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Trustee ordered to pay me $98,000 Surcharge found inappropriately paying $98000 to IRS , can I sue Trustee for damages?

Bridgewater, NJ |

I am a pro-se , in a chapter 7 matter, Trustee paid $98,000 interest and penalties to IRS, I filed a Motion, after a long trail by the CPA hired by Trustee, I won, Trustee ordered to pay me $98,000 as Surcharge and found to make mistake by the Bankruptcy Court, Trustee appealed the order in District Court, District Court Upheld and Affirmed the order of Bankruptcy Court, Trustee than pays me $98,000 . Should I now sue for damages?

Attorney Answers 4

Posted

Trustees have immunity for actions they take as trustee. You will lose and have to pay whatever it costs the trustee to defend.

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1 lawyer agrees

Posted

First of all a trustee has immunity for actions taken, acting in his or her capacity as a trustee.
Second, you were made whole, what are your damages?
Third, your facts do not sound right. A Court can Order you to pay something, and a trustee acting in his official capacity can pay something, but a Trustee does not issue orders. I agree with the answers of my colleagues.

Without meeting with you, and knowing all the facts and circumstances of your case, my opinion is not to be construed as legal advice, just general educational information.

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1 comment

Asker

Posted

Trustee does not issue order, correct. Rather, Trustee was ordered by the court to pay me $98000/. and upheld by the appeals court. That is why Trustee did pay me $98,000/. Please answer my question?

Posted

If the Trustee pays you, then I do not see what damages you might assert that would be recoverable in an action at law or in equity.

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Posted

For those lawyers who are a little confused by the question posed, the case is unreported, but can be found at 2010 U.S. Dist. LEXIS 128988. Other than that, I have nothing to add to what my colleagues have stated.

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4 comments

Walter C Oney Jr

Walter C Oney Jr

Posted

This case indicates that the trustee was surcharged to repay THE ESTATE, not the debtor, as a result of not timely filing ESTATE tax returns. I don't see how the debtor was even injured.

Asker

Posted

Respected Robert Loefflad Esq, please reply to my question.If you give me your contact details , I can then give you the case number, saying that the case is unreported is not true. Respected Walter Oney Esq, You say that the Trustee was ordered to pay ESTATE, not true, the judge ordered the Trustee to pay me, as all creditors were already paid 100% The debtor, myself was indeed. injured by the actions of Trustee.

Robert Andrew Loefflad

Robert Andrew Loefflad

Posted

Your question posed an issue of intellectual curiosity to me, but I'm not really interested in taking on your case at this stage. By unreported, I merely meant the case has not been approved for official publication and does not constitute binding legal authority, but it is available on the bankruptcy court's docket and as an unpublished opinion on most legal research sources, such as Westlaw and Lexis.

Asker

Posted

Thank you, I am not an attorney, but is a Scientist, I have intellectual curiosity as a Scientist,may be we can get our curiosity resolved by debate? Please do send your contact details , I can call you, or write to you directly.

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