assets

[stressed07]

Two questions:

1- We had a civil lawsuit pending against someone when we filed bankruptcy the lawsuit was not listed as an asset. We have since been discharged and received our decree. Now we receive a phone call and they are wanting to settle our case. Our civil attorney told us we were supposed to list the case as an asset and since we didn't what can happen? Anyone know? Initially it was a mechanics lien so they just want that released so they can sell the property. I think take the money release the lien and dismiss the lawsuit any suggestions?

2- They still have not come to get the business equipment that was part of the loan that was discharged. How long do they have to come and get it?

[HHM]

Your civil attorney is correct, the case should have been listed as an asset, in fact, I think the questionnaire of financial condition is quite explicit in asking you whether you are involved in "any" lawsuits. Thus, I am not sure why you would not have answered that question correctly.

In any event, probably nothing will happen. What you should do is see if there is an exemption to cover it. There is an exemption for certain types of money's earned as a "service" but you would need to ask your BK attorney specifically. If you think the settlement is fair, accept it, and simply deposit the money and hold it for a while.

As for the business stuff, not sure what to tell you...the bank is not going to be eager to take it, but as far as their right to it, that does not expire. You will probably have to force the issue if you want them to come and get it.

[familyof7]

They amy never come and get it I would send them a letter saying you have 10 or 30 days to come and get it if not we will assume you abandoned the property. I would check and see what exemptions you have in your state regarding that lawsuit up to what amt or a wild card exemption. I would take only that amt and if it ever becomes an issue in the bankruptcy court you can exempt it.