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I had a small claims case in which I won, I was granted

I had a small...

I had a small claims case in which I won, I was granted $6000 plus court costs. She didn't pay so I filed to garnish her wages. Now her attorney called and said if I would accept $800 and drop the case or she was going to file bankruptcy. The court hearing is this Friday. Do I have any options?

Lawyer's Assistant: What state are you in? It matters because laws vary by location.

Indiana

Lawyer's Assistant: What steps have you taken so far?

Only small claims court

Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?

Can she do this?

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Answered in 8 minutes by:
3/19/2018
Lori
Lori, Attorney
Category: Legal
Satisfied Customers: 2,080
Experience: Attorney with over 25 years experience
Verified

Hello. Let me see if I can assist. Yes, she can file bankruptcy at anytime. The question is whether the attorney is bluffing or not. If you agree to take the $800, she can still file bankruptcy. If she files bankruptcy within 90 days of you taking the $800, you may lose that money since the trustee will take it back from you as a "preference." A debtor cannot prefer one creditor over another in making a payment.

If she files bankruptcy, her assets will be taken by the trustee to pay her creditors (including you). I would recommend that you not take her offer and proceed with the hearing on Friday on the garnishment.

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Lori
Lori, Attorney
Category: Legal
Satisfied Customers: 2,080
Experience: Attorney with over 25 years experience
Verified
Lori and 87 other Legal Specialists are ready to help you
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Customer reply replied 3 months ago
I feel much better about the decision after talking to Lori

You are welcome. Good luck!

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DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

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