Texas Family Code - FAM § 3.104. Protection of Third Persons

(a) During marriage, property is presumed to be subject to the sole management, control, and disposition of a spouse if it is held in that spouse's name, as shown by muniment, contract, deposit of funds, or other evidence of ownership, or if it is in that spouse's possession and is not subject to such evidence of ownership.

(b) A third person dealing with a spouse is entitled to rely, as against the other spouse or anyone claiming from that spouse, on that spouse's authority to deal with the property if:

(1) the property is presumed to be subject to the sole management, control, and disposition of the spouse;  and

(2) the person dealing with the spouse:

(A) is not a party to a fraud on the other spouse or another person;  and

(B) does not have actual or constructive notice of the spouse's lack of authority.


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