If you are preparing to file for bankruptcy, you may be unclear about some of the details involved in the process. This may include uncertainty around the ownership of assets and properties in terms of what must be included in the listing. It’s important to follow the laws, regulations, and requirements associated with filing for bankruptcy. A good lawyer can provide legal guidance to those who choose to undergo bankruptcy proceedings. If you would like to have peace of mind knowing that you are meeting legal obligations and would like the process to go as smoothly as possible, consider hiring a seasoned bankruptcy lawyer.
What is the risk of not providing a full listing of my currently owned properties when I file for bankruptcy?
You are required by law to submit a full list of your currently owned properties during the bankruptcy procedure. As your bankruptcy lawyer may advise you, if the bankruptcy trustee discovers that you have not provided full disclosure, they may interpret this as fraud. It could result in the bankruptcy court seizing the unlisted property and liquidating it to pay your creditors. There are certain allowable exemptions to seizure such as your home, but you are still required to list it. Your bankruptcy lawyer can review your assets and determine which must be included in the filing to ensure that you maintain adherence to the applicable laws. This in itself can prevent the bankruptcy proceeding from being stopped by the court, which would prevent you from gaining protection against your creditors.
What if I simply forget to list one or more of my assets during the bankruptcy process?
Though the bankruptcy court may take into consideration your plea that you simply forgot, very likely they will not grant you the benefit of the doubt. The same is true if you plead that you misunderstood the laws regarding bankruptcy. This underscores the importance of working with an experienced bankruptcy lawyer to ensure that you do not get into trouble with the court. It is stressful enough to undergo bankruptcy—being punished by the court with a perjury charge, and possibly criminal charges is an added ordeal that can be avoided by following the guidance of your legal representative.
Hire a Seasoned Legal Professional
Making the decision to file for bankruptcy is not an easy one, and the strain of financial difficulty is stressful. Dealing with the court and going through the bankruptcy legal proceedings can add to this stress and cause nearly anyone added anxiety. Allow a bankruptcy lawyer to guide you through the proceedings and minimize the stress and uncertainty.