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Old 11-08-2002, 01:59 PM
CorySLOC
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What do you guys think about this paragraph in a divorce decree


Indiana,

Petitioner shall be awarded the marital house and shall be responsible for all indebtedness, taxes, special assessments, liens and insurance thereon, and shall indemnify and hold respondent harmless from any liability thereon, including reasonable attorney fees incurred in defending any claim, demand or action regarding said indebtedness.

Petitioner shall refinance the mortgage on the real estate and have respondents name removed from the note and mortgage. If petitioner is unable to refinance said mortgage and thereby have Respondents name removed from the note and mortgage within six months from the entry of the Decree, then and in that event the real estate shall be sold in order to satisfy the mortgage. If the real estate is sold, petitioner shall be awarded and receive the net sale proceeds from the sale of the home, and shall be liable for the deficiency balance, if any, on the mortgage.

The net sale proceeds from the sale of the house shall be the gross selling price of the home minus all expenses of sale, including but not limited to the realtor's fee, filling fees, abstract fees and the satisfaction of all liens. Upon the refinancing of said mortgage and the removal of respondents name and responsibility under said note and mortgage, respondent shall execute and deliver a Quit Claim Deed to petitioner, conveying all of respondents right, title and interest in said real estate to Petitioner.

(Q) Does harmless in the contexts in which it is used extend to the Respondents credit?

(Q) Can Respondent hold Petitioner in contempt if Respondents credit is damaged?

(Q) The above mentioned property is for sale and has been for over 9 months. The Mortgage company has said they will allow a short sale to take place on this property but Respondent will not convey a Quit Claim Deed to Petitioner to proceed with the short sale leaving Petitioner no other course of action but fore closure. What can Petitioner do?

(Q) Can Petitioner file for bankruptcy to relieve obligation to Respondent stated in the Decree?
  #2  
Old 11-08-2002, 02:32 PM
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Join Date: Dec 2001
Posts: 4,336
Until such time as the debt is satisfied and the Respondent's name is removed, the credit report on the debt will be reflected on both person's credit reports.

Petitioner can let Respondent suffer the consequences of having a foreclosure on his or her credit report.

No, the Petitioner can not transfer the debt to the Respondent via filing bankruptcy. The Petitioner is ordered to be held responsible for paying the debt; bankruptcy would leave the Respondent responsible for the debt and that is against the court's order.

That's my non-attorney take on the issue. You asked us 'guys' so I felt free to answer!

Best wishes!
EC
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