QUESTION

How much time do I have before I file bankruptcy if I own some land not my primary residence so that my name won''t be on the property when I file.

Asked on Jun 26th, 2012 on Bankruptcy - Arkansas
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Ilive in Arkansas and I will be filing chapter 7.Thank you.
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1 ANSWER

Bankruptcy Attorney serving Burbank, CA
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If you're talking about transferring title to the property without receiving reasonably equivalent value for the transfer, and you are transferring at a time when you are financially insolvent and owe debts, then that is the textbook definition of a fraudulent transfer.  The statute of limitations for bringing a fraudulent transfer action varies state by state, and I have no idea what it is in Arkansas.  Most states are between 4 and 8 years.  So, to answer your question, you would need to wait at least that long after the transfer is recorded before filing a bankruptcy case if you want to avoid the Trustee from being able to sue the recipient (transferee) for the value transferred, as well as possibly seek a denial of your discharge on bad faith grounds. Understand, however, that this is not just a bankruptcy issue.  If you engage in such a transfer, your existing creditors can sue up until the statute of limitations expires in state court (up until you file a bankruptcy case). Mark J. Markus, Attorney at LawCertified Bankruptcy Law Specialist--State Bar of CaliforniaHandling exclusively bankruptcy law cases in California since 1991.http://www.bklaw.com/bankruptcy blog: http://www.bklaw.com/bankruptcy-blog/Follow Me on Twitter:  @bklawr
Answered on Jun 26th, 2012 at 6:33 PM

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