Going through divorce- ex declaring bankrupt- help!

Whippet12

Hi,
My partner is currently going through a divorce.
He jointly owns a house with his ex, who has left the property.
He has been contacted today to say she has run up £31k of debt and will be declaring herself bankrupt, therefore will not continue with the divorce.

Where is my partners legal standing on this? if she's bankrupt can the debt be taken from the house even if a divorce was going through? Can she actually 'stop' the divorce for this reason?

Any help will be appreciated, thank you

alastairq

Hi....................in my experience, a divorce is brought against one party, by another.

Therefore, the divorce petitioner has the ability to cease proceedings if they so chose.

If, however, your partner can find sufficient grounds [for example, living apart fro 2 years?]..........then they can apply for their own divorce petition.

With regards to the jointly-owned house?

Much will depend whether there is any equity in the property.....and the percentage of 'interest' each party has in any profits from that property.

Bankruptcy itself does not precluded continuing a divorce action.


You mention 'debts', but not what kind of debts?

Secured?

Or unsecured?

Joint, or individual?


Once the EX petitions bankruptcy, the Official Receiver will seek to realise the Ex's assets...in particular, their share of the property value.

Now...your partner may be able to purchase the OR's interest in the property.

Or, it may be sold, with your partner's Ex's share of any profit going to the BR estate.

If the property has negative equity, the OR will have no interest in it.

If the property is repossessed [ if subject to a mortgage?] then any shortfall can, and will be recovered from the names on the mortgage.

If the EX petitions BR, then her share of he shortfall will fall into the BR....and the mortgagor will pursue your partner for the entire amount.

If any of the EX's debts were joint debts with your partner, these too, will be pursued against your partner in event of the BR petition.

Much will depend on specific detail not yet posted.

Whippet12

Thank you so much for your reply... To be honest, it's something I'll ask him more about.
As soon as I know more, I may have to ask more... But thanks again