Question:
What happens to a divorce decree in Texas if one party files for bankruptcy before the decree is issued?
Answer:
If a party files for bankruptcy before a divorce decree is issued, the automatic bankruptcy stay can render parts of the decree void, particularly those concerning the division of marital property. In Adeleye v. Driscal, 544 S.W.3d 467 (Tex. App.—Houston [14th Dist.] 2018, no pet.), Adeleye filed for bankruptcy prior to the divorce proceedings. The court determined that the property division in the divorce decree violated the automatic stay and was therefore void. However, the court upheld the dissolution of the marriage itself, as the stay did not affect that portion of the decree.