If you are considering personal bankruptcy, or you believe that your spouse or partner might be, it is of crucial importance to contact a lawyer in a timely manner. At Quay Law Centre, we know that the timing of a bankruptcy declaration by either party can have a dramatic impact on the division of assets and debts in divorce and separation.
Joint Debt
When two people have shared or joint debt and one declares bankruptcy, it can have a significant impact on the person who is not declaring bankruptcy. The financially stable person can be considered liable for credit card debt and other joint debt.
In both bankruptcy and foreclosure, the positioning of your claim regarding your property is critical. In divorce and separation, bankruptcy can significantly complicate the division of assets, especially in cases where one spouse declares bankruptcy before a court order has been issued.
Section 57 Declarations
At Quay Law Centre, our lawyers can assist you in applying to the Supreme Court for a declaration under section 57 of the Family Relations Act. The date of this declaration is critical to determining the value of your assets and debt, and your entitlement to them in divorce and separation. A section 57 declaration establishes that you and your spouse have no chance of reconciliation, and protects your interest in the assets from your spouse's bankruptcy or your spouse's creditors.
To arrange a consultation with one of our experienced family law lawyers, please contact Quay Law Centre online, call 604-200-0530 or call toll free 877-895-1426. From our offices in New Westminster, we represent clients in the Metro-Vancouver area, including Surrey, Fraser Valley, Tri-Cities, Burnaby, and any other area throughout B.C., Canada and internationally.
