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Selling assets after Ch 7

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    Selling assets after Ch 7

    My husband has a small business. He has equipment that he owes about 6000.00 on. If he bought it used today on ebay or wherever, he would pay about 4000.00. So I understand this asset has no equity. My question is, after we file chapter 7, can he sell this equipment? If he groups some equipment together, he can get the payoff on the loan. What is the rule about this?

    #2
    Don't do it unless, you're discharged. That equipment is property of the bk estate. It also sounds like it's secured debt and the leinholder will have a claim. Plus, you're getting into a preferential payment situation.
    Run this idea by your lawyer before you act.

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