I filed Chapter 7 in 8/08 dismissed 1/09, accident 10/09, is my settlement subject to seizure by the trustee?
2 Answers from Attorneys
Since the accident happened after your discharge from bankruptcy the money is yours and not part of the bankruptcy estate.
When you state that your bankruptcy was dismissed in 1/09, you are telling me that your bankruptcy was thrown out of court. If that is true, you had no benefits of bankruptcy and the accident would not be affected by the bankruptcy.
If what you meant to say was that your bankruptcy was discharged in 1/09, that means your bankruptcy was successfully completed. An accident that occurred after the bankruptcy was filed will not be subject to being taken by the bankruptcy trustee. The bankruptcy trustee is only able to take things you had the right to when the bankruptcy was filed and cannot take anything you have the right to receive afterwards. If the accident happened before you filed the bankruptcy, the money you became eligible to receive after the bankruptcy was over would still belong to the bankruptcy, but obviously this is not the case.
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