Legal Question in Bankruptcy in California
I filed ch 7 for my dad in 2005 before the new laws were implemented, he has since passed away, an abstract of judgment was recorded in the recorders office about a month before the ch7 hearing in which all debts were dismissed. I received the papers stating the creditor who filed the (abstract of judgment) the debts were dismissed, I just noticed the lien is still listed in the recorders office, how should I get this removed. Ive read that I should have listed that lien in the ch7 courts to have it removed by the court is this true ?
1 Answer from Attorneys
You may have a problem. If the lien existed prior-to the date on which the bankruptcy was filed, then to remove it, your father needed to file a motion to avoid that lien while the bankruptcy was still open. If, however, it was recorded after the case was filed (I cannot tell from your post), then the lien is void. In the later case, you would have to move to reopen his case as the executor of his estate, and ask the Court for an order declaring the lien void for having been recorded while your father was in bankruptcy. That order should provide that the person or entity who recorded the lien must record a notice of withdrawal or satisfaction so all title companies will automatically exclude it from title. You need to look at the timing of the recording of the lien. Depending on where you are located, many bankruptcy courts will not let you reopen the bankruptcy case to file a motion to avoid the lien simply because you failed to do so back when his case was open. Generally, only in the case of a lien recorded after the case was filed can you avoid it this late.
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