Posted on
June 9, 2009
at
4:23 am
Should they be decided at the same time? Can somebody help me understand how an ancillary relief proceedings go with bankruptcy?
Posted on
June 9, 2009
at
4:41 am
Ancillary relief proceedings are the financial resolution part of the divorce process. It would attempt to resolve any financial issues (assets and debts alike) between the spouses. The divorce itself and the resolution of the financial issues (ancillary relief proceedings) do not have to be decided at the same time.Who is filing bankruptcy you or your wife?
Posted on
June 9, 2009
at
4:46 am
I am. My financial problem is one of the reasons why we are divorcing in the first place, that's why I don't understand how she can even ask me for monthly support, I am clearly broke.
Posted on
June 9, 2009
at
4:50 am
It could be that you have joint debt and she wants to make sure that you'd help pay for them. It could be that all of her investments went into the marriage and now that you are divorcing, she would be left with nothing. I do believe that this could still get resolved in the mediation court, that is if you want to avoid a court room battle.
Posted on
June 9, 2009
at
4:51 am
If I file bankruptcy, would my financial obligation to her be included in the discharge?
Posted on
June 9, 2009
at
5:01 am
Unfortunately no. Debts that are under "domestic support obligations" are non-dischargeable in bankruptcy. Especially if the debt is in the nature of alimony. You would not be able to escape this obligation especially if it has been ordered by the court. Meaning that if you and your wife fail to reach a compromise in the ancillary proceeding, and the judge rules in her favor, even your bankruptcy would not be able to save you from paying up.
Posted on
June 9, 2009
at
5:14 am
The ancillary proceedings (or mediation meeting) would also discuss your family home and pensions. If you file bankruptcy before the divorce is finalized, your home would go into the bankruptcy estate, and your wife won't be able to claim ancillary relief from that property.
Posted on
June 9, 2009
at
5:27 am
If for example, you agreed to pay for all your marital debt before you filed bankruptcy--even without a court order, you would owe that amount to your wife, and that is under U.S.C. Section 523 (15). Filing bankruptcy would not save you from that obligation either. That is one of the reasons why there is a separate proceeding (ancillary relief) from the main proceeding (divorce and/or bankruptcy).
