Bankruptcy And Divorce
Part of the divorce process is the distribution of debts and assets. Often, parties will not know exactly what debts and assets they will retain until the Final Judgment of Dissolution of Marriage is obtained and the divorce is concluded. Because of this, it is optimal to wait to file bankruptcy until AFTER the divorce is concluded so that no asset is left unprotected and no debt is omitted from the discharge.
However, no matter what debts and assets you may take from your divorce settlement, this agreement does not affect the contract that you and your former spouse have with your various debtors. If you and your spouse are named as co-debtors on a piece of property, you will remain as a debtor on that loan until your name is removed, regardless of who retains the asset at the conclusion of your dissolution. If your name is not removed from that debt and one or both of you defaults on the payments of that loan, every person listed on the note will be responsible for the debt.
Additionally, it is important to note that any money owed as alimony and child support, including arrearages, is not eligible for discharge in bankruptcy.
The office of Carmen G. Soto, P.A. not only specializes in the intricacies of Chapter 7 Bankruptcy but in all variants of family law, including divorce. By having one office handle both your divorce and bankruptcy case, you ensure that nothing is overlooked. Fort Lauderdale Bankruptcy Attorney Carmen G. Soto, PA strives to make your transition between divorce and bankruptcy quick, easy, and as painless as possible. For more information regarding Bankruptcy and/or Divorce contact Fort Lauderdale Bankruptcy Attorney Carmen G. Soto.