Legal Question in Bankruptcy in California

ex plans bankruptcy

I was married twice , and now I am divorced the second time.

My second husband moved out of California, where I live .

I think he lives in Florida.

I live in condominium with high equity, about 400k.

Due to the first divorce and very complex quit claims history, are 3 names on the title. Ex no1

ex no2 and myself.

Ownership in property is as follows;

ex no 1 8.3%

ex no 2 8.3%

I own the rest 83.4%

Condominium is located in California and it is my only home for the last 12 years.

My second ex husband is having

over 60k debts on credit cards. He wants to go for bankruptcy.

If he does, am I going to be forced

to sell my home ?

Monetary value of his part is about 40k.

The last activity of the quit claim deeds was in 2002, and it was my first husband, (already ex in 2002, first divorce was in 2000) who transfered 8.3%

of the ownership to my second husband.

I am divorced from the second husband for 7 months now.

It is still 50k mortgage to pay on the property and all payments, taxes are current.

regards

e


Asked on 9/01/07, 4:56 pm

2 Answers from Attorneys
Brian Whitaker Lifeline Legal, LLP

Re: ex plans bankruptcy

You will probably not be forced to sell your home if you are willing to buy out his equity from the bankruptcy trustee. He should be willing to settle for less than the $40,000 you mentioned; and with $400,000 of equity, it should not be difficult to take out a second for the amount required.

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Answered on 9/01/07, 6:25 pm
Robert F. Cohen Law Office of Robert F. Cohen

Re: ex plans bankruptcy

I agree with Mr. Whitaker. You should not be forced to sell the condo. The trustee should discount the value of the equity, though, because it would cost the BK estate a bundle to hire an agent and pay closing costs, etc. Perhaps you can negotiate half the equity value. I'm not sure I understand who owns what because you said ex-1 transferred his 8.3 share to ex-2. Then why do both remain on title? Does ex-2 now have a 16.6 percent stake (or did ex-1 originally have a 16.6 percent stake)? Good luck. It might be prudent to consult with a BK attorney in your hometown once you hear from the BK trustee. P.S. Why didn't you take care of the issue of the condo ownership during either or both of the divorce proceedings?

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Answered on 9/01/07, 6:37 pm


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