Trustee Filed an Objection to Exemptions.......

[OhioFiler]

He's reserving his right to object to your claimed exemptions. The list includes ALL the valid reasons available to him not that all those reasons apply to you. He can't object on a whim. He must act within the constraints of the law.

Number 8 is not your issue. Number 1 is your issue.

[RBisDebtFree]

Does anybody think I have chances of fighting this and winning after I get my discharge? Or what are my further course of action? I don't know understand where I am now assets wise.

[justbroke]

Does anybody think I have chances of fighting this and winning after I get my discharge? Or what are my further course of action? I don't know understand where I am now assets wise.

You have an attorney who is also a Panel Trustee. I would lean on him for guidance and advice. Trustee's don't always win their motions and many times, they just wield their power around in order to get a settlement. In many cases, they don't want the expense of fighting either (because if they lose, they lose money too!).

If you and your attorney feel that you are covered by the exemptions, then fight. If your exemptions are questionable, it may "cost" less by settling. How you treat it will depends on factors such as your attorney's willingness to fight, how much fight is in you, and what's the downside in cost to fight. At least this isn't some complaint (adversary proceeding). It's a contested matter and those are usually solved within a few hearings.

That just my two cents.

[RBisDebtFree]

I see, well, we'll see what happens next, I'll definitely make sure to update you guys!

[RBisDebtFree]

Forgive me all for asking and re-asking the same things (if I do, I hope I don't). So now that he objected to _some_ of my exemptions, what about the _other exemptions_? Are those now free and clear? Does anybody know?

[killinstinct]

I would assume that unless he specifically objects to something, you're good. JustBroke would probably know the definitive answer.....

[justbroke]

Killer is on the money. The Trustee only has so mAny days to object to your exemptions. I would say that whatever is in the objection is it.

[RBisDebtFree]

That makes sense that's what I was thinking. I guess I am free to get rid of some of the other assets I cannot fit into my new place. Thanks again guys!

I have another question: what about the assets the trustee objected to? Is there anything I can initiate on my side after the discharge to drop that objection?

[justbroke]

I have another question: what about the assets the trustee objected to? Is there anything I can initiate on my side after the discharge to drop that objection?

Your attorney would do this by contacting the Trustee to find out what s/he is really after. If the Trustee is just playing hardball, then it has to go to a hearing.

[RBisDebtFree]

I understand then that I will have to talk to my attorney this issue after the discharge.

Thanks!

[teek76]

My husband is in Chapter 7. Filed 6/15/2010. 341 meeting Aug 6/2010. Hearing set for 9/9/2010 for objection to debtors claim of exemptions. We are rep'd by an attorney. The objection states we are over the allowable $3000 exemption. We have listed (which WHY did our attorney not advise us better on this or notice/correct etc?)..
$1000 in checking account- H
$7000 vehicles J
$2000 Household goods
$400 clothing and shoes (thought clothing was exempt in AL?)
$2000 Tools for purpose of business (also thought TOOLS were exempt in AL?)
$155 deposits (power,water, gas etc)
I dont know if our home/mortgage is supposed to be included here as well or not since we claim homestead exemption and reaffirmed our mortgage? (app $140K, which is a $140K lien and a $40K attached IRS lien)
WHAT should we expect? I cannot get any answers from his attorney except that anything in excess of $3000 could be sold if the trustee decides to go that route. So.. are they going to take our household goods? Or will they take the vehicles and cash? (the cash was not like extra cash sitting in the bank, it was money spent/being spent on bills etc) .. Does this mean they will try and take our home also? Seems pointless with a mortgage and a lien making it not really worth their effort since the appraisal is less than both combined?
HELP . Best I can tell, we will be naked, shoeless, sitting on the floor without transportation to work or tools to work with. Is there anything we can do? AND what should we expect with the upcoming hearing and afterwards? Does asset distribution put you into adversarial proceedings? I am so confused.......

[pcn]

We had the same concerns with our vehicles. By the book we had 12k equity in 1, and 2k in another. The 12k vehicle also had a lien, so maybe that's what saved it. We dont know why the trustee let it go, but we waited to get the "right" trustee (in Tuscaloosa) over the one who we were told WOULD give us a hard time. Our atty was very helpful during the entire process. Sorry to hear yours is not.
I understood in AL the "tools of ther trade" exemption only applied to the Guard for some reason. From your numbers, you are in a similar situation as we were. Household goods shouldnt be a concern from what we were told - no one wants our "old junk" and the hassle to sell it. The vehicles would be my only concern. I submitted a Edmunds.com appraisal which was substantially less than the KBB amount they wnated to use initially. What area are you in?

[teek76]

Thanks for the reply.
So far, we know that the money in the bank is inaccurate as our balance was only $194.20 ;) so that can be amended. I believe that under the $3000 exemption, we should be able to claim the money in bank,security deposits, household goods and clothing/shoes and be just fine. The tools and vehicles will have to become non exempt as we are over the limit. Not sure if they will fool with the tools etc or not (construction tools but most the big stuff was subcontracted so the tools DH has consists of smaller things.. paint brushes, hammers, ladders, generator, airless sprayer..all used..very used. the item of concern will be a dump trailer of his. Still do not believe they would get enough out of it to bother with, but who knows)
We just recently ran KBB on our vehicles and it is still a bit high as I dont think his work truck would ever qualify as 'fair' even.. perhaps POOR lol.. it is a MESS. two ruined fenders (recent blowout on the interstate), hail damage, cracked windshield, missing/busted mirrors, damaged bumpers.. it is a work truck and work truck only. runs good and looks like CRAP. Guess if they want it they can try to sale it lol. My excursion on the other hand, is in great condition and worth about $5-6K.
We are in Dekalb. Court case is going thru Anniston office with meetings in Gadsden.