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 Phillips Esq. Your Own Question

Phillips Esq.
Phillips Esq., Attorney-at-Law
Category: Bankruptcy Law
Satisfied Customers: 12962
Experience:  B.A.; M.B.A.; J.D.
16551887
Type Your Bankruptcy Law Question Here...
Phillips Esq. is online now
A new question is answered every 9 seconds

theft/loss of retirement 401k assets re divorce/bankruptcy

Resolved Question:

Thanks for answer to previous question. I wanted to see if you were knowledgeable before the next question: re self-directed 401k re divorce/bankruptcy. significant Plan assets (more than $50K) stored at home were removed while away. can't prove who took them, but only one person I know of might have guessed their location and had access to the home via the children key (no signs of break-in). prefer not to have police involved due to kids. Any idea how a family law court would handle this? for purposes of this question, let's assume the family law court holds me 100% responsible (I realize you're not CA, so a general-principle answer will be fine for now.) Would there be a civil judgment that's dischargeable by bankruptcy? the answer probably determines whether my next home is a cardboard box.
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.


Question: Thanks for answer to previous question. I wanted to see if you were knowledgeable before the next question: re self-directed 401k re divorce/bankruptcy. significant Plan assets (more than $50K) stored at home were removed while away. can't prove who took them, but only one person I know of might have guessed their location and had access to the home via the children key (no signs of break-in). prefer not to have police involved due to kids.

Any idea how a family law court would handle this? for purposes of this question, let's assume the family law court holds me 100% responsible (I realize you're not CA, so a general-principle answer will be fine for now.)

Response 1: I am not sure how a family Court Judge would handle this. However, it would really depend on the credibility of witnesses. If the Court finds you credible, the Court would rule against him, but if the Court finds your testimony lacking, the Court would rule in favor of your husband.

Would there be a civil judgment that's dischargeable by bankruptcy? the answer probably determines whether my next home is a cardboard box.

Response 2: Any Judgment regarding marital property settlement would not be dischargeable in both Chapter 7 Discharge and Chapter 13 Hardship Discharge. A Hardship Discharge is where a Chapter 13 plan is not complete due to financial hardship of the debtor and the Court still grants the debtor a Discharge as if the plan has been completed.

Customer: replied 2 years ago.
Hi, thanks. I need a clarification in Response 2. You're saying that if I were to qualify for a Chapter 13 BK, the marital property debt would be discharged? The ex will no doubt fight this....
Expert:  Phillips Esq. replied 2 years ago.

Hi, thanks. I need a clarification in Response 2. You're saying that if I were to qualify for a Chapter 13 BK, the marital property debt would be discharged? The ex will no doubt fight this....

Response: Actually no. Any property settlement against you would not be dischargeable in bankruptcy. You would still owe the debt to your spouse regardless of your bankruptcy filing unless you reach an agreement to pay the debt off through your Chapter 13 plan. This would be a regular Chapter 13 Discharge and not Hardship Chapter 13 Discharge as previously explained:


"Any Judgment regarding marital property settlement would not be dischargeable in both Chapter 7 Discharge and Chapter 13 Hardship Discharge. A Hardship Discharge is where a Chapter 13 plan is not complete due to financial hardship of the debtor and the Court still grants the debtor a Discharge as if the plan has been completed. "

Customer: replied 2 years ago.

sorry. not quite clear. Maybe it's just the conjunctions? If I were to rephrase your answer as ....

 

"Any Judgment regarding marital property settlement would not be dichargeable in EITHER Chapter 7 Discharge OR Chapter 13 Hardship Discharge."...

 

... would that also mean the same thing as the word of your answer?

 

Finally (I give tips, by the way....) If I lost my job or got sick long-term then would it be possible under either 7 or 13 to discharge the debt under Hardship Discharge? Thanks.

Expert:  Phillips Esq. replied 2 years ago.

Sorry. not quite clear. Maybe it's just the conjunctions?

Response 1: No need for an apology. I am here to clarify. I will word it differently this time. Let me know if you still need clarification.

If I were to rephrase your answer as ....

"Any Judgment regarding marital property settlement would not be dichargeable in EITHER Chapter 7 Discharge OR Chapter 13 Hardship Discharge."...

... would that also mean the same thing as the word of your answer?


Response 2: Generally, marital property settlement cannot be discharged in bankruptcy. It cannot be discharged in Chapter 7 and Chapter 13. However, it can be discharged in a Chapter 13 case only if you pay off the Judgment at the completion of your Chapter 13 plan.


Finally (I give tips, by the way....) If I lost my job or got sick long-term then would it be possible under either 7 or 13 to discharge the debt under Hardship Discharge?


Response 2: Unfortunately no. Marital property settlement can be discharged in a Chapter 13 case only if the Chapter 13 plan is completed. Otherwise, no. Marital property settlement can NEVER be discharged in a Chapter 7 case. See 11 U.S.C. Section 523 (a)(15).

Phillips Esq., Attorney-at-Law
Category: Bankruptcy Law
Satisfied Customers: 12962
Experience: B.A.; M.B.A.; J.D.
Phillips Esq. and 4 other Bankruptcy Law Specialists are ready to help you
Customer: replied 2 years ago.
excellent; thanks. it appears only death will do it! lol
Expert:  Phillips Esq. replied 2 years ago.
You are quite Welcome!

All the best,

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Last | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
 
 
 

Meet The Experts:

 
 
 
  • FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
< Last | Next >
  • http://ww2.justanswer.com/uploads/FL/FLAandNYLawyer/2012-1-27_14349_3Fotolia25855429M.64x64.jpg FiveStarLaw's Avatar

    FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
  • http://ww2.justanswer.com/uploads/TL/tleeders/2012-6-13_204815_TSL1.64x64.jpg Terry L.'s Avatar

    Terry L.

    Attorney

    Satisfied Customers:

    2204
    Better Business Bur 15yrs bankruptcy experience. Chicago Bar
  • http://ww2.justanswer.com/uploads/mnphillips2/2009-03-13_203105_10984459-249293407.jpeg Phillips Esq.'s Avatar

    Phillips Esq.

    Attorney-at-Law

    Satisfied Customers:

    950
    B.A.; M.B.A.; J.D.
  • http://ww2.justanswer.com/uploads/CO/cortrightlaw/2011-12-5_4117_Kevin.64x64.JPG cortrightlaw's Avatar

    cortrightlaw

    Attorney

    Satisfied Customers:

    490
    Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
  • http://ww2.justanswer.com/uploads/Jay1968/2006-12-03_004423_JoeRossPhoto.jpg JoeLawyer's Avatar

    JoeLawyer

    Attorney

    Satisfied Customers:

    376
    Attorney in the practice of Bankruptcy Law since 1996
  • http://ww2.justanswer.com/uploads/DY/Dylatess/2012-9-11_1968_BHBTemplePhoto.64x64.jpg dylatess's Avatar

    dylatess

    Attorney

    Satisfied Customers:

    370
    35 plus years of experience specializing in bankruptcy law
  • http://ww2.justanswer.com/uploads/US/USLawAnswers/2012-9-20_23143_20090105211638Headshot3b.64x64.jpg Brent Blanchard's Avatar

    Brent Blanchard

    Bankruptcy Attorney

    Satisfied Customers:

    315
    Twelve years experience in all aspects of debtor & creditor BK.