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Phillips Esq.
Phillips Esq., Attorney-at-Law
Category: Bankruptcy Law
Satisfied Customers: 12747
Experience:  B.A.; M.B.A.; J.D.
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I have been sued in a non-compete case with my previous employer.

Customer Question

I have been sued in a non-compete case with my previous employer. I have no debt (even my cars and house are leased). My goal is to protect money I have from the sale of a previous house and to protect my wife's inheritance money which is in an account in her name only. My question is can my wife's inheritance money be taken as damages against me and if I buy and homestead a house now with the proceeds from my house as a down payment, if damages are assessed against me, can my house be taken? Also, if I declare bankruptcy will that allow me to get out of a current 10-month lease and keep my house if damages are accessed against me?
Submitted: 2 years ago.
Category: Bankruptcy Law
Expert:  Phillips Esq. replied 2 years ago.
Thank you for giving me the opportunity to assist you. I encourage you to ask me for clarification, if you are not clear with my Answer.

Kindly note that there may be a delay in getting back to you because I am also helping other customers on the site or may be on break. However, rest assured that you would get a response to your follow-up questions. Thank you for your understanding and patience.


Question: I have been sued in a non-compete case with my previous employer. I have no debt (even my cars and house are leased). My goal is to protect money I have from the sale of a previous house and to protect my wife's inheritance money which is in an account in her name only. My question is can my wife's inheritance money be taken as damages against me

Response 1: No. Your wife does not have anything to do with your lawsuit. Minnesota is not a community property state where the debts acquired by one spouse during the marriage become the responsibility of both spouses.

and if I buy and homestead a house now with the proceeds from my house as a down payment, if damages are assessed against me, can my house be taken?


Response 2: No. Equity in the house is protected up to $300,000.00. See Minnesota Statutes Sections 510.01 and 510.02.

Also, if I declare bankruptcy will that allow me to get out of a current 10-month lease and keep my house if damages are accessed against me?

Response 3: Yes.

Phillips Esq., Attorney-at-Law
Category: Bankruptcy Law
Satisfied Customers: 12747
Experience: B.A.; M.B.A.; J.D.
Phillips Esq. and other Bankruptcy Law Specialists are ready to help you
Customer: replied 2 years ago.
Thank you for your quick response. The suit against me was filed in Minnesota. However, my wife inherited the money in Texas and all her money is in accounts there. Also, we were married in Texas and, although we have lived in Minnesota for a year, I am returning to Texas for my new job. (My family is staying in MN for the time being.) Does this make a difference?
Expert:  Phillips Esq. replied 2 years ago.
Thank you for your quick response. The suit against me was filed in Minnesota. However, my wife inherited the money in Texas and all her money is in accounts there. Also, we were married in Texas and, although we have lived in Minnesota for a year, I am returning to Texas for my new job. (My family is staying in MN for the time being.) Does this make a difference?

Response: No, it does not. My Answers remain the same.

Goodluck with your new job.

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