Legal Question in Bankruptcy in Ohio

judgment

I have file a judgment against my sister. I used my own money to put a room addition on my sister's house, with the agreement that I would live with her for as long as I want. She has decided she is going to sell the house and doesn't wont me to move into her new house. I have filed a judgement against her. she said she is going to file bankruptcy so she wont have to pay me back for my money that I put into her house. Can she do this?


Asked on 6/24/08, 10:20 pm

1 Answer from Attorneys
Howard Levy Voorhees & Levy LLC

Re: judgment

The simple answer is that she can file bankruptcy and eliminate your claim against her. HOWEVER:

1. If you can prove fraud, false representations or unfair dealings to the bankruptcy court, you could recieve a ruling that the debt survives the bankruptcy. This would require you filing a complaint against your sister in bankruptcy court to determine if the debt is dischargeable.

2. If you do have a court judgment against her already, you can take that judgment and turn it into a lien against her house. Bankruptcy will eliminate the debt, but in most cases the lien will survive and need to be dealt with if the house is ever sold (technically, you could even foreclose on the iien after the bankruptcy).

That being said, it is your sister, and it is best to work it out. Many times the worst legal disputes are among family members.

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Answered on 6/25/08, 9:24 am


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