Wisconsin Lawyer
March 31, 2008
Obligations Arising from Credit Card Accounts
The Marital Property Act extends beyond the split of assets and liabilities at divorce. Failure to know the Act's remedies and protections may expose a divorce client to liability or prevent collection of a debt that otherwise would be paid.
Wisconsin Lawyer
Vol. 80, No. 11, November 2007
Figure 1
Obligations Arising from Credit Card Account to
Which Only One Spouse Is a Party
(Account Opened Before Determination Date) 12
Nature of obligation
|
All marital property available to satisfy? |
Incurring spouse’s interest in marital property available to satisfy? |
Nonincurring spouse’s interest in marital property available to satisfy? |
Incurring spouse’s other property available to satisfy?
|
Nonincurring spouse’s other property available to satisfy? |
Obligation incurred on or after Jan. 1, 1986, on account opened before Jan. 1, 1986 (Wis. Stat. § 766.555(2)13 |
Only with proper notice14 |
Yes |
No |
Yes |
No |
Nonfamily-purpose obligation incurred by a spouse after determination date (Wis. Stat. § 766.555(3)(b))15 |
No |
Yes |
No |
Yes |
No |
Family-purpose16 obligation incurred after determination date (Wis. Stat. § 766.555(3)(c)) |
Yes |
Yes |
Yes |
Yes |
No |
Figure 2
Obligations Arising from Credit Card Plans to
Which Both Spouses are Parties
(Account Opened After Determination Date) 12
Nature of obligation
|
All marital property available to satisfy? |
Incurring spouse’s interest in marital property available to satisfy? |
Nonincurring spouse’s interest in marital property available to satisfy? |
Incurring spouse’s other property available to satisfy?
|
Nonincurring spouse’s other property available to satisfy? |
Spouse’s obligation to satisfy duty of support to other spouse or child of marriage (Wis. Stat. § 766.55(2)(a)) |
Yes |
Yes |
Yes |
Yes |
No |
Family purpose obligation, generally (Wis. Stat. § 766.55)(2)(b)) |
Yes |
Yes |
Yes |
Yes |
No |
Obligations incurred during marriage attributable to obligation arising before marriage (Wis. Stat. § 766.555(2)(c)) |
No |
Yes (provided it would have been the spouse’s property except for the marriage) |
No |
No |
Yes |
Tort obligations
|
No |
Yes |
No |
Yes |
No |
Other obligations not falling into preceding categories
|
No |
Only after exhausting other property of incurring spouse |
No |
Yes |
No |
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