How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ellen Your Own Question
Ellen
Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
9968427
Type Your Bankruptcy Law Question Here...
Ellen is online now
A new question is answered every 9 seconds

I am considering filing for Chapter 7 Bankruptcy. I have been

This answer was rated:

I am considering filing for Chapter 7 Bankruptcy. I have been married for 7 years. I have two questions: First - My wife owns a 2005 car. Bought while we were married. The title is in her name only and it is paid off. If I file BK can she loose her car eventhough the title is not in her name?

Second - My wife has a business started after we were married. It is an LLC. For the last 2 years she is the one who gets the K-1 from the business as 100% owner. She has cash in a bank account that is hers as well. If I file Bankruptcy can she loose her money or do any of her assets become a factor in the bankruptcy?
Hello,


Thank you for your question. I am happy to assist you.


A husband and wife are not required to file a bankruptcy jointly. One party can file without the other.


The effect on the non-filing spouse will be dependent upon whether there are joint debts and/or joint assets. If there are no joint debts and no joint assets, there may be little or no effect on the non-filing spouse. If there are joint debts and/or joint assets, the non-filing spouse would remain liable on the joint debt and the joint assets would need to be included in the filing.


I hope that the information which I provided was helpful to you.


Best wishes for a successful outcome. If you have additional questions, please do not hesitate to submit them to me directly.
Customer: replied 6 years ago.
Understood and thanks so much for the quick reply. So as i understand it... in this situation, I am filing bankruptcy alone. My spouse is not. I have all the debts. She has none. She has assets and income. All of her assets and all of her income are 100% safe from any bankruptcy proceeding that I undergo. If there are debts that we have together then she will be soley responsibe for them after bankruptcy.

As to my assets, cash, cars, real estate etc... are their any exceptions to things I can keep in a chapter 7 bankruptcy? For example... I own a car (paid in full), real estate, upside down mortgage, Maybe $40K in cash, no real income to speak of and about $2 million in unsecured debts from a business that went under. In a Chapter 7, can I usually keep the car, cash and real estate or will the judge likely take it all.

Thanks again for your time in this issue. It is really appreciated.
Understood and thanks so much for the quick reply. So as i understand it... in this situation, I am filing bankruptcy alone. My spouse is not. I have all the debts. She has none. She has assets and income. All of her assets and all of her income are 100% safe from any bankruptcy proceeding that I undergo. If there are debts that we have together then she will be soley responsibe for them after bankruptcy.
correct

I will answer your additional question if you tell me what state you reside in
Customer: replied 6 years ago.
Certainly... yes. Sorry. California.
Here are the exemptions for California:
http://www.bankruptcyaction.com/caexemptions.htm
Ellen and other Bankruptcy Law Specialists are ready to help you