Asked in Bankruptcy for Alabama

Q: Grounds for a creditor to file an Objection to Confirmation of Plan

My ex-husband recently included me in his bankruptcy for my share in our divorce settlement. I was informed by the trustees office that my ex's $170,000 Secured debts would have top priority, then my Priority debts would be paid. I would like to avoid waiting 2/3 years to receive my settlement and wanted to know if I filed an Objection to Confirmation of Plan and ask the judge to be paid directly ( in order to receive my payments in a timely manner) would that be advisable.

Thank you,

Deanna

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2 Lawyer Answers
Timothy Denison
Timothy Denison
Answered
  • Bankruptcy Lawyer
  • Louisville, KY

A: Absolutely. It cannot hurt to file and Objection. Worst that happens is it is denied. Best case...you get paid. It is a domestic support obligation so he can’t bankrupt it.

Bruce Alexander Minnick agrees with this answer

Kevin M Ryan
Kevin M Ryan
PREMIUM
Answered
  • Bankruptcy Lawyer
  • Mobile, AL
  • Licensed in Alabama

A: If your ex husband owes you a simple property settlement that is clearly not in the nature of "spousal support," then that claim can be discharged in his Chapter 13 Plan depending on his level of assets and income. I strongly recommend consulting with an Attorney who focuses on bankruptcy law, preferably over 15 years, and have them review the ex husband's Plan and your divorce settlement to determine what your rights are. Your ex husband's lawyer is not in any position to help you or provide guidance. If you get lulled into accepting the Plan, and it gets confirmed, you can lose your right to file an Objection and possibly get better treatment ( it all depends on your legal status and how it is recognized )

Bruce Alexander Minnick agrees with this answer

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