Re different laws in different states ---
In my state, a spouse is not liable for the debts of the other spouse (except for funeral expenses), not even medical expenses.
It used to be that a husband was liable for his wife's debt attributable to necessities, but not vice versa. The state supreme court held it was discriminatory and threw the statute out.
"Your example is saying that I can get all of the debt I want using my assets which are jointly held with rights and my heir does not have to worry about those debts when I die.
I respectfully submit that you are wrong."
Perhaps in your state, but I have been involved in hundreds of estates and routinely screw credit card companies, hospitals, doctors, etc. I currently have an estate where the lady had $63,000 in credit card debt, and they will be lucky to get a nickel on the dollar, even though she had about $260,000 in assets at her death.
Jointly-held property becomes the property of the surviving joint tenant at the moment of death, and is not subject to debts not reduced to judgment and perfected. Also, I live in an unlimited homestead state. |
