If an ex-spouse or ex-partner has filed for bankruptcy, you may be wondering if you are going to lose the child support, alimony, or property payments they owe you. Attorneys such as our friends at The Spagnola Law Firm know that the answer depends on the type of bankruptcy they filed and what exactly they owe you.
Alimony, Child Support & Domestic Support Obligations
Here’s the good news: alimony and child support are protected. These fall under what the law calls “domestic support obligations” (DSOs), and they’re not wiped out in bankruptcy.
Whether the money is coming directly to you or going to a third party on your behalf (such as a car loan your ex was ordered to pay as part of support), these debts survive both Chapter 7 and Chapter 13 bankruptcies. A spousal support lawyer can help clarify these obligations after a bankruptcy filing.
Property Settlements And Debt Payments
If your divorce agreement includes distributive awards (lump sum payments or the requirement to cover certain debts), here’s what you need to know based on the type of bankruptcy filed:
- Chapter 7 Bankruptcy: Your ex cannot get out of these obligations. You’re still entitled to that money or debt coverage.
- Chapter 13 Bankruptcy: These debts may be classified as general unsecured debts — meaning your ex could end up paying only a fraction or, in some cases, nothing at all. It is very important that you hire a lawyer who understands the process in order to preserve your rights.
Disguised Support Payments
A common pitfall that can lead to complications after a bankruptcy filing is trading away your alimony claim for the promise that your ex will pay off joint debts. If it’s not worded clearly in your agreement as a support obligation, a Chapter 13 filing could wipe it out.
Important Steps For You To Take
Timing is everything. Once bankruptcy is filed, the clock starts ticking — and missing deadlines could cost you your claim. You may need to file specific paperwork or object to certain discharges. For example, in a Chapter 13, a proof of claim should be filed as soon as the non-debtor spouse is aware that the bankruptcy has been filed. Taking this action immediately can greatly help your chances of a favorable outcome.
Speaking With An Attorney
You do not have to go through this process alone. An experienced attorney who understands bankruptcy law can protect your rights and help you navigate the complex legal terrain. With the right wording and strategy, you may be able to safeguard your financial future even if your ex tries to use bankruptcy as an escape route. A well-written settlement or court order prepared by an attorney with experience in family law and bankruptcy law can make the difference between preserving your claim or losing it if a bankruptcy is filed.
Your ex’s bankruptcy doesn’t automatically mean you lose out — but staying informed and acting quickly can make all the difference.