82R581 JSC-F
By: Harris S.B. No. 817
A BILL TO BE ENTITLED
AN ACT
relating to the division of community property on dissolution of
marriage.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 7, Family Code, is amended by adding
Section 7.009 to read as follows:
Sec. 7.009. FRAUD ON THE COMMUNITY; DIVISION AND
DISPOSITION OF RECONSTITUTED ESTATE. (a) In this section:
(1) "Fraud on the community" means improper conduct by
a spouse to the detriment of the community estate. The term
includes a spouse:
(A) wrongfully conveying property out of the
community estate;
(B) wasting community funds or property; and
(C) failing to provide an accounting of money
transferred from the community estate.
(2) "Reconstituted estate" means the total amount of
money that would have been in the community estate if the fraud on
the community had not occurred.
(b) Before dividing the community estate under Section
7.001, the trier of fact must determine whether a spouse has
committed fraud on the community.
(c) If the trier of fact determines that a spouse has
committed fraud on the community, the court shall:
(1) calculate the value by which the community estate
was depleted as a result of the fraud on the community and calculate
the amount of the reconstituted estate;
(2) divide the value of the reconstituted estate
between the parties; and
(3) award to the spouse that committed the fraud on the
community the portion of the estate that the spouse depleted.
(d) In making a just and right division of the reconstituted
estate under Section 7.001, the court may:
(1) award a money judgment in favor of the wronged
spouse against the spouse who committed the fraud on the community;
(2) award the wronged spouse an appropriate share of
the community estate remaining after the fraud on the community; or
(3) award the wronged spouse both a money judgment and
an appropriate share of the community estate as necessary to effect
a just and right division.
SECTION 2. The change in law made by this Act applies to a
suit for dissolution of a marriage pending before a trial court on
or filed on or after the effective date of this Act.
SECTION 3. This Act takes effect September 1, 2011.