INOR wrote:That’s the whole hazard of being married though fellas. We have no idea what her husband does or what they have for combined marital assets. She (they) may still end up being sued. Why do you think Chauvin’s wife “divorced” him so quickly?
That's true, and I'm sure (provided they just don't want a civil verdict against her to make a point), the family's lawyer is looking into all of that.
Obviously IANAL, but there are a lot of misconceptions about debt and liability. I think this comes from the fact that every state has its own collection laws and exemptions. For instance, you can't garnish wages for consumer/civil debt in Texas. Here in MN, like many other states, you can take up to 25% (more for child support arrears, but that's a different story). Our neighboring state of Wisconsin is one of a handful of "community property" states, which really changes things as well.
Here in MN, one is not liable for the debts of one's spouse, even if the debt was incurred during marriage. That said, a creditor with a judgment can go after any non-exempt assets jointly owned, but they cannot attach assets that are only in the name of the non-debtor spouse. Mr. Potter could have a garage full of collector cars and, as long as they're in just his name and have been that way for a significant period of time, someone with a judgment against Kim Potter can't touch them. If Kim transfers a bunch of her property into her husband's name, those transfers can be undone by the court should a judgment creditor discover them and petition for relief (fraudulent conveyance).
Minnesota also has a reasonable homestead exemption, despite being a pretty creditor-friendly state in general. It's indexed, so I believe the current exemption amount is nearing $500k. That means if she owns a home and it's declared her homestead, nearly half a million of equity is exempt. There are a bunch of strategies one can take to frustrate creditors. Keep in mind that civil judgments are only good for 10 years in MN before they expire and are, for all intents and purposes, worthless. They can be renewed indefinitely, but in order to do so you need to serve the debtor and begin a new lawsuit before that 10 year period expires.
Working in collections is interesting, but I would not recommend it. The several months I spent were miserable.