Legal Question in Personal Injury in Wisconsin
If a disabled couple has a home (that is paid for) , will the home have to be sold if the couple moves into an assisted living faciltiy? Likeiwse, if there are unpaid medical bills can that home be liquidated to pay for those medical bills?
1 Answer from Attorneys
I have no idea whether your disabled friends will choose to sell their home if they move into an assisted living facility or not. However, that would certainly seem to be a reasonable option for them, since the proceeds could then be used to pay the costs of their care and potentially allow them to live a better quality facility than government benefits would provide for an indigent person. In terms of an involuntary sale through court action, that is also a possibility depending upon their legal status. If they have guardians or conservators (or even persons with powers of attorney or �POA�s�) taking care of their affairs, that fiduciary would normally have the right to make the decision to sell the home if it were no longer of any use to his or her wards. But another option for the guardian might be to rent out the home and use the income to pay the couple's bills. Creditors who have judgment liens against a home can also sometimes force a sale, particularly if the owners are no longer using it as their homestead. A bankruptcy proceeding, however, can often prevent this if it is filed in a timely fashion while the debtors are still using the residence as their homestead (which makes the first $40,000 sometimes exempt from seizure by creditors if the exemption is properly asserted). Even homes of substantially greater value can sometimes be saved from creditors through chapter 13 bankruptcy proceedings. Your friends should therefore immediately seek a free initial consultation from a bankruptcy lawyer. My comments here are not intended as legal advice unless you subsequently retain me and revisit this issue with me at that time.