#1 Rated Bankruptcy Lawyers in San Diego

California Bankruptcy Court Rules on Domestic Partnerships

Wedding ringsIn a recently decided case, the Bankruptcy Court for the Central District of California disallowed a joint petition for bankruptcy by a couple in a domestic partnership. In his ruling, the judge explained that a couple registered with the state as domestic partners are not spouses for purposes of the Bankruptcy Code.

The case, In re Villaverde, involved two women who registered as a domestic partnership under California law in 2004. They testified to the bankruptcy court that if same-sex marriage had been legal in 2004, they would have been married in lieu of registering as a domestic partnership. Of course California legalized same-sex marriages in 2013, after a court ruled that the state could not discriminate against same-sex couples, and then same-sex marriages were made lawful nationwide in 2015 after the U.S. Supreme Court’s landmark decision.

Despite these ruling on same-sex relationships, those who took advantage of state laws allowing for alternative living arrangements for same-sex couples were largely left out of the many court decisions. This is what the couple in this case found out after trying to file bankruptcy as spouses to take advantage of bankruptcy laws.

Filing Bankruptcy as a Couple

Section 302 of the Bankruptcy Code gives an individual and that individual’s spouse the right to file for bankruptcy. 11 U.S.C. § 302(a). It was this section of the bankruptcy code that the couple in this case tried to take advantage of before the trustee in the case moved the court to disregard their petition. The trustee argued that as a domestic couple the two women did not qualify as spouses under the terms of the bankruptcy code.

The court in this case took a sympathetic posture with the couple, but eventually ruled that there was no basis in the law for describing two people in a domestic partnership as spouses. In its ruling, the court went over the history of the bankruptcy code and same-sex married couples to reach its decision. That history includes different courts who have granted same-sex married couples eligibility under the code, including the SUpreme Court’s ruling that overturned the Defense of Marriage Act as unconstitutional.

Even after acknowledging the favorable decisions same-sex couples have recently enjoyed in federal courts, this court looked to the ordinary meaning of spouse to determine whether this couple should be treated as spouses under the bankruptcy code. The ordinary meaning as defined by dictionaries is a couple who have entered marriage, or a husband or wife. As a result, the court determined that this couple could not qualify as spouses under the bankruptcy code. But the court did note that the couple could get married now, and then be given the same benefits as any other married couple.

This case exemplifies just how much of bankruptcy law is determined by the decisions of judges. This is particularly true, as it was in this case, when the bankruptcy code does not clearly define a term, or when a particular situation has not arisen in the past. Each bankruptcy case is unique and requires the professional advice and counsel of a true California bankruptcy attorney. If you have questions about whether you should file a California bankruptcy, contact us. At The Bankruptcy Center we look at the facts of each case individually and give the advice and counsel that each case deserves.

See What Our Clients Have To Say

Yelp Review

Roger C.

I reached out to BLC to help assist with a chapter 7 business bankruptcy and they provided excellent guidance, advice, and support through the entire process. In my case an adversarial action was filed by one of the creditors and attorney Ahren Tiller and his staff provided sound ...arguments which prevailed. Couldn’t have found a more experienced and supportive team to represent me in a tricky situation. I would highly recommend them to anyone making the difficult but sometime necessary decision to find financial relief. Read more
Yelp Review

Justin R.

Like many others before and during the pandemic, life happenings caused me to be in a financial situation to warrant bankruptcy. The BLC was super professional all the way through the entire process. Right after I paid for my Bankruptcy, I got sick and had to have surgery and recovery. Then we ...were in full Pandemic mode. They were gracious to delay my filing until I was recovered and ready to file. I could not ask for more. The process was over all quick and painless for a simple Bankruptcy like mine. I feel a weight has been lifted and I can rebuild. Thank you for all your arduous work and patience, Gabriel, Ahren, and their teams are knowledgeable and efficient. Read more
Google Review

Katey Huntley

Responsive, friendly, kind, extremely easy to work with! So knowledgeable and made this entire process painless. Very grateful!

Google Review

Lynn Molina

Gabriel Hanna, Esq and the staff at BLC helped me in a very difficult time. I appreciate all the help and care they gave my case.

Google Review

Linda Cramer

I can’t say enough of how much this bankruptcy law firm helped me with my financial situation. They were all so helpful, efficient and made the difficult time and process as quick and easy as possible. I would recommend them to anyone I know and am glad to give my public recommendation as well. T...hey truly deserve a five star plus rating. Read more
Yelp Review

Andrea N.

I am very happy with my experience with BLC. Bankruptcy is not something anyone wants to go through, however everyone at BLC made my experience pleasant and easy. The process was explained thoroughly and I had an easy time reaching out and connecting with my attorney. Anika Renaud-Kim was my attorney ...and she was nothing short of amazing! She was very patient and generous with her time. Ms. Renaud-Kim definitely made me feel at ease and comfortable through the entire process. Read more
Facebook Review

Lidia Paramore

they did a great job for me, helped me anytime I needed something, my Lawyer Gabriel Hanna is the best, gave lots of confidence all the time..thanks BLC I will.always recommend you, I’m very grateful for your service!!!

Yelp Review

Rachael C.

When searching for information I had called a few different firms and received consults. BLC was the only one who didn’t shy away and provided answers and information during the consult. Once I agreed to move forward, they were supportive, informative, and eased my anxiety through the whole process.... I can’t recommend them enough. Read more
Google Review

Emily Martinez

AmazingI had many questions and uncertainties and the carefully explained it all and made it easy to understand. They facilitated a fast and easy process making this scary difficult thing simple

Ready To Eliminate Your Debt?

Bankruptcy is still the best option. Other debt plans make promises, but only bankruptcy delivers.

FREE CASE EVALUATION 

Logo

SAN DIEGO OFFICE

1230 Columbia St. #1100 San Diego, CA 92101

LOS ANGELES OFFICE

11500 Olympic Blvd., 4th Floor Los Angeles, CA 90064

VISTA OFFICE

380 South Melrose Drive #308 Vista, CA 92081
© 2023 Bankruptcy Attorneys. All Right Reserved.

Legal Disclaimer: The Bankruptcy Law Center is a California Licensed law firm with attorneys licensed in the state of CA, NY. Attorney Ahren Tiller is responsible for this advertisement. Bankruptcy Law Center’s principal office is located at 1230 Columbia st. Suite 850 San Diego, CA 92101. Prior results listed on this site do not depict or in any way infer a prediction or outcome.We are a debt relief agency proudly providing options to people with financial problems. View our Privacy Policy

© 2023 All Rights Reserved.