Legal Question in Bankruptcy in Florida

Re: Non-dischargeable Debts

Your question presents some serious legal issues. I can only answer in generalities as each case must be reviewed on the specific legal issues and facts involved.

You have stated that trust funds have been transfered to the trustee through fraud, conversion, and embezzlement. The Courts in Florida will not allow a person to hide behind the homestead laws in order to commit a criminal act. Any such activity will be undone if there are sufficient facts to prove your allegations.

Even under the current bankruptcy laws, a similar result would most likely be reached in the United States Bankruptcy Court under the constitutional protections provided in Florida. The court would seek to undue the wrongs through an adversary proceeding that you would have to file if the party did, in fact, file bankruptcy.

I strongly suggest that you consult with a qualified attorney to review the facts of your matter. This is a serious legal issue and you have a substantial amount of money at stake.

Scott R. Jay, Esq., 305-249-8000

Re: Non-dischargeable Debts

Debts incurred by fraud are not dischargeable in bankruptcy.

You need an attorney versed in these matters and admitted to practice before the bankruptcy court in Florida to start an adversary proceeding objecting to the discharge of this debt. While he is claiming fraud in connection with the debt, the attorney may also want to add an objection to the homestead exemption.

This will be a complicated legal action and will cost you some money.

Good luck.

This response is for general information purposes only and does not create an attorney-client relationsnhip. You are advised to consult the attorney of your choice concerning the details of your case.