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May 2008

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Who Pays The Home Mortgage?

The ex-husband had agreed to indemnify his former wife for any liability that she might incur under a mortgage on the former marital home. But his bankruptcy petition listed her only as a co-debtor and not as a creditor. Because this failed to give her reasonable notice that his indemnification obligation was dischargeable, he remained liable on the underlying debt. Heselton v. Maffei, ___N.J. Super.___(App. Div. 2005), approved for publication January 11, 2005, 2005 WL 41282.