i am a plantiff in a lawsuit and about to file...questions!

[busbis]

I am filing this month, but I am a plantiff in a lawsuit that involves sueing a developer. The lawsuit includes other family members and there is about $100000 deposit on the line. I didn't want to mention the lawsuit as it can really hurt the case that involves my other family members. None of the deposit belongs to me and no money is owed to this developer currently. Is this something I can keep on the down low and cross my fingers that no parties will ever find out. The plan I am filing is a 13, surrendering 2 properties and 100% on the rest of the creditors...if that makes a difference.

[woeisme]

Don't understand, if none of the deposit is yours, and you presumably won't be entitled to any $ if the lawsuit is settled since the $ in dispute isn't yours, how is your name on the suit to start with?

I know when we filed our CH 13 paperwork, one of the questions we had to answer was whether or not we had $ owed to us or lawsuits that might be settled giving us $. But if none of the $ is yours, and you can prove that, and you won't benefit financially once the lawsuit is settled, then I think you're safe. But if you are getting any $ if the suit is settled in your family's favor, your creditors are entitled to a portion of it, and not reporting it is fraud and you will be risking a lot. I'd at least tell your lawyer.

My husband's ex-wife owes us about $1000 in child support (my 18 year old step-son dropped out of school, so the suppport payments should have stopped because once out of school he is considered emancipated by state law, but they never told us so she kept getting checks for 2 more months). We told our lawyer about it because the state is supposed to garnish her state tax returns to pay us back. (They can send you to jail for missing a child support payment, but if you take child support that you're not supposed to get and spend it, the state won't do anything but tell you to hope that the person who owes you gets a tax return they can garnish!) I am sure the trustee will take some portion, if not all, of the tax return garnishment (unless she was smart enough to change her withholding rate so that she doesn't get a return.) But that sure beats not saying anything, hoping not to get caught, and risking gettting the CH 13 dismissed!

[busbis]

I am considered a plantiff because there are contracts involved to purchase (pre construction) and my name is one of three. My dad put me and my husband on there and we were going to go in on half of everything except the deposit only when it was financed. The attorney doing the suit said he had to enter all of our names because all of us were in the contract.

[B12]

Deleted question.

[lrprn]

I am considered a plantiff because there are contracts involved to purchase (pre construction) and my name is one of three.

If this lawsuit is filed before you file bankruptcy, then you are taking a huge risk if you deliberately leave this lawsuit off your forms. The trustee's staff typically does a quick check through the court systems to see if you are named in any lawsuits before your 341 - they are likely to find this one.

If you don't list this lawsuit and the trustee does find it, that's grounds to dismiss your case for attempting to hide an asset - that's fraud.

Even if the office doesn't find it, since your plan is for 3-5 years, it's likely the case will settle while your case is active. Even if you don't fess up when the settlement comes, the trustee will see the money on your tax return for the next year so again, you could be pretty much screwed.

Have you talked this over with your lawyer? What's his/her advice?