divorce causes bancruptcy

[gliderdad2002]

What is the name of your state? WY
I'm finally rid of the %$#@ but I got ALL the bills while she retains possession of the house (she is supposed to assume mortgage) and the car. I am to pay ALL her credit card debts ($15,000), medical ($1200), car ($1300) plus her lawyer ($2000). Needless to say I must file bankruptcy...Can she sue me for any of the money or the car after bancruptcy? What happens to the debts?

 

[I AM ALWAYS LIABLE]

What is the name of your state? WY
I'm finally rid of the %$#@ but I got ALL the bills while she retains possession of the house (she is supposed to assume mortgage) and the car. I am to pay ALL her credit card debts ($15,000), medical ($1200), car ($1300) plus her lawyer ($2000). Needless to say I must file bankruptcy...Can she sue me for any of the money or the car after bancruptcy? What happens to the debts?

My response:

Unless, in your Marital Settlement Agreement, these debts are denoted as Spousal and/or Child Support, then you can file Bankruptcy on those debts, including your ex-wife and her attorney as two of your creditors.

However - - and this is a big "however", so be careful - - if these debts ARE denoted as Support payments, then Bankruptcy isn't going to help you.

Federal Bankruptcy "trumps" a State court decision or order. So, if these are "pure" debts, unrelated to "Support" payments, then your ex-wife is in deep poo-poo when you file for Bankruptcy, because at that point, all of the liability for paying these debts falls onto her shoulders - - and what's worse for her is the fact that your BK protects you from being sued over the debts by her.

Either she pays the debts herself, or she files BK on these debts, herself.

Good luck.

IAAL

 

[gliderdad2002]

GREAT!!!! It DOES NOT stipulate it as a support!!! It is under property settlement section. I guess she'll get the shaft after all!!! She will get what she wants...everything!!!

 

[anadude]

hehe, you seem happy.

 

[gliderdad2002]

YES!! I am VERY happy!!! She made up lies about me and had my daughters make up lies about a friend of mine and has made my life a living hell for the past 2 years since filing for divorce...Not that the first 17 yrs weren't hell...She and her lawyer had my lawyer upset and my lawyer said the ex was an evil person...She is now bragging and gloating about how she screwed me...but guess what...she screwed herself by not even trying to compriomise...I bent over backward at her every command and still she didn't even try...so what goes around comes around...and she will get bit in the end....so what if BK is on my record for 7 - 10 yrs....My credit won't get better with the arrangements made...So now she can have the house, the car AND all the bills too!!! I just hope it doesn't bite my daughters in the butt ...That is my only and main concern...I don't want to hurt them...They have to live with her

 

[dcw888]

Be Careful

If your Ex-wife has a very good attorney, they still maybe able to hang you with these debts.The judge could weigh who the debts will hurt the most, for instance if you can not pay, will your ex be able to or will it throw her into bankruptcy also. 523 (a) (15) of the United Bankruptcy Code.

I speak from experience as I was the ex-wife who just fought that one & won....

 

[anadude]

dcw is right, but it's generally not cost effective for ex-spouses to fight it.

i wonder how much dcw had to pay to keep certain debts from being discharged and how much those debts were (cost/benefit analysis)?

 

[dcw888]

All it cost me was about 5 to 7 trips to the court house & 2 trips to court, a handful of phone calls to get advice and countless trips to this website and others for information.
I was fighting for not only myself but 2 other friends who my ex owed money to. It had also become a matter of principal to me and I would have continued to fight. As I said before in my posts to you, I did not have an attorney, couldn't afford one. But, I just wasn't going to take one more screwing without some sort of fight.
My ex's bankruptcy did throw me into a chapter 7, (I had to weigh what damage he had done to my credit & certain creditors coming after me for debts he wasn't paying & his filing a chapter 13) So, I figured all in all, I would at least protect what little I was suppost to get from the divorce & show him that a person cannot get by filing dishonest schedules.