§6.02 Debts Incurred During Marriage and Before Separation

You must divide debts incurred by either spouse after the date of marriage but before the date of separation. They must be divided as set forth in FC §§2550–2552 and §§2601–2604. [FC §2622(a).] Those provisions require equal division with certain exceptions. [See §§1.02–1.05, §§2.03–2.05.] Both the separate property of the spouse who incurred the debt and the community estate may be liable for debts incurred during marriage. [FC §§910(a), 913(a).]

If community debts exceed total community and quasi-community assets, you must assign the excess debts as you deem just and equitable, taking into account factors such as the parties' relative ability to pay. [FC §2622(b).] These estates are sometimes called "upside down" or "negative" estates.