I jointly own a family cabin in northern Minnesota with 2 siblings. One of the siblings is filing for bankruptcy. A different sibling has an incorrect last name on the deed. How do I and my other sibling protect the cabin?
1 Answer from Attorneys
The value of your sibling's interest in the cabin will become property of the bankruptcy estate. There are several things that can happen depending on the facts of the case, and one of them is that you or your other non-filing sibling could purchase your sibling's interest from the Bankruptcy trustee (assuming your sibling is filing a Chapter 7).
Attempts to conceal the sibling's interest in the property from the Bankruptcy court would be a Federal crime. Attempts to transfer the interest on the eve of filing bankruptcy would constitute a preference that the bankruptcy trustee would likely be able to undo.