Hicks v. Texas, 419 S.W.3d 555 (Tex. App.—Amarillo 2013, pet. ref'd).
Defendant befriended her father-in-law and they opened a joint bank account. Defendant withdrew money from that account in excess of her net contributions. She used these funds for herself and her family members such as remodeling her home, purchasing appliances, obtaining cosmetic surgery, and paying for cheerleading classes. She was subsequently convicted of theft. Defendant appealed.
The appellate court affirmed. The court recognized that a party to a joint account has the right to withdraw funds in excess of that party’s net contributions. However, doing so without authority and without evidence that the other party was making a gift, can be deemed theft. In other words, even though she had the right to withdraw the funds, she did not thereby obtain rightful ownership of those funds.
Moral: Merely because a party to a joint account has the right to withdraw, does not mean that person may withdraw funds in excess of that party’s net contributions without the fear of civil conversion liability or a criminal conviction for theft.