What are examples of “complex property” in divorce?
Dallas, TX family law attorney Lisa E. McKnight talks about “complex property” in a divorce and what exactly it means.
Phone: (214) 528-4191
Well, I had a client come to me and she and her husband owned 70 different entities. It was corporations that owned corporations. We had to get a flowchart of all these entities and so it becomes very complex when you say okay, well this company is the parent company and it owns six other companies and under this one company they own real estate. And it becomes very complex and you need to get a handle on what is all there. So it always goes back to defining what’s in the community estate.
There becomes interesting tax implications, partnerships. When there’s issues regarding partnerships with third parties in the divorce we can’t affect somebody’s partnership with a third party so that becomes an interesting – you have to come up with creative ways to how do we get the value from that partnership to the non-partnership owning spouse.
The other things is medical practices I do a lot of divorces for doctors. Medical practices a non-doctor can normally not own a medical practice and so the doctor is going to be awarded the medical practice so we talk about what is the value of it? And the value had to be minus his goodwill and so what does that mean? And so there’s a lot of factors to going in to evaluating what assets do we have, do we need to get appraisals, do we need a financial expert? What are the tax implications regarding this divorce? And so it can get extremely complex.