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seperation and debt

Hello,

I` ve tried to find answers that fit my situation but have come to realize that everyone has a different story in bankruptcy. I have not filed for bankruptcy and I do not plan on it. In the past year however, I have gone through seperation and inherited most of the debt as my ex spouse has declared bankruptcy.

What I need to know is what are my rights when this bankruptcy of his was done approximately a month before he started work again and is fully able to pay for some of the debt we had together. He or his trustee never consulted me on the joint debt and I have managed to keep a house, credit card debt and car loan. Not to mention providing for two children…. during this past year.

One specific debt was not taken into account on his bankruptcy and I have not taken action on it as our original agreement when we seperated was that he was going to take on that debt. He never did and because we both signed on it I may be held responsible for the entire debt. Do I have any rights at all… what about the fact that he`s in a double income household and has recovered quite quickly from the bankruptcy purchasing 52` screen tv`s and working making 45 000 + bonus… should the joint debt that was not included in his bankruptcy be seperated equally?

Posted from: Quebec

One Response to “seperation and debt”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

Essentially what happens when a joint debtor files for bankruptcy is they are legally cleared from the debt.

But the other party is what is referred to as jointly and severally liable. Meaning you are responsible for all the debt that signed on. This is irrespective of any separating agreements, or the financial circumstances of the individual who filed for bankruptcy.

This concept of jointly and severally liable also means that not only are you responsible, but you are responsible that the full balance be paid (i.e. there is no splitting as the original contract you signed stipulated that you would ensure this debt is paid in full irrespective of what happens to the other party).