Legal Question in Family Law in Minnesota

Divorce and debts -- the limitations of a decree

Two legal principals are important to an understanding of this issue.

First, the general rule is that a spouse is not liable for the debts of the other spouse, except debts for medical expenses and necessary household articles used by the family. This general principal of law is found in Minnesota Statutes Section 519.05.

What this means is that if a husband incurs a debt on a credit card in his �own name,� for example, his wife is not liable for that debt, unless the debt was incurred for household goods for the family, or medical bills for any family member. However, even when a debt is for the benefit of the family or medical bills, many creditors will only attempt to collect from the spouse who incurred the debt, or who is liable for the debt under a promissory note.

Despite this, it is important to remember that some debts are joint obligations. If both parties sign up for a credit card, for example, or a line of credit at a bank, and they both agree to be responsible for the debt, then they are each liable for the full amount of the debt, regardless of who actually makes any charges or draws out money on the loan.

The second legal principal to understand is this: Although the divorce court can order one party to pay certain debts, regardless of his liability for them, a judge cannot change the parties� liability to their creditors.

This is where things get confusing for many people. I am often asked why, if one party was ordered to pay a certain debt, the creditor is still asking them for payment. �The judge said he was to pay the VISA bill, why are they suing me?�

The answer is that the court cannot tell the creditor which party will be responsible for the debt. The creditor is not a party to the divorce, and the court does not have any jurisdiction over the creditor in the divorce proceeding. The court only has jurisdiction over the parties. It can order one of the parties to pay a certain debt, a VISA card, for example, but this has nothing to do with the creditor. If the creditor does not get paid, it will go after which ever party is liable for the debt, regardless of any language in a divorce decree, and has every right to do so. The aggrieved party�s response is to get a judgment against her or his spouse.