How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask cortrightlaw Your Own Question

cortrightlaw
cortrightlaw, Attorney
Category: Bankruptcy Law
Satisfied Customers: 513
Experience:  Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
Type Your Bankruptcy Law Question Here...
cortrightlaw is online now
A new question is answered every 9 seconds

I am the largest creditor in a chapter 7. Another creditor

Resolved Question:

I am the largest creditor in a chapter 7. Another creditor [Bank] has filed for relief from automatic stay trying to sell the debtors home for $150,000 below market value. They had a questionable appraisal done where the appraiser actually states he doesn't know which unit he's appraising. I had an appraisal done, a brief one because of the time limits in responding to Bank's request for relief from stay. Question is, how will a BK judge view the two conflicting appraisals? I don't see any prejudice to letting the Ch 7 trustee try and sell for a higher value, because it serves ALL creditors including the Bank. I don't want the bank to get preferential treatment because they want to sell off at a low ball price to save themselves. When ultimately they would get full satisfaction of their debt if the property was allowed to be sold at the higher price. Opinions greatly appreciated.
Submitted: 1 year ago.
Category: Bankruptcy Law
Expert:  cortrightlaw replied 1 year ago.

cortrightlaw : Are you a secured creditor on the home or an unsecured creditor?
Customer:

I was secured, but had to release because my recordation was withint 90 days of filing. Hence I am unsecured.

Customer:

I was not happy with releasing my abstract but I was told that if I did not, it would have been set aside because the recording was within 90 days of filing.

Customer:

Mr. Cortwright, would you like me to remain in the chat?

cortrightlaw : I am here just saw your response
Customer:

okay no problem.

cortrightlaw : In that case I think you will have a hard time stopping the relief from stay from being granted. Is the home upside down or is there any equity and if so how much?
Customer:

home not upside down. Only encumberance is a HELOC. Home worth $450,000. Debtor has homestead of $175,000 which I think should be $146,400 because of 11 USC 522 because of injury cause by intentional tort. But homestead arguably at $175k and HELOC at $123,000 still leaves roughly $145,000 in equity if we have it sold for the fair market value

cortrightlaw : And I take it that the debtor is behind on the payments and has indicated that they do not want to keep the property?
Customer:

bank is arguing HELOC lien is $123,000, homestead of $175,000. Home worth $300,000. So bank wants to sell now. But the appraisal I had done puts property at $450,000. Should I not have released the abstract? Would I have had more leverage as secured creditor?

Customer:

Debtor stopped making payments on HELOC, total unpaid balance is $800. Debtor wants to keep home but I'd like it sold for top dollar so all debtors including bank make some money.

cortrightlaw : I probably would not have voluntarily released I would have made them work for it, which district and court are you in California?
Customer:

central, santa ana

Customer:

I've elected my own trustee at this point. But main issue for me is what is a court likely to do with two appraisals so far apart?

cortrightlaw : With the two competing appraisals the court could hold a hearing to determine which appraisal is more credible.
Customer:

The trustee is objecting to the relief motion from the bank if that makes any difference.

Customer:

Is our chat published online at all?

cortrightlaw : Even if they get relief from stay I do not see how they are going to get to a trustee sale with so little past due on the loan. So just because they get relief does not mean they can sell the home they still have to follow California foreclosure procedures. So the chapter 7 trustee can still elect to sell te property as long as the trustee does not abandon the asset.
Customer:

Is this published online at all after we're done?

Customer:

or can it remain private?

cortrightlaw : They will have to file a notice of default at the county recorder and they will have to publish the sale just as they would have to if there is no bankruptcy.
cortrightlaw : What is the debt you are owed by the debtor for?
Customer:

$700,000, intentional infliction of emotional distress with finding of malice

Customer:

I have 90% of the debt

cortrightlaw : You need to file and adversary proceeding to have the debt owed you to be determined non dischareable if you have not already done so
Customer:

Yes, I've done so.

Customer:

The debtors two assets are their car which is worth $8k and their house which I would even buy at $300,000 and rent it out.

Customer:

Can you answer this please. Is our chat published on the Just Answer website?

cortrightlaw : It would probably be best if the debtor kept the house through the bk, then if you prevail on the adversary which you should then you could put the judgment back on the home and possibly force the sale after the bk. the adversary need to be your biggest concern, win that and you can haunt them for years trying to collect.
Customer:

I am a paralegal. I worked my case up in superior court. it's now been published on a bunch of websites and made the LA Daily Journal. I have a year's worth of my time in this. Got 12-0 unanimous verdict for $1,000,000. Had punitives reduced. I have also read I can buy the debtor's appeal?

Customer:

But I know minimal about BK law. Adversarial proceeding is to be heard on 8/30/2012. My main concern is having the banks request for relief denied so the trustee can sell at higher price.

Customer:

plus there's a strong likelyhood that the debtor did a preferential transfer from the bank's HELOC to an IRA within 90 day window. So if that gets unwound, the bank's interest would go down roughly $89,000.

cortrightlaw : Sounds like you are on it and doing a good job.
Customer:

So I've got the adversarial proceeding coming up. If I prevail, do I get relief from stay so I pursue collections, i.e. debtors exam?

Customer:

Can I ask if you know a trustee I've elected?

Customer:

You still here?

Customer:

We all done?

cortrightlaw : Sorry watching some Olympics, which trustee? I practice mainly out of Riverside only have a few cases in Santa Ana
Customer:

Karl T. Andersen

Customer:

Lochte seems to have blown it. Phelps got his act together.

Customer:

BTW, nice job here. I see your in Murietta, my in laws out that way sort of Palm Desert, damn hot out there.

cortrightlaw : Ya I thought he was going to be the stare this time but he has dropped it a bit. As to the trustee Anderson is a good choice he is one of the most experienced we have out here. Have you been able to open up a dialogue with him.
Customer:

You do ok with this Just Answer bit? Seems like a nice side deal and a way to help out people.

Customer:

No, I've just elected him. I didn't know if I was allowed to discuss matters with him. I would like to have a meeting with him if that's possible. Is that out of bounds?

Customer:

Can I by the rights to prosecute the debtors appeal? That was something the debtors attorney didn't want me doing. Is that an option?

cortrightlaw : Give him a call you have a lot of knowledge that can assist him administer the case. And yes I like helping people on this site. What kinda of paralegal are you and do you work for an attorney?
Customer:

I work out of one small firm in Newport Beach, but I've become an independent paralegal for three other attorneys now because of the work I've done. I was a lead mediator for Ford doing lemon law and went to law school but took time off after school to look after family. I've done a fair amount of PI, HOA, lemon law, and criminal defense work. I primarily do law and motion for three civil attorneys and some federal defense work.

Customer:

My neighbor was harassing the hell out of my wife and I. After a few years, and 119 late night phone calls, I filed suit in pro per. Defeated all pretrial motions, about 10 ex parte motions, basically everything the defendants' lawyers could throw up. There were a total of 8 attorneys so far for the defendants and I'm still here. The jury was unanimous $600k in general damages, and $400k in punitives, finding of conspiracy so I got J/S liability on all.

Customer:

Had a remittitur on punis on post trial motion. Offered a trial on punitives only, or accept reduction. Took reduction. Defendants opted not to have a trianscript so their appeal doesn't look likely. Judge was very good. Jury excellent.

cortrightlaw : Great job google me and shoot me an email if you are looking for some extra law and motion, I love doing it and I am pretty good but I just dont have the time.
Customer:

You sound like the attorneys I work for :) I began working for my friend who mentored me through law school. Then after the other attorneys saw the law and motion work I did, they asked me to do it. I work at night a lot so late night projects are what I kind of specialize in. Law minute motions, oppositions to MILs, MILs, etc. etc. I've done really well with anti-SLAPP motions but my main pointer to attorneys I work for is that you have to think a few steps ahead when pleading. So you don't walk into anti-SLAPP trap.

Customer:

I've seen your site, you want an example of my writing?

Customer:

Here's my case on a condo website. http://www.condoassociationexpert.com/?p=1401

Customer:

Let me know if you want an example, anti-SLAPP, demurrer, motion for new trial opposition, etc and I'll e mail you one.

cortrightlaw : I will check it out, nice talking with you tonight, we are actually very similar I did law and motion for a big defense firm while in school, became an excellent researcher by working for west law also while in school. And a statute interpretation class that made no sense at the time really honed my law and motion skills, I beat back the big old boys all the time, even got a couple of appeals under my belt successfully getting decisions overturned. Going to bead now got a trial readiness conference in the morning. Talk to you later.
Customer:

Thank you for your excellent service. Top marks.

Customer:

like an writing sample?

Customer:

I do Lexis, have my own account with unlimited background check on persons, property and businesses.

Customer:

Night

cortrightlaw, Attorney
Category: Bankruptcy Law
Satisfied Customers: 513
Experience: Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
cortrightlaw and other Bankruptcy Law Specialists are ready to help you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Last | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
 
 
 

Meet The Experts:

 
 
 
  • FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
< Last | Next >
  • http://ww2.justanswer.com/uploads/FL/FLAandNYLawyer/2012-1-27_14349_3Fotolia25855429M.64x64.jpg FiveStarLaw's Avatar

    FiveStarLaw

    Attorney

    Satisfied Customers:

    3203
    Bankruptcy Lawyer. Experienced.
  • http://ww2.justanswer.com/uploads/TL/tleeders/2012-6-13_204815_TSL1.64x64.jpg Terry L.'s Avatar

    Terry L.

    Attorney

    Satisfied Customers:

    2204
    Better Business Bur 15yrs bankruptcy experience. Chicago Bar
  • http://ww2.justanswer.com/uploads/mnphillips2/2009-03-13_203105_10984459-249293407.jpeg Phillips Esq.'s Avatar

    Phillips Esq.

    Attorney-at-Law

    Satisfied Customers:

    950
    B.A.; M.B.A.; J.D.
  • http://ww2.justanswer.com/uploads/CO/cortrightlaw/2011-12-5_4117_Kevin.64x64.JPG cortrightlaw's Avatar

    cortrightlaw

    Attorney

    Satisfied Customers:

    490
    Attorney practicing Bankruptcy Law including Chapter 7, Chapter 11, Chapter 12, and Chapter 13.
  • http://ww2.justanswer.com/uploads/Jay1968/2006-12-03_004423_JoeRossPhoto.jpg JoeLawyer's Avatar

    JoeLawyer

    Attorney

    Satisfied Customers:

    376
    Attorney in the practice of Bankruptcy Law since 1996
  • http://ww2.justanswer.com/uploads/DY/Dylatess/2012-9-11_1968_BHBTemplePhoto.64x64.jpg dylatess's Avatar

    dylatess

    Attorney

    Satisfied Customers:

    370
    35 plus years of experience specializing in bankruptcy law
  • http://ww2.justanswer.com/uploads/US/USLawAnswers/2012-9-20_23143_20090105211638Headshot3b.64x64.jpg Brent Blanchard's Avatar

    Brent Blanchard

    Bankruptcy Attorney

    Satisfied Customers:

    315
    Twelve years experience in all aspects of debtor & creditor BK.