Legal Question in Bankruptcy in California
I jointly own a vacation property with another party. If that party files for bankruptcy, is this property in jeopardy as a result of a bankruptcy settlement? In other words, is it possible that the property must be sold to settle to satisfy the creditors of the other party?
1 Answer from Attorneys
It is possible, depending upon the amount of equity, the chapter of bankruptcy the other party filed, and many other factors. Joint-ownership will not, in and of itself protect the property from liquidation in bankruptcy.
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