What to do if a married couplee owns 2 vehicles and the husband decides to file for bankruptcy but the wife does not?
Question Details: They decide to separate. The husband agrees to sell one of the cars to the wife. Would the court attempt to negate the sale of the vehicle to the wife? Or, if the wife paid the husband for the car and took title of the car, could the court seize the vehicle? If so, would there be any legal recourse whereby the wife could regain possession of the car?
I need a little more information about your case, so I'm going to have to make a few assumptions. Assuming your husband is in a chapter 13 bankruptcy and he didn't 'cram down' the payments on the car (i.e. the car payments were lowered by the bankruptcy) and/or you don't owe anything else on the car. In that case, you can transfer title of the vehicle. If the car is community property I don't see any reason that you can't 'buy' it from him as part of your divorce settlement. You will still need to inform the Trustee of the transfer because technically the car is a part of the bankruptcy estate.