Legal Question in Credit and Debt Law in New Jersey

This is a good question in an area of the law that confuses many people. Your father's estate is primarily responsible for his debts. If there is insufficient money left in his estate to pay all of his debts, they are paid according to certain priorities established by law. If there is not enough money to pay all, the low priority creditors don't get paid unless there is someone else responsible. The other responsible person could be a surviving spouse for some debts such as medical expenses where a spouse is liable as a matter of law. There may also be a co-signer for a loan or a co-tenant obligor on a lease. These are among the few common situations where another person is responsible. It is also useful to know that life insurance proceeds that are paid directly to a beneficiary are not available to the creditors of the decedent.

See also: http://info.corbettlaw.net/lawguru.htm