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I was married for 34 years and I am separated now. I was awarded spousal support and because he wouldn't pay I was granted a judgment then a garnishment in circuit court. My husband filed bankruptcy on Jan. 17 of this year after the court collected 1684.00 from him in escrow. The amount of the garnishment was supposed to be 3505.50.The garnishment stopped. His hearing of the creditors is tomorrow and my little bit of support is at my lawyers office and he says I can't have it until the federal bankruptcy courts says I can. Is this true? If money was collected before the filing date am I entitled to it or not? Please can you help with this? Also he is behind again 2100.00 again what must I do?
4 ANSWERS
Bankruptcy Attorney serving Huntington Woods, MI
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Detroit Lawyers, PLLC
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Spousal support is one of the debts that is not dischargeable by bankruptcy. In fact, spousal support must be paid before any other creditor. I would recommend obtaining the services of bankruptcy attorney. If the trustee liquidates any assets, your claim will be paid off first. If the trustee is not liquidating assets, your lawyer can negotiate a monthly payment amount in the interim. It may be worth it to consider filing a non-dischargeablity complaint to make sure you interests are protected. If your ex-husband does not have the funds currently, you may be forced to accept delayed payments as he catches up on the obligation.
Answered on Feb 26th, 2014 at 5:53 PM
It is true that his filing a Chapter 7 bankruptcy won't let you proceed with collection until the case has been discharged, but that is only going to be for a few months. You could apply to have the bankruptcy protection removed, but doing so could be more costly than in would be beneficial. The bankruptcy will not eliminate the liability to pay the spousal support or reduce or eliminate the delinquent amount owed on this debt.
Answered on Feb 24th, 2014 at 4:56 PM
Debt Settlement Attorney serving Chicago, IL
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Law Offices of Daniel J. Winter
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Generally, you have the right to collect the child support. You should contact a bankruptcy lawyer who has done this before, like myself, right away to represent your interests in his bankruptcy case; You need to take some action to get the money, and to get the bankruptcy court to allow you to proceed.
Answered on Feb 24th, 2014 at 4:55 PM
Quick answer is call the assigned Chapter 7 Trustee (or go to the Creditor meeting and ask him or her this question). Explain your situation, and ask if they would be kind enough to call or generate a letter allowing you to take control of that money. Spousal support is not dischargeable in a Chapter 7, but I would have to review the legal document that obligates your ex-husband to pay this obligation before I could formally advise you.
Answered on Feb 24th, 2014 at 4:53 PM