Legal Question in Bankruptcy in Florida

Chapter 7 liquidation of property

Everything I've read re: Chp 7 filing indicates all non-exempt property will be sold. Does the trustee actually seize all property and sell it? I've also heard that the trustee will determine a ''yard-sale'' value of all non-exempt property and that is the amt I'd be obligated to pay in order to keep that property. Which scenario is correct?

I do have an encumbered car, which will be necessary to possess in order to got to work when i get another job. I know that only a certain amount of an automobile is considered exempt. Do i get to keep the car as long as i continue to pay that debt?

Thank you


Asked on 3/28/03, 11:57 pm

1 Answer from Attorneys
Alexander M. Rosenfeld Rosenfeld & Stein, P.A.

Re: Chapter 7 liquidation of property

When you file a ch 7 case, all your non-exempt property becomes vested in the trustee. The trustee will dispose of the property in manner to maximize the return to the unsecured creditors.

Your car is propbably secured. If you have positive equity in it, that too belongs to the trustee subject to a $1000.00 exemption.

You should seek the aid of competent bankruptcy counsel to protect your interests.

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Answered on 3/31/03, 10:50 pm


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