Why Texas Employment Agreements Are Critical
Texas is an “At Will” state which gives few rights to an employee that are not created by statute or governed by labor regulations. At-will employees can be terminated for any reason, as long as the reason is not in violation of specific statues or is due to failure or refusal of the employee to commit an illegal act during employment. An Employment Contract is of critical importance in order to create equal rights and obligations that are enforceable. An employment contract must directly limit the employer’s right to terminate an employee without due cause or provide for a “term” of employment that is firm. In the employment contract the employer should unequivocally indicate that termination of the employee’s job will only occur in specific defined circumstances. This contract may also set out the terms on which a company hires an individual or an individual hires a company. If properly prepared, this contract is a legally binding agreement in Texas and is enforceable in a court of law.
In Texas, an oral employment agreement with a term less than one year in duration or which can be fully performed within one year, is generally binding.
Contract terms can flow from a number of sources which may include the following:
• Verbal agreements
• Agreements in writing or document form
• Agreements required by law
• Implied – not written but mutually understood to exist
• An offer letter
• An employee handbook
• A company notice board
• Collective agreements
• Emails
• Faxes
Wrongful dismissal is a breach in the way the employee is dismissed, i.e. without being given proper notice or following the procedures as terms or rights set out in the employment contract.
In order to modify a contract, there must be a subsequent agreement between the parties. Under certain circumstances, the employer may need to make changes to the contract because of economic circumstances. Things that might may be modified include:
• Rate of pay
• Work time
• Duties and responsibilities
• Work Location
• Correcting an error in the contract
• Disciplinary action – check disciplinary procedures to make sure this is done properly
Employees may ask for a change in a contract to:
• Improve their work environment
• Get a raise in pay
• Get more vacation or holiday time
• Change work hours
A breach of the contract occurs when either the employer or the employee violates a condition or term in the contract. A breach may be the result of a verbal or an oral (implied) agreement. If you think a breach of contract has occurred, it is best to take the problem to the employer first and attempt to work out a solution. If you decide to take legal action, remember you will need to prove financial loss in order to receive compensation. Legal action may prompt the employer to counter sue, if the employer thinks it has legal ground. An employer has the legal right to sue the employee for damages just as the employee has the right to sue the employer.
How an Executor of “The Will” Might Be Breaching His/Her Fiduciary Duty
The executor of a Texas will is the person chosen by the deceased to administrate the provisions of the will of his/her estate. The executor must be at least eighteen years old and have no prior felony convictions. Executors are usually family members, accountants, or lawyers. The duties of the executor start at the time of death and finish when the last state and federal taxes, if any, are paid. And the estate is closed or otherwise fully disposed of. Executor responsibilities include accounting of assets in the estate, payment of estate liens and debts, and final distribution of assets to the beneficiaries.
An executor has legal fiduciary responsibilities and must act with utmost honesty, impartiality, and scrupulousness on behalf of the deceased and the estate’s beneficiaries. Rational decisions must be made; and the executor must overcome emotion caused by loss and adhere to the terms of the will.
But what if the Executor decides to put his/her own interests ahead of the estate’s beneficiaries or neglects to carry out his/her responsibilities. Has the Executor of the will breached their fiduciary duty? Some serious examples of an executor’s breach of fiduciary duty include:
- Mismanaging estate assets
- Misappropriating estate assets
- Hiding estate assets
- Failing to notify beneficiaries of their interests
- Using estate assets for the executor’s own benefit
- Unnecessarily delaying distributions to beneficiaries
- Paying themselves large and exorbitant, unearned fees
- Selling estate assets for an inappropriate price
- Ignoring important probate deadlines
- Failing to collect money owed to the estate
If an executor has breached his/her fiduciary duty in an estate where you are a beneficiary, this is a very serious issue that needs immediate attention. If you, as a beneficiary, feel that your interest in an estate is being compromised by your current executor, you should contact a Professional Probate Litigation Attorney immediately for help or the estate could experience serious consequences that will not only cause horrible problems between family and friends but also financial issues in the estate from possible fraud, theft of cash/property, or total disregard of all legal fiduciary responsibilities and duties.
Need Help? Give Us A Call!
The Nacol Law Firm P.C.
Probate Litigation Attorneys in Dallas TX
972-690-3333
Contract Killers : Arbitration and Selected Forum Provision
Contracts are the concrete pillars of our capitalistic society and govern all transactions promoting trust and stability within our American culture. An individual that enters a complex contract regarding a commercial lease, any professional services, or business and franchise agreements must be aware of two killer provisions that may be game changers if the need for litigation arises.
First, any individual prior to entering a binding contract must first read the contract thoroughly to see if there is an arbitration provision. An arbitration provision has the power to tie the hands of any contracting party. An arbitration provision forces a contracting party into a tribunal of selected arbitrators thus precluding a contracted party from obtaining their day in Court. These provisions must be carefully considered and examined before an individual signs a contracted agreement. This is a non-extensive list of potential problems an arbitration provision may cause:
- Location, Location, Location. An arbitration provision may dictate the location of the arbitration process;
- Attorney’s fees. An arbitration provision may dictate who pays for the attorney’s fees during the arbitration process;
- Selection of arbitrators. An arbitration provision may dictate the selection process used to determine the tribunal of arbitrators which will hear the case;
- Arbitration Provisions are favored by Texas and the Supreme Court and it is difficult to invalidate an arbitration provision.
Second, any individual prior to entering a binding contract must next read the contract thoroughly and determine if a Selected-Forum provision exists. A Selected-Forum provision may dictate (1) the choice of law that will be used while interpreting the contact and (2) the venue or jurisdiction that will apply. Texas favors Selected-Forum provisions and these provisions are difficult to invalidate. This is a non-extensive list of potential problems with Forum-Selection clauses:
- Location, Location, Location. A Forum-Selection clause may force the contracted parties to bring a suit in another state other than the state the contract was signed in;
- Choice of Law. The Selected-Forum Clause may force the contracted parties to utilize another State’s law;
- The Selected-Forum Clause may also include torts. If the Selected-Forum Clause is specific enough it may encompass torts (fraud, negligent misrepresentation, tortious interference with contract) and preclude a party from bringing a tort dispute in a State to which one of the parties reside;
- Selected-Forum clauses are favored by Texas and are difficult to invalidate.
Be wary of arbitration provisions and Selected-Forum clauses. They both may be deal breakers for certain businesses. If you have signed a contract with these provisions there may be remedies but you must consult an experienced attorney.
Julian Nacol, Attorney at Law
Nacol Law Firm P.C.
(972) 690-3333
Texas Divorce Financial Checklist for 2026
Preparing for a Texas Divorce: Assets
Going through a Divorce is painful no matter the circumstances. Before you get into the Texas Divorce Process, you can reduce expense, stress, and conflict by making sure you are financially prepared. Advanced planning helps you in making sound decisions, start preparing for post-divorce life, and avoid many post-divorce pitfalls. Below is a list of items you need to gather before counseling with an attorney. Financial Documents are a must to show what your true assets and liabilities are in the marriage. This is a very general checklist. Disregard what is not pertinent to your situation.
Documents:
- Taxes (at least three years)
- Federal Tax Return
- State Tax Return
- W2
- Tax Liens
- All other IRS related documents
- Wills and Trusts with all attachments reflecting corpus and trust holdings
- Listing of all liabilities (including mortgages, credit card debt, personal loans, automobile loans, student loans, etc.):
- Name of entity, address, and telephone number
- Account number
- Amount owed
- Monthly payment
- Property securing payment (if any)
- Most current statements and account status of lenders (from last 3 years)
- A Listing of the address and location of all Real Property, (includes time-shares, vacation properties, commercial property, and lots):
- Deeds of Trust
- Notes including equity loans and second liens
- Legal Descriptions
- Mortgage Companies and Loan Servicers (Name, Address, Telephone Number, Account Number, Balance of Note, Monthly Payments) for all Primary and Secondary Mortgages
- Evidence of purchase gift or inheritance documents
- Current fair market value.
- Appraisals
- Motor Vehicles (including mobile homes, boats, trailers, motorcycles, recreational vehicles; exclude company owned):
- Year, Make, Model of all Motor Vehicles
- Value
- Name on title
- VIN Number
- Fair Market Value
- Name of creditor (if any), address and telephone
- Persons listed on debt
- Account number
- Balance of any loan and monthly payment
- Net Equity in vehicle
- Current statements from last 3 years
- Cash and accounts with financial institutions (checking, savings, commercial bank accounts, credit union funds, IRA’s, CD’s, 401K’s, pension plans and any other form of retirement accounts):
- Name of institution, address, and telephone number
- Amount in institution on date of marriage
- Amount in institution currently
- Names on Account and Account Number
- Social Security Documents
- Pension Documents
- Company loans and documents related to benefits
- At least 3 years statements on all pertinent accounts
- A listing of separate property (property owned prior to marriage, family heir looms, property gifted, inherited property):
- Records that trace your separate property. These assets will remain yours if properly documented
- Retirement Benefits:
- Exact name of plan
- Address of plan administrator
- Employer
- Employee
- Starting date of contributions
- Amount currently in account
- Balance of any loan against plan
- Documents (Date of start of plan is especially important for divorce settlement)
- Publicly traded stock, bonds, and other securities (include securities not in a brokerage, mutual fund, or retirement account):
- Number of shares
- Type of securities
- Certificate numbers
- In possession of
- Name of exchange which listed
- Pledged as collateral?
- Date acquired
- Tax basis
- Current market value
- If stock (date option granted, number of shares and value per share)
- Stock options plans and related documents
- Insurance and Annuities Policies and Inventory:
- Name of insurance company
- Policy Number
- Insured
- Type of insurance (whole/term/universal)
- Amount of monthly premiums
- Date of Issue
- Face amount
- Cash surrender value
- Current surrender value
- Designated beneficiary
- Other policies and amendments
- Closely held business interests:
- Name of business
- Address
- Type of business
- % Of ownership
- Number of shares owned if applicable
- Value of shares
- Balance of accounts receivables
- Cash flow reports
- Balance of liabilities
- List of company assets
- Hobbies or side businesses that generate income
- Mineral Interests (include any property in which you own the mineral estate, separate and apart from the surface estate, such as oil and gas leases; also include royalty interests, work interests, and producing and non-producing oil and gas wells:
- Name of mineral interest
- Type of interest
- County of location
- Legal description
- Name of producer/operator
- Current market value
- needs leases or production documents related to the asset
- Money owed by spouse (including any expected federal or state income tax refund but not including receivables connected with any business)
- Household furniture, furnishings, and Fixtures
- photos
- purchase documents
- Electronics and computers including software and hard drives
- Antiques, artwork, and collectibles (including works of art, paintings, tapestry, rugs, crystal, furniture, quilts) All major collections always need to be appraised! (Cars, Guns, Jewelry, Coins & Stamps, Action Figures, and Books)
- Miscellaneous sporting goods and firearms
- Jewelry including appraisals
- Animals and livestock
- Farming equipment
- Club Memberships
- Safe deposit box items
- Burial plots including documents of ownership
- Items in any storage facility
- Travel Awards Benefits (including frequent flyer miles)
You may decide to divorce or not, but it is very important to have all financial information before you enter into a Divorce! This is a very general Divorce Financial Asset checklist. Disregard what is not pertinent to your situation.
After reviewing this list, you may also decide to go and review the Family Information Form. This form is basic information about you and your spouse. By the time you are looking at this, you will realize that you may not really know your spouse’s information. You will need to know the correct information before filing for divorce in Texas.
These two informational lists will prepare you with the basic financial information that any attorney will need to get your divorce started.
You can click on these links to download and print our Texas Divorce Financial Checklist and Family Information Form for a Texas Divorce.
Nacol Law Firm P.C.
Dallas Divorce Attorneys
Call (972) 690-3333
No Will: Now What?
When your loved one dies without a will, the Texas probate process can be expensive and frustrating. Absent a will, an individual must have his or her estate distributed per the laws of Intestate Succession. Intestacy is the process by which the Texas probate code will determine which assets go to whom.
If your mother or father dies without a will, here is the normal estate disbursement under the following conditions:
- Mother and father are still married;
- All siblings are born from mother and father, no out of wedlock or children of another marriage.
This is a common fact pattern for intestacy probate. If an individual die but their spouse is still alive then the assets will be distributed in the following manner:
- Community Property: The spouse will receive 100% of the community property.
- Separate Personal Property: The spouse is entitled to 1/3rd of descendants separate personal property. The descendants are entitled to the other 2/3rds of separate personal property.
- Separate Real Property/Land: The spouse is entitled to a life estate in 1/3rd of the separate real property. The descendants are entitled to the remainder interest in that 1/3rd, plus a present possessory interest in the remaining 2/3rd of the separate real property.
If your wife or husband dies with no children, then the estate will be distributed in the following manner:
- Community Property: The spouse will receive 100% of the community property.
- Separate Personal Property: The spouse will receive 100% of the Separate Personal Property
- Separate Real Property: The spouse will receive ½ of the separate real property if the intestate is survived by a parent, sibling, or sibling’s descendant. The remaining ½ of the separate real property passes to the parent, sibling, or sibling’s descendant as if the intestate had no surviving spouse. If the intestate is not survived by a parent, sibling, or sibling’s descendant, the surviving spouse is entitled to all the .
This is a quick overview of the most common forms of statutory asset distribution when a loved one dies intestate. Though the above scenarios look simplistic, if your love one died without a will, it is imperative that you find a qualified Texas probate attorney that can guide you through the specific provisions within the Probate Court. The Dallas Texas probate attorneys at the Nacol Law Firm can help you navigate this unfamiliar terrain.
NACOL LAW FIRM P.C.
8144 Walnut Hill Lane
Suite 1190
Dallas, Texas 75231
972-690-3333
Office Hours
Monday – Thursday, 8am – 5pm
Friday, 8:30am – 5pm
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Attorney Mark A. Nacol is board certified in Civil Trial Law by the Texas Board of Legal Specialization
