If a company you have been paying has filed bankruptcy and is no longer, then are you liable to pay them them?

This company filed bankruptcy, the couple who filed is now divorced, their company is no more, is this debt legally still owed under any law? Doesn’t this make the legal docs void?

This entry was posted on Thursday, October 16th, 2008 at 8:46 am and is filed under Bankruptcy Law. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.

5 Responses to “If a company you have been paying has filed bankruptcy and is no longer, then are you liable to pay them them?”

1. William Says:
   October 19th, 2008 at 12:34 pm

   You could still owe it. If the business filed bankruptcy they are required to list their assets and liabilities and you debt should have been shown as an asset. It all depends upon what was done with the assets of the company, where the sold to someone else or just lost with the closing.

2. Digger Says:
   October 22nd, 2008 at 10:04 pm

   This is more of a legal question, unless you’re talking about your mortgage company going out of business, in which case I know the answer.

   The mortgage loan will be bought by another finance company and you are still legally liable for the payments. Divorce has nothing to do with any of it.

   Sorry, but we’d all be living in free houses if that was the deal…

3. buyhawkeye.com Says:
   October 25th, 2008 at 5:51 pm

   Wishful thinking. The debt is still owed. It might be a bit more complex on how to pay off the debt, but it will not vanish into thin air. The company filed BK because they owed their creditors. The creditors are going to go after the company’s assets to reclaim some of the debt.

   Of course, this doesn’t take into consideration good old fashion human error. Your debt might be overlooked (but I wouldn’t count on that).

   Hope that helps.

4. punxy_girl Says:
   October 28th, 2008 at 4:53 am

   Although I am not legally qualified to answer this, I am guessing yes. They are still required to pay their bills –if only pennies on the dollar. That will be for the court to decide. If you do not pay your debt to them, you will still be considered delinquint and it will be held against your credit rating.

5. Roger S Says:
   October 31st, 2008 at 5:36 am

   no it doesnt . You owe the people who the company owed money to.