Legal Question in Real Estate Law in California

Ask them to show you the security instrument (document). They would have to have a lien, a UCC1 filing or other security instrument that pre-dates the bankruptcy. I can't imagine they have any such thing. Tell them that unless they have an actual document granting them a pre-bankruptcy lien on the unit, that was affirmed in the bankruptcy, they are in violation of the Fair Debt Protection Practices Act and the Bankruptcy Code. Also if they are demanding payment in order not to come take the unit, they are in violation of the Bankruptcy Code even if they have security interest. If they don't back off after that, give me a call and I'll be MORE than happy to sue them for you and recover my fees out of their hide.

"Secured property" is not a proper legal term. In truth, they would need to have a "security agreement" with you, bearing your signature, giving them a "security interest." Further, when you filed your bankruptcy schedules, the claimant should have been listed as a secured creditor, and should have been served with notice of the bankruptcy proceeding. I assume this happened, since you say the balance was discharged. If all this really happened as it should have in the bankruptcy case, the company's claim is wiped out, and if they come after the unit they are trespassing and acting inviolation of bankruptcy law.

I disagree with the previous attorneys. It depends on whether there was a security agreement. If there was, then they have a lien on the property. Many liens survive bankruptcy. You need to speak to an attorney who is experienced with bankruptcy, to evaluate your paperwork as to the AC/ heater and your bankruptcy filing. Each bankruptcy chapter is different, and certain liens can be "crammed down" but there is no way I could give you a definitive answer without reviewing that information.