Legal Question in Bankruptcy in Missouri

I'm considering bankruptcy, but I have a lot of questions first.

1) I have an old doctor's bill, they refuse to work with me and think a judgement will be best.

2) I have rental property, which the sewer company failed to tell me the tenants weren't paying for TEN YEARS. now they expect me to pay it all.

3) I have 1 rental that is current and rented. I have 2 other rentals that are not in rentable state, and I haven't paid on them in 2-4 years. (those houses owe taxes and sewer.)

4) I have credit cards that I haven't paid on (or heard from) in 8 years.

5) I have 2 cars, no payments (though one needs a transmission, and the other might need a new engine)

6) I have several judgments against me

now, do I have to include everything in the bankruptcy? sewer never told me, and according to their rules, they're suppose to tell me when it's $50 behind. I can't chase 10 years of tenants down, plus their charges aren't accurate. the judgments I don't think I owe, but it's too long to appeal them.

the houses I'm not paying on, I'd like to keep, I can get them up to par and rented, but being that far behind in taxes, and mortgage, I'm not putting anything in to it till I have some good advice.

I'd like to keep our cars, and the house that's rented. we currently rent, so we have no house of our own.

so, what would be the best option? I'll provide any more info you need. I'm in St. Louis, MO


Asked on 11/22/12, 10:24 pm

1 Answer from Attorneys
Anthony Smith LawSmith

You are actually asking more questions than you may realize. Certainly more than anyone here would be willing to answer for free. But, the two main questons are: Can I avoid some of these debts without filing bankruptcy, and what will happen to the property In own.

You have already described one way that you may avoid much of the overdue sewer bills. There may be others.

The two properties that you have not paid on for years, are probably going to be foreclosures, unless you can sell them to someone wwho will assume the debt.

You will likely be able to keep at least one of the vehicles, even if you fiel chapter 7 bankruptcy.

If you owe the doctor's bill, they don't have to take less than you owe. Even if they get a judgment, they will like;ly accept weekly or monthly payments. If all your income is from rental property (no paycheck) than there may be little for them to execute on. they could garnish your bank account(s) and the rent from your tenants, though. Any of the judgmetn creditors may be able to take your rental properties, hold a foreclsure sale,and apply the proceeds to your debt. They can't do that to your homestead, but you said you're renting the palce where you live, so that exceptio wouldn't apply. As long as you landlord doesn't also owe them money, they probably can't kick you out of your home.

You did not say if you own any on these properties as a corporation , or of any of the debts are actually owed by a corporation that you own a significant portion of. It is rare, but judgment creditors can take your ownership in companies.

You seem to prefer to avoid bankruptcy and the possible liquidation of your assets. Therefore, I suggest you consult directly with a civil practice attorney that also handles bankruptcy. If you go to one of the bankruptcy mills, they may not work very hard to help you avoid having to file for protection

Good luck.

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Answered on 11/24/12, 12:25 pm


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