Eguity

January 9th, 2009 by Questions

What happens if you are in the middle of a divorce and you x is also a partner with you in a company? House has $250,00 in equity but total bills come to $267,000.00 The other partner doesn`t want to go bankpupt. House is for sale but may not bring in enough to pay everything. Can I turn my half equity over to the trustee and go bankrupt? I have most of the dept.

Posted from: Nova Scotia

Questions

One Response to “Eguity”



, A licensed trustee said:

You have the right to file for bankruptcy at any time, regardless of your spouse’s actions. I should warn you though, if you don’t discuss it (warn) your spouse before you do so you might complicate the divorce and that will end up costing you more in legal fees.

If you do file, you no longer have the right to sell the house. In stead your trustee and your spouse will handle the sale. When a trustee is involved in a sale the proceeds (money received) is usually lower…

Go and see a trustee, but I suspect they will strongly recommend that you tell your spouse what you are thinking of doing so that your spouse can plan accordingly.

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