Why Knowing About Boca Raton Bankruptcy Can Help With a Florida Marriage Settlement Agreement
Helpful Advice from a Boca Raton Attorney about Florida Bankruptcy after Delray Beach Divorce Records are Filed
It’s common for people facing Boca Raton divorce to find clarity. This allows them to see their former mate for who they really are. Unfortunately, this can lead to a discovery of a character somewhere between a used car salesman and the devil incarnate. Most parties feel a sense of relief when their Delray Beach divorce records are complete. Some panic that their ex won’t stick to the script, despite instructions from their Boca Raton attorney.
Consequently, questions start plaguing them about life after divorce. Will I need a Florida attorney for a modification of alimony payments or for child support enforcement? This shouldn’t come as a surprise. Once upon a time, the biggest fear of these grass widows would have been their spouse hightailing it to the Maldives with the babysitter. Today’s economy indexes, however, have introduced them to a new source of anxiety. Before asking for an increased dosage of Xanax, read on.
How a Marriage Settlement Agreement Can Protect You When Your Ex Plans to File Florida Bankruptcy after Divorce
It’s natural to assume that a Boca Raton attorney means a guide to Delray Beach divorce records and a good Florida marriage settlement agreement. Case closed.
When the impact of bankruptcy after divorce becomes a reality, things change. While each Florida law firm has it’s area of personal expertise, there’s some overlap. I’m not a Boca Raton bankruptcy attorney, but, I can tell you how it overlaps with a Florida marital settlement divorce agreement.
You Don’t Have to Be a Boca Raton Bankruptcy Attorney to Know What Debts in a Florida Marriage Settlement Agreement Can’t Be Discharged
You don’t have to be a Boca Raton bankruptcy attorney to know that some debts aren’t forgiven. Although most aren’t relevant to your Florida marriage settlement agreement, it’s always good to be informed. The following debts of a spouse won’t be forgiven by a court.
- Certain taxes or customs duties.
- Money, property, services, or an extension or refinancing of credit if it was obtained either by false representations or actual fraud.
- Debts that weren’t listed in the official record or scheduled by the debtor in time to permit filing of a proof of claim.
- Fraud or defalcation while acting in a fiduciary capacity, embezzlement, or larceny.
- For domestic support obligations intended for bankruptcy spouses and children under a record divorce.
- Willful or malicious injury by the debtor to another entity or its property.
- Fines, penalties or forfeitures payable to a governmental unit.
- Federally insured or guaranteed student loans.
- Debt owed because of responsibility for injury caused by a dui.
- Debts listed in a prior bankruptcy certificate that the debtor waved or was denied a discharge.
- Malicious, or reckless failure to fulfill a commitment to a federal depository.
- A Court Order relating to criminal restitution.
- A debt incurred to pay taxes.
- Condo assessments incurred after filing.
- A fee imposed on a prisoner by any court or other costs or expenses with respect to litigation.
- Debts owed to a pension, profit-sharing, stock bonus or other plan established under the Internal Revenue Code.
- Debts owed for violation of either federal or state securities laws.
Spouses File Florida Bankruptcy after Divorce All the Time
There are several types of bankruptcy filings that can overlap with obligations in a Florida marriage settlement agreement. For most people, Chapter 13 bankruptcy is the most relevant bankruptcy chapter.
Chapter 13 provides someone with personal income to settle with creditors and set up a payment plan to settle debts. An impartial trustee is appointed to administer the case when a person files a Chapter 13 petition. Filing the petition under Chapter 13 automatically stops most collection actions.
Chapter 13 also has a special automatic stay provision that exempts co-debtors. This means that a creditor can’t try to call to collect consumer bankruptcy debts from anyone who is liable along with the debtor. Everyone agrees that it’s the most simple and inexpensive form in the business. The reviews aren’t as good across the board because of significant debt limits.
The Connection Between Bankruptcy Filing and Delray Beach Divorce Records
A case under the 13 Chapter begins by filing a petition with the bankruptcy court. Unless the court orders otherwise, the debtor must also file several things with the court.
- Schedules of assets and liabilities.
- Schedule of current income and expenditures.
- List of executory contracts and unexpired leases.
- Statement of financial affairs.
To do this, a debtor has to have the following information
- A list of all creditors and the amounts and nature of their claims.
- The source, amount, and frequency of the debtor’s income.
- A list of all of the debtor’s property.
- A detailed list of the debtor’s monthly living expenses.
Bankruptcy law is complex according to most Boca Raton bankruptcy lawyers. Married couples have to get this information for their spouse even if only one spouse bankruptcy debts are in question. This is important if you think your ex might file bankruptcy after Florida divorce.
What a Boca Raton Bankruptcy Attorney Would Advise About a Florida Marriage Settlement Agreement
Debts associated with support have never been subject to release in Florida bankruptcy court. Before the Bankruptcy Abuse Prevention and Consumer Prevention Act of 2005, divorcees were able to discharge debts associated with property included in their Florida marriage settlement agreement. The Act changed this sign by expanding the definition of debts that can’t be discharged.
The classification of debts is now found under the umbrella of domestic support obligations. These range from payment of certain types of insurance to those associated with making mortgage payments. This means that the big, bad bankruptcy wolf doesn’t have the teeth it once did. Cue the collective sigh of relief.
The Bottom Line: Know the Specifics of Florida Bankruptcy after Divorce
After the stress of trudging through divorce records, the last thing you want is more anxiety. Learning terms like domestic support obligation can help. Especially if you think your ex is thinking of filing bankruptcy after divorce.
Click Palm Beach Divorce Attorney to schedule your consultation. Proudly Serving Boca Raton, Delray Beach, West Palm Beach, and all of Palm Beach County, South Florida.
Boca Raton Family Attorney Law Practice Areas Include:
Florida Prenuptial Agreement
Post Marital Settlement Agreement
Simplified Dissolution of Marriage
High Net Worth Divorce
Florida Alimony Laws
Florida Marriage Settlement Agreement
Legal Separation Agreement
Division of Property
Dissipation of Marital Assets
Modification of Alimony Payments
Florida Modification of Child Support
Modification Of Child Custody In Florida
Florida Child Support Enforcement