Bankruptcy Law Questions? Ask a Bankruptcy Lawyer.
we didn't sign a reaffermation agreement. We paid $1000 to the bankruptcy court.
Thank you Kendrea – this is very good news for you.The Chapter 7 bankruptcy discharge would typically discharge the LOC as well as the mortgage. The only exceptions to the discharge of the debt relating to the LLC and/or the mortgage would be if you reaffirmed the debt or if the bankruptcy court determined that the debt was nondischargeable. If neither occurred, the debt has been dischargedPlease let me know if you need any clarification. I would be glad to assist you further if I can
So when we paid the bankrupcy court $1000 for the house, the LOC tied to the house is still discharged?
If I need to ask a question about the Deed in lieu should I direct it to another attorney?
So, for clarification... If we don't pay the LOC settlement, and the deed in lieu gets canceled, and the property ends up going into forclosure, are we responsible for anything? What I am asking is would it be better for us in the long run just to pay the settlement to avoid any future mess?