You can protect your assets in bankruptcy. Sometimes it is tempting for a debtor in bankruptcy to hide assets from the bankruptcy trustee and court. This means not including them in the schedule of assets or schedule of exemptions and not telling the trustee about them. This is usually when an asset is important to a debtor. It may be because they think nobody knows about it and think they can hide it from the bankruptcy trustee.
Chapter 7 bankruptcy filers tempted to leave out assets of the bankruptcy schedules should reconsider. A requirement is full disclosure. Listing all property is a requirement. You must swear to this. Also they must take an oath at the meeting of creditors. If you haven’t disclosed all of your assets you will commit perjury.
Penalties for committing perjury include time in prison and/or fines. Also, the bankruptcy trustee will seize the asset and liquidate it to pay your creditors. Amending the schedule of exemptions to apply exemptions toward the concealed assets is not likely if you purposely did not disclose the asset. It is never advisable to hide an asset.
Telling the bankruptcy court that you told your attorney about the asset but the attorney said it didn’t have to be listed usually does not work. It usually does not work to say the lawyer forgot to list the asset. You must read and sign a disclosure. This states that you are aware that it is illegal to hide assets. Attorneys should review the bankruptcy petition with you to make sure all assets are listed.
Bankruptcy debtors do not have the right to dismiss their bankruptcy case because they don’t want to complete the process. Once bankruptcy proceedings have begun, the debtor must show good cause for dismissing the case. Trustees that find concealed assets are not likely to dismiss a case.
The only legal way to protect assets in bankruptcy from Chapter 7 bankruptcy liquidation is to apply one of the many available exemptions toward the asset. State and federal law allow bankruptcy debtors to keep certain types and quantities of assets after a Chapter 7 bankruptcy.
There are a number of exemptions in under Massachusetts bankruptcy law to protect your property and assets. The bankruptcy exemptions are generous and very rarely does anyone lose property.
Use of bankruptcy exemptions allows an experienced bankruptcy attorney to protect all of your assets. Almost all cases have property that is fully protected. The bankruptcy exemptions are generally very generous and are enough to protect people’s assets in most cases. Chapter 13 bankruptcy protects assets not protected in chapter 7. This allows one to keep the asset.
If you’re considering filing for Chapter 7 bankruptcy call a bankruptcy lawyer. Let an experienced bankruptcy attorney help you identify legal strategies for keeping those assets. In Massachusetts bankruptcy attorney Robert Simonian and bankruptcy Anthony Bucacci can help you keep your assets. We can resolve their debt and insolvency issues in Chapter 7 bankruptcy. Call Bucacci & Simonian at 508-673-9500 or visit our website at www.massbklaw.com