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In a chapter 13 bankruptcy can I sue?

Discuss the legalities of Bankruptcy Law

In a chapter 13 bankruptcy can I sue?

Postby hob97 » Thu Oct 27, 2011 6:05 am

I am one year into my chapter 13 bankruptcy, still have two years left. I was recently personnally injured and need to know if I can sue or do I need to amend my scheduale. I was told by my BK lawyer I dont because the cause of action is after my filing and it has nothing to do with the property of the estate, but the court put a judical estoppel due to it not being in my bk plan.
What is the law about this?
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In a chapter 13 bankruptcy can I sue?

Postby sherborne16 » Thu Oct 27, 2011 6:09 am

If someone else is responsible for your injuries you can sue that person for damages and use that to pay your own bills and creditors. Your BK lawyer should know that.

You can't "sue" to buy time. There's no provision for that. But you can "ask nicely" for more time due to your injuries.
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In a chapter 13 bankruptcy can I sue?

Postby caomh » Thu Oct 27, 2011 6:21 am

What does your Personal Injury attorney say? That is the attorney who needs to respond to the judicial estoppel.

Your PI attorney and your BK attorney need to be in contact with one another to coordinate the 2 ongoing cases. But basically, your BK attorney is correct. Presumably you are suing to recover damages that occurred after your bankruptcy was filed. It is outside of the bankruptcy estate, but since (theoretically) you are not allowed to incur any additional debt w/out the Ch 13 trustee's permission, you may need the Ch 13 trustee's permission (which should not be a problem) to proceed with the PI case.
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