Paralegal Advanced Competency Exam (PACE) Practice Exam

What challenge do arrearages for alimony or child support often present?

1. They can be easily discharged in bankruptcy

2. They cannot be retroactively canceled by courts

3. They are exempt from state laws

4. They automatically resolve after six months

The correct answer is: They cannot be retroactively canceled by courts

Arrearages for alimony or child support present a significant challenge particularly because they cannot be retroactively canceled by courts. This means that once a court has issued a support order, the obligor (the person required to pay) is legally obligated to fulfill that order, including any past due amounts that have accrued if payments were missed or not made in full. The court’s authority typically does not extend to canceling debts that have already come due, thus leaving the recipient with a legitimate claim for payment of those arrears. This principle ensures that the support intended for the beneficiary, whether a child or a former spouse, remains enforceable, providing ongoing financial support. The other options do not accurately reflect the realities of alimony and child support obligations. For example, while some debts can be discharged in bankruptcy, obligations related to child support and alimony are specifically excluded from this discharge in most cases. State laws do apply in this area, and arrearages are subject to those laws, further debunking the idea that they are exempt. Also, there is no automatic resolution of these obligations after a specific time frame, as they remain due until paid in full or modified by a court.