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  1. #1
    Join Date
    Jan 2009
    Posts
    12

    Default Contempt of Court for Failing to Pay Off or Refinance Marital Debts After Divorce

    My question involves a marriage in the state of:Indiana
    Obvioulsy this is a complicated issue, but I will try to keep to the point. My ex and I divorced in Jan. 2013. In the decree, we agreed to split some joint debts and hold each other harmless for those debts.
    I was able to honor that on 2 of the 3 joint debts, but now it looks as if I will have to file Chapter 7 and not repay the last joint debt. I tried in good faith to fullfill those debts, but was unable to refinance and remove her name from the last joint debt, as my debt was too high ( in part becasue she did not remove me from her joint debts) As I understand it, my debt to the creditor will be absolved , but not my debt to my ex - is that correct? However she is not filing bankruptcy and therefore the creditor can pursue her for that joint debt.
    She is taking me to court for contempt. However, she has failed to remove my name from any of the 3 joints debts we shared, and is deliquent on one of those accounts.
    Will the judge only see me in contempt? Or will he see her as well?
    And what are some potential outcomes concerning the divorce decree considering I am filing Chapter 7?

  2. #2
    Join Date
    Oct 2006
    Posts
    16,474

    Default Re: Divorce - Contempt

    Quote Quoting bigmatt
    View Post
    My question involves a marriage in the state of:Indiana
    Obvioulsy this is a complicated issue, but I will try to keep to the point. My ex and I divorced in Jan. 2013. In the decree, we agreed to split some joint debts and hold each other harmless for those debts.
    I was able to honor that on 2 of the 3 joint debts, but now it looks as if I will have to file Chapter 7 and not repay the last joint debt. I tried in good faith to fullfill those debts, but was unable to refinance and remove her name from the last joint debt, as my debt was too high ( in part becasue she did not remove me from her joint debts) As I understand it, my debt to the creditor will be absolved , but not my debt to my ex - is that correct? However she is not filing bankruptcy and therefore the creditor can pursue her for that joint debt.
    She is taking me to court for contempt. However, she has failed to remove my name from any of the 3 joints debts we shared, and is deliquent on one of those accounts.
    Will the judge only see me in contempt? Or will he see her as well?
    And what are some potential outcomes concerning the divorce decree considering I am filing Chapter 7?
    Was she ordered to remove your name from those joint debts? Did she have sufficient available credit to do so? The problem is that she is not the one filing for bankruptcy and therefore making you responsible for her share of the debts. You however, ARE doing so. That is a problem.

  3. #3
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: Can you Be Held in Contempt for Not Paying Off Marital Debts After Bankruptcy

    Quote Quoting bigmatt
    View Post
    As I understand it, my debt to the creditor will be absolved , but not my debt to my ex - is that correct?
    Right.
    Quote Quoting bigmatt
    She is taking me to court for contempt.
    If you're not living up to your obligations under the judgment, that's understandable.
    Quote Quoting bigmatt
    However, she has failed to remove my name from any of the 3 joints debts we shared, and is deliquent on one of those accounts.
    You are free to file a motion of your own, raising those issues. If you choose not to do so, the court will only be deciding her motion.

  4. #4
    Join Date
    Jan 2009
    Posts
    12

    Default Re: Can you Be Held in Contempt for Not Paying Off Marital Debts After Bankruptcy

    Yeah, I figured as much. I am really in over my head here. Thanks for the responses.

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