Legal Question in Bankruptcy in California

past sale of stock

My wife and I received $22,000.00 in stock and cashed it in in may of this year. How will this affect filing bankruptcy at this time.


Asked on 10/22/02, 10:24 am

2 Answers from Attorneys
Chris Johnson Christopher B. Johnson, Attorney at Law

Re: past sale of stock

I would have to know more facts to give a more detailed answer, such as the source of the stock, but receiving the gift and filing for Chapter 7 would not likely affect the bankruptcy. If you still have the stock proceeds, there may not be an exemption to cover them, however.

This is also different from the tax consequences, which would have to be addressed by your tax advisor.

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Answered on 10/22/02, 12:21 pm
Alvin Tenner Law Office of Alvin G. Tenner

Re: past sale of stock

This does not effect your right to file a bk. However, I will need to know more facts about what you did with the proceeds. If you used it to pay some crditors, then they will have to return the proceeds to the court. this does not apply to mortgage or rent payments.

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Answered on 10/22/02, 3:15 pm


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