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  1. #1
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    Default What Are Your Options if You're Ineligible for Bankruptcy

    My ex-wife has a judgment against me (US 523a15 issue). The amount I owe her is greater than the $360,000 limit so she was able to block my Chapter 13 filing. Same reason applied to Chapter 11. What else can I do to move on with my life?

  2. #2
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    have you ever considered paying the judgment?

  3. #3
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    Set up a payment plan?

  4. #4
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    She is mad that I left her.....I have offered $200,000 plus 80% of my IRA which would bring judgment short of $100,000, but she wanted the whole amount....that's was reason my attorney advised me to file bankruptcy. Even the bankruptcy attorney wasn't smart enough to know about the $ limit until her attorney (not a BK attorney) pointed it out.

  5. #5
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    Oh well. She didn't get the judgment just because she said you owed it to her. The courts apparently believe you actually do owe it so I would guess you need to figure out how to pay it. So far you have listed how to pay all of it except $100,000. That sounds like a good start. So, get out the checkbook and write the check for that much. Then work on paying the rest.

  6. #6
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    I don't know what you mean by a $360,000 preventing you from bankruptcy.

    523(a)(15) doesn't say anything about that.

    http://www.divorceinfo.com/bkrcy523-a-15.htm

    It just says you can't discharge a divorce obligation if you have the ability to pay or you would get a benefit that outweighs the consequences to your ex.

    Stands to reason that if you have $200,000 cash to offer her, then you have the ability to pay even if you have to give her the $200,000 now and make payments on the rest.

  7. #7
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    You do not qualify for Chapter 13 if the amount you owe any one creditor is greater than $360,000. I was hoping someone had an idea of what I can do legally since my ex-wife won't "deal". I did offer to write her a one-time check for $420,000 (all the cash I have) and go back to work (I'm 68 and recently retired) to pay off the rest, but apparently it's not money she wants. I no longer want to reason with her and I don't want to go back to her. Just looking for anything to get out of this crazy situation.

  8. #8
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    I'm really not understanding your problem. Write the chck for what you can and then go back to work if needed and continue to make payments. Complaining about this while refusing to make any payment is ridiculous.

  9. #9
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    To clarify for the OP:

    Any individual, even if self-employed or operating an unincorporated business, is eligible for chapter 13 relief as long as the individual's unsecured debts are less than $360,475 and secured debts are less than $1,081,400. 11 U.S.C. § 109(e). These amounts are adjusted periodically to reflect changes in the consumer price index. A corporation or partnership may not be a chapter 13 debtor. Id.
    So what DOES she want, if not money?

  10. #10
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    Default Re: What to Do if Can't File Chapter 7,11, or 13

    Quote Quoting mrbibs
    View Post
    You do not qualify for Chapter 13 if the amount you owe any one creditor is greater than $360,000.
    Close. It's the total value of your unsecured debts that counts.
    Quote Quoting 11 USC § 109(e)
    (e) Only an individual with regular income that owes, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts of less than $250,000 and noncontingent, liquidated, secured debts of less than $750,000, or an individual with regular income and such individual’s spouse, except a stockbroker or a commodity broker, that owe, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts that aggregate less than $250,000 and noncontingent, liquidated, secured debts of less than $750,000 may be a debtor under chapter 13 of this title.
    (The amounts are adjusted for inflation.) There's no similar restriction on Chapter 11, so perhaps you're thinking of some other reason you don't qualify....

    Let's say for the sake of argument, since we don't have the actual number, that you have a $500,000 judgment against you that you could otherwise restructure and perhaps partially discharge in bankruptcy but for the fact that its in excess of $383,175 (the current figure). Let's say you make a payment of $120,000 on that judgment. How much do you now owe? You didn't identify the court at issue, but I expect that if your ex-wife refuses a payment toward the judgment you can tender your partial payment through the court; check the governing court rules and policies.

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