Avoiding Paying $14K Judgment to Ex in Civil Suit Over Furniture

[amy1025]

My question involves bankruptcy in the state of: Virginia

My ex and I went to court over furniture from our apt. Unfortunately the judge decided in his favor. This decision was based on my ex having a credit card statement for the items and the judge apparently was not swayed by my argument that I helped pay for the items and that my ex moved out of the apartment without paying his share of rent or utilities. The judge recommended that we work out giving my ex the items and he'd dismiss the case altogether.

I have no intentions of giving my ex these items because I do feel I have a rightful claim to them. So that means that I will be on the hook for the $14K judgment. I don't have this amount of money however, I do make $55K. Can my ex come after me through wage garnishment? And what exactly is that process in VA (Arlington County)? How much would they garnish monthly? I live paycheck to paycheck and can't afford to lose any income to this debt.

I'm considering filing bankruptcy to get out from under the amount but would that work? 7? 13? Would I lose the furnishings in a bankruptcy (50" tv, bed, couch, dresser)? I make $55K, owe $20K on my car, owe $5K in credit cards and probably another $2K in past utilities (from my ex not paying these bills when he claimed he did, bills in my name). I haven't been able to make my credit card payments for the last few months and I just missed my first car payment.

Any advice would be greatly appreciated...I know I need to act quickly but I have no idea what I should do! Thanks!

[gigirle]

If your considering filing for bankruptcy then you should consult an attorney, most initial consults are free. You said your ex, but did say if he's an ex bf or husband. Divorce judgements generally cant be discharged in a bankruptcy. You will have to list these items as well in your bankruptcy and there is a possibility that you will be ordered to return them.

Once judgement is entered your ex can get a wage garnishment.

[Mr. Knowitall]

From what you say, you appear to have too much income to qualify for Chapter 7 under the means test. You could file Chapter 13, but it isn't clear that your repayment plan would allow you to avoid any of this debt - you appear to have ample income to pay off the debt, and don't describe any other financial obligations that would prevent you from doing so over a three to five year plan.

Your best bet is to give the guy the furniture. Failing that, I suggest that you consider whether wasting thousands of additional dollars and trashing your credit rating for up to a decade, with the likely outcome being that you still end up paying all the money, is worth it. Assuming your take home pay is merely $3,000 per month, and you got a loan to pay off all of your debts at 8% over sixty months, your monthly payment would be about $900 - that's managable.

[amy1025]

I make too much to file Chapter 7? Surprising since this is a pretty affluent area but I guess it's statewide income.

I have other expenses and debt including my rent, car payment, credit card debt, student loans...I don't have a great credit score right now so it might not be as big of a ding to my creditworthiness. Due to my poor score, I also couldn't get a loan if I tried!

If the suggestion is that I give him the furniture -- what is the best way to do so that is provable, documented? I would want him to sign off on receiving the items in some way, right? Obviously for my records and for the court. I also don't want him coming anywhere near where I live...part of the reason why I moved! Can I make arrangements with a mover to deliver the items and get signature from him? Also, if I pay for the movers then is there some way that I can get that included in the judgment? The judge never said who was responsible for the cost of moving any items.

Lastly, I can file in small claims for the 3 months rent and utilities that he didn't pay his portion of. Monthly rent alone was $3000 -- is there any way to have the money he owes me cancel out or connect to the judgment money I have to pay through the court? Or would he have to pay me and I'd have to pay him separately?

Sorry for posting in two places but I figure that there are folks on here with different areas of expertise and knowledge. Although Mr. KnowItAll seems to be pretty well-rounded! Thanks!

[gigirle]

If the suggestion is that I give him the furniture -- what is the best way to do so that is provable, documented? I would want him to sign off on receiving the items in some way, right? Obviously for my records and for the court. I also don't want him coming anywhere near where I live...part of the reason why I moved! Can I make arrangements with a mover to deliver the items and get signature from him? Also, if I pay for the movers then is there some way that I can get that included in the judgment? The judge never said who was responsible for the cost of moving any items.

You said there was a judgement, did the judge say that he could have the furniture? Or did he order you to pay 14k?

Lastly, I can file in small claims for the 3 months rent and utilities that he didn't pay his portion of.

Yes. Of course.

Monthly rent alone was $3000 -- is there any way to have the money he owes me cancel out or connect to the judgment money I have to pay through the court? Or would he have to pay me and I'd have to pay him separately?

This would have to be done seperately as he has the right to a defend himself against your allegations. You have to win a judgement in order to collect which hasn't happened.

[amy1025]

The judge decided in my ex bf's favor and awarded a judgment for $14K. However, the judge said that we should just work out giving him the furniture that I agreed to give to my ex and then he would dismiss the case altogether. I am sure that the judge is referring to the items that my ex had on his credit card statement...however, I am not inclined to give him some of these items (including a dresser and mirror purchased for me and not used by my ex). One of my issues with the judgment is that he had charges on his AMEX that he attributed to the debt that had nothing to do with me (ie two pairs of men's shoes) and the judge seemed to blanket accept the amount without examining the items individually. He also didn't take into consideration that I sold my other furniture in order to help pay for these items AND my ex acknowledged that in the hearing. That said, I know I'm stuck with the $14K hit even if some of it is wrongly billed to me.

I am confident that the court will side with me on the rent and utilities -- I have all of the documentation for my case. I was willing to chalk it up to a boyfriend that I'd rather see gone but now I obviously want my fair compensation for his failure to pay his share. My inquiry was more around whether or not the court would have our payments more or less cancel each other out or if it would be each of us just writing checks to cover each case. I'm guessing separate because there is no link between the two cases in court.

Thanks again!

[jdphillips73]

I doubt you will ever get away with this...

1. he already has a judgement for 14k if you dont return the furniture...

2. when you file for bankruptcy you will have to list your assets...i.e. the same furniture..

3. you make too much for chapter 7

4. the assets you are trying to protect (furniture) will be used to pay your creditors (husband).

So you see, he will get it anyway..

obviously the judge thought that he should get it in the first place, sounds like you are bitter. I would NEVER file bankruptcy over furniture. What are you thinking?

[Mr. Knowitall]

If you don't want him to pick up the furniture, you can arrange to deliver it to him. Make sure that you do so at a time he will be able to accept delivery, get a signed receipt for all items delivered. I suggest photographing all of the items at the time of delivery, to confirm that they were delivered in good condition.

[amy1025]

JD - I am aware my ex boyfriend won the $14K judgment...even if I had to list the items as assets they are not worth the same amount as they were purchased for (ie NOT $14K). As far as the bankruptcy option -- it is called an option for a reason, I am weighing options to see what makes sense. I have other debt that I am paying on which makes it impossible to foot this bill -- it isn't just a matter of the furniture. Thanks for your input.

MrKnowItAll - I've got an appointment with the Clerk's Office tomorrow to make sure that I turn over the furniture in the right legal manner. One of my issues is my ex coming to my apartment and I am going to ask the Clerk's Office about a Third Party option (my ex sends a friend or allows his moving company to vouch for the items picked up as they would in a standard move). I also have made arrangements for one of the sheriffs to be present for the transaction - I figure I need a witness and what better witness than an off-duty county officer/servant of the court? Hopefully this will all be resolved within the next 30 days and I can have a great 2009! Thank you again for your good suggestions and advice!