If you are married, and your spouse is financially destroying you, do you have any recourse as a spouse? My cousin's husband is self employed, got himself into major debt, kept it from his wife - tried to handle it on his own - it has spiraled out of control - he is being uncooperative, vague and secretive. 2 kids, one on the way - may lose the house. She doesn't understand the situation, can't get a grasp on what is going on - doesn't know where to start, or how she can 'save herself' -is divorce the only option - is there a lawyer that can help her while they are still married?
2007-10-26 05:35:38 · 7 answers · asked by Anonymous in Politics & Government ➔ Law & Ethics
hahahaha - the bartender thing was funny - but what kind of lawyer? That is where i am stuck
2007-10-26 05:42:34 · update #1
In the USA, debts by one spouse are debts of the marriage and the responsibility of both. Your cousin needs a good lawyer, not necessarily for divorce, but for legal debt advice.
2007-10-26 05:39:51 · answer #1 · answered by kja63 7 · 0⤊ 2⤋
Depends.
He can file bankruptcy on the company if it is a separate entity w/o affecting their personal debts/income.
If he was a sole proprietor, he may have to file personally.
Both Chapters 11 (business) and 13 (personal) bankruptcy encourage reorganization of debts and repayment.
Bankruptcy has some benefits because it forces creditors to leave you alone (for the most part) and accept payments in the amount the Court sets.
Bankruptcy is a better option for this situation than divorce, which won't get rid of the creditors as well.
They will need an attorney to do this.
2007-10-26 12:47:54 · answer #2 · answered by scottclear 6 · 0⤊ 0⤋
It sounds like he has major issues with money. Lots of people gain debt in their life, but why be so secretive about it. If he's hiding this from his wife and putting everything in their life at risk, he obviously more concerned about money then their vows.
I think he needs money management and possibly some kind of counseling. There are groups out there that can help you with your debt. They have the power to call debt collection agencies/bill collectors and lower the percentage rate on the actual payment.
They could help her get back on track. I would definitely tell to contact a lawyer and see about all of her options.
2007-10-26 12:53:18 · answer #3 · answered by BeLLa 4 · 0⤊ 0⤋
She is responsible for his debts as long as they are married and are not legally separated. This happens all the time to couples and its often the basis for divorce. All she can do is make sure that she is not on any joint accounts and does not sign anything. This will help some but they definitely need marriage counseling. If he wont go, she needs to find a lawyer.
2007-10-26 12:45:42 · answer #4 · answered by Diane M 7 · 0⤊ 0⤋
Your best bet is a lawyer. While most states view debt in marriage the responsibility of both parties, there ARE ways to separate debt while still being married. Especially given the mitigating circumstances that might have occured in this marriage. It will, of course, come down to her being able to unequivocally prove that this was done w/out her knowledge.
2007-10-26 12:40:03 · answer #5 · answered by NotoriousOne 3 · 0⤊ 0⤋
You would need to talk to a lawyer in the state your cousin lives in. The state will determine what obligation the spouse has to the other as far as debts, in addition to federal tax debts and bankruptcy laws.
2007-10-26 12:52:52 · answer #6 · answered by Anonymous · 0⤊ 0⤋
im a bartender. i think i can help them more..
2007-10-26 12:40:24 · answer #7 · answered by Anonymous · 0⤊ 1⤋