Legal Question in Bankruptcy in North Carolina

You will have to disclose the sale to the bankruptcy court if it was made within 2 years prior to the bankruptcy filing. Be prepared to show an explanation for the value of the item and what you used the money for. If you sell to an "insider" (family member, business partner, etc.) the transaction will face greater scrutiny from the court. The court may go to the person who purchased the item and ask for additional money or ask them to return the item. You can do this if you sell the asset for full value and you do not use the money from the sale to favor one creditor over another.

I agree with Ms. Coleman, but will simplify my advice. Consult bankruptcy attorney before doing anything. With a skilled attorney you will get proper advice on how to plan before bankruptcy.