If you have gone through a divorce, it’s likely that it was like countless other divorces in that you and your ex-spouse divided your debt. You may have assumed responsibility of some of the debt while your ex-spouse took responsibility for the rest. In the divorce decree, you and your ex-spouse not only promise to pay the debts assigned to each of you, but you also agree to protect the other party from any adverse action by the creditor. Moreover, you are both court ordered to comply with this agreement.
What happens years later when your ex-spouse stops paying the debts that they were court ordered to pay? Or worse, what happens if they file bankruptcy? Creditors will not care who was ordered to pay what debts in a divorce, and they will pursue payment from anyone who is legally obligated to pay. In Arizona, even if both parties did not sign for the debt, but the debt was incurred during the marriage, both spouses are legally liable regardless of who was ordered to pay it.
If your ex-spouse stops paying the debts that they agreed to pay, you can sue them in family court for their violation to protect you from the creditor. However, if your ex-spouse files bankruptcy, it may become a bit more complicated. If they file Chapter 7, the liquidation chapter, you can still force them to protect you from the creditor; if they file Chapter 13, the repayment chapter, your chances of forcing them to pay the creditor diminish.
If your ex-spouse has stopped paying their debts or has filed bankruptcy and you are concerned with how this will affect you, call (480) 648-8975 today for your FREE consultation with an experienced Arizona debtor’s attorney can help you analyze your options. You may have more rights than you think.