im being sued for an injury that happened 6 months ago in a house that was in my BK

[justbroke]

This is no different than the burglar that injures himself while burglarizing a home/office. It may just as well be frivolous, but the debtor/homeowner still needs to deal with this!

And yes... this is the worst scenario of abandoning a home that was surrendered in bankruptcy. Without liability insurance, you put yourself at risk.

[pathfinders]

Wow, that was our fear as well Fortunately with a lot of calling and finding the right contact the bank finally agreed to do a DIL.

Anyone in that situation of chapter 7 BK that has been discharged and has the left the Home I would really try and just get to the correct person in liquidation and they were happy to take it back,

I must have spoken to 15 different people that told me NO or you have to jump through 100 hoops to be approved, I would tell them it has been discharged in chapter 7 I am not looking for a loan modification, I do not want to do a short sales, the house is vacant and broom swept and in good condition please take it back, they kept telling me no When we Officaily foreclose we will take title.

Until I stumbled on to a person that said we can do that. (DIL) The bank paid for the appraisal title search and than completed the DIL, it is now in there name has been recorded and on county records it is out of our name.

The HOA was all over US ( Burn out Lawn someone threw trash in the yard a random spare tire??? not sure if they were telling me the truth on the tire, and were going to call code Enforcement, it felt good when the HOA called and I could say go check public records NOT my problem and have a nice day...

[TBA]

Dumb question, but this prompted me to start thinking of a few of them...

If foreclosure was started but never completed, did you file a notice of abandonment? If you did, would this help limit your liability?

If you signed a deed to the bank and had it recorded (Technically, i dont think the bank has to agree to take ownership of the property - you can sign a QCD to the bank and have it recorded cant you?), would this help to limit your liability?

There has to be some way to help to prevent these issues.

[HHM]

i just found out that the lender does in fact have lender placed insurance on the property. does this change anything?

Yes, it does change things to some degree.

The insurance company needs to be notified of the claim, the insurance company will generally take over the defense at that point. (depending on the terms of the policy).

To sum up.
1. This is a problem, and you cannot ignore it
2. If for some reason the squatters win against you (unlikely, but if you do nothing, 100% likely), you will be responsible to pay (your prior BK is of no help).
3. You should probably get in touch with the legal department of the bank (or whatever division handles this) and see how a claim can get submitted to the insurance carrier.