The debtor who filed the Chapter 7 case has no legal authority to sell any assets without the specific approval of the chapter 7 Trustee, or unless the Trustee has formally "abandoned" the property back to the debtor. When a Chapter 7 case is filed, ownership of ALL assets of the debtor belong to the Trustee until the Trustee either gives the property back to the debtor (abandons it) or the case is closed.
Mark J. Markus, Attorney at Law
Handling exclusively bankruptcy law cases in California since 1991.
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