Lump sum spousal support and creditors?

406 viewsBankruptcy

Lump sum spousal support and creditors?Lump sum spousal support and creditors?

I went bankrupt in 2013 and was discharged in 2013. I separated from a common law partner shortly afterwards. I was paid a lump sum amount in lieu of monthly spousal support payments.

Under what circumstances would a creditor be entitled to a bankrupt’s lump sum spousal support?

Would my creditors be entitled to any of my spousal support payment?

Facebook Comments
Changed status to publish

Since you were separated and received a lump sum payment in lieu of spousal support after your discharge from bankruptcy, the creditors have no right to any of the spousal support payment and you are able to keep the entire amount free and clear.

Yours truly,

Earl Sands, Bankruptcy Canada Licensed Insolvency Trustee

Facebook Comments
Answered question
You are viewing 1 out of 1 answers, click here to view all answers.
Facebook Comments