Case Re-opened by U.S. Trustee

[jixxxer]

Just when u think its all clean and u can get back to normal, I get a letter stating the Case was Re-opened : Notice of Need to File Proof of Claim Due to Recovery of Assets......anyone know what this means exactly????

[justbroke]

It reads as though there were assets recovered. Was it a tax refund?

Also, are you sure it was your case? I received a letter like that in the mail, and it was for Digital Networks of North America that had filed Chapter 11. I actually thought it was my case.

[jixxxer]

Yes i did have to send in my tax refund to the trustee. Now that u mention it, i noticed that my case was closed b4 I sent him the refund.

[justbroke]

It appears that you had an asset case but it may had been treated as a no asset case. That no asset case status caused it to be closed. When your refund was received by the Trustee, they had the case re-opened for administration of the asset.

It still doesn't affect anything other than the fact that your case will probably be open for another 3 months. You have your discharge which is the entire reason to file bankruptcy.

[jixxxer]

Ok, makes sense........i appreciate the info, makes me feel more at ease. So is this something that shldnt effect me? Kinda of a more behind the scenes kinda thing????

[justbroke]

It is something which they call "administrative." The Trustee will send notices to the creditors and allow them to file a claim. Then the Trustee will disburse the funds based on priority. Once completed, the Trustee will file a final report and the case will close (again). There is nothing for you to do during this period of time.

Was it a significant refund?

[jixxxer]

OK, again thanks for the informatioin! It was about $3,000

[jixxxer]

on anohter not......here's what had me worried.......we have a 3rd car........the lawyer said they have the right to sieze it and use it as asset, though when bk went thru, the car was never mentioned. So i had immeditately figured that was what they wanted. But now I see what you are saying about the tax refund.