Child Support and Alimony Arrearages in Bankruptcy
Child support and alimony arrearages often present a crisis situation in family court when one spouse is in arrears and faces a motion for contempt. Often, this situation can be helped with a chapter 13 bankrutpcy case.
Child support and alimony are generally both considered a "domestic support oligation" in bankruptcy and is non-dischargeable. But chapter 13 reorganization offers an opportunity to payoff the child support and alimony arrearages over a 3 to 5 year period under a chapter 13 plan. Upon the filing of the chapter 13 bankruptcy, proceedings to collect the pre-bankruptcy arrearages are stayed, allowing the debtor the opportunity to propose a chapter 13 plan to pay the arrearages.
