Prior to our marriage, my husband purchased a home with his parents, each sharing 50% of the purchase. While it was verbally understood between them that this was a loan, there are no legal documents or written contracts regarding this loan. Three years into this arrangement we married.
Recently we sold the home to purchase a new home. Some of the money was used to repay his parents. They did agree to help us with the down payment of the new home (around $40,000) but there is still issue of repayment for the initial loan prior to the marriage (around $100,000 remaining). In addition, his parents want their names on the deed of the house.
All of a sudden there is talk of "if there is a divorce" and how this loan would be repaid. There was mention of me signing a document stating I would agree to repayment of 50% of the remaining $100,000 loan to his parents in the event of a divorce. This completely caught me off guard and I have signed nothing. I am an unemployed homemaker and I want to be sure of my rights.
If no contracts were signed between myself and his parents, would I legally be responsible for my husband's debt to his parents? I understand being responsible for the down payment/debt incurred during the marriage but would I be financially responsible for the initial loan incurred 3 years prior to the marriage in the event of a divorce? And, how do I protect myself from his parents over involvement in our finances? What documents should there be to protect myself in a divorce?
Thank you in advance!
M. Simas
Recently we sold the home to purchase a new home. Some of the money was used to repay his parents. They did agree to help us with the down payment of the new home (around $40,000) but there is still issue of repayment for the initial loan prior to the marriage (around $100,000 remaining). In addition, his parents want their names on the deed of the house.
All of a sudden there is talk of "if there is a divorce" and how this loan would be repaid. There was mention of me signing a document stating I would agree to repayment of 50% of the remaining $100,000 loan to his parents in the event of a divorce. This completely caught me off guard and I have signed nothing. I am an unemployed homemaker and I want to be sure of my rights.
If no contracts were signed between myself and his parents, would I legally be responsible for my husband's debt to his parents? I understand being responsible for the down payment/debt incurred during the marriage but would I be financially responsible for the initial loan incurred 3 years prior to the marriage in the event of a divorce? And, how do I protect myself from his parents over involvement in our finances? What documents should there be to protect myself in a divorce?
Thank you in advance!
M. Simas
