Will a legal separation shield you from joint marital debts?

On behalf of Bebout, Potere, Cox & Bennion, P.C. posted in divorce on Tuesday, May 30, 2017.

A recent article illustrates that, for many readers, confusion may still exist over the distinctions between legal separation and divorce. Under Michigan law, the two events are separate procedures.

Specifically, a legal action called separate maintenance allows a married couple to formally divide their marital property, joint debts, and determine issues of spousal and/or child support and parenting time. Although this process is similar to a divorce, there are important distinctions.

Depending on the context, an order for separate maintenance does not necessarily provide a buffer to the marital estate. Said another way, a couple technically remains married after the action, which may give rise to inconsistent interpretations.

For example, if a spouse were to incur additional debt, a creditor may regard that debt as the joint liability of both spouses. On the other hand, a health insurance provider may regard the procedure as a life event warranting the termination of coverage. If a spouse enters into a new relationship and has children, the law still regards the other spouse as the legal parent.

Both parties must also agree to an action for separate maintenance. For example, a spouse who is served with a complaint for separate maintenance might counterclaim for divorce. In that event, the court might convert the separate maintenance action into a divorce proceeding.

There may be reasons for pursuing a legal separation, such as religious views or the hope of reconciling at a later date. Our Michigan family law firm can help you weigh the options and determine which legal course will best suit your needs.

Call the Experts Today to Discuss Your Situation and Get Answers. (248) 651-4114