FRANCESCO
I HAVE MADE SEVERAL COMPLAINTS ABOUT MY Licensed Insolvency Trustee TO CAIRP. MY EX-WIFE HAS CONTINUOUSLY BEEN OPPOSING MY DISCHARGE. MY EX WAS GIVEN CREDITOR STATUS IN MY ESTATE, AND THUS ALLOWED TO VIEW MY BOOKS AND RECORDS, AND OPPOSE MY DISCHARGE, BECAUSE OF A RETROACTIVE CHILD SUPPORT ORDER WHICH WAS ISSUED THREE MONTHS “AFTER” IF FILED FOR BANKRUPTCY. I HAVE RECENTLY BEEN TOLD THAT BECAUSE OF SECTION 121(4) OF THE BIA, MY EX IS DOES NOT HAVE A PROVABLE CLAIM NOR SHOULD SHE HAVE BEEN ALLOWED CREDITOR STATUS. I BELIEVE THAT THE TRUSTEE HAS ERRED IN ALLOWING HER IN AS CREDITOR. WHAT CAN I DO ABOUT THIS NOW? I HAVE BEEN UNDISCHARGED FOR 3 YEARS BECAUSE OF MY EX’S CONSTANT OPPOSITION. CAN I TAKE LEGAL ACTION AGAINST THE TRUSTEE FOR HIS ERROR?
THANK-YOU
Unfortunately, I don’t think you are going to like my answer.
Section 121(4) of the Act explicitly states that your ex-wife’s claim for support arrears is a debt provable in bankruptcy. Whomever told you otherwise has mis-informed you. In addition, a portion of her claim may rank in priority to your other debts(which means she may be entitled to whatever you’ve paid towards your bankruptcy before your other creditors receive any money).
In regards to your trustee, they are required to schedule the first hearing for your discharge. Thereafter, they are not obliged to schedule any furthe hearings on your behalf. Further, your trustee does not represent you in Court. As long as a creditor is opposing your discharge can only be granted by the Court – your trustee is literally dragged along with you.
The real issue is whether or not the grounds on which your ex-wife keeps opposing your discharge are valid. I suggest you discuss the grounds for her opposition with an experienced insolvency lawyer. The lawyer should be able to suggest a course of action to resolve the deadlock. Often the act of hiring a lawyer is enough to convince the opposing creditor (your ex-wife)that enough is enough.
Good luck resolving this problem.