Bellevue, WA asked in Bankruptcy for Washington

Q: What happens if a person who files for bankruptcy wins the lottery? Can he keep the money?

Related Topics:
2 Lawyer Answers
Timothy Denison
Timothy Denison
Answered
  • Bankruptcy Lawyer
  • Louisville, KY

A: Depends on when he wins the lottery. Before filing, the money is part of the estate. After filing, you may have to pay off your creditors and keep the balance. After discharge, the money is all yours.

Mark David Nusz
Mark David Nusz
Answered
  • Bankruptcy Lawyer
  • Bellingham , WA
  • Licensed in Washington

A: The lottery winnings should be yours, as long as they are won after your discharge. If you've just filed a Chapter 13, the discharge could be 5 years away. If the lottery win happened during the course of the Ch. 13, then the winnings would likely require that your chapter 13 plan be modified to a full pay.

Of course, any assets (or rights / interests in assets) that you have before you file will almost certainly come into the bankruptcy and be available to pay your creditors (if not exempt).

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.