Liquidating trustee wanted
That’s because usually everything the debtor owns is “exempt”—protected from liquidation.
The Chapter 7 trustee is the official who determines if a debtor has any assets that are not exempt.
Bob is a rare breed because I’m pretty sure most of us would molest the trust fund in some way.
I’m looking to buy a house in San Francisco, for example.
Chapter 7 bankruptcy is a “straight bankruptcy” or “liquidation bankruptcy.” It is the most common chapter; approximately two-thirds of all the bankruptcies filed around the country each year are Chapter 7s.
In a Chapter 7 bankruptcy proceeding, the debtor is seeking a discharge, which is a document mailed to the debtor by the Clerk of the Bankruptcy Court toward the end of the case.
What’s more, you learn that your seven year old son also inherited million dollars with a trust of his own. I asked Bob why he was still working, and he said, “For pride. I never want to touch my grandparents’ money because I would feel a lot of shame.
Those individuals are what we call “judgment proof” because creditors can’t make them pay if they don’t have wages to garnish.In the majority of Chapter 7 cases, the debtor never sees his or her judge, but does meet his or her trustee.It is helpful to look at the Chapter 7 trustee as an independent contractor for the federal government; the government wants experienced professionals to help it do its job, but does not want to pay in-house salaries, so it contracts with local attorneys and accountants to provide the needed services.If those individuals don’t have any real estate or they have less than ,250 in tangible personal property, there’s nothing a creditor can take from them to liquidate, to pay on the debt.Sometimes I tell people that they don’t even need me, if they have a strong enough stomach to withstand the calls, the letters, and being dragged into court periodically.