Am I Responsible For My Spouse's Debt in New York?

In New York, a spouse is not automatically liable for the other spouse's debt unless it was incurred for the benefit of the marriage or under the doctrine of necessaries.

The Doctrine of Necessaries in New York

The Doctrine of Necessaries in New York holds that a spouse is responsible for the other spouse's debts for essential goods and services, which are necessary for the health and well-being of the family unit. These debts may include medical expenses, food, clothing, shelter, and other basic necessities required to maintain a reasonable standard of living. When considering the application of the Doctrine of Necessaries, courts will look at several factors, including the purpose of the debt, which must be incurred for the purchase of essential goods or services necessary for the family's welfare, with luxury items or non-essential purchases generally not covered. The courts will also consider the ability to pay of both spouses, and if the debtor spouse is unable to pay for the necessary goods or services, the non-debtor spouse may be held responsible if they have the means to pay. Additionally, for the Doctrine of Necessaries to apply, the creditor must have relied on the non-debtor spouse's credit when extending the debt, taking into account their financial situation and ability to pay when agreeing to provide the necessary goods or services.

In New York, medical expenses are often considered necessaries under the Doctrine of Necessaries, including costs related to doctor visits, hospital stays, medications, and other medical treatments deemed essential for the health and well-being of either spouse. In some cases, legal fees may also be considered necessaries, particularly when the legal services are necessary to protect the family's interests or welfare, such as legal fees incurred for a spouse's defense in a criminal case or for the representation of a spouse in a child custody dispute. While written guarantees are not necessary for the Doctrine of Necessaries to apply, if a non-debtor spouse has signed a written guarantee agreeing to be responsible for the debtor spouse's necessary expenses, the non-debtor spouse must honor that agreement, even if they would not otherwise be liable under the Doctrine of Necessaries.

Creditor's Burden of Proof

To establish the creditor's burden of proof under the Doctrine of Necessaries, they must demonstrate that the debt was incurred for an essential good or service, such as medical expenses, including hospital bills, doctor visits, prescription medications, and emergency medical treatment. Other basic necessities like food, clothing, shelter, and utilities may also qualify. The creditor must show that the debtor spouse is unable to pay due to insufficient income, unemployment, disability, excessive debt, or bankruptcy. Additionally, the creditor must prove that they relied on the non-debtor spouse's credit by performing a credit check, considering their income, reviewing a joint credit application, or assessing their assets. Lastly, the creditor must establish that the non-debtor spouse has the ability to pay, as evidenced by sufficient income, substantial assets such as real estate, investments, or savings accounts, minimal debt obligations, and good credit standing.

The Doctrine of Necessaries is becoming increasingly relevant due to an aging population and rising healthcare costs. More seniors are facing medical debt in retirement, with insufficient savings and insurance coverage, leading to a greater reliance on Medicaid and Medicare. Economic instability and job insecurity have also contributed to the increased risk of unemployment and financial hardship, making it difficult for individuals to pay for necessary expenses and leading to a greater need for spousal support and shared liability. Changing family dynamics and gender roles, such as the rise in dual-income households, have led to a shared responsibility for household expenses and an equal partnership in marriage and family life.

Should you need advice on whether you can be held liable for your spouse's debt, you can call the Law Offices of Albert Goodwin at 212-233-1233 or send us an email at [[email protected].

We represent clients throughout the state of New York, including all five boroughs of New York City (Manhattan, Brooklyn, Queens, The Bronx, and Staten Island), Long Island, and Upstate New York.