California is a community property state. Property acquired during marriage with either spouses income is thus considered “community property” and belongs equally to both spouses. Community debt works the same way as community property. Debt incurred during marriage can be considered the debts of the community and potentially enforceable against both spouses. It is not possible to transfer all assets to one spouse and all debts to the other spouse for discharge in bankruptcy. It is possible, however, for one spouse to file bankruptcy without the other spouse.

Although it is usually better for both spouses to file together, there are times when it’s perfectly acceptable, and even advantageous for one spouse to file alone. The interaction of community property law and bankruptcy law is a somewhat specialized area which requires the advice of a qualified California Bankruptcy Attorney.

If you need help with California community property law, please Contact a Lawyer who is familiar with California community property law today and have your questions answered.

COMMUNITY PROPERTY CAN INCLUDE THINGS SUCH AS:

• Stock options.
• Pension or retirement plans.
• Intellectual property.

After the bankruptcy is filed, all community property acquired is protected by the discharge. What that means is that even if only one spouse files for bankruptcy, the community property after a bankruptcy is not liable for the debts that existed when the bankruptcy was originally filed. 11 U.S.C. 524(a)(3). Though, it may be possible that any other property of the non filing spouse may be accountable.

If you need help with California community property law, please Contact a Lawyer who is familiar with California community property law today and have your questions answered.