Wife’s ex has declared bankruptcy, and we are co-owners of a condo

April 16th, 2016 by Questions

My wife’s ex. declared bankruptcy. He spent two years obtaining as much $ in loans and credit that he could while all the while sending her emails that he was going to destroy her financially. All she was asking for was that he either buy out her share of the condo or sell it on the open market. She tried to take him to court but on the day of the Supreme court date, he declared bankruptcy. She cannot obtain the necessary mortgage to buy out the trustees and is not sure what she can do. There are condo fee debts in both their names of 10k and a legal hypothec or lien on the condo for this amount. What happens next? She can obtain a private loan to pay off the trustees and settle with the condo board, but the existing mortgage will still be on both her and the bankrupts name. She has been paying the full mortgage for the last two years while the bankrupt remained in the dwelling. The mortgage payments are currently up to date, (although were behind on a few occasions during the battle with the ex).


One Response to “Wife’s ex has declared bankruptcy, and we are co-owners of a condo”

, Doug Stuive, CA | Trustee | CIRP said:

You wife needs to seek legal counsel as this issue is both a bankruptcy matter and a family law matter. The bankruptcy may prevent your wife from suing her ex-spouse for money owing to her, but it does not prevent her from dealing with her interest in the condo from a family law perspective. His trustee would be interested in recovering the ex-spouse’s share of any equity in the property. Upon receipt of the funds the trustee should be able to assist in removing the bankrupt’s name from title on the condo. I would recommend that your wife set up a meeting with the Trustee and also seek legal counsel to ensure her rights are protected.

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)