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Winning the lottery within 6th Month of Discharge

 
 
Venoumis
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      04-29-2004, 02:30 AM
Im curious as to find out whether your Bankruptcy can get cancelled after
winning the lottery or once you are discharged youre branded for 7
years???.....

Secondly, If one decided to take legal actoin as to clear bankruptcy from
their record, what would be the reccomended steps to take ( other than
voluntarily paying off the creditors what you owe them ). Is it an easy
process and if so how immediate does your credit report reflect the
change???


 
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K Kim
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      04-29-2004, 11:23 AM
Once you filed BK, it cannot be un-done. The record would show that
you have filed BK.



"Venoumis" <(E-Mail Removed)> wrote in message news:<KMZjc.1989$(E-Mail Removed)>...
> Im curious as to find out whether your Bankruptcy can get cancelled after
> winning the lottery or once you are discharged youre branded for 7
> years???.....
>
> Secondly, If one decided to take legal actoin as to clear bankruptcy from
> their record, what would be the reccomended steps to take ( other than
> voluntarily paying off the creditors what you owe them ). Is it an easy
> process and if so how immediate does your credit report reflect the
> change???

 
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Brett Weiss
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      04-29-2004, 04:24 PM
> Im curious as to find out whether your Bankruptcy can get cancelled after
> winning the lottery or once you are discharged youre branded for 7
> years???.....


Provided the ticket was purchased after the bankruptcy was filed, it's
yours. A Chapter 7 can be dismissed only with court approval.

> Secondly, If one decided to take legal actoin as to clear bankruptcy from
> their record, what would be the reccomended steps to take ( other than
> voluntarily paying off the creditors what you owe them ). Is it an easy
> process and if so how immediate does your credit report reflect the
> change???


You cannot legally remove a bankruptcy from your credit report (unless
someone makes a mistake).

--
Brett

************************************************** ***************
* Personal Injury/Malpractice Bankruptcy *
* *
* BRETT WEISS, P.C. *
* Attorneys at Law *
* Maryland, D.C. and Federal Bars *
* (E-Mail Removed) *
* www.brettweiss.com *
* *
* Small Business Estates & Estate Planning *
************************************************** ***************

The Small Print: This response is for discussion purposes only. It isn't
meant to be legal advice and you shouldn't treat it as such. If you want
legal advice, speak with a local lawyer familiar with your state's laws who
can review *all* of the facts and the law applicable to your situation.
************************************************** ***************


 
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Lise Michaels
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      05-04-2004, 12:08 PM
So, there is no danger they can do one of those 707(b) actions to try
and get the money (saying it "violated the spirit of the bankruptcy
code?") ??

Plus, is there any distinction at all, if the "winning ticket" comes:

--right after filing

--right after the 341 meeting ("meeting of creditors")

--in the "gray area" between "discharge" and the actual tolling of the
"six months from filing" window??

"Brett Weiss" <(E-Mail Removed)> wrote in message news:<(E-Mail Removed)>...

> > Im curious as to find out whether your Bankruptcy can get cancelled after
> > winning the lottery or once you are discharged youre branded for 7
> > years???.....

>
> Provided the ticket was purchased after the bankruptcy was filed, it's
> yours. A Chapter 7 can be dismissed only with court approval.

 
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Brett Weiss
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      05-04-2004, 04:15 PM
The trustee can *try*--I don't think he/she would succeed. So long as the
ticket was purchased after filing and there isn't an issue regarding source
of funds (for example, non-exempt funds were used to purchase the ticket) I
don't see the Court granting the trustee's motion.

--
Brett

************************************************** ***************
* Personal Injury/Malpractice Bankruptcy *
* *
* BRETT WEISS, P.C. *
* Attorneys at Law *
* Maryland, D.C. and Federal Bars *
* (E-Mail Removed) *
* www.brettweiss.com *
* *
* Small Business Estates & Estate Planning *
************************************************** ***************

The Small Print: This response is for discussion purposes only. It isn't
meant to be legal advice and you shouldn't treat it as such. If you want
legal advice, speak with a local lawyer familiar with your state's laws who
can review *all* of the facts and the law applicable to your situation.
************************************************** ***************

"Lise Michaels" <(E-Mail Removed)> wrote in message
news:(E-Mail Removed) om...
> So, there is no danger they can do one of those 707(b) actions to try
> and get the money (saying it "violated the spirit of the bankruptcy
> code?") ??
>
> Plus, is there any distinction at all, if the "winning ticket" comes:
>
> --right after filing
>
> --right after the 341 meeting ("meeting of creditors")
>
> --in the "gray area" between "discharge" and the actual tolling of the
> "six months from filing" window??
>
> "Brett Weiss" <(E-Mail Removed)> wrote in message

news:<(E-Mail Removed)>...
>
> > > Im curious as to find out whether your Bankruptcy can get cancelled

after
> > > winning the lottery or once you are discharged youre branded for 7
> > > years???.....

> >
> > Provided the ticket was purchased after the bankruptcy was filed, it's
> > yours. A Chapter 7 can be dismissed only with court approval.



 
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none
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      05-06-2004, 12:13 AM
If you win the lottery, why not just pay the money to the trustee
without putting up a fight?

Lise Michaels wrote:

> So, there is no danger they can do one of those 707(b) actions to try
> and get the money (saying it "violated the spirit of the bankruptcy
> code?") ??
>
> Plus, is there any distinction at all, if the "winning ticket" comes:
>
> --right after filing
>
> --right after the 341 meeting ("meeting of creditors")
>
> --in the "gray area" between "discharge" and the actual tolling of the
> "six months from filing" window??
>
> "Brett Weiss" <(E-Mail Removed)> wrote in message news:<(E-Mail Removed)>...
>
>
>>>Im curious as to find out whether your Bankruptcy can get cancelled after
>>>winning the lottery or once you are discharged youre branded for 7
>>>years???.....

>>
>>Provided the ticket was purchased after the bankruptcy was filed, it's
>>yours. A Chapter 7 can be dismissed only with court approval.


 
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Lise Michaels
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      05-06-2004, 12:43 PM
???? Wow!

So you are saying, say, if someone won a million in the lotto, BUT 5
months before had declared chapter 7 on (speaking hypothetically)
$400,000 of medical debt....they should just pay off the debt that is
otherwise "poof" anyhow (because of the bankruptcy discharge??)


none <(E-Mail Removed)> wrote in message news:<lqfmc.529633$(E-Mail Removed) .com>...
> If you win the lottery, why not just pay the money to the trustee
> without putting up a fight?
>
> Lise Michaels wrote:
>
> > So, there is no danger they can do one of those 707(b) actions to try
> > and get the money (saying it "violated the spirit of the bankruptcy
> > code?") ??
> >
> > Plus, is there any distinction at all, if the "winning ticket" comes:
> >
> > --right after filing
> >
> > --right after the 341 meeting ("meeting of creditors")
> >
> > --in the "gray area" between "discharge" and the actual tolling of the
> > "six months from filing" window??
> >
> > "Brett Weiss" <(E-Mail Removed)> wrote in message news:<(E-Mail Removed)>...
> >
> >
> >>>Im curious as to find out whether your Bankruptcy can get cancelled after
> >>>winning the lottery or once you are discharged youre branded for 7
> >>>years???.....
> >>
> >>Provided the ticket was purchased after the bankruptcy was filed, it's
> >>yours. A Chapter 7 can be dismissed only with court approval.

 
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none
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      05-06-2004, 08:04 PM
I'll flip-flop on this based on the amount that was discharged. If I
were to win $1 million after discharging $50k in debt, I wouldn't fight
the trustee on the whole thing. However, if it was $400k in debt, I
wouldn't give it up without a fight. Keep in mind that a trustee gets
roughly 20% of what he can collect for the creditors, so if you hit the
lotto, you can bet the trustee would try to collect "in good faith for
the creditors."

Lise Michaels wrote:
> ???? Wow!
>
> So you are saying, say, if someone won a million in the lotto, BUT 5
> months before had declared chapter 7 on (speaking hypothetically)
> $400,000 of medical debt....they should just pay off the debt that is
> otherwise "poof" anyhow (because of the bankruptcy discharge??)
>
>
> none <(E-Mail Removed)> wrote in message news:<lqfmc.529633$(E-Mail Removed) .com>...
>
>>If you win the lottery, why not just pay the money to the trustee
>>without putting up a fight?
>>
>>Lise Michaels wrote:
>>
>>
>>>So, there is no danger they can do one of those 707(b) actions to try
>>>and get the money (saying it "violated the spirit of the bankruptcy
>>>code?") ??
>>>
>>>Plus, is there any distinction at all, if the "winning ticket" comes:
>>>
>>>--right after filing
>>>
>>>--right after the 341 meeting ("meeting of creditors")
>>>
>>>--in the "gray area" between "discharge" and the actual tolling of the
>>>"six months from filing" window??
>>>
>>>"Brett Weiss" <(E-Mail Removed)> wrote in message news:<(E-Mail Removed)>...
>>>
>>>
>>>
>>>>>Im curious as to find out whether your Bankruptcy can get cancelled after
>>>>>winning the lottery or once you are discharged youre branded for 7
>>>>>years???.....
>>>>
>>>>Provided the ticket was purchased after the bankruptcy was filed, it's
>>>>yours. A Chapter 7 can be dismissed only with court approval.


 
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Thoth
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      05-06-2004, 09:40 PM
"none" <(E-Mail Removed)> wrote in message
news:WSwmc.536079$(E-Mail Removed). com...
> I'll flip-flop on this based on the amount that was discharged. If I
> were to win $1 million after discharging $50k in debt, I wouldn't fight
> the trustee on the whole thing. However, if it was $400k in debt, I
> wouldn't give it up without a fight. Keep in mind that a trustee gets
> roughly 20% of what he can collect for the creditors, so if you hit the
> lotto, you can bet the trustee would try to collect "in good faith for
> the creditors."


As long as the lottery winnings were from a ticket purchased from
post-petition earnings, I don't see any way a chapter 7 trustee could bring
this money into the bankruptcy estate for distribution. On the other hand,
if the court or trustee discovered the winnings prior to the bar date,
either the court or the trustee could move to dismiss the case for
substantial abuse, even if the debtor could only afford to repay a fraction
of the unsecured debts. After the bar date, neither the trustee nor the
court could do anything about the winnings or the debtor's discharge. 11
USC 541; 11 USC 707(b); FRBP 1017(e)


 
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Lise Michaels
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      05-15-2004, 05:15 PM
So, just WHAT kind of "earnings" or money received AFTER the 341
hearing, AFTER getting the "discharge paper" in the mail, would be
"vulnerable?"

If I understand correctly, the case isn't "totally over" till 6 months
from the filing of the chapter 7 petition, right? So there is that
"gray area" between the events in the above paragraph, and the "6
month point." So "what if"...

--the individual gets some sort of great sales job.....and makes a big
sale, which will yield a $100,000 commission. Say it occurred 4
months after he filed, and the commission will not be "in hand" till
about the five month point.

(or does THAT part of it even matter..."when the commission comes?")

--contest winnings, whether on a raffle, a slot jackpot, an appearance
on a game show...anything like that??


"Thoth" <(E-Mail Removed)> wrote in message news:<Xgymc.72793$Qy.14976@fed1read04>...
> "none" <(E-Mail Removed)> wrote in message
> news:WSwmc.536079$(E-Mail Removed). com...
> > I'll flip-flop on this based on the amount that was discharged. If I
> > were to win $1 million after discharging $50k in debt, I wouldn't fight
> > the trustee on the whole thing. However, if it was $400k in debt, I
> > wouldn't give it up without a fight. Keep in mind that a trustee gets
> > roughly 20% of what he can collect for the creditors, so if you hit the
> > lotto, you can bet the trustee would try to collect "in good faith for
> > the creditors."

>
> As long as the lottery winnings were from a ticket purchased from
> post-petition earnings, I don't see any way a chapter 7 trustee could bring
> this money into the bankruptcy estate for distribution. On the other hand,
> if the court or trustee discovered the winnings prior to the bar date,
> either the court or the trustee could move to dismiss the case for
> substantial abuse, even if the debtor could only afford to repay a fraction
> of the unsecured debts. After the bar date, neither the trustee nor the
> court could do anything about the winnings or the debtor's discharge. 11
> USC 541; 11 USC 707(b); FRBP 1017(e)

 
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