Should I be concerned that I received a 'Notice of Motion to employ attorneys for trustee?
As part of our decree, our debts were Individually separated. I'm not sure what the exact verbage at the moment. Please advise.
Don't know if this has any bearing, but the divorce occurred in Illinois
6 attorney answers
No, you should not be concerned merely over this notice. A chapter 7 trustee generally does retain counsel to represent them, usually their own law firm, unless they are doing the legal work themself. You are clearly a notice party in your ex's bankruptcy, so you will receive some notices. The bigger issue if your ex filed for bankruptcy is whether you have any claims against his estate. If your ex owes you money, speak to a lawyer right away to make sure that what he owes you is not dischargeable in bankruptcy.
As covered in the earlier responses, although there may be other bases for the motion, usually a Motion to Employ suggests that the trustee has found something worthwhile to administer or, at least, explore. The motion would suggest that your ex-spouse has an asset that is not exempt from attachment for the benefit of the creditors. Whether that impacts you would be impossible to say without a thorough review of the bankruptcy petition and, likely, the terms of your divorce. Area attorneys will have access to the bankruptcy documents via web access. An in-person consultation is recommended, to which you should bring a full copy of your final divorce documents (Judgment, Settlement Agreement, Custody Agreement)
The scope of this space does not afford an opportunity to adequately advise you. The response provided is intended to be informative, but not final. You are advised to arrange a consultation at which all facts and documents can be explored and terms for representation agreed. An attorney-client relationship must be formally established.
Only an attorney discussing with you all the facts can advise you of what, if any, action and options you may have and want to take. And the type of debt and who must pay in your divorce may affect if you ever file bankruptcy too or desire to. An attorney will want to see the divorce decree and where it orders whom to pay what. You got notice as you are most likely a co-debtor on debt and or ownership of assets and thus got title or you were owed money from ex per the divorce!
Your asking that question implies you have not called and discussed with an experienced bankruptcy attorney near you as you would or should know the answer to that question posted here on AVVO. Other facts and issues can gravely affect your case so I will point these out for you next some issues so you know you only need to do one thing now: call an attorney near you to discuss bankruptcy. You need and want to enjoy your fresh start also. But the most important thing is to meet with an attorney as you asking this question means you have not. You care about 2 goals: keeping everything you have equity in and discharging all your debts. If you don't have any of the exceptions to discharge you will obtain that goal; most exceptions are set forth in 11 USC. 523 (Google it) like child support, some income taxes, traffic (in a ch 7) and criminal fines , and presumption of student loans. But some debts are dischargeable in a ch 13 but NOT in a ch 7 so you want to make sure and your attorney will discuss any such types with you also!
Your exemptions depend on what state you have lived in in the last 2 years and thus if in your state, then your states exemptions will apply. Most persons filing keep everything they own but your attorney will confirm that with you when they learn everything you own and the equity thereof!
Some secured debts like homes, vehicles, other secured debts an attorney will discuss your options on also as you must list any debts; but that does not mean you will lose them unless you have too much equity or are in default on paying for them! Discuss those options if they apply with your attorney too.
But other issues can arise that can greatly harm your case. Just one example: If you paid back a relative $3,000 11 months ago and now file bankruptcy next week, the trustee can SUE that relative to retrieve that $3,000 (under what is called a preference) for the benefit of the bankruptcy estate. As a result, most attorneys don't charge to meet with them the first meeting so meet with one no matter what.
Many great attorneys can be found right here on AVVO in your state so look, call, and meet one as soon as you can.
You should also want to know when to file: is there an advantage of waiting versus filing now and who should you pay between now and then! Good luck and enjoy your later fresh start.
If the Trustee filed a Motion to Employ his/her own Attorney (in their capacity as a Trustee) in the pending bankruptcy matter, then it may mean that the Trustee may have found some asset or issue that is worth pursuing. It may be worthwhile to consult with a bankruptcy attorney to discuss your options.
If the Trustee filed a Motion to Employ, then it typically means he expects to sell some of your property or sue someone on your behalf (or both). If you have a lawyer, contact him to get a good understanding at what the Trustee is trying to do. If you don't have a lawyer, get a consultation asap.
Please note this is to be considered general advice and not legal advice about any particular situation. The answering of any question does not...
You need to have this and any other documents, you need to retain or at least consult an experienced IL mortgage foreclosure defense and bankruptcy attorney. THIS IS NOT LEGAL ADVICE! YOU NEED TO SPEAK TO AN ATTORNEY WHO IS LICENSED IN YOUR STATE FOR LEGAL ADVICE. This is merely suggestions for you to think about in discussing your situation with the local attorney.
If you found this Answer helpful, please mark it as "Best Answer" Please be advised that the answer above is only general in nature cannot be construed as legal advice, given that not enough facts are known. It is your responsibility to retain a lawyer to analyze the facts specific to your particular situation in order to give you specific advice. Specific answers will require cognizance of all pertinent facts about your case. Any answers offered on Avvo are of a general nature only, and are not meant to create an attorney-client relationship.
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