Because there are so many variations in state law, there is no such thing as a “generic” secured Promissory Note for a vehicle.
A promissory note is a negotiable instrument that represents the promise of someone to pay.
Most likely, yes, there would be an obligation to pay a Promissory Note upon the refinancing of a home formerly owned by a divorced couple.
But the terms of the promissory note itself (and perhaps even the Divorce decree) must be closely examined to ensure that the obligation to pay is still legally binding.
Generally, an unsecured promissory note (i.e. a promissory note not secured by a mortgage or a lien on the property) will not reduce a party’s obligation to pay support (or otherwise alter the marital property division) in a Divorce action.
A Divorce Agreement and divorce order does not change or alter the terms of a Promissory Note, per se.
Ask Standard Legal cannot act as a court nor provide a legal interpretation of any document, especially without a thorough review. However, if a Promissory Note was signed by the Maker and some consideration was provided for the note (e.g. there was a loan or other indebtedness), then the Note may be enforceable as written.
Standard Legal offers Promissory Notes with Personal Guarantees and Third Party Guarantees, but not ‘secured notes’.
A Last Will & Testament may contain language that forgives indebtedness owed to the decedent by a third party, even if the indebtedness is confirmed through a written Promissory Note.
But if the holder of the Promissory Note is not a beneficiary of the assets of the estate, another solution is used.
Verbal contracts can be as valid as written ones, including verbal contracts made for loans.
When a friend or family member borrows money, many times that person will confirm their intent to repay the loan through an email or letter. And while such a confirmation helps solidify the existence of the loan, it is far and away a poor substitute for a legal and valid Promissory Note.