Legal Question in Bankruptcy in Virginia

Furniture not delivered, Ch. 7

You may have any of several ways to get out of this with some or all of either your furniture or your money back. Under the bankruptcy code, you have a priority claim of up to $1800 of your deposit or advance payment. That means that, provided you file atimely proof of claim, you will get paid that much prior to payment of general unsecured creditors.

Also, under the Uniform Commercial Code asapplicable to Virginia, you may have title toactual goods and be able to recover them fromthe bankruptcy estate if the particular goodswere identified to your contract. That meansif the contract was for a particular piece ofactual furniture existing at the time of your contract; if it was for custom-ordered goods that have been made for you; or if the goods were otherwise marked or designated specifically for you.

To protect your rights, you need to act quickly, and you would be well-advised to consult with counsel at least to advise youas to your rights and the procedures needed toprotect them, and perhaps to negotiate an arrangement with the trustee.