Q: Bankruptcy courts have first claim above all creditors on funds going to a bankrupt business. A course.....
being sold by some serious experts claims that if you notify the bankrupty court of new funds going to a bankrupt business, the court will pay up to 25 percent of the funds recovered. I cannot find any information about this at all. Do you know of this?
I will add that I wrote the question badly and Mr Wintersteins answer was very helpful. it is the trustee, apparently, that authorizes any payments.
A:
i've been practicing law, about half of it in bankruptcy cases from Oklahoma and Texas to PA, DE and NJ, and I have yet to witness any court, bankruptcy or otherwise, make any payment to anyone, lol.
A Chapter 7 trustee is appointed over each Ch. 7 bankruptcy. The trustee steps into the shoes of the debtor, and that includes the power to sell assets, when blessed by the court. A bankruptcy court has jurisdiction over the assets of any corporate bankruptcy debtor, and a duly appointed "broker" of an asset purchase may be awarded an earned fee if an application is filed with the court and survives the objections process. The Ch. 7 trustee will be a key player in that process.
You provide few if any factual information in your question. Consult with an experienced PA lawyer (assuming that the bankruptcy case is in PA) about your questions, if you have any interest that merits protection by the court.
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