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Shanghai man's divorce attempt to evade compensation foiled by court

By Xu Zhesheng | chinadaily.com.cn | Updated: 2023-08-10 22:18
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A man's attempt to exploit a divorce as a means to evade compensation has been thwarted by the Shanghai's Songjiang District People's Court.

The court ruled to nullify the property division clause in the man's divorce agreement, reaffirming the importance of upholding financial obligations.

The man, identified by his surname Zhou, found himself facing a 200,000 yuan ($28,000) compensation payment following a collision that caused injury to his neighbor surnamed Chen. Following a trial, the local court mandated Zhou to provide this financial reparation to Chen.

However, the execution of the compensation judgment revealed that Zhou lacked sufficient assets to meet his financial obligations. An investigation by the Songjiang court uncovered that Zhou and his wife, surnamed Tian, had filed for divorce shortly after the compensation verdict.

The divorce agreement between Zhou and Tian included a clause that allocated ownership of their two houses to Tian, while simultaneously burdening Zhou with all the debts associated with the properties.

Recognizing Zhou's actions as an attempt to shirk accountability, the Songjiang court concluded that his divorce maneuver had impeded Chen's rights as a creditor. Consequently, the court rescinded the pertinent article within the divorce agreement.

In addition to revoking the property division clause, the court ordered Zhou to cover attorneys' fees and other expenses related to the legal proceedings. Zhou complied with these obligations, settling all necessary dues.

The court took the opportunity to caution the public against employing divorce as a deceptive tactic to avoid financial liabilities.

Emphasizing that such actions not only undermine the sanctity of marriage but also prove ineffective in evading debt, the court reiterated that "fake divorces" hold no legal merit. Even in cases where the property division clause of a divorce agreement is invalidated, the legal implications of other clauses concerning marriage termination and child custody remain unaffected.

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