Well, just got word today from my attorney, the lawsuit for my spouses debt has been dismissed.
I live in a community property state, and they named me and my spouse for the debt, even though I was not a co-signer or card holder, nor did my name ever appear on the application.
Its all perfectly legal for them to do just that, sue, win, and garnish both spouses.
But like the endless posts that I have contributed to in the Community Property thread, I will say it again.
When one spouse files for bankruptcy and receives a discharge for community debt, in a community property state, the other spouse also receives the benefit of the discharge. Which is why my case was dismissed, and I will use this everytime another creditor tries it. This holds true even if the non filing debtor includes their own credit card debt.
The only thing the creditor can sue for is for sole and separate property, which in some cases it might apply, but the attorneys and collection agencies have bigger fish to fry, and don't bother in most cases.
Thus far,
ME = 1
CREDITORS = 0
I will keep count as the months go by, thats if they even bother suing.
And of course, local court rules apply, but the premise is the same no matter which community property state, if you look at the case law in each one, you will see the same outcomes.
I live in a community property state, and they named me and my spouse for the debt, even though I was not a co-signer or card holder, nor did my name ever appear on the application.
Its all perfectly legal for them to do just that, sue, win, and garnish both spouses.
But like the endless posts that I have contributed to in the Community Property thread, I will say it again.
When one spouse files for bankruptcy and receives a discharge for community debt, in a community property state, the other spouse also receives the benefit of the discharge. Which is why my case was dismissed, and I will use this everytime another creditor tries it. This holds true even if the non filing debtor includes their own credit card debt.
The only thing the creditor can sue for is for sole and separate property, which in some cases it might apply, but the attorneys and collection agencies have bigger fish to fry, and don't bother in most cases.
Thus far,
ME = 1
CREDITORS = 0
I will keep count as the months go by, thats if they even bother suing.
And of course, local court rules apply, but the premise is the same no matter which community property state, if you look at the case law in each one, you will see the same outcomes.
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