Legal Question in Bankruptcy in Illinois

Propoerty of the Estate

Are lawsuits won by a Corporation, considered property of the bankruptcy estate of an Officer of the Corporation? If not, is there a title and section of the bankruptcy law which contains this? Is it legal for a Trustee to request documents of a corporation when the corporation is not involved in the personal bankruptcy of its Officer? Are earnings (wages, reimbursements, commissions, bonuses) received after debt discharge, considered property of the estate?


Asked on 9/26/99, 10:28 pm

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Propoerty of the Estate

Judgments in favor of the corp. are not property of the officer's estate; they belong to the corp. However, if the officer owns the corp., the corp. is property of the estate, and the trustee is perfectly free to obtain its information in order to assess its value. Post-petition wages are not property of the estate. Reimbursements are if they are for repayment of pre-petition advances. Commissions are if they were earned pre-petition. Same with bonuses.

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Answered on 9/28/99, 2:17 am


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