Courts seize wife's assets to pay debts

Builderfromhell

Hope heading isn't mis-leading.
Have had long discussion with a few people last night and hope someone here can shed light on the subject. The details in summary are as follows;

- Businessman cannot pay debts to suppliers and revenue.
- Suppliers and revenue take him to court.
- Court determines he should pay X amount a month to revenue and in another court case Judge orders him to pay X amount a month to them.
- He could also have other bills, rent, mortgage, credit cards etc.
- The guy can't keep up paymets as ordered by court.

Court orders that goods to the value of debts be seized. Businessman has already lost all his assets and there isn't much or anything to seize. His wife, however, has recently set up a hairdressing salon and has invested in new furniture and equipment.

Finally, the question is can/could the courts order her to sell her assest to repay her husbands debts? Or to put it another way, are they, in the eyes of the law, considered as a single entity because of marriage and therefore both liable for the debt?

Moderator, the above story is Fictitious and is only being used as an example of what may sometimes happen.

meditraitor

Builderfromhell wrote: »

Hope heading isn't mis-leading.
Have had long discussion with a few people last night and hope someone here can shed light on the subject. The details in summary are as follows;

- Businessman cannot pay debts to suppliers and revenue.
- Suppliers and revenue take him to court.
- Court determines he should pay X amount a month to revenue and in another court case Judge orders him to pay X amount a month to them.
- He could also have other bills, rent, mortgage, credit cards etc.
- The guy can't keep up paymets as ordered by court.

Court orders that goods to the value of debts be seized. Businessman has already lost all his assets and there isn't much or anything to seize. His wife, however, has recently set up a hairdressing salon and has invested in new furniture and equipment.

Finally, the question is can/could the courts order her to sell her assest to repay her husbands debts? Or to put it another way, are they, in the eyes of the law, considered as a single entity because of marriage and therefore both liable for the debt?

Moderator, the above story is Fictitious and is only being used as an example of what may sometimes happen.

Sounds fair to me, as a married couple they are in effect business partners

realmadrid

If he owns a limited company does this not protect his wife and possibly his own personal assets? I understand that if he has business debts any assets belonging to the company can be seized to pay the outstanding debt. Could be wrong here but I would say her assets are her own and safe unless paid for by husbands company.

Our man in Havana

The assests of the wife cannot be taken to pay her husbands debts.

PCPhoto

this is kinda similar to the "loophole" that's been around for ages - if company A is in the sh1tter .... some assets are transferred to a non director spouse so the director will maintain assets. (like

Liam Carroll

transferring properties to his wife's name before it all went t1ts up)