Legal Question in Credit and Debt Law in California

Re: Promissory Note

You need to review your promissory note with your family law attorney (I'm assuming that is who prepared it for you). You should also have a deed of trust securing your promissory note. The Deed of Trust and/or Promissory Note should contain a clause that allows you to advance funds to protect your collateral. If it does, you can legally advance the funds necessary to avoid loss of the home in foreclosure, and then add that to what he owes you.

Alternatively, the promissory note may be enforceable regardless of whether your husband still owns the home or not. If it is for a specific value, then he is probably liable to pay it regardless of the home's value today, or if he even still owns it. The reality of the situation is that (I'm guessing) if he loses the home, or even if he does not and there isn't enough equity in the home come 2012, he probably isn't going to repay you. You need to review this with a family law or real estate attorney right away. Without reviewing the actual documents, its impossible to advise you what to do.

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