Debt Responsibility In A Divorce
At Manassa Law P.C., we provide first-class legal services and divorce representation to high net worth clients throughout Illinois. With decades of trial and negotiation experience in this challenging area of law, our lawyers have successfully defended the personal and financial interests of our clients in disputes over complex property division, pensions and retirement accounts, business valuations, investment accounts or stock portfolios, and numerous other high-stakes issues and assets.
However, we also recognize that fairly dividing joint marital assets is only half of the equation for many couples. The other half is fairly dividing responsibility for any marital debts, including:
• Business debts
• Credit card debts
• Student loans
Dividing Debt In Illinois
Under Illinois law, debt may be characterized as either marital or nonmarital. Individuals who brought a certain debt into the marriage will likely be assigned full responsibility for that debt during divorce. Likewise, any debts accumulated by either spouse during the marriage will likely be considered marital debt and must be divided fairly, though not necessarily evenly, between the divorcing spouses.
However, assigning debt responsibility can be far more complex than first appears. For instance, if one individual took out a student loan to obtain a graduate degree, he or she is likely in a position to earn much more than before. In such a case, the courts may rule that dividing this debt is inequitable, even though it was accumulated during the marriage, because only one spouse will benefit from the increased earning capacity.
Contact Our Attorneys
In every dispute over debt responsibility in a divorce or other complex matters, Manassa Law P.C., provides creative solutions designed to protect our clients' interests and preserve their financial stability. To schedule a free initial consultation, call our Barrington or Crystal Lake office at 847-221-5511, or contact us online.
High Net Worth Divorce Articles
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- Barrington Hidden Assets Attorney
- Business Valuation
- Maintenance/Spousal Support
- Division Of Marital Property
- Nonmarital Property
- Modification Of Maintenance In Illinois
- Division Of Stocks, Mutual Funds And Investment Accounts
- Debt Responsibility In A Divorce
- Effects of Divorce on Business Owners
- Effects Of Divorce On Professional Practice