Shared ownership on Cottage

September 30th, 2011 by Questions

My brother is considering filing for bankruptcy, but he, our mom, and I are all on title on a family cottage. I am wondering if they can come after the cottage if he files? The cottage is only worth about $15,000 but is assessed at $35,000. There is no land, only a float cabin.

Posted from: British Columbia


One Response to “Shared ownership on Cottage”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

If your brother files for bankruptcy then his 1/3 share of the cottage will have to be realized on as part of the bankruptcy. So this may mean that you and your mother may have to buy him out, or potentially the property may have to be sold. The other alternative is that your brother could re-purchase his share of the equity out of the bankruptcy, but that is up to him and his trustee.

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