Who Pays When The Spouse Runs Up The Charge Cards?
Who Pays When The Spouse Runs Up The Charge Cards?
Unfortunately, whether or not your name is on a particular credit account, New Jersey law states that both parties are responsible for the debt that was racked up during the marriage. But what counts as, “during the marriage”?
New Jersey case law states that “. . . the period of acquisition for the equitable distribution of marital property shall terminate the day the complaint for divorce is filed”. Painter v. Painter, 65 N.J. 196 (1974). This timing precludes either party from dissipating assets or accumulating debt which the other spouse would have to be responsible for. If one party wishes to have certain debts or assets subject to distribution after the filing of the complaint the burden of proving that such is subject to distribution shifts to the moving party. I just had a case with this very issue. After the Plaintiff filed for divorce, but before the ultimate settlement, she had charged up significant debt and was attempting to have her spouse pay for 50% of the bill. She testified at trial that the money was spent to feed and clothe the children, however, no bank or credit card statements were provided. The Judge ruled that the debt was not accrued during the marriage and Plaintiff did not prove that she had spent the money for marital purposes.
Bottom line, do not file for divorce and then rack up the debt, you will be responsible for it all on your own!
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