Inheritance is separate property of the inheriting spouse. So, the bankruptcy trustee couldn't reach your spouse's assets, unless she is a joint petitioner on the bankruptcy. And, you can't reach those assets, either, as along as they are maintained as your spouse's separate property. The court has no jurisdiction to award you any portion of the inheritance unless it is commingled, or, the property appreciates after it's inherited, due to your personal effort (i.e., investment acumen).
Based on your facts, then, you may be better served by sticking with the Chapter 13. But, I would encourage you to consult with a local family law attorney, though, I think you will find most have zero bankruptcy law knowledge, and similarly, most bankruptcy attorneys have zero family law knowledge.
So, seek counsel very carefully to get the whole picture.
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Hope this helps.
Oh. Alrighty then, that changes everything.
You have no legal obligation to update the bankruptcy trustee of your financial condition, after the plan is confirmed, except as to your tax returns -- unless something in the plan confirmation orders states otherwise. And, as tax returns do not show the acquisition of inheritance, there would be nothing to trigger the trustee's or creditor's interest.
Absent any motion by the trustee or a creditor to reach the inherited assets, nothing will happen. But, if it does happen, then all of the inheritance is the property of the bankruptcy estate and it will be used to pay creditors to the extent that they would not have been paid under the preexisting plan.
A divorce would be discovered by the trustee, and any asset transfers or property disclosed during the divorce would be discovered as well. So, a divorce risks the inheritance unless you dismiss the Ch. 13 in advance. On the other hand, because the inheritance will be her separate property, except to the extent that it is required to cover joint marital bills, there still may be nothing left after the bills are paid.
So, it's pretty much an accounting problem. If you think you can pay off all of the marital debt with the inheritance, then maybe dismissing the plan makes sense.
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