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Of course....most ANY asset that you have at time of filing (the law suit is one) can be used to pay the debts you incurred before the filing. I'm not sure why you would think anything else....you do not pick and chose what is in your BK. It is everything....YOU go bankrupt, not debts. If your BK discharges, say medical bills or losses you incured...and you have a suit that pays for those bills,,,does it make sense you should get thebill discharged and the provider not get paid...but you get to keep the $ received because of it? The BK court can even take jurisdiciton of the law suit case if it wants.
Wiki User
∙ 14y ago
Wiki User
∙ 12y agoFor a bankruptcy trustee, it is possible but it would be determined on a case by case basis. More than likely the debtor will not be granted to have access to the structured settlement whether or not the bankruptcy is approved.
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Will the trustee take the remainder of a settlement after you pay off bankruptcy?
The Trustee keeps anything that is not exempt. If your settlement is part of the bk, and is not exempt, it will be used to pay off your creditors.
Will bankruptcy trustee take pain and suffering settlement?
If (a) you filed Chapter 7 *AND* (b) the injury occurred *AFTER* you filed, no. Otherwise, you should discuss it with your bankruptcy attorney.
When in a chapter 13 bankruptcy for more than 4 years and receiving money for a 100 percent disability that happened after filing bankruptcy can bankruptcy take the settlement?
"Bankruptcy" does not take anything. The Chapter 13 Trustee is the one who "takes" anything there is to be taken. And, no, your settlement - if you mean a retroactive check for disability (SSDI) - is not available to the trustee. If you are talking about a settlement of a lawsuit, probably not, unless the cause of action existed at the time you filed the c. 13 and did not exempt any possible award. Talk to your bankruptcy lawyer.
Can a trustee in a chapter 7 bankruptcy filed prior to 2005 force a settlement of a personal injury lawsuit?
The bankrutpcy court can take jurisdiction of almost any case, and the trustee can decide if the settlement is fair. If it is for the benefit of the BK estate, the lawsuit is part of the assets he controls.
Can the Trustee take money after the bankruptcy is dismissed?
NO....DUHHHHHHHHHHHH
Will the bankruptcy trustee take all of your tax return refund?
I think it depends on when the bankruptcy is discharged, but it would be discussed at your meeting with the creditors and the trustee. If it wasn't discussed, then the refund is yours.
Why can a trustee take your income tax return if you are filing a chapter 7 bankruptcy which relieves you of your debt and does the trustee give the money to the creditors?
The trustee may take the refund and distribute it to creditors because a tax refund is not considered an exempted asset under bankruptcy laws.
Who much of your tax return can the bankruptcy trustee take?
If it has not been exempted, all of it.
What can a trustee take during chapter 13 bankruptcy?
Money for your plan payment, tax refunds.
I was discharged from Chapter 7 bankruptcy in December 2008 I was notified that I would be receiving a 2000 settlement now. Can I take the settlement without having to submit a motion to trustee?
No. All assets must be reported. Wilfull failure to disclose an asset amounts to perjury and could lead to a recommendation to dismiss.
If you filed chapter 13 bankruptcy will the trustee take your tax refund?
Yes. For 3 years. They do not take it all. You will get to keep your EIC and certain other credits that may be given that year. This is per my bankruptcy lawyer.
If you filed bankruptcy in Dec of 2004 can you get your refund that has already been taken for 2002?
No, the IRS will get to keep it. And, even if you could get it back, the bankruptcy trustee would probably take it to distribute to your creditors.
