What to do if I filed divorce from my husband and moved out of state but he filed for bankruptcy?

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What to do if I filed divorce from my husband and moved out of state but he filed for bankruptcy?

We put our house on the market and I expect at least half of the equity from the home. My husband then filed Chapter 7 for debt in his name and found out that any equity from the house sale would go to creditors. He filed a dismissal with the court. Once the dismissal is approved by the judge, is the Chapter 7 completely and finally over? Can we sell the home without worry of his Chapter 7 filing seizing the equity? Will my portion of the equity be protected?

Asked on March 8, 2013 under Bankruptcy Law, Texas

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

Give the complicated situation that you now find yourself in I suggest that you consult with a family law attorney who has experience in bankruptcy law as well. Based upon what you have written about the bankruptcy's dismissal is over and you can then sell the home. The bankruptcy filing should have no impact upon your equity in the property.


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