Legal Question in Bankruptcy in Florida

I filed for bankruptcy in January of 2009. I received a discharge in July of 2009. I have a personal injury claim filed that is about to reach settlement. I would like to know if the court can take that money to pay the debts that were discharged in the bankruptcy and also is there a personal injury exemption in Florida. My personal injury attorney is now advising me that they have to contact the trustee regarding my settlement.

I notified my personal injury attorney of my intention to file bankruptcy due to me being unemployed and not being able to pay bills. He failed to advise me that if I did file that any settlement I receive would become part of the bankruptcy estate. Only now, right before I am to receive the settlement, is he advising me of this. Do I have any recourse against this attorney for not advising me that I could lose my settlement by filing for bankruptcy while this personal injury case was pending?


Asked on 7/26/09, 8:25 pm

1 Answer from Attorneys

Brent Rose The Orsini & Rose Law Firm

If your personal injury case existed--or could have existed--at the time you filed bankruptcy, your case is the property of the bankruptcy estate. This means the bankruptcy trustee may be able to take the proceeds of the personal injury suit and distribute it to your creditors. You get what's left over. There is no "personal injury exemption" in Florida.

I don't see any liability on the part of your personal injury lawyer. He doesn't know bankruptcy law. Your bankruptcy lawyer, on the other hand, should have advised you of the consequences of filing bankruptcy.

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Answered on 7/26/09, 9:01 pm


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