Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
I recieved the dscharge in october 2010
I recieved the ordered decree Janurary 2011
I do not think it matters as Bankruptcy law reforms make non-support obligations from a divorce non-dischargeable in a Chapter 7 case, your x would have been able to file a claim or objection to the discharge of the debts your are being stuck with as a result of a divorce degree.
Sorry got locked out of the question for a little bit.
You listed the debt so the creditor can not come after you but even if you had listed the debt assigned to you by the family law court your X could have brought an adversary proceeding to make it non dischargeable. Below is a more detailed explanation.
To be clear, there is no question that a bankruptcy, which is a function of Federal law and not of state law as divorce decrees are, will discharge either divorcing spouse from an obligation to pay the creditor. That creditor, after the bankruptcy discharge, is barred by the Federal bankruptcy discharge injunction from pursuing a collection of the debt or from failing to report it to the credit bureaus as discharged in bankrutpcy. However, if the divorce decree obligates the bankrupt spouse to some or all of a joint debt shared with his or her ex-spouse, a failure to continue to pay that debt may incur a liability for breach of the divorce decree to the ex-spouse.
In other words, the ex-spouse is a creditor of sorts for that same debt.
It is possible to list the ex-spouse as a creditor in the bankruptcy petition in order to discharge that level of the obligation along with the bank or credit union holding that actual note or contract, but the discharge of that obligation may be non-dischargeable under the Bankruptcy Code. The Code, in Section 523(a)(15), states that an obligation of this sort to a spouse, former spouse, or child that arises from a court order or divorce decree is not dischargeable.
However, for this debt to be found to be non-dischargeable, the former spouse must file what is called an adversary proceeding in the bankruptcy court seeking to have the court declare the debt to be non-dischargeable. This adversary proceeding is a civil lawsuit within the Bankruptcy Court, and the former spouse filing the suit bears the burden of proving that his or her harm in having the debt discharged is greater than the bankrupt spouse’s harm in continuing to pay it.
More interesting is the fact that Section 523 applies only to Chapter 7 bankruptcies and not to Chapter 13 bankruptcies. Thus, a marital debt obligation arising from a “hold-harmless” clause or other obligation arising from a marital divorce decree or separation agreement that is not dischargeable in Chapter 7 may be discharged if the obliged spouse files Chapter 13.
Have I satisfactorily answered your question? If I have please remember to click the GREEN ACCEPT BUTTON so that I will receive credit and compensation for my time (doing so does not end our discussion), i will gladly clarify my response or respond to follow up questions if needed.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).