David P. Badanes, Esq.
Many divorces are caused by financial difficulties. It is not uncommon for people involved in a divorce to contemplate filing for bankruptcy or they may already have filed for bankruptcy. When one spouse files for bankruptcy, it may affect the other spouse. The following is a brief explanation of the effect of bankruptcy on a divorce.
In general terms, when a person files for bankruptcy, it is to relieve the debtor from their existing debts. However, any child support arrears or spousal support arrears (also known as spousal maintenance or alimony) are non-dischargeable debts in bankruptcy proceedings. This means that if you are in arrears in your child support obligations or spousal support obligations, they cannot be forgiven by obtaining a bankruptcy decree.
Furthermore, after a person is declared bankrupt, they may still need to pay a portion of their existing debts. Typically, child support and spousal support payments are given priority over other debts.
When one spouse files for bankruptcy, it may affect the other spouse’s assets. The actual effects of filing for bankruptcy and the effects on assets are complicated and should be discussed with your matrimonial and bankruptcy attorney.
If you are considering filing for divorce, contact David Badanes and the Badanes Law Office at 631-239-1702, email at firstname.lastname@example.org or visit our web site: www.dbnylaw.com. The Badanes Law Office has offices in Northport, Garden City, Brooklyn and Manhattan.
Please like us on Facebook to get important legal news, tips and articles.