Legal Question in Bankruptcy in New York

Are court rulings erased by bankruptcy?

I do not own my own house or car and am a 25 grad student that made $18,000 last year. I am being sued for $1.25 million dollars for a car accident I was involved in 2 yrs ago where the other driver's knee was hurt. There was no alcohol involved in the accident where I went through a stop sign and I and am wondering -- if the court orders me to pay the defendant a certain amount and I am unable to do so financially, will filing for bankruptcy stop me from paying that money to the defendant? I am very scared that I will occur debt that I will never be able to get out of. Also, I was not married at the time of the accident, but have gotten married since then, are any of my husband's assets in jeopardy? The house is in his name and our bank accounts are separate. Thank you for your help!


Asked on 5/11/04, 2:01 pm

1 Answer from Attorneys
Debra Palazzo Law Offices of Debra Palazzo, LLC

Re: Are court rulings erased by bankruptcy?

Your insurance co should be providing a defense but they are only liable up to ins. amount. Most likely, the case will be settled for that amount but in the event that there is a judgment against you, yes filing bankruptcy will clear it. The judge will not order you to pay . Judge will just find for the Plaintiff and jury/judge will award the amount of damages which will become a judgment against assets, etc.

Your husband is not liable. But, depending on how your home was purchased, (where the $$ came from)they may argue that it was titled in his name solely to avoid judgment. Continue to keep your assets separate until this is settled.

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Answered on 5/12/04, 9:29 am


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