Fraud & Bankruptcy
August 17th, 2007 by Questions
What does a creditor do if the bankruptee committed fraud and by doing such was absolutely discharged from their obligations. It happened to me and I could not challenge because the procedings were in Manitoba and I reside in Quebec. The trustee, since deceased, would hear my side of the story and I lost over $2,000.
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August 20, 2007 at 12:54 pm, A licensed trustee said:
You have the right to bring a motion before the Court that has jurisdiction over the bankruptcy requesting that your debt be classified as non-dischargeable. If a significant amount of time has passed since the bankrupt was discharged then your motion may have a difficult time in Court – generally this type of motion is brought during the intital 9 months of a bankruptcy. That is not a legal requirement, but a practical consideration.
Unfortunately, to bring such a motion you will likely require the services of a laywer. If you win your motion the costs may be added to your debt – if you lose then you’ll be out the legal fees as well as the money you’ve already lost.