A man fell into debt due to an act of fraud and as a result, he and his partner were required to sell their shared home.
The court rejected the spouse’s position and ruled that the presumption of partnership applies to this debt. The property of spouses is subject to the principle of partnership, which is based on the assumption that spouses share both rights and debts. The presumption that spouses must bear debts incurred during their life together can be contradicted when it comes to a debt of a distinctly personal nature, such as: expenses on separate property, expenses incurred in violation of the marriage contract, or a debt incurred as a result of a criminal offense by the spouse. Here, the spouse did not commit the alleged act of fraud but rather fell victim to an act of fraud directed at him, and therefore, the debt does not fall within the exceptions to the presumption of partnership, and the spouse is also liable for this debt.
Published in Legal Channel 433 19.02.2025 Afik & Co.https://he.afiklaw.com/
