Legal Question in Real Estate Law in New York
Liens after Bankruptcy
I went on disabilty in 1996. Since that time I have had a liver transplant and been treated for cancer. Due to my illness I went bankrupt. I am trying to sell my apartment and have found that one of the companies settled in the bankruptcy had placed a lien on me. The bank is saying that the lien has to be removed to clear the title and the attorney is telling me that he has to go to court and remove the lien. This does not make sense why I have to pay to remove a lien that was covered under bankrupty. Is this true.
1 Answer from Attorneys
Re: Liens after Bankruptcy
It is true that you must have the lien removed before you sell your apartment. It is also true that if a debt was settled in bankrupcty, no lien should have been placed on your property. It is also true you will have to go back to court to straighten the entire mess out. Good luck!