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Scura, Wigfield, Heyer, Stevens & Cammarota Blog

Filing for Bankruptcy with A Side of Divorce Proceeding



Filing for divorce is never an easy process. This can become more complicated when one of the spouses seeks to file for bankruptcy in the middle of a pending divorce proceeding. This blog will explore the factors that individuals need to consider if they’re looking to file for bankruptcy while their divorce proceeding is pending.

The Interplay Between NJ Automatic Stay and Divorce

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The filing of a petition with the Bankruptcy Court instantaneously shields the debtor from most further acts by creditors to collect on debt owed as of that date. Filing automatically invokes the automatic stay under § 362(a) of the Bankruptcy Code. As a result, the debtor‘s estate is preserved for all creditors. The stay protects both the debtor, who gets relief, and the creditors as a group, whose claims are protected against other creditors who could otherwise pursue their own remedies.

Help from a Bankruptcy Attorney During Divorce

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It is not uncommon for people to arrive at the point of needing to file bankruptcy around the same time that a failing marriage approaches separation and divorce. Finances are traditional "problem areas" in marriages, along with in-law problems and other personal problems. It may be difficult to determine which came first: marital discord or financial problems. One affects the other, and the result may be that a couple or either party in the marriage believes that divorce is inevitable. At the same time, finances could be out of control to the point where bankruptcy is the answer.

Family Law: Consult with Scura, the Premier of New Jersey Law Firms

Family law issues are both matters of the heart and business-like matters. Family law affects all of us, whether or not we encounter conflicts. Sooner or later, most families are in need of the guidance and assistance of an experienced and knowledgeable family law attorney. Scura, Wigfield, Heyer & Stevens, LLP, brings a history of success in many legal practice areas to our family law practice, which is why we're the best of the best of all New Jersey law firms.

Ask a Lawyer: How is Alimony Determined in New Jersey?

Unlike child support, alimony in a New Jersey divorce is decided based on many different criteria, including the following:

New Jersey Attorneys Weigh In On Custody In Divorce or Separation

When parents divorce or separate, it is necessary to determine where your child or children will live and how their relationship with the parent who no longer lives in their home will continue. You likely need a child custody court order whether or not you and the other parent of your child are or have ever been married to each other. Our experienced New Jersey attorneys represent mothers and fathers in child custody disputes involving any of these relationships:

Need a New Jersey Divorce Lawyer or Attorney?

Divorce is not to be taken lightly, as you surely know. If you have arrived at this blog in search of a New Jersey divorce lawyer referral, we will assume that you have examined your motives in great detail. If, at a preliminary consultation with you, we detect that you are unsure about whether to go through with a divorce, we are likely to suggest that you are probably not ready for a divorce. You may benefit from marital counseling — with or without your spouse's cooperation — as you continue to sort out your options.

Need to Find an Attorney for a New Jersey Domestic Violence Case?

Domestic violence is an all-too-frequent occurrence in the context of a divorce, separation or estrangement between spouses or romantic partners.

Should You File Bankruptcy Before or After a Divorce?


It is well known that the leading cause of divorce is money....or rather the lack of money.  What I have come to learn after meeting with many divorced debtors in my bankruptcy practice, is that the opposite is true as well:  Divorce is often one of the leading causes of a person needing to file for bankruptcy protection.  Almost every recently divorced debtor that I have met with have said that their finances are a mess due to the divorce.   The same debts which may have propagated the filing for divorce are now doubly troublesome:  Generally post-divorce only one spouse is making payments on the debt, there is only one source of income, and to top it off, there are those lawyer fees incurred during the marital action.

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