Legal Question in Bankruptcy in Florida

Re: chapter 13/ death of a spouse

A. I am surprised that your father is not

a party to the Bankruptcy (unless they are

divorced)

B. The usual rule for inheritance is 6 months

after date of discharge in a chapter 7. This

is different in a Chapter 13 because of the

ongoing nature of the proceedings, and no

discharge being given until completion of the

plan

C. One year is an extremely long time for

there to be no confirmation.

D. You have an absolute right to withdraw

from a Chapter 13 at any time prior to completion

This option would be examined to save the

insurance money, but only after further

review of the initial reason for the filing

and the potential creditor's action after

the Chapter 13 is withdrawn.

E. If the Chapter 13 is continued, the

Trustee will control the disposition of the

asset, either with an increase of the

payment (in essence, buying back the asset

from the Trustee) or in a complete

surrender, which could accomplish the

goals of the Chapter 13 plan, and thus save

the future payments.