Bankruptcy after Divorce

Divorce and bankruptcy are both complicated and usually highly stressful events. Unfortunately, many people have to face both of these legal processes within a short time frame. Sometimes the aftereffects of a divorce place people deeply in debt, while other times the debt preceded, and maybe even contributed to, a divorce. Either situation can be difficult to handle.

If you or your ex-spouse has decided to file for bankruptcy, you need a clear understanding of your legal rights and responsibilities. An Austin bankruptcy attorney can explain the details of your situation, and then work with you to make sure you are treated fairly. Qualified legal advice can help you stay in control and greatly reduce the stress of your current situation.

Bankruptcy, Alimony, and Child Support

When a person files for bankruptcy, the judge may decide to discharge, or waive, certain debts. Not all debts are dischargeable, however. Payments related to a divorce, such as child support or alimony, are non-dischargeable. In fact, they are given priority over all other debts the filer may have.

In rare cases, however, the courts may decide that child or spousal support would hurt the bankruptcy filer more than they would benefit the support receiver. In these circumstances, support may be reduced or waived.

If your ex-spouse is filing for bankruptcy, you do not need to appear in court in order to continue collecting child or spousal support. However, if he or she owes you back-support, you may need to file a claim to receive it. An Austin bankruptcy lawyer can provide the information you need about doing so.

Contact Us

Austin bankruptcy attorneys Slater, Kennon & Jameson, LLP can help you with the complicated process of filing for bankruptcy after a divorce. Contact us today at 512-338-1100.