Trustee's motion for turnover of property

[justbroke]

The motion has been filed. The 707(b) meeting is being held on 3-26 with my attorny. He explained that we do not have to attend this meeting. Not sure what to think about that???

No you don't have to attend when you're represented by an attorney, unless you were called to testify. It doesn't appear that you are needed.

We had to submit all of our documentation again along with additional stuff. We are converting from a chapter 13 to a chapter 7. Do you think this has something to do with it? The reason for the convert is because of a change in income.

Yes, it probably has something to do with it.

Do you have any other info you can share?

Not really. If your lawyer is confident that he can have the UST's motion to dismiss or convert denied, then go with that!

[beachymama]

My hearing is on Friday. I have no idea what this means. I paid my attorney $250 to negotiate I think, to get the $8900 value of my furniture reduced.

Today I received a letter from her that is confusing me, as again I have not heard anything from them in one month.

It reads that the negotiation with the Trustee has been handled. She understands that I am not satisfied with the appraisal. Please be advised that the appraiser is qualified, blah blah. If I so wish to litigate, we can request an evidentiary hearing at the hearing on Friday.

She says she spoke with the Trustee about my bank accounts and if I want to make a case to show that these accounts contained wage earnings and were not co-mingled, then she will present an offer to him tomorrow.

It continues saying that if I am not going to accept the stipulation, I respect your wishes and will enter a Motion to Withdraw so you can hire another attorney.

What the heck does this mean? I have emailed her and left messages. I have never seen any negotiation and I have not asked for a motion to withdraw anything - or should I?

Help!

[justbroke]

Means that she is not going to fight with the Trustee or even FOR you. Yes, your attorney is dumping you if you don't "stipulate" to the Trustee's wishes. That is just HARSH.

You should be on the phone to find new representation... tomorrow morning!

[backtoschool]

My hearing is on Friday. I have no idea what this means. I paid my attorney $250 to negotiate I think, to get the $8900 value of my furniture reduced.

Today I received a letter from her that is confusing me, as again I have not heard anything from them in one month.

It reads that the negotiation with the Trustee has been handled. She understands that I am not satisfied with the appraisal. Please be advised that the appraiser is qualified, blah blah. If I so wish to litigate, we can request an evidentiary hearing at the hearing on Friday.

She says she spoke with the Trustee about my bank accounts and if I want to make a case to show that these accounts contained wage earnings and were not co-mingled, then she will present an offer to him tomorrow.

It continues saying that if I am not going to accept the stipulation, I respect your wishes and will enter a Motion to Withdraw so you can hire another attorney.

What the heck does this mean? I have emailed her and left messages. I have never seen any negotiation and I have not asked for a motion to withdraw anything - or should I?

Help!

Basically, it sounds like your lawyer was not successful in negotiating a lower appraisal of your furniture, and that the trustee wants proof that the money in your accounts was only child support money. It also sounds like both of these items will have to be settled in another hearing in front of the bankruptcy judge.

[beachymama]

If I don't fight, what do they do? Remember I received the demand notice for my bank account, car, household goods and a vacant lot I own.

If I don't have an attorney anymore. Does this mean my bankruptcy is withdrawn and I have to start over?

[beachymama]

Means that she is not going to fight with the Trustee or even FOR you. Yes, your attorney is dumping you if you don't "stipulate" to the Trustee's wishes. That is just HARSH.

You should be on the phone to find new representation... tomorrow morning!

What kind of representation? Bankruptcy attorney? Litigation attorney? I guess I was under the impression that the trustees negotiate. I don't understand how my furniture is worth almost $9000 when everything I read online says that the average home has $2-3000 in household goods.

I just don't care anymore. It makes no sense to keep paying attorneys to keep furniture. It is just stuff.

[justbroke]

What kind of representation? Bankruptcy attorney? Litigation attorney? I guess I was under the impression that the trustees negotiate. I don't understand how my furniture is worth almost $9000 when everything I read online says that the average home has $2-3000 in household goods.

If you want to fight, it would be a BK attorney. Your current attorney does not want to fight. If the Trustee thinks the furniture is worth $9K, then just give them the furniture, less the statutory amounts that you get to keep (either $1K or $5K depending on if you claimed or received the benefit of a homestead).

I just don't care anymore. It makes no sense to keep paying attorneys to keep furniture. It is just stuff.

Exactly. Just tell the Trustee to come and get it. I'm sure the Trustee will then try to offer you to just give them 50-75% for the stuff. I still wouldn't buy it from the Trustee. Make the Trustee "Eat Wood".

I think you are already reserved to make the Trustee come get the furniture.

[beachymama]

My attorney said I don't have to go to the hearing on Friday but maybe I should go?

[justbroke]

My attorney said I don't have to go to the hearing on Friday but maybe I should go?

If you're bored and don't have anything to do.. you can go see the sausage being made. Sometimes, it's actually quite boring.

[beachymama]

If you're bored and don't have anything to do.. you can go see the sausage being made. Sometimes, it's actually quite boring.

No, I would have to take off from work, plus it is an hour and half away. I was just wondering if she is going to mess me up some more.

So if I just do nothing, what is going to happen? The trustee will be contacting me now because I will not have an attorney?

I am on Spring Break next week and I am taking the kids up north to see family, we are driving the car they want to take from me.

How soon does this turnover happen? Do they come and take a moving van and pile everything into it?

[justbroke]

You still have an attorney. Your attorney has not withdrawn. You will need to weigh what you want to do regarding the property. The Judge will sign an order giving you so many days to "comply" with the order to compel. Personally, I might make them come and get it.

[backtoschool]

Your attorney cannot withdraw until you say you do not agree to the trustee's stipulation. Your attorney will have to show up in court.

The problem is that you want to agree to part of the stipulation but not all of it.

Here is what you should tell your attorney to do:

1. Agree to give back the furniture. Call the trustee's bluff on that one. The trustee does not want to have to sell your used furniture.

2. Same with the car. The trustee will work out a payment arrangement with you if you want to keep it.

3. You should have proof that the child support was deposited into your bank account. The problem is that that account cannot have co-mingled funds with your paycheck. The account has to have only child support checks in it for you to be able to exempt the money in the account.

[beachymama]

I have three separate bank accounts, one for child support, one for my paycheck and one for other deposits. I opened them several months before I filed for bankruptcy. So they should not be co-mingled.

Should I have her object to the money in the account if I have proof? Or does this create more problems? I am not sure how far back they will go. Before I opened the three accounts, I just had one account all co-mingled.

[backtoschool]

I have three separate bank accounts, one for child support, one for my paycheck and one for other deposits. I opened them several months before I filed for bankruptcy. So they should not be co-mingled.

Should I have her object to the money in the account if I have proof? Or does this create more problems? I am not sure how far back they will go. Before I opened the three accounts, I just had one account all co-mingled.

If your bank accounts are separated like you stated, you definitely should object to the money in the account. That money is exempt and you have proof. It will not cause more problems.

[gunner01]

No you don't have to attend when you're represented by an attorney, unless you were called to testify. It doesn't appear that you are needed.

Yes, it probably has something to do with it.

Not really. If your lawyer is confident that he can have the UST's motion to dismiss or convert denied, then go with that!

Hello Justbroke,

I received a letter last week stating the following...

On 2/19/10 the U.S. Trustee filed a statment that the Debtor's joint voluntary chapter 7 case was presumed to be an abuse under section 11 U.S.C. 707 (b)(2). The United States Trustee has now determined that the presumption of abuse does not arise in this case.

Is it safe to say that they have dropped the 707(b) motion? My meeting was suppose to be tomorrow. What happens to the meeting?

Best Regards,

Gunner01