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Lifshutz v. Lifshutz

61 S.W.3d 511 (2001)

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Lifshutz v. Lifshutz

Texas Court of Appeals
61 S.W.3d 511 (2001)

  • Written by Whitney Kamerzel , JD

Facts

James (defendant) and Kymberly Lifshutz (plaintiff) were married. James acquired an interest in several companies (the companies) (defendants) before the marriage. During the marriage, James dominated the corporations, disregarded the corporate forms, and used corporate funds for personal and community expenses. James’s misuse of the companies resulted in a benefit to the community at the expense of the companies. Kymberly sued James for a divorce and sued the companies to pierce the corporate veils using the alter-ego doctrine. The trial court pierced the companies’ corporate veils and characterized one-third of the companies’ assets as community property. The trial court awarded Kymberly only 25 percent of the community estate. Both Kymberly and the companies appealed.

Rule of Law

Issue

Holding and Reasoning (Green, J.)

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