Legal Question in Bankruptcy in New York

NY Bankruptcy (chpt. 13) and Mortgage payments

One of my friends seems to be in a little jam. Her and husband are in the process of getting divorced. About 6 weeks ago, they filed for and were awarded bankruptcy (Chapter 13). Now that they are getting divorced, they are trying to sell their home. Unfortunately, her husband found out that he can stop paying his mortgage, because he is safe from the bank from forclosing because of the bankruptcy. He thinks he is safe since they filed bankruptcy, therefore the bank can not come after him for 6+ more years, and figures he may just live in the house for free for the next 6+ years. She wants to move out, but is worried if he stops paying the mortgage now, 6+ years from now she may be liable for his actions. I was wondering if there is any truth to the "saftey from the bank" statement and if there was anyway for her to protect herself if he does follow through with this act.

Any help would be greatly appreciated!


Asked on 7/06/99, 1:49 pm

1 Answer from Attorneys
Susan Freiman The Legal Clinic

Re: NY Bankruptcy (chpt. 13) and Mortgage payments

There is absolutely no truth to this 6+ year free ride fantasy.

Your friend has to get to a lawyer to find out what her best alternatives are, and how to protect herself.

There is a very good Legal Aid office in New York. The Bar Association also has a legal referral service, which can recommend a lawyer willing to work for reduced fees.

I strongly urge her to get competent advice now from a bankruptcy lawyer. The divorce lawyer may be able to help her, but normally divorce lawyers don't know a whole lot about the bankruptcy implications. If your friend does not get good advice now, she is liable to end up paying dearly in the future.

Good luck to her - and she's lucky she has a friend like you to help her through this doubly difficult time.

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Answered on 7/10/99, 12:59 am


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