October 16th, 2011 by Questions
I am in the middle of a court case where I may get a monetary settlement. Do I have to give it to the creditors if I have declared bankruptcy.
Posted from: Ontario
October 16, 2011 at 7:23 am, A licensed trustee said:
You may have a serious problem – when you file for bankruptcy you lose the legal right to continue (or file new) lawsuits for things that happened before your bankruptcy. You need to contact your trustee immediately to discuss your situation – if the people you are suing discover that you are bankrupt then they may ask the Court to award them all of their legal fees since you filed and dismiss the suit. If that happens you may get stuck with a large bill to pay and no chance of a settlement.
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