Another Potential Problem, Need Feedback

[danaf]

My husband & his mother have a joint account together in the amount of 40k in case of an emergency (ie. her getting sick or something). I believe it is with an investment company, not a bank.

If I file and he doesn't - would this account that they have come into question? He currently does not work. And this account is really her money, not his but I'm not sure that matters.

[NoName]

That is a very good question. By law, since his name is on the account, he is entitled to 1/2 of the value of the account. Although, since you are filing solo, I don't know what the implications of that would be on his assets.

[HHM]

Are you in a community property state?

[danaf]

unfortunately yes BUT that setup my husband and his mother has was done before we got married.

[spell]

Declare an emergency and use some of those funds to hire the best BK lawyer around.

Your husband owns half the account because of how it's set up. Probably, check the details anyhow.
In a community property state, you own half your husband's stuff, it could be argued.
You're getting into non-comingling funds which could be a valid counter arguement. But it could turn in to a legal duel. Don't go to a duel without a gunfighter at your side.

[danaf]

I disagree. In a community property state, what you owned before you got married is not community property. The only way this would change is if I contributed to their account or my husband used some of that money for our living expenses.

I'm not going to worry about this too much. After asking around, I think this could be argued & won if ever it became an issue.

[HHM]

The issue is when the money was deposited.

You said the account was set up before you were married, but has there been any substantial deposits into the account since you were married? If yes, then "possibly" the trustee could take some of that money (i.e. 1/2 of your husbands share). But I think your suspicion is correct, this issue is probably not going to cause any problems.