Bankruptcy while involved in a law suit

May 21st, 2010 by Questions

If I am involved in a lawsuit where I am the one suing, And I claim bankruptcy will it put my law suit on hold and can will any money that I may win in the suit be taken and distributed to my creditors? The law suit is over the continuation of group insurance disability payments.

Posted from: Ontario


One Response to “Bankruptcy while involved in a law suit”

, A licensed trustee said:

If/when you file for bankruptcy your rights to sue are transferred to your trustee – in other words, your law suit is probably finished. You need to discuss this in detail with your lawyer and your trustee BEFORE you file.

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