inheritance & bankruptcy
September 3rd, 2007 by Questions
If a person is in bankruptcy and their parents pass away, there will be an inheritance, but not until probate and the parents assets are sold which wouldnt be until after said person is discharged, does the inheritance have to be disclosed at bankruptcy hearings?
Also,
What happens to the executor\’s of an estate if they unwittingly distribute money to a person in bankruptcy or one who has been discharged?
And, How would an executor of an estate go about finding out if their siblings are in bankruptcy?
Thanx in advance for any and all answers.
One Response to “inheritance & bankruptcy”
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September 04, 2007 at 10:07 am, Barton Goth GCO Bankruptcy Trustees said:
Yes, you are required to disclose this inheritance to your trustee, failure to do so would be considered a bankruptcy offense.
It makes no difference what the execurtor of an estate wants. They are charged with distributing the estate assets according to the legislation and failure to do so properly will likely leave them liable.
As for how the executor would go about finding if their siblings are in bankruptcy, they could do a search at the Superintendent’s office but likely wouldn’t need to as the bankrpt should inform his trustee who should notify the executor.