If a couple is facing a divorce is one spouse files for bankruptcy, this can cause complications. To learn more about this scenario and what to expect, continue reading and contact our experienced New Jersey divorce attorney for assistance. Our legal team at Townsend, Tomaio & Newmark is prepared to assist you with any divorce matters you may be facing. Give our firm a call today to learn more about our services and how we can assist you. Here are some questions you may have regarding bankruptcy and divorce:
What happens when bankruptcy is filed during a pending divorce?
When an individual files for bankruptcy, an automatic stay goes into effect immediately. This will assist the debtor by prohibiting creditors from collection activities. An automatic stay will also put all other legal proceedings on hold. This can include a divorce. Though filing for bankruptcy might benefit a spouse, it can be problematic for the other spouse.
How can bankruptcy during a divorce impact me?
Dischargeable debs can vary depending on each case of bankruptcy. When bankruptcy is filed during a divorce, there are requests that may be made such as discharging claims of alimony, property settlements, or child support. The decisions for these discharge claims will be left up to the bankruptcy judge. The general rules that typically apply in most New Jersey cases include the following:
- Claims for alimony generally cannot be discharged in a bankruptcy proceeding
- Claims for child support generally cannot be discharged in a bankruptcy proceeding
- Claims for property settlements may generally be discharged in a bankruptcy proceeding if the divorce judgment has not been finalized
If you are facing divorce and your spouse has filed for bankruptcy it is important that you retain the services of an attorney who has experience handling cases similar to your circumstances. To learn more about how our New Jersey divorce attorney can assist you and your upcoming proceedings, give Townsend, Tomaio & Newmark a call. Our legal team is prepared to fight for each of our client’s best possible outcomes for their divorce. We want you to succeed with our assistance next. Contact our firm today to schedule your initial consultation with our team. We are here to help
Contact our experienced Bergen County firm
At Townsend, Tomaio & Newmark, our attorneys have extensive experience helping clients to understand and protect their legal rights before, during, and after the divorce process in towns across New Jersey and Bergen County, including Hackensack, Ridgewood, Paramus, Teaneck, and Fort Lee. To speak with our team of divorce lawyers today in a free and confidential consultation regarding your concerns about your divorce, please contact us online, or through our Hackensack, NJ office at (201) 397-1750.