How is debt divided during a divorce in Georgia?

The way debt is handled during divorce typically depends on when it was obtained, along with each spouse’s financial standing and role in accruing the debt.

Debt is a burden that the majority of Americans struggle with today. National Public Radio recently reported that 80 percent of people in the U.S. carry some form of debt. Unfortunately, this means that many people getting divorced in Georgia will need to deal with the division of debt during their settlements. It is essential that these spouses understand how financial liabilities are treated and distributed during divorces in Georgia.

Which debt is considered marital?

The way that debt is handled during divorce depends largely on whether it is marital or separate debt. As materials from the State Bar of Georgia explain, most assets and debts obtained while two people are married qualify as marital property. Property acquired before marriage is considered separate property. During divorce, marital property and debts are subject to equitable distribution between spouses, while separate property and debts remain with the original owner.

Typically, debt incurred during marriage is considered marital regardless of whether one or both spouses accrued it. For example, if both spouses are co-signers on a credit card and one spouse accumulated debt on the card, both spouses will likely be considered liable. However, judges may not always divide credit card debt during divorce. If one spouse independently accrued debt and the debt is only in that spouse’s name, it might not be subject to distribution at the time of divorce.

How are marital liabilities distributed?

In Georgia, family law judges don’t follow set guidelines when dividing debt during divorce. Instead, they evaluate various factors to determine what kind of division would be equitable. These factors include:

  • The way that each spouse contributed to the accumulation of the debt.
  • Each spouse’s income, assets and overall ability to repay the debt.
  • Each person’s existing obligations or liabilities.

Under these guidelines, predicting how debt will be divided can be challenging. Sometimes, a judge may allocate more debt to the spouse who was responsible for accruing the debt. In other divorces, the spouse with greater financial means may be ordered to repay more of the marital debt. In the case of secured debts, such as auto loans or mortgages, a judge may assign responsibility to the spouse who keeps the property in question.

What else should spouses know?

A family law judge can assign certain debts exclusively to each spouse or require both spouses to make payments toward each marital debt. In either case, spouses should understand that a divorce decree doesn’t mitigate a person’s legal liability to his or her creditors. According to The Huffington Post, if a person’s name appears on a loan agreement that the ex-spouse is responsible for repaying, the person may still be held liable if the ex-spouse defaults.

To reduce the risk of this outcome, spouses should consider working with an attorney during the property division process. An attorney can help a spouse explore options for repaying debt before divorce or ensuring protection against unwanted financial complications after divorce.

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The advantages to negotiating a GA divorce settlement through mediation

Mediation is an alternative form of divorce that is growing in popularity because of its many advantages over traditional court divorce.

Although most marriage vows include the phrase, ‘until death do us part,’ less than 50 percent of marriages in the U.S. will actually last that long, according to the Centers for Disease Control and Prevention. Getting a divorce in Georgia or in any other state in the nation has become more commonplace than ever before. As a result of this surge in separations, mediation and other alternative forms of divorce have grown in popularity. While traditional court room litigation continues to meet the needs of some couples who are going through a divorce, mediation negotiations may work best for others.

How does mediation work?

Mediation sessions offer divorcing couples a way to civilly discuss the issues surrounding their separation, including property division, child custody, visitation and child support. The process allows couples to ultimately create their own divorce settlement, according to the Huffington Post. The sessions take place out of court and under the guidance of a third-party mediator. While the mediator is available to guide the couple through the process and answer any general questions that may come up, they are not able to give personalized legal advice regarding crucial divorce decisions.

What are the advantages of mediation?

The American Bar Association states that there are several advantages to choosing mediation over a traditional court divorce. They include:

  • The ability to customize a settlement. Since couples are able to personalize their settlement, they are able to make their own arrangements, free from the discretion of an appointed judge.
  • More affordable as the process is generally quicker and there are no courts costs.
  • Quicker to create a settlement. Many couples can file a settlement after just one or two mediation sessions.
  • Sessions take place in a relaxed and non-confrontational atmosphere. This often results in less stress and anxiety during the divorce process.
  • Couples are more likely to follow the terms of the divorce decree when they have had a personal hand in creating the settlement.

Couples often leave the marriage on better terms after going through the mediation process, while traditional court divorces may leave couples feeling bitter toward one another.

Is mediation for everyone?

Although mediation can be extremely helpful in some divorce situations, it is not for every couple. Mediation is a required precursor to a Georgia divorce; however, people who do not wish to cooperate with the creation of a divorce settlement or who are especially emotional throughout the divorce process, may be unable to settle through mediation. In order for mediation to work properly, both parties must agree to disclose all information regarding the divorce and help to make the best choices for everyone involved.

How an attorney can help

Whether you are considering mediation or any other form of separation, an established attorney in Georgia is an essential component of any divorce. A lawyer can offer personalized representation to ensure you get everything that you are entitled to during the divorce process. Rather than attempt to make these crucial decisions on your own, it may be best to partner with a knowledgeable attorney.

Call us at 678.324-8511;

E-mail us at info@lawrencelegal.law; or 

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Terminating Parental Rights, Legitimation, and Adoption

In Georgia, the Superior court does not have the authority to terminate a legal father’s parental rights and grant a biological father’s petition to legitimate a child as part of a divorce matter.  Only the Juvenile Court has jurisdiction to terminate parental rights.  The Superior Court has jurisdiction to terminate parental rights only as part of an adoption. 

 A DNA test confirmed that a man, not her husband, was the biological father of a married woman’s child!  Trust us, it happens more than you would think!  During the married couple’s divorce, the child’s father sought to intervene as a party to their divorce and petitioned to legitimate the child as his own.  The Superior Court terminated the husband’s rights as the legal father and granted the child’s father’s petition to legitimate the child, giving him primary physical custody of the child. 

In Georgia, the Superior Court has jurisdiction over legitimation matters concerning children who have been born out of wedlock.  The Juvenile Court has exclusive jurisdiction for all matters concerning termination of parental rights.   The one exception is in cases concerning adoption.  

The child in the case was born “in wedlock” and so was automatically the legal or “legitimate” child of the husband.  Opening the husband up to be on the hook for child support.  When the Superior Court granted the child’s biological father’s petition to legitimate the child it had to terminate the parental rights of the husband, making the child “illegitimate” for the purpose of granting the child’s biological father’s petition to legitimate.  

The problem is that while the Superior Court has jurisdiction over matters concerning legitimation, it only has the authority to terminate parental rights as part of an adoption.  Since this case involved a divorce and legitimation, and was not an adoption, the Superior Court did not have jurisdiction to terminate the parental rights of the husband.  Many make the mistake of the proper steps to take to solve their unique case, often resulting in denied petitions and considerable resources, wasted.  To discuss the particulars of your case, contact us.

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Divorce and Child Custody — Timing is Essential

If you have a divorce, custody case, modification, contempt or any other kind of family law case, you should be aware of the importance of time.  The time it takes your lawyer to file for you; the time you have to wait for a hearing and the time it takes to move your case along to a final resolution.

Why worry about time when you have so many other issues of concern?  Because time is money.  Every day your case is pending increases the likelihood you will be billed more in attorney’s fees.  So the longer your case lasts, the more you pay in attorney’s fees.  The faster your case is wrapped up, the less you pay in fees.  It’s real simple.

And don’t discount the peace of mind that comes with finishing up a case sooner rather than later.  Not only will you save money by moving your case along faster but you may save your sanity as well.  And that’s priceless.  

If you have a case that isn’t moving, stay on top of your lawyer.  Ask questions.  Demand answers.  And insist that the case progress to a final conclusion.

Call us at 678.324-8511;

E-mail us at info@lawrencelegal.law; or 

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