Creditor's Rights Flashcards
Creditor’s Rights
Creditors follow management rights, therefore creditor may reach any property over which the debtor has the legal right of management and control
Property Liable for Debts- Debt Incurred Before Marriage
All CP plus debtor’s SP
Property Liable for Debts- Debt Incurred by One Spouse During Marriage
All CP plus debtor’s SP. Necessaries exception: when one spouse incurs a debt for “necessaries” after permanent separation, absent an agreement otherwise–> non-debtor spouse is personally liable for the debt
Encumbrances of CP
When a married person joins in an encumbrance of CP to secure a debt incurred by the person’s spouse, person’s SP is not liable for the debt unless the person also incurred the debt
Tort Liability
Person not liable for other spouse’s tort except in cases where she would be liable for them if the marriage did not exist. Order of Satisfaction for Tort Recoveries against one spouse: activity for benefit of community: CP first, then tortfeasor SP. Activity not for benefit of community: Tortfeasor SP first, followed by CP