What is a woman’s liability for her late ex-husband’s debts?

Get Legal Help Today

 Secured with SHA-256 Encryption

What is a woman’s liability for her late ex-husband’s debts?

About 10 years ago I co-signed for 2 private student loans with my husband.They were for his medical school degree, which he did not complete. Then 2 years ago, we divorced and in the divorce decree he assumed responsibility for the student loans. He agreed to be “fully and solely liable and to make any loan payments.” He died of alcoholism about 1 1/2 yers ago. About 9 months ago, the bank charged off both loans due to his death but is issuing a 1099-C to me. Since we were already divorced before he died, wouldn’t that exempt me from any loan liability or 1099-C?

Asked on September 25, 2012 under Bankruptcy Law, California

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

Good question. Normally an obligation incurred during the marriage of two spouses is still an obligation that both spouses are responsible for to the creditor regardless of what is stated in a marital dissolution agreement as to who is responsible for what debt.

However, in your situation if the student loans that you are writing about are debts that your "ex" ultimately is responsible for per a written marital settlement agreement and judgment, then you should not have to report the "write off" as income for tax purposes even though you have been sent a 1099.

I suggest that to be sure, you consult with a tax attorney on this issue.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption