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Are there any IL Ch 7 bankruptcy exemptions for EEOC conciliation settlements?

Belvidere, IL |

Im a single mom supporting a family of 3 on less than $700 a month (exempt) and cant afford an attny.

Just had my (pro-se) Ch7 trustee meeting and was notified today of eligibility??? for a $60k EEOC conciliation award for employment discrimination in 2009 . IF this is real, 50% is being paid as back wages on a W2 (earned but unpaid wages?)and 50% as non-wages damages.

Can I use the following exemptions?

* the greater of 85% of gross or 45X fed min hrly wage for the $30k in earned/unpaid wages (735 ILCS5/12-803; 740 ILCS 170/4
* amt remaining under $4k wildcard for part of the 15% not incl above
* 100% of the $30k award for compensation for a crime under 755 ILCS 5/12-1001; 740 ILCS 45/18

And do I report this by filing amended schedules B, C , I and J?

State of IL just intercepted $700 of my 100% exempt EITC government benefit from my tax return to collect their back taxes. I was hoping to use that money to secure an attorney. Found one who will take my case for $500 (he hasnt told me what he will DO yet) so now I hve $506 for the rest of the month, and $900 worth of bills due and again, no resources to secure an attorney. .

Attorney Answers 3

  1. Best answer

    I think it would be advisable to get an attorney. On the wildcard exemption that can be used for any personal property of the debtor and your lawsuit up to $4,000. On the other two exemptions it would require research by the attorney. 735 ILCS 5-12-803 is for protecting income already generated from a garnishment and a review of case law and the award would be necessary. On the 755 5/12-1001 that would also need to be researched. You can claim any exemption but the question is going to be whether or not it is valid and whether the trustee objects to it. The two I mentioned would likely garner an objection. The wildcard would not. It is advisable to get an attorney.

    The response given is not intended to create, nor does it create an ongoing duty to respond to questions. The response does not form an attorney-client relationship, nor is it intended to be anything other than the educated opinion of the author. It should not be relied upon as legal advice. The response given is based upon the limited facts provided by the person asking the question. To the extent additional or different facts exist, the response might possibly change. Attorney is licensed to practice law only in the State of Illinois. Responses are answers to general legal questions and the receiver of such question should consult a local attorney for specific answers to questions.

  2. You need a lawyer, badly. Very badly. I understand you think you can't afford one, but that decision could be a very, very costly one already. Depending on what you originally scheduled, a Trustee might object to all your exemptions for the asset. You may have cost yourself many thousands of dollars by not having a lawyer and discussing this issue before filing. You most definitely need one now.

  3. PLEASE, do not try to handle this bankruptcy on your own. If you don't do the 50+ page petition correctly, it could cost you $$$$$$$$$$$$$$$$$$$ thousands.

    Be sure to designate "best answer." If you live in Oregon, you may call me for more detailed advice, 503-650-9662. Please be aware that each answer on this website is based upon the facts, or lack thereof, provided in the question. To be sure you get complete and comprehensive answers, based upon the totality of your situation, contact a local attorney who specializes in the area of law that involves your legal problem. Diane L. Gruber has been practicing law in Oregon for 26 years, specializing in family law, bankruptcy, estate planning and probate. Note: Diane L. Gruber does not represent you until a written fee agreement has been signed by you and Diane L. Gruber, and the fee listed in the agreement has been paid.

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