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Are you safe from creditors if you buy the assets of someone in bankruptcy without knowing they are bankrupt?
Wiki User
∙ 14y ago
No, you are not. When someone files bankruptcy the title to their property is held by the trustee in bankruptcy. The bankrupt cannot sell any property therefore, if they do, the title is not clear. You may lose the property to the creditors if someone tracks it down. You would then be out of the property and any money you paid for it.
Wiki User
∙ 14y ago
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How does society pay for bankruptcy?
When someone goes bankrupt, after all their stuff is sold off the leftover debt is removed from their creditors. In order to make up this lost money, the creditors then have to raise the prices of their goods and services that they provide to everyone else, because if they do not then the company would quickly go out of business.
How can you stop someone from knowing if you filed bankruptcy?
You cannot.
What is the meaning of debtor's petition for bankruptcy?
It is the term for the formal documents and justification given for someone asking the Court to provide protection from creditors under the bankruptcy laws.
Is the petitioner in an involuntary bankruptcy entitled to future sums coming from lawsuits initiated by debtor?
if YOU are the petitioner...how would WE know the answer? If your NOT...how would anyone else know the answer to a question about them? If a bankrupt has a potential asset, as in a payment from a lawsuit, then they must list it as such and it may be considered as something to pay creditors...if someone wants it.
Why does an employer ask whether your are bondable have traffic violations or have been bankrupt after you have filled out an application and have been hired?
Bondable - He wants to know if you can be trusted to deliver money or valuables. Traffic violations - He wants to know if you can be trusted driving a company vehicle. Bankrupt - I don't think he is normally allowed to ask this. But it might be a condition of bondability. It might also be that someone is trying to garnish your wages illegally. If you have declared bankruptcy, that attempt is illegal if the bankruptcy discharged the debt. This is a scam unscrupulous creditors often try.
What happens to someone in a personal bankruptcy?
It depends on whether or not you qualify for Chapter 7 or Chapter 13. For Chapter 13, you will slowly have to pay your creditors back over time. For Chapter 7, you have to assign a value to everything that you own. The creditors will then determine whether or not these items will be included in the bankruptcy in a hearing.
Is it recorded in the local paper when someone files bankruptcy?
Many local papers run Bankruptcy sections in their Sunday editions. This is a service they offer to prospective creditors of those filing BK. As bankruptcy is a matter of public record, it is perfectly legal.
Is there a time frame for a business to bankrupt you?
You mean for someone, including a company, or a group of people (like a creditors group), to ask that you be declared involuntarilarly bankrupt, rather than voluntarilarly filing on your own? First, this is uncommon. As long as you owe them money or services and haven't paid as agreed, they can ask. In fact, the longer the time, and the more they were patient the easiest would be. Consider it is uncommon because bankruptcy provides protection to YOU the debtor, not the creditor...the creditor normally doesn't want it's debtors to go bankrupt as, unless the debtor has many assets and isn't paying intentionally, they creditors may get paid some, but generally much less than they are owed.
If someone filed Chapter 7 Bankruptcy and wanted to repay some of the debts listed in full would that bring their credit with those creditors into good standing on their credit report?
No-the accounts have been discharged in bankruptcy.
Can a business be forced into receivership?
Yes. Receivership is just a fancy name for "bankruptcy where someone is appointed to collect money owed to the debtor to pay it to creditors."
If you have given a personal loan to someone that files bankruptcy do they have to pay you back?
It depends, you will be in line with the rest of the creditors, and if there isn't enough $$ to go around, you are out of luck.
What is filing bankruptcy?
Bankruptcy is a legal tool individuals and companies use when they are no longer able to repay debits. In the United States their are two sorts of personal bankruptcy. 1) Chapter 13 Bankruptcy, or reorganization Bankruptcy lets an individual work with their creditors to pay back debts without the threat of foreclosure or harassment. This lets someone do the right thing and pay people back. 2) Chapter 7 Bankruptcy is a more extreme step. During Chapter 7 one continues to make essential payments while paying nothing to other creditors. Next, all assets are liquidated and distributed to creditors.
