Many of my clients ask me about domestic support obligations in a Chapter 7 or Chapter 13 bankruptcy. They wonder: “what is a domestic support obligation?” or “can a domestic support obligation be discharged in a bankruptcy filing?” In today’s blog, we’ll take a closer look at what a domestic support obligation is in a Chapter 7 or Chapter 13 bankruptcy in Colorado.
Highlands Ranch Bankruptcy: What is a Domestic Support Obligation?
In Highlands Ranch and Lone Tree, a domestic support obligation, 11 U.S.C. Section 101(14A) is:
“a debt that accrues before, on, or after the date of the order for relief in a case under this title, including interest that accrues on that debt as provided under applicable nonbankruptcy law notwithstanding any other provision of this title, that is—
(A) owed to or recoverable by—
- (i) a spouse, former spouse, or child of the debtor or such child’s parent, legal guardian, or responsible relative; or
- (ii) a governmental unit;
(B) in the nature of alimony, maintenance, or support (including assistance provided by a governmental unit) of such spouse, former spouse, or child of the debtor or such child’s parent, without regard to whether such debt is expressly so designated;
(C) established or subject to establishment before, on, or after the date of the order for relief in a case under this title, by reason of applicable provisions of—
- (i) a separation agreement, divorce decree, or property settlement agreement;
- (ii) an order of a court of record; or
- (iii) a determination made in accordance with applicable nonbankruptcy law by a governmental unit; and
(D) not assigned to a nongovernmental entity, unless that obligation is assigned voluntarily by the spouse, former spouse, child of the debtor, or such child’s parent, legal guardian, or responsible relative for the purpose of collecting the debt.
Are Domestic Support Obligations Dischargeable in Littleton Bankruptcy?
Unfortunately, domestic support obligations are not dischargeable in a Chapter 7 or Chapter 13 bankruptcy case in Littleton, Aurora or Denver, according to 11 U.S.C. Section 523(a)(5) and (15). This means (as a debtor) you’ll be responsible for paying the debt after you receive your bankruptcy discharge.
A Domestic Support Obligation Debt is a Priority Debt in Greenwood Village
Priority debts in Greenwood Village, Centennial and across Colorado, are debts that are paid to creditors first. Domestic Support Obligations are considered priority debts in Colorado.
More Questions About Domestic Support Obligations? Call a Denver Bankruptcy Lawyer
If you live in Denver, Parker, or a surrounding area and have more questions about domestic support obligations, don’t hesitate to call me. You should always be aware of which of your debts are dischargeable and non-dischargeable in a Chapter 7 or Chapter 13 bankruptcy. Contact my office today, and we’ll discuss your unique situation in more detail.
If you’d like more information about domestic support obligations in a Chapter 7 or Chapter 13 bankruptcy in Highlands Ranch, Lone Tree, or Englewood, call now to request your free consultation meeting with Barry Arrington, a Christian bankruptcy attorney at 303-205-7870 or submit the “Get Help Now” form to begin your journey toward financial freedom.
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