Divorce & Bankruptcy
There are many issues involving community property -- and community debt -- where there's a marriage, divorce or legal separation.
Divorce and BK issues
Because people who marry buy lots of things together, it makes sense that they also would ring up debts together, also. So how does a marriage affect a bankruptcy? The answer can be two-fold: during the marriage, and during the divorce.
Bankruptcy During the Marriage
Do Both Spouses have to File Bankruptcy?
No, not both spouses must file. Of course, just because it's an option, does not mean that one is better than the other. Only a qualified bankruptcy attorney can advise you of the benefits and drawbacks of filing jointly or separately.
There are cases where a bankruptcy involves an overlap with divorce
law. In fact, there are lots of times where a bankruptcy is filed at the same time as a divorce to wrap up all monetary, financial issues along with property settlement.