More details to this question:
I am on Social Security Disability but had excellent credit. I helped my son''s business with credit cards totaling 37,000. Due to circumstances out of his control he is not able to make the payments. In Sept. I retained a lawyer to start Chap. 7. In Oct my mother passed away. $30,000 was in a special needs trust as well as the condo. About $60,000 in CD''s & checking account. I''m estimating my share to be about $75,000. My mother lived in NJ and I live in Maine.
I sent excerpts of the trust to the bankruptcy attorney because to me it looks like it may be possible for the Trustee to hold a share to be dispersed according to need for support & maintenance. About $10,000 of my share would not be from the trust. I also heard about disclaiming the inheritance which would then go to my son & then possibly form a "spend thrift" trust for me.
I sent all this to the attorney but still haven''t heard anything & I''m worried sick.
1 ANSWER
Bankruptcy Attorney serving Burbank, CA
Partner at
Law Office of Mark J. Markus
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It's not clear from your facts whether or not you have already filed a Chapter 7 case or not. Either way, your inheritance is property of the bankruptcy estate. I'm not well versed in special needs trusts, so I'm not exactly sure how that works, but whatever you are entitled to, the Trustee in your bankruptcy is entitled to (unless it is a spendthrift trust). Disclaiming the inheritance is a possibility. I would need to research that, and it may depend on whether you do it prior to your bankruptcy case being filed, or after.
Stay on your attorney and if he doesn't get an answer for you, find someone else in your area that can help.
Mark J. Markus, Attorney at Law
Handling exclusively bankruptcy law cases in California since 1991.
http://www.bklaw.com/
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Answered on Nov 23rd, 2011 at 1:15 AM