Jennifer Ray’s Legal Blog

Debts will either be characterized as a community debt or a separate debt.  If a debt is characterized as community, both spouses are liable for the debt prior to division.  A separate debt, on the other hand, will be the sole responsibility of the spouse whose name the debt is in.  A simple way to approach debt characterization is to determine when the debt was incurred.  If the debt was incurred after the date of marriage, the debt is typically considered a community liability meaning both parties can be held liable for its repayment.  Keep in mind that even if the debt was only issued in one party’s name, the debt will usually still be a “community liability.”  However, also be cognizant of the fact that no matter which party is awarded the debt (whether by the court or by agreement of the parties), a creditor can only look to the person who signed the credit agreement to satisfy payment of the debt.  Separate debts are those debts incurred by a party prior to marriage or that the creditor has agreed to solely look for repayment from the party’s separate property.  Also, student loan debts and obligations are specifically characterized as “separate” in the Texas Family Code unless one spouse cosigns the obligation for the spouse incurring the student loan debt.

Marital assets such as retirement accounts and 401k accounts are subject to special division mechanisms to properly get a client their awarded share of the asset.  This is contingent, of course, on the specific asset, the percentage of the asset awarded, and the financial institute or employer holding the account.            The majority of retirement accounts must be divided by a qualified domestic relations order, or “QDRO” as it is commonly referred to in the family law context.  A Qualified Domestic Relations Order is separate and specialized document signed by the Court ordering the division according to the terms of the division specifically identified in the final decree.  A qualified domestic relations order can be submitted to the Court at finalization of the divorce or even after the divorce has been granted. Qualified Domestic Relations Orders can be obtained several ways.  Some attorneys will draft their own document to be submitted to the court.  A qualified domestic relations order can sometimes be obtained from the participating spouse’s employer.  Most large companies and corporations will offer their own generic qualified domestic relations order for asset division.  Because of the specialization and requirements by different employers as to what constitutes an effective qualified domestic relations order, other attorneys outsource the document to a company that deals with qualified domestic relations order on a daily basis.  A party should consult with an attorney familiar with family law to discuss the necessity of obtaining a qualified domestic relations order.

I had the pleasure of attending the sixth annual Texana Chili Spill last weekend at Brackenridge Park in Edna, Texas.  It was good times I assure you.  My boyfriend at the time, Kacey, and his teammate Chris Burns finished 3^rd overall in the Washer Tournament.  This was despite the fact that he hadn’t practiced or thrown washers in almost a year.  Shane Mabry, a family friend, and his cook team got 1^st place for their ribs and 1^st place overall.  Therefore, Shane’s cook team will be competing in the barbeque cook off  for the Houston rodeo next year.  How exciting!  If you ever have an opportunity to attend the Texana Chili Spill in Edna, you should definitely check it out.  You won’t be disappointed I promise!

Jimmie Johnson won again last week at Phoenix with one race left in the season!  This was a bold statement to the other Chase contenders after the disappointing race at Texas the week before in which he finished 15^th (but retained his points lead despite the fact!).  Johnson came on strong and dominated the majority of the race.  I guess he wanted to prove his head is still in the game and mind set on taking home another championship!  For all the critics that think he won’t seal the deal, YOU ARE WRONG!!!

The word about town is the Mexican Gulf Cartel is stockpiling high-powered weapons and recruiting local gang members on both sides of the border to prepare for possible confrontations with U.S. law enforcement.  These replacements are believed to be armed with assault rifles, bulletproof vests and grenades and are occupying safe houses throughout the McAllen area.  Texas Border Patrol, Texas Department of Public Safety and the Hidalgo County Sheriff’s Department feel the smugglers have become increasingly confrontational.  Hidalgo County deputies will soon be issued high powered rifles and authorized to return fire on cartel members.  In September alone, over 175 cartel members and affiliates were arrested in South Texas, but apparently there are more arrests or captures to be made.