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Can a trustee be sued by a creditor?

Updated: 9/26/2023
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Q: Can a trustee be sued by a creditor?
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Can you be sued for a charged off credit debt by the original creditor?

Yes.


Can your wages be garnish if your RV is repossess?

Only if you are sued for the debt. First the RV is repossessed. Then you will get collection notices in the mail. If you are going to be sued, you will get notice of that too. If you are sued, the judge can award the creditor a judgment that allows them to garnish your wages.


You are being sued in small claims court by a third party debt collector can you contact the original creditor and pay them?

No, the original creditor has sold the debt and is no longer involved in the collection process.


How long after you file a chapter 7 are you supposed to turn over property or do you wait for the meeting of the creditors so the court can tell you?

In the case of a home, it will be sold at Sheriff sale on its own. (or the Trustee may sell it) In the case of any other property, the Trustee must abandon the property, then the Creditor will contact you (or your attorney if you have one) to arrange to get the item. If its a car, or some other type of personal property, you can sometimes accellerate the process by calling the creditor's attorney. (Or the creditor if they don't have one) Ask the Trustee at your 341 hearing (meeting of the creditors) what he/she thinks. They may abandon it right there.


Is the trustee of an irrevocable trust personally liable for the debts of the trust?

No. A trustee is only liable in her capacity as a trustee and only the trust assets are exposed to its debts. Of course, that protection exists providing the trust is valid. If someone sets up a trust in order to incur debts they will not be personally responsible for paying, a creditor may be able to recover by a court action. Also, a trustee is personally liable for any mishandling of the funds of the trust.

Related questions

How do you add a creditor to bk?

If the trustee meeting has occurred, contact your attorney and have him fine a new creditor with the trustee. If the trustee meeting has not occurred, you may add new creditors at this meeting.


Can you be sued for a charged off credit debt by the original creditor?

Yes.


Can you be sued by the original creditor if the debt is now owned by a debt buyer?

No they can not sue you.


Can my wages be garnished because of my wife's medical bills?

Wages can be garnished if the creditor wins a judgment against you. In order to so that, you must first be sued by the creditor. And the creditor must win the judgment in court. If you are sued, be sure to attend the court hearing and plead your case to prevent this from happening.


What happens when a trustee steals money from a trust account?

They have breached their fiduciary duties as a trustee. They can be brought up on a number of criminal charges or sued in civil court.


Can you personaly be sued for unpaid debt when your chapter 13 was dismissed?

Yes, you can be sued for the original debt, minus any money the creditor received during the 13 plan.


In North Carolina can you be sued for credit card debt if you become disabled and have lost everything you own?

Yes, the debtor can still be sued by the creditor regardless of his or her financial status. However, disability payments are protected by both federal and state laws and are exempt from creditor attachment.


Can a creditor levy your bank account and how?

A creditor can only levy your bank account by getting a judgment against you. To do that, they must sue you. And they must win in court. If you are sued by a creditor, be sure to show up for court to prevent this from happening.


Can your wages be garnish if your RV is repossess?

Only if you are sued for the debt. First the RV is repossessed. Then you will get collection notices in the mail. If you are going to be sued, you will get notice of that too. If you are sued, the judge can award the creditor a judgment that allows them to garnish your wages.


Dose the creditor have to be in the same state as you to be sued?

NO ... in fact the company does not even have to be in the same country in order for you to sue them ...


You are being sued in small claims court by a third party debt collector can you contact the original creditor and pay them?

No, the original creditor has sold the debt and is no longer involved in the collection process.


Can you amend your bankruptcy to exempt tax refund?

Not really, because the Trustee will want to get that money to pay off your creditor. You dont have a "right" to that money but it will instead depend on the amount of the refund and any local trustee practice.