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Jerry Todd Tracy

Jerry Tracy’s Answers

2 total

  • Buying a home in bankruptcy, my offer is accepted by bankruptcy trustee, can i ask for a home inspection before court order

    Currently my offer is accepted by bankruptcy trustee but current owner is still staying in the home. Can i request for a home showing before court approval ? As court approval takes 6 weeks i would like to quickly decide on whether to go for this ...

    Jerry’s Answer

    If your offer had standard inspection contingencies, the Trustee should readily permit you to inspect the house. If it didn't, speak with your realtor about an addendum. If the Debtor balks, most of Seattle Judges will direct the Debtor to cooperate with the Trustee and the sale process.

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  • Would a 3,000,000 lawsuit for securities fraud be discharged in a chapter 7?

    Originally a chapter 13 but ineligible due to the amount. Would it be discharged in a chapter 7?

    Jerry’s Answer

    In response to the Enron debacle, Congress enacted Section 523(a)(19) which makes all claims related to securities violations and securities fraud automatically non-dischargeable. The statute applies to any state or federal securities statute or regulation and applies to any judgment, order, consent order, settlement agreement, damages, fines, penalties, attorneys fees, etc. To the extent that any judgment or settlement agreement is entered, then those amounts would likely be non-dischargeable.

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