Why is Trustee in Chapter 7 bankruptcy taking most of my personal injury settlement?

[baigh]

~~~~Okay
Hope there's a lawyer here or a paralegal.

I file Chapter 7 bankruptcy. I have a personal injury case. I tell the Trustee. Not hiding anything. Debts are discharged but case is not closed. ok. I'm offered 35,000.00. Trustee tells me now my assets belong to the court.
Okay.
So trustee has to get his share. My p.i. lawyer has to get his share. and the law says some of the money should go to pay off a percentage of my debts. All of this is fine.
Except.
I now learn that my personal injury lawyer is also the "special counsel" and that he will be "double dipping."~~in other words, getting paid twice to handle distribution of my settlement.
hummm
so, if the law says I should pay my debts, or at least a part of them - which I don't have a problem with....why is it is that my pi attorney is allowed to collect two fees? (l/3 of settlement, and then collect another percentage in full..and the trustee is allowed to collect her fee in full?
I thought the laws were changed so that creditors could collect...
not that almost half of settlement goes to attorneys and trustees.
I'm told that trustee wants to take case to trial. Of course I know why.
He wants a bigger share.

[jocheved]

Frankly, it is because he is serving you both as a trustee and as an attorney. Speak again to your personal injury lawyer and ask if you have the right to divide these two jobs. If so, do so. It may not make much difference when it comes right down to the money issue, but you will have the satisfaction of preventing the double dip.

You also might want to contact another attorney anyway regarding taking the secondary issue to court. In other words, get a second opinion of the value of going to trial. Unfortunately, some attorneys do encourage trials because they can make a whole lot more money than they can in a settlement or a plea agreement.

[seme22]

Your personal injury lawyer is not your bankruptcy lawyer, so which person is collecting two fees and for what specifically. It is not clear.