October 12th, 2009 by Reed Allmand 
In the bankruptcy case of Blackburn, Terry; In re (Blackburn v. Blackburn), the bankruptcy judge ruled that obligations incurred through a divorce decree was not dischargeable in bankruptcy. The judge also ruled that he did not have discretion in the matter.
The details of the bankruptcy case:
The Chapter 7 bankruptcy debtor was a 50 year old man, who was physically unable to work. He claimed that an obligation to his ex-wife incurred through a divorce decree would create a substantial financial hardship and requested a discharge of that obligation. The debtor’s ex-wife objected to the discharge of her claim. The bankruptcy court ruled that the obligation which was incurred through a divorce decree could not be discharged in bankruptcy and that the judge had no discretion in the matter.
Financial obligations incurred through a divorce decree can create a considerable hardship for the debtor; however, they are not automatically dischargeable in bankruptcy. If you are facing financial hardship due to obligations created by a divorce decree, please speak with your bankruptcy attorney about how these obligations can be handled during bankruptcy.
About Reed Allmand
Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."
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