Adverserial proceeding

[Whatalife]

My sister filed chp7 bk two years ago. Trustee filed a adverserial proceeding against me to avoid transfer of a house I had bought from her more than a year earlier. Truste won the case to void the transfer as well as sme cash for the refi I had done. Sister lives in NC and I am in Idaho. I have nothing in Idaho of value, so can trustee go after me here and what happens to the house. Thehouse has little or no value if put on the market afetr the payoff of mortgages.
Thanks

[JRScott]

Dang . This doesn't sound good.

Technically the house is still your sisters if I understand you correctly and is part of the Bankruptcy Estate of hers then. Which means that he could seize it .

You might want to go talk to a lawyer and see what they think. I think that might be the best thing to do.

[HHM]

Nothing really happens, the trustee now has court ordered title to the real estate. As for the money, if the trustee won, then that means there is a judgment against you in BK court. Conceivably, the trustee could hire an attorney in Idaho to enforce that judgment (i.e. garnish wages, etc).

[Whatalife]

So, the bk case stays open until the debt is collected, right? And I get a bad credit mark. Also, the trustee can seize the home, but would he? Wouldn't they accept a settlement??

[HHM]

So, the bk case stays open until the debt is collected, right? And I get a bad credit mark. Also, the trustee can seize the home, but would he? Wouldn't they accept a settlement??

I am guessing you did not respond to the adversarial proceeding, correct? Or if you did, you lost, correct?

There is nothing to settle if the Adversarial Proceeding went to judgment, it's done. The trustee has the house for all intents and purposes. I am guessing nothing has really happened because the trustee is in NC and you are Idaho. At a minimum, I would suspect the trustee to have filed something at the county recorders office for wherever this house is located claiming his interest in the property.

As for the money, you could conceivably offer a settlement, but keep in mind, the trustee essentially has a judgment now...the trustee does not need to settle that, assuming your state law allows it, he could garnish your wages, garnish your bank account, lien YOUR house. etc.

[Whatalife]

Thanks
Yes we lost the proceeding.
The problem is that the house is rented and in NC, so would the Trustee actually foreclose on it right away or there is tiome for the renters to leave?

[HHM]

Thanks
Yes we lost the proceeding.
The problem is that the house is rented and in NC, so would the Trustee actually foreclose on it right away or there is tiome for the renters to leave?

Let me ask you this, do you know that the trustee hasn't done anything. After all, with the BK court order, you would not get any more notice about the house. The court order voids the transfer between you and your sister...there is no follow-up beyond that. The house becomes part of the BK estate and administered accordingly. If the trustee does nothing with the house, then the house reverts to your sister.

[Whatalife]

Thanks HHM
But I do not understand. This happened very recently and I have checked the Pacer and nothing. What do you mean by reverting to my sister. What happens to my obligations to my mortgage company?

[HHM]

Ok, so this was a more drawn out adversarial. Is there an Order on PACER relating to the Adversarial Proceeding.

[Whatalife]

No not yet. Just the opinion and findings for the plaintiff