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Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
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On Tuesday we received our discharge of Chapter 7 Bankruptcy

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On Tuesday we received our discharge of Chapter 7 Bankruptcy letter from the court. On that same day Ford Motor Co. repossed my vehicle. This came as a great shock as we are paid ahead on our monthly payments. I called Ford as the repo men were still here and ford said our lawyer
failed to reaffirm the loan with the correct paperwork. Our lawyer says ford did not send them the reaffirmation form that is why it was not sent to us for signatures. Ford Mo. Co. says that our lawyer failed to advise them of our intent and that is why they did not send the reaffirmation form.
In the mean because of the holidays we are without our car for a least a week and we will be the ones to have to pay fees to get the car back from the repo site after our lawyers and ford lawyers get the proper paperwork done. Our lawyer says that even if ford did not have there reaffirmation papers how much more affirmation did they need then our payments and by accepting the payment they have comitted fraud. that they can't have it both ways our money an

Sorry you are in this situation.

I am a lawyer with 25 years experience. While I am permitted to provide you with legal information, I am prohibited by and various state bar associations from giving legal advice, representing you or entering into an attorney-client relationship through this open and nonconfidential forum.

Did your bankruptcy petition indicate that you intended to reaffirm the debt in the Statement of Intentions?
Customer: replied 5 years ago.

It should have but that is where ford says the problem started. When we went to court the judge asked us if we intended to keep it and we told him yes

The reaffirmation agreement and indicating that you intend to reaffirm on your statement of intentions are 2 separate issues.

If you indicated on your statement of intentions that it was your intention to reaffirm, it then became the responsibility of the lender to forward the reaffirmation documents to you

In any event, since you were up to date on your payments and the payments were accepted by the lender, you are not in default. Instead you appear to have a wrongful repossession action against the lender. If you prevail in your action you would be entitled to your actual costs and fees as well as punitive damages. You will want to retain a consumer law attorney

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Best wishes for a Happy and Healthy New Year!
Customer: replied 5 years ago.
I am looking at the individual debtor's statement an it was not on there. and that is why ford said they did not send reaffirmation documents, they were in the right there. we went from a 13 to a 7 and a yr passed between so alot of the information was just left off the 7 we had quit a time over many issues with the petiton to the court. Our attorney is working with ford to get our car back (he is doing now what should have been done in the first place. we will be signing a reaffirmation form before they will release the car. Do you think ford still did not have the right to take the car back . As I said we were paid ahead on the monthly payments and because of that I asked ford to please leave the car and let me get it streightened out and they refused and took the car. My salesman said it was because they would have to pay the driver and now I will .
Yes my answer is not changed. But I do want to give you additional information

A reaffirmation agreement may not be entered into after discharge.The Bankruptcy Reform Act of 2005 states that a reaffirmation agreement must be entered into prior to the filing of a discharge in bankruptcy.

Also it is disputable whether a reaffirmation agreement is even required when you were current on your payments.

524(c) states that any obligation must be ‘enforceable under applicable non-bankruptcy laws, whether or not such a debt is waived.” As a result,most courts have found that if the debtor is current on his payments, keeps his vehicle insured and still refuses to sign a reaffirmation agreement, there appears no default that is enforceable under non-bankruptcy laws.
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