Non-Filing Spouse

In the Central District of California, I have a number of clients who file bankruptcy without their Spouses. In this situation the main questions are:  1) Do I have to list my spouse’s property or bank accounts and 2) Do I have to list my spouse’s income.

Property

California is a community property state. Therefore, in most cases, anything that belongs to your spouse, also belongs to you. Therefore, almost everything that you think she only owns, you also own.  This includes bank accounts.  Even though your name is not on your Spouse’s bank accounts, those accounts still technically belong to you as well. There are situations, where this might not apply. However, if your spouse is depositing, withdrawing and using the accounts daily then the money in the account is your property. Therefore, the accounts need to be listed on the petition.

Income

Income from both spouses need to be listed on the bankruptcy documents.  Remember, in a community property state, all property acquired during marriage is community property.  This means, your income is her income and her income is yours.  Yes there are some exceptions, but generally anything received or acquired will be the property of both spouse’s in California.  Therefore, when determining what type of bankruptcy you qualify for, your attorney will need to take into account all income.