Is the cost of my divorce trial affected by filing bankruptcy?
My former spouse was awarded custody following trial. I was ordered to pay costs and child support. I am paying child support but was forced to declare bankruptcy. This resulted in the cost order being redundant. Now I have been served papers to return to court for the judge to determine what portion of the costs were related to child support. My ex is claiming all is related to child support.
It is my understanding the costs attributed to pursuing child support survive bankruptcy but not the costs for pursing custody.
Thank you for your assistance
Posted from: Ontario
Costs awarded in actions for alimony, maintenance and child support are part of the judgment. Such costs along with amounts so ordered, are not released when you are discharged from bankruptcy. Unless apportioned in the Family Law proceedings they will be treated as costs for the entire proceedings. The Court sitting bankruptcy has no power to make apportionment so that the costs for support will receive priority in the distribution of the estate and the balance of the claim will not be released by the discharge of the bankrupt. By returning to Court the Judge will have to make such an apportionment.