I got divorced in 2011 and my ex and I put our condo up for sale. After 10 months it still hadn't sold, so I paid her $3500 and moved back in the condo. She also signed the Quit Claim Deed. Our divorce decree states the property was awarded to me, but doesn't state that I have to refinance or anything, although she says I only have 2 years.
I have made all payments, however ended up filing BK last month. I am not reaffirming the loan but I am living there and paying all bills (not sure if this matters).
I can't refinance due to my credit. Can she take me back to court to force me to sell or give the condo back to her even though I'm paying on time? I can prove that it didn't sell in the 10 months and she no longer has ownership because of signing the deed, so I'm confused. Thanks
The judge awarded the property to me in the divorce decree and it states only that she is held harmless. She then signed the Quit Claim deed without me refinancing.
However, her name is still on the mortgage and she is claiming that I only have 2 years but it doesn't state that in the decree. So I'm not sure if she can take me back to court at the 2 year mark and have the judge force me to deed the home to her or sell it since I can't refinance right now.
Your question is not confusing to me.
The judgment says you get the house, make the payments, and hold her harmless, and that she is to sign a deed. There is no refinance language. If this is all correct, then there is nothing for you to do but continue to make the mortgage payments.
She may file a motion to ask that you be ordered to refinance. The court does not have the power to do that because it is more than 30 days after the judgment was entered (see 750 ilcs 5/510).
If the judgment says the house is to be sold, then it had best be listed and sold. If you want to keep it, the judge cannot order that now as it is more than 30 days since the judgment.
If you go back on this loan, and the loan company comes after her, you owe her the amount she has to pay the loan company. That is what “hold harmless” means.
So, you probably do not need to refinance but your bankruptcy does not save you from the hold harmless. Did you list her as a creditor in the bankruptcy filing? She is and you should.
It’s probably best for you to take your papers to a lawyer for advice. Maybe your bankruptcy lawyer does not know enough about divorce to help you. I would suggest that you go see a divorce lawyer.
I am a little confused by your question as you state the property was given to you. If there was an award to you of the property and the deed as been transferred where are you getting she still has a claim.
I suggest you speak to your divorce attorney to discuss the terms of your agreement as you seem to not understand it.
Your question is confusing. You state that you were awarded the condo but that there was no requirement to refinance and that you are unable to do that at this time. As a result, the property is yours, and your ex was correct in executing a Quit Claim Deed.
Although she has no claim to the asset, she is still held liable on the mortgage and will continue to be liable because there was no requirement that you refinance. The hold harmless language provides that in the event you fail to make your payments or do something else that negatively affects your ex, you will protect her and she can come back to court to make you pay whatever she has lost.
It is somewhat unusual not to require refinancing, or at least to make efforts to refinance, but if what you say is true, then you are not required to do so. There is no 2-year requirement to sell unless that is provided in your Judgment for Dissolution of Marriage.
You need to consult with your original attorney or speak to another lawyer to review the terms and conditions of your Judgment and to see if there are any other steps you could take to reduce your ex's risk, even though you may not be required to do so. While she remains on your mortgage, she probably cannot purchase anything for herself.
