Full question:
Can attorney fees that have been set up as a form of child support with wage assignment be discharged in bankruptcy?
- Category: Bankruptcy
- Date:
- State: National
Answer:
In bankruptcy cases filed on or after October 17, 2005, debts classified as domestic-support obligations cannot be discharged. A domestic-support obligation includes any debt owed to a spouse, former spouse, or child, or their legal guardians, that is related to alimony, maintenance, or support. This applies regardless of when the debt was incurred, whether before, on, or after the bankruptcy filing.
Attorney fees awarded in connection with alimony or child support are generally considered domestic-support obligations and are therefore non-dischargeable. This is because the recipient spouse benefits directly, as they would otherwise have to pay these fees themselves. Additionally, attorney fees related to post-divorce custody actions may also be deemed as support obligations, making them non-dischargeable.
If the attorney fees are solely the debtor's personal liability and not owed to a spouse or child, they may not fall under the non-dischargeable category. However, attorney fees intended for the maintenance or support of a former spouse or child remain non-dischargeable, even if paid to the attorney rather than directly to the spouse or child.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.