QUESTION
Would he quitting his job, losing his house and filing bankruptcy be considered abuse?
Asked on Sep 25th, 2015 on Bankruptcy - California
More details to this question:
My spouse is a disabled combat vet with PTSD. Their PTSD has deteriorated to where several times. I have had to have an ambulance come to the house to take them to the hospital during a flash back. They had a nervous breakdown at work recently, hallucinated, and did things they didn't remember. The VA hospitalized them in psych for a few days and almost lost their job. Their job is making them stressed. We are paying on two agreed judgements, have no savings, our mortgage increased to where we can't pay it because of taxes and we're struggling. He wants to quit his job, go back to college, live off of his VA pension and find a job that is less stressful and one where, if he has a flashback, he's not in a situation where he could hurt someone with machinery. Also, we don't qualify for a chapter 7 together, but we do if he quits his job. We want to move back in with my elderly mother across the state, and start fresh. We can't afford to pay our mortgage and we can't afford to be sued for the difference if we default and the house sells for less than is owed. Help!!
5 ANSWERS
Not clear who you think is being the abuser here. When you ask a question in an online forum, please appreciate that the volunteer attorneys cannot ask you follow up question. Sounds like you need to meet with a social worker before you consider meeting with a lawyer.
Answered on Oct 05th, 2015 at 4:42 PM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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The Chapter 7 test is based on the household income for the past six months excluding social security. If he quits his job and goes to school, your household income would drop and you'd probably qualify for Chapter 7 which would eliminate all the debts you mentioned. If he goes back to school, he should go to a state college or university, not a private or for profit school. It doesn't make any sense to use bankruptcy to get out of the debt problem if he's going to get huge student loans and have an even bigger debt problem.
Answered on Oct 05th, 2015 at 9:18 AM
No, that is what BK is for to start over and get rid of your unwanted debt.
Answered on Oct 05th, 2015 at 3:05 AM
While your spouse might have difficulty qualifying for unemployment because he voluntarily quit his job, his decision is a defensible one for bankruptcy purposes. In Oregon and many other states, if you lose your house through foreclosure, you cannot be sued for a deficiency anyway. But if the judgments you have been paying can be discharged through bankruptcy (and most civil judgments are dischargeable) and if you have a lot of medical bills, then bankruptcy still might be a good idea. You should have a consultation with a bankruptcy lawyer before making such big life changes. Your move across the state could complicate your bankruptcy case.
Answered on Oct 05th, 2015 at 3:05 AM
Consumer Bankruptcy Attorney serving Los Angeles, CA
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Orantes Law Firm
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Do not let the situation continue to stress you. The facts you provide would enable me to advise you on how to qualify for Chapter 7 relief.
Answered on Oct 02nd, 2015 at 7:04 PM