When spouses face divorce, the division of assets, including businesses, usually becomes a sensitive issue. Personal sentiments often intersect with financial interests, influencing negotiations and outcomes of the divorce. Specifically, sentimental value might influence one spouse to fight more vigorously to retain a business, especially if it represents a significant part of their identity or life’s work.
But does it bear weight during the actual divorce property division?
When the decision is in the court’s hands
When determining the division of property in Texas, courts typically consider tangible factors, such as the business’s economic value, each spouse’s contribution to the business, the liquidity of the business assets and the overall financial situation of each party.
Nonetheless, courts are not bound by the usual factors they consider during property division. Depending on the unique facts and circumstances of each case, they can consider other relevant factors, such as a property’s sentimental value to a party.
When the parties agree on their own
Divorcing parties who amicably settle and agree on divorce issues have more control over the terms of their property division. Hence, a spouse who is more attached to a business can express their preference about owning it due to the asset’s sentimental value to them. This, however, does not guarantee success of settling. Ultimately, whether the other party is willing to compromise, given the sentimental value of the business to the other, will determine the settlement’s outcome.
Taking an informed step towards your future
If you are concerned about how your divorce will affect your business’s future, you may consider seeking guidance from an experienced divorce attorney to help you identify the available solutions applicable to your unique situation. This way, you can make informed decisions toward protecting your business rights and interests during and after the divorce.