WHAT HAPPENS TO HEIR PROPERTY IF A PERSON WHO FILES CHAPTER 13 BANKRUPTCY OWNS 3% INTEREST IN A FAMILY ESTATE?

Nothing will happen to the property or the heirs in a Chapter 13 case.  But the value of the 3% interest will factor in to how much has to be paid out through the Chapter 13 plan.  Depending on what exemptions are available in your case, there might be some risk if the case were converted to a Chapter 7. Exemptions are "protections" for value you have in certain assets such that they are "exempt" from collections.  Every state has different exemptions amounts available. Exemption laws are based on the state where you resided for the 2 years prior to filing your bankruptcy case or, if you lived in more than 1 state during that period, in the state where you resided for the greater part of the 180 days prior to that 2 year period.   Mark J. Markus, Attorney at Law Handling 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