valuing International Property

Although divorcing parties are legally required to disclose all separate and community property, people are not always fully honest about the extent of their assets. While it may be possible to locate domestic property through investigations, uncovering hidden international assets can be significantly more challenging and time-consuming. Additionally, privacy laws in certain countries may prevent access to information about a spouse's property, even if it is located overseas. Even if both parties disclose all assets, including foreign property, disputes may arise over how the property should be valued. Typically, an appraiser is necessary to assess the value of the property, after which the court will issue an order for the division of property.

Enforcing Property Division in Divorces

In the event that one of the parties fails to comply with the court's ruling on the distribution of marital property, the other party can take measures to enforce the order. Despite the Texas courts lacking jurisdiction over international assets, they can still mandate the sale of the property or require the spouse who owns it to compensate their ex-partner for its value.