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grantlawpc, Attorney
Category: Bankruptcy Law
Satisfied Customers: 31
Experience:  United States Bankruptcy Code: Chapter 11 Business Attorney; Restructuring and Recoveries
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Hi, Our local Sylvan Learning Center in California went

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Our local Sylvan Learning Center in California went bankrupt right after I just purchased $5,100 of lessons. At that time I filed a claim against the owner for the $5,100.00. With the claim, I sent a copy of my credit card bill that showed that the credit card company paid Sylvan Learning Center $5,100.00.

That was about a year ago. Since then I received in the mail a "Notice of Motion and Chapter 7 Trustee's Motion for Order Disallowing Claims. This is the reason given for the motion: "Face of claim asserts 'services performed'. Attached to the claim is a copy of the Claimant's credit card bill indicating the amount owed relates to charges incurred to an entity known as 'Sylvan Learning Center.' There are no documents attached to the claim evidencing the amount owed is a liability of the Debtors."

The debtors on the documents are a husband and wife named Steven and Julie. I'm assuming that they are the owners of Sylvan Learning Center. Does this mean I'm suppose show documentation that I paid them instead of Sylvan? I don't have any documentation like that. Also, I am suppose to file opposition papers by July 11, 2012. I don't know what papers to file. Should I hire an attorney or would I just end of paying a lot of fees and still not receive my $5,100.00.

So in short, I need to know what papers to file, what documentation I need to show to the court and if it would be worth hiring an attorney instead of trying to do this myself.

Thanks for your help!
The first question is what the relationship is between Steven/Julie and who your contract was with for Sylvan Learning Center. Did they run it individually or as a corporation? You're right, it sounds like they are trying to make a distinction between the individuals and the Sylvan Learning Center.

Next, you need to find out what distributions look like in the Steven/Julie bankruptcy. Since the trustee bothered to object to your claim, that implies that there might be some money there.

Really, you need to take this to a local bankruptcy attorney to have him/her read the tea leaves in the bankruptcy to tell you if it is worth additional expenditure to respond to the objection.

Let me know if I missed anything!
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