Legal Question in Bankruptcy in Massachusetts

This is a tough question to answer, and some my disagree. Having said that, in theory the answer is yes, the finance company can probably take the ring back, assuming you and they properly executed the required documents when it was purchased This also assumes he does not continue to pay for it.

In real life it is a lot more complicated. I have usually told these companies that my client will not pay for the jewelery, and does not intend to return it voluntarily. So, if the want the ring they have to go through a long state court process to get it. Most of the time they don''t bother, but that really depends on the value of the ring, and the amount left to pay on it. It sounds like in your case there is a lot of money at stake, so they might go forward in state court. There is an alternative procedure called "redemption" that may be appropriate, but it also involves paying money, but maybe not as much, depending.

Talk to a good experienced bankruptcy lawyer who can address your exact situation better than can be done here.

Dan Gindes