Legal Question in Family Law in California

Re: Community Debt Hold Harmless

You could have him sign a "post-nuptial" agreement which delineates property rights & debts. You'll want to make sure it's professionally prepared because if they end up divorced, he may try to fight it in court. Courts are getting better about upholding these types of agreements (think "Barry Bonds" case) but they're not ironclad. Use an attorney or paralegal with experience in drafting prenuptials.

The real problem is that although your sister and her husband can make an agreement between themselves as to who pays debts, that agreement doesn't bind creditors who extend credit to your brother-in-law without being made aware of the agreement. Under community property laws, both spouses can be held responsible for debts. If this fellow is a deadbeat, he may fail to pay creditors, who then chase your sister for the money. She could sue her husband under the agreement, but if he doesn't have the money or pulls some other deadbeat-type move, she'll end up stuck after all.

As a supportive sister, maybe think about helping her find a counselor or support group that will help her to understand why she puts up with this behavior from her husband? I'm sure she doesn't deserve it....and without her taking action, it'll probably only get worse. Good luck.