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I am in the final stages of divorce. My ex & I recently accepted a binder to sell house. At the closing, one of the debts ..

Staten Island, NY |

One of the debts is mortgage. The last mortgage was a refinancing, my ex used this loan to satisfy his debts and in short, he ruined my credit, etc. I just read through the borrowers copy of the Mortgage. The loan is in his name. In the section entitled "Consolidation, Extension and Modification Agreement (Form 3172 1/01 (rev. 5/01) I am listed as one of the borrowers in paragraph VIII Obligation of Borrowers ..it states that anyone who signs the agreement as Borrower is fully and personally obligated to keep all promises, etc...On page 4, it reads as follows: By signing this agreemt, Lender & I agree to all of the above. NOTWITHSTANDING paragraph VIII Lender acknowledges that (my name) will not be personally liable for repymt...is this an "out" for my paying half of debt ?

I am on the title and the deed as joint owner. Previous mortgages were in both names but after ruining my credit, he took this refinancing loan in his name. As I have a security interest in this property I was required to sign however, it his his obligation. After being robbed of so much money in this divorce/marriage, I reread the loan and remembered the loan officer's statement that this actually relieves me of the financial responsibility. Is this valid to support my claim to pay the loan at closing from his half?

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Attorney answers 3

Posted

You should take all the documents and show them to your divorce attonrey and discuss the matter. This is an equitable distribution issue and you may be owed compensation for this.

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Asker

Posted

This is exactly what I intend to do. All of the lawyers have been extremely helpful. Your answer cuts to the meat and potatoes of this case. I can't make a huge fuss at signing of contract and closing. I do not want my monies held in escrow. I will present my discoveries and state my claim for an equitable distribution of assets this week. I will listen to what she has to offer in terms of adjusting the disparity as well as the new discoveries of fraud, forgery etc. Given the strong evidence I have in my possession - I will not disclose all my findings because I have trust issues at this point. I will supply her enough that merit an immediate response. Since the Final Judgement has been held up because of the recent incident involving an O of P as well as mail theft, based on her response, she can agree to advocate for a more equitabke distribution or maintain the present settlement, either way i will keep silent , sell the house, get access to my money and afterwards take this matter to an attorney who will advocate in my behalf. I need to get some money at this point so I will retreat and regroup. Thank you.

Lawrence Allen Weinreich

Lawrence Allen Weinreich

Posted

Just a word of caution, if you do not raise the issues BEFORE the judgment of divorce is signed you will probably be foreclosed thereafter. You should discuss all your evidence and what to do with your attorney and if you don't have one consult with one immediately. You are welcome.

Asker

Posted

Thank you. The Judge has not issued a Final Judgement. The sale of our home is an all cash sale - binders signed and escrow deposit received by attorney. The contract will be signed this week. Closing will take place approximately two to three week afterwards. The lawyer handling the real estate is actually my divorce attorney who will be representing both parties. She is anxious to get paid. The Final is being held up by the new Order of Protection issued a few weeks ago. Even if a Final Judgement is issued, doesn't the discovery of financial misconduct merit reopening the case? I have trust issues with my attorney if you read my previous comments and I do plan to discuss the findings with her however, she may not do anything to rectify the situation. This is why I am between a rock and a hard place. Only recently has she acknowledged that this man is truly a creep, he was busted in a series of lies, I'm hoping she may act on my evidence. Otherwise, I have no choice but to sell, get monies and hire an attorney before the Final is issued. Thank you so much. >

Lawrence Allen Weinreich

Lawrence Allen Weinreich

Posted

The problem with your argument is that you made the discovery BEFORE the judgment was signed not after. Therefore you have to take care of it before the judgment is signed, It is a technicality but one you probably won't be able to overcome later so you need to make a choice. Good luck.

Posted

Without seeing the entire document and being able to ready it, no one on this site could possibly tell you what that provision means. If you are closing on the property, the lenders attorney is not going to deal with the issue of what you believe should come out of his share of the proceeds or yours. Do you both have real estate attorneys for the closing? Are you using the same attorney? If you are in the final stages of a divorce and your house is being sold, why hasn't your attorney dealt with this issue in the context of the divorce proceeding? Your best bet, is to have all proceeds held in escrow pending a determination as to how they will be divided between the two of you. Do not wait until you get to the closing table as purchaser and their lender have no interest in the battle between you and your spouse. All those issues should be resolved in advance of the closing.

Asker

Posted

I have read through the documents. We are using the same lawyer for closing and signing the contract next week. However, the settlement stip lists marital debts - mostly his credit cards, the only mention of our marital residence states that the mortgage must be satisfied by the borrower. I am not a borrower, I am co-tenant and nowhere am I listed as a borrower. He has refinanced a few times and I recently due I reed an equity source line if credit which lists a name similar to mine but definitely not mine and it was never signed by me. You make a good point, the attorney is not aware if the actual mortgage contract-I have the borrowers copy and information she has only lists the amount owed. I just emailed her my discovery. The document very clearly removes me from financial responsibility. I followed your advice and gave lawyer heads up. FYI, many documents were hidden in our home. He has not been in our home since 9/2010 due to arrest and Order of Protection. Obviously, it would be unwise to squabble over this matter at closing. My honest opinion is he forgot that he signed a waiver excluding me from any financial responsibility.

Maria C. Tebano

Maria C. Tebano

Posted

The loan and mortgage documents are not the controlling documents. What is controlling is how the assets and debts of the marriage and/or the two of you individually have been resolved in the divorce action. Glad you reached out to your attorney.

Asker

Posted

Thank you for your advice. I did check the divorce document, it lists our marital debts - does not include mortgage. Mortgage is addressed in a separate section as our asset. It mentions the borrower needs to settle the loan - not jointly. And assets from sale to be split after all debts are settled. Since the divorce document reads borrower (which I stayed earlier does not name as such). It beck re his debt. I am not trying to get rich off this sale, however I have lost a great deal of my investment in our home. My inheritance money was used to pay for renovation of home which I was not able to recoup. He has forged my name on documents and I suffered a great deal of abuse including his sabotage efforts that cost me my job. There is more....I know that divorces are not always fair but in order to bro g closure it is necessary to let some things go. In the case of the refinancing loan, he signed the papers relieving me of financial responsibility and I became a joint tenant - I believe my lawyer should support this issue. But thank you for your valuable insight.

Asker

Posted

I hate the spell check feature on iPhone lol.

Maria C. Tebano

Maria C. Tebano

Posted

And so do I. Definitely make sure that your attorney handles it before the closing so you are not stuck trying to figure it out at the closing table.

Asker

Posted

Many thanks I will follow your advice.

Maria C. Tebano

Maria C. Tebano

Posted

Your welcome. Good luck

Posted

This is not really a real estate/mortgage issue but equitable distribution in your divorce action. Anything acquired during the course of a marriage, both assets and debt, regardless of whose name they are in, are presumed to be marital and subject to equitable distribution. Thus, regardless of your obligation to the lender, if the debt was acquired during the marraige, there is a presumption that it is marital and should be shared. You say that the mortgage was used to pay off "his" debts, but if these were debts in his name but acquired during the marriage, in all likelihood those debts too are marital and subject to equitable distribution. Without more information it is impossible to give a better answer. However it is something you should definitely discuss with your divorce attorney and may be a point for negotiation. If the two of you can't agree on this issue at the time of closing, it is likely that the proceeds of the sale will be held in escrow by your or his attorney until you can agree.

Asker

Posted

I understand. However, recent discoveries have unfolded a series of loans and debts that were hidden from me. In fact some were forwarded to his job. One of the items discovered in the loan I mentioned in original question, the money was used to pay off an equity line of credit loan. The loan as per the lenders terms required my presence and signature. I was quite surprised that the name was on document was not mine - it was my middle name which I never use and not signed by me. I have discovered recent forgeries and more, this line if credit was out into the loan I mentioned in original comment. A waiver was signed releasing me from financial obligation. Additional the settlement stip does not mention it as a marital debt. It is a marital asset with a loan in the amt of .... To be paid by borrower. I have had my mail absconded by this man recently and my lawyer is finally on to his devious and dishonest accounting of his finances. In fact I discovered recently by accident that he has not paid the mortgage for six months and would be in foreclosure on feb 6, 2013. He lied to all parties involved about many issues that have been a source of contention throughout the divorce. In fact I am prepared to file an order to show cause because at the final hearing I signed under duress. I had spent the entire evening in the ER, diagnosed with shingles, sleep deprived and injected with pain meds (narcotics) bi tried to get an ajournment but I was pressured to stay. I actually perjured myself to the judge when asked if I was under the influence if drugs or alcohol. I had asked for minutes but did not receive them until Final Judgement papers were sent to me. I did not have any memory of the Q & A. Moreover, my lawyer is aware of my intent and my husband was recently issued another O of P. all if this happened in the last two weeks. I was frightened, my lawyer was sick of the case and until recently, believed I was overly emotional and dramatised events. He is an alcoholic who has a job - I was married for 27 years and lost everything. It's hard to justify my position except that I was so beaten down. He used up all my money and I am overly trusting - especially of lawyers. It is only now that the attorney actually understands and sees first hand his cruel and deceotive a man he has become and is going to meet with me this week. I do not want to open up a can of worms but I was compromised. I am hoping for her support of my findings and other than that I am not sure how to proceed. I raised his three children including an autistic son of 19 years and tolerated more than I should have. I discovered that abused women have no rights despite the rhetoric shoved down my throat giving false hope for justice to be served. He had the money, I had the scars. It's all about who can pay for a great lawyer. Best part is he is FDNY. His fees are partially covered. I paid close to 40k and lost everything. So much for justice. I even lost my medical benefits which as a firefighters wife of 27 years of which 22 years he was on the force. Now I am jobless, no benefits and 55 years of age. This does not seem fair.

Asker

Posted

How do I go forward? I am not looking for an opportunity to become rich. I have had my eyes opened in terms of trying to seek a resettlement. It is not encouraged and in all honesty my attorney should have acted in my defense and protected me from perjury. As I mentioned earlier, the last three weeks have validated my issues. But this is post the final settlement hearing. The judges final Order has not been issued - I believe this may be due to his recent behaviours which I reported and submitted an Order to show cause for O of P pro se. The judge did issue an O of P based on the police report and witness statements. This was a month ago. I was asked to drop charges by lawyer but refused. Since then his behaviours have been so devious, cruel and dishonest - he was finally busted and the lawyer can see my point. What I'm not sure of is if this supports my findings and gives a just cause to resettle??? Is the money spent to pursue this worth it?

Susan Jo Civic

Susan Jo Civic

Posted

From what you are saying it sounds like you went to trial and the Judge is about to render a decision. Getting anything changed at this point will be difficult. If he has loans he didn't disclose, I wouldn't worry about that - it is actually good for you in tha it was never put into evidence so t he can't ask you to share the debt. I can't say if it's worth it to spend more money to pursue it - that is a question best answered by your attorney because he/she is already familiar with every aspect of the case. As much as it hurts now, sometimes it's better to just move on knowing that you are better off without him.

Asker

Posted

There was no trial. My original lawyer had filed this a toon to go to trial. Basically he used up a sizeable retainer and abandoned me. My current lawyer took on the case and advised that it would be best to settle and promised to recoup monies I had a legitimate claim to recoup. What I experienced after agreeing to resettle was a string of questionable decisions and unfulfilled promises. I would go to office to supply documentation requested and it was not accepted - in short, she took the case on as a favour - with no retainer fee but I was constantly reminded if this "favour." Sadly, I am going to be paying her a huge chunk of my house sale monies. She was in over her head - constantly threatened to quit and would supply me contradicting information from week to week. It sucks to be poor. I was forced into a settlement which was discussed and prior to last hearing, my changes were in print. At the final hearing I went to court, in agonising pain, in pain meds, as I explained earlier. My illness was ignored. The settlement stipulation shoved in my face outside of chambers was not the document discussed and agreed upon. Basically, she wanted it over and done with and I had no money, my husband was in contempt of preliminary orders Pendete lite maintenance bills were not paid, etc. as I said I ended up unwittingly perjuring myself in court. In the recent past weeks other discoveries led to my lawyers realisation that he was the creep, dishonest abusive drunk that I had maintained all along. He can clean up nicely and his lawyer aggressively advocated for him. I felt that my lawyer was intimidated. In short, I was never represented properly - it should have gone to trial but I knew that would be expensive and difficult for the children and at this point there are so many injustices and new discoveries if his cover up attempts to conceal documents that will cripple my future financial security. Although I do get half his pension, I would have gotten that without spending $40k for poor representation. It seems to me that justice is not to be expected in court. This man was arrested three times!! ???? I don't get it.

Asker

Posted

I hate the spell check feature on iPhones lol

Asker

Posted

Btw thank you for indulging my questions. Your comments are honest and appreciated. This was a very complicated case and it's difficult to condense the information in this forum. But thank you for taking the time to offer your advice.

Susan Jo Civic

Susan Jo Civic

Posted

You're welcome.

Asker

Posted

As you can surmise the details in my case are overwhelming. My biggest problem is that I do not think like a criminal. I never cheated on a test. When I explain to people that he took out a credit card - I never knew about - put me on account. I never used the account and he maxed it out to $25K. I am told "oh my God, you didn't know this....people do this all the time in a divorce!"! I guess I'm the stupid one. I spent my life teaching my children about integrity and to choose your words carefully, do be the best they could be .... And cheating was never a topic because it was never practiced. That was a major no-no. As a mother to have all the years teaching my children ethics, moral code, lessons on accountabity, honor and commitment - be true to your word, it amazes me that in the background I was being robbed, etc. my children are exceptionally talented and emote goodness. My daughter is on a full scholarship to NYU Gallatin School of indep study and in Berlin at the moment. My youngest full scholarship at State University ESF AT Syracuse. My middle boy autistic is in the best program for his disability and is a great kid. How could a man stab me in the back after giving him children that shine. I think I need to go to theraphy but after all that work - I never lied, I always told the truth. I wouldn't know how to destroy a person financially or emotionally. Where do you learn this crap?

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