Legal Question in Bankruptcy in Georgia
I filed for bankruptcy . Other than tax debt, a mortgage and child support, I have no other personal debt or financial obligations. With the help of my attorney, I was able to work out a payment plan with the IRS and a loan modification to catch up on my mortgage company. During the divorce/bankruptcy process, I rented out of my primary residence and moved in with a relatives. This allowed me to save money and catch up on the owed child support. I thought things were looking up until the day the bankruptcy was granted. During the final hearing on the bankruptcy, the courted appointed trustee entered a motion to sale my residence which has a fair bit of equity. The judge said he would take the motion under consideration and rule on in 60 days. When I questioned my attorney on the basis or justification for the trustee selling the house when all creditors where essentially satisfied, he stated the trustee had made it clear that selling the house was the only way the trustee would receive he payment for his time/effort and since there are no other assets from which to recoup any fees. My attorney said trustee stands to gain a percentage of the equity and since the agreements are in place with the other debtors, he stands to gain alot. Can the trustee really do this? It seems terribly self-serving and rather like robbing peter?
3 Answers from Attorneys
Maybe. You have a lawyer who knows all about your case and that is who answers your questions.
As I am sure your attorney explained, if your house had over $10K in equity, the trustee would sell it.
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