The Dischargeability of Divorce Obligations under the Bankruptcy Code: Five Faulty Premises in the Application of Section 523(a)(5)

Section 523(a) of the Bankruptcy Code sets out certain exceptions to the Code's general policy of allowing a debtor to discharge obligations which arose prior to the filing of the debtor's bankruptcy petition.Among the exceptions to discharge found in this part of the Code is section 523(a)(5) which provides that alimony, maintenance, or support obligations owed to a spouse, former spouse, or child of the debtor cannot be discharged in the bankruptcy proceeding.This Article challenges the validity of a number of principles frequently relied on by courts in determining whether a particular divorce obligation qualifles for the section 523(a)(5) exception to discharge.The author suggests an approach which analyzes the divorce obligation in relation to the needs and incomes of both the debtor and the nondebtor spouse as they exist at the time of the section 523(a)(5) trial. ONE OF THE PRIMARY purposes of the Bankruptcy Code' isto give honest debtors a fresh economic start.'To facilitate that goal, most obligations which arose prior to the filing of a debtor's bankruptcy petition are discharged in the bankruptcy.3