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In the Interest of C.F.M.
2012 Tex. App. LEXIS 711
Tex. App.
2012
Read the full case

Background

  • Husband filed for divorce February 12, 2009; trial court issued temporary orders June 8, 2009.
  • Wife moved for appointment of a receiver June 30, 2010 based on Husband’s nonpayment and asset dissipation.
  • Trial court held hearings July–August 2010, found Husband in contempt, and deferred ruling on receivership.
  • Court later signed order appointing Howard Spector as receiver March 21, 2011.
  • Husband appealed under Texas law allowing interlocutory appeal of receivership orders; court conducted reconsideration and issued findings of fact and conclusions of law.
  • Court concluded appointment was necessary and equitable to protect both parties and property, and upheld the receivership over Husband’s challenges.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Authority and standard for appointing a receiver Husband contends improper standard used; receiver used to punish. Wife argues Court had broad discretion under Family Code 6.502 to appoint to preserve property. Court acted within proper discretion under §6.502.
Due process—notice and hearing Husband claims lack of notice/hearing on basis for receivership. Wife argues hearings occurred; ample opportunity to be heard; record shows restraint. Not reversible; adequate notice and opportunity to be heard; harmless error if any.
Property scope and segregation of assets Receivership should be limited to community property; separate property excluded. Receivership covers all property of the parties; no segregation required. Receivership may extend to all property; no error in not segregating.
Effect of prior findings and incompetency evidence Credibility and noncompliance justify receivership. Findings supported; receiver appropriate to enforce court orders.

Key Cases Cited

  • Norem v. Norem, 105 S.W.3d 213 (Tex.App.-Dallas 2003) (broad discretion under 6.502; use of receiver to effectuate court orders)
  • Young v. Young, 765 S.W.2d 440 (Tex.App.-Dallas 1988) (receiver aid to effectuate court orders)
  • Elliott v. Elliott, 422 S.W.2d 757 (Tex.Civ.App.-Fort Worth 1967) (historical authority on receivership in family/divorce context)
Read the full case

Case Details

Case Name: In the Interest of C.F.M.
Court Name: Court of Appeals of Texas
Date Published: Jan 27, 2012
Citation: 2012 Tex. App. LEXIS 711
Docket Number: No. 05-11-00378-CV
Court Abbreviation: Tex. App.