Bankruptcy & Divorce in Pasadena
Financial Issues in a Divorce
A divorce settlement will cover many issues pertaining to a marriage, including
the division of any assets and liabilities accumulated during the course
of the relationship. It is not uncommon for a
divorce to bring about a financial crisis that can result in difficulties meeting
your financial obligations. Bankruptcy is a legal remedy that can:
- Stop harassing calls from creditors
- Put an end to creditor lawsuits
- Prevent repossession and foreclosure
If you qualify for Chapter 7, you will be required to liquate non-exempt
assets to pay your creditors. After your creditors have been repaid, any
remaining debts will be discharged. A Chapter 13 bankruptcy will give
you the opportunity to restructure creditor payment plans. You will not
be able to discharge court-ordered alimony or
child support. When an ex-spouse files for bankruptcy while a divorce is in progress,
a separate "bankruptcy estate" is created for their non-exempt
property. This property cannot be distributed as part of the divorce settlement.
Bankruptcy can quickly become a complicated issue during and after a divorce.
If you or your ex-spouse intend to file for bankruptcy, it is strongly
advised that you contact a Pasadena divorce lawyer for legal advice.
Pasadena Divorce Attorney Serving Glendale & Burbank
The Graves Law Firm is an experienced divorce firm that can give you helpful
information regarding bankruptcy laws and divorce. The firm can explain
the bankruptcy process, and how it will impact your life and finances.
Filing for bankruptcy may right for you depending on your situation. The
firm can help you make an informed decision regarding bankruptcy and other
possible debt relief options. They will also ensure that your rights are
safeguarded if your ex-spouse intends to file a bankruptcy petition.
Contact a Pasadena divorce lawyer for legal advice regarding bankruptcy and divorce.