Legal Question in Bankruptcy in California

Ok, got a little bit of a tough question. Debtor owns a business and has a 2 yr lease. After year 1, she files a personal Ch7 BK. She receives a discharge 4 months later, but this is an asset case, so more than 20 months later, the case is still open.

The trustee never assumed the lease. 4 months after the discharge, she gets behind in her business rent, and eventually an eviction for possession AND money damages are filed. She leaves the business premises voluntarily, before the judgement. Judgement is entered immediatly in favor of landlord for possession and, 12 months later, money damages are awarded for the rent that was missed post-petition.

Question: Is there any way this post-petition rent can be discharged at this point? The theory being that unless the Trustee assumed the loan, the unexpired lease only entitles the landlord to possession in the event of default. Any thoughts?


Asked on 5/18/11, 7:15 pm

1 Answer from Attorneys



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