QLD Separation and Property Settlement - Will I be Liable to Pay Debt?

[Dantahls]

I've been separated 10 months. My husband has decided to go bankrupt instead of agreeing to a property settlement and will have a large sum of debt from all the rental properties that we had which are all In his name. He has told me today if he goes bankrupt, I will have to go bankrupt, too as I am also liable to pay half of this debt?!

Is this true?

 

[JS79]

If bankruptcy occurs after separation but before a court order has been made, you as the non-bankrupt spouse can:

a. Seek orders from the Family Court for the settlement of your property against your spouse's trustee;
b. you can give a notice of claim against the assets collected by the bankruptcy trustee and then apply to the courts for an injunction to prevent the trustee from distributing the assets further;
c. You will be able to apply for spousal maintenance.

I suggest you seek advice from your family lawyer (if you have been to see one).

 

[Dantahls]

Thank you.
I don't have a lawyer
Can these forms be obtained from the family court?

 

[Tim W]

I don't have a lawyer

Given the complexity of the situation and the amount of money involved,
you would be well advised to get one.