Legal Question in Bankruptcy in California

Someone please please answer this as I am seriously upset and beside myself. My ex and I divorced but fighting over assets. We are both with cal pers retirement and both have joinders attached to our retirements. Ok...the ex filed bankruptcy and I didn't know until a year after he did it. I tried to file a claim but was told by courts I was too late and to file an adversary proceeding. Family law attorney said we can't go forth in family court because bk court holds jurisdiction. I was first told to get a "stay" from bk court to release jurisdiction over just the retirements so that can be divided and settled (I want to retire). Bk attorney and family law attorney talked and I am told that getting a stay never works out right and I just need to go forth with the adversary proceeding first. Then I was told adversary could take a year or so!!!!!! I want to retire and I feel like a hostage! Is this true? California bk courts won't lift a stay on retirements to be settled in family court??? I can't believe this! The ex didn't even file a true bk....I was told it was a chapter 13 but one where its like a reorganization and he actually is paying all in full. Someone please tell me if I am truly stuck.


Asked on 2/12/13, 4:18 pm

1 Answer from Attorneys
Scott Jordan Jordan Law Office

Chapter 13 is a "true" bankruptcy and allows the debtor to restructure their debt and pay over 36 to 60 months. It is common.

As for the relief from stay, the Bankruptcy Court can order that the stay be lifted and allow you to proceed in family court regarding the narrow issue of division of community property. It is much quicker than an adversary proceeding, which is useful only if money is owed to you and you were 1) not listed as a creditor or 2) the debt was procured by fraud. I am not sure why the bk attorney would state otherwise, unless there are additional facts.

Please feel free to contact my office to discuss this matter further.

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Answered on 2/27/13, 1:39 pm


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