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 Terry L. Your Own Question

Terry L.
Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2539
Experience:  Better Business Bur 15yrs bankruptcy experience. Chicago Bar
15345323
Type Your Bankruptcy Law Question Here...
Terry L. is online now
A new question is answered every 9 seconds

B.K. question on notice of lien avoidance. I have seen many

Resolved Question:

B.K. question on notice of lien avoidance. I have seen many B.K. cases where the Trustee fights for the Petioner and makes the entity that is claiming an interest in real estate prove their lien (B10 forms). I have seen entities not be able to prove there status as holder in due course inside a B.K.

How do you get the Trustee to fight on your behalf (require a proof of claim)on a Chapter 7 and or 13. I did a B.K. I listed my mortgage company on schedule F and disputed them. It got discharged. They called the DOJ in my 341 hearing. I told them I had never head of the people who where attempting to make a claim against my property until last year.

They are not a holder in due course pursuant to UCC 3-302 (no evidence)
They are not entitle to enforce pursuant to UCC 3-301 (no evidence)
My trustee said (on the record) he would require them to prove their position but never did. He wrote it up as a no asset case. I told him he could sell the house and pay off my bills if they could not prove their lien. I seen it in other cases. How do invoke that same protection in my case?

I am thinking of doing a notice of lien avoidance - they have never proved they were the holder in due course.
Submitted: 1 year ago.
Category: Bankruptcy Law
Expert:  Terry L. replied 1 year ago.

Terry L. :

Hi, thanks for your question. You should hire a lawyer for specific legal advice. No attorney client relationship is created here.

Terry L. :

If the trustee takes the position that they don't have a valid lien, they would be the ones to obtain an order to that effect, and then would sell the home to pay the creditor.

Terry L. :

A debtor in chapter 7 wouldn't really want to do this, for if the debtor filed an adversary to invalidate the lien, then the trustee would then sell the property. In essence, you would be doing the trustee's job for them.

Terry L. :

Do you want the trustee to sell your home? I wouldn't worry about it, as you can always surrender the home and let the lien holder foreclose. You can stay there rent/mortgage free until it forecloses.

Terry L. :

The bankruptcy will discharge your mortgage obligation either way, so there isn't much needed to do here, if you don't want the home any more.

Terry L. :

You can always challenge the foreclosure too in foreclosure court under the same principals that they are not a holder in due course.

Terry L. :

Let me know what questions you have.

Customer:

I walked away from computer... sorry.

Customer:

I wanted to know why the B.K. trustee wasn't asking to prove claim if I gave them reason to require it.

Customer:

Reasons:

Customer:

Not holder in due course

Customer:

Certified letter from AIG saying they paid of the loans in the trust.

Customer:

I did a criminal complaint - so they abandoned their claim but was just curious why the Trustee didn't help me when clearly they helped others in their case. I wondered did it have to do with the fact that they only get paid $65 per case and they just didn't want to work. You can make an alleged lien holder prove their claim in B.K.

Customer:

I just don't wanted to know how to invoke the trustee help. Yes I wanted the Trustee to sell the house and pay off my other creditors. I would have had about $75 left over if they would have done that.

Customer:

I know to tip :)

Customer:

I did an adversary complaint before they discharged my debt but the judge wrote me back and kind of said they have to show up to fight and since the Trustee said no asset they don't have to. I am going to file a lien avoidance but wondered if 11 USC 522(f) would cover what I'm trying to do or is there another code for what I am wanting to present. What do I want to present? Them to be made to prove their lien other wise I want to avoid it as it is hendering my ability to to obtain exemption.

Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2539
Experience: Better Business Bur 15yrs bankruptcy experience. Chicago Bar
Terry L. 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.
 
 
 

Related Bankruptcy Law Questions