If you are someone who recently lost a family member, there is a very good chance you are going through a great deal of emotional stress. Here at The Law Offices of Allen A. Kolber, Esq., we understand this, which is why we are dedicated to helping individuals through some of the most complex times in their lives. One question that crops up, perhaps more frequently than you may think, is whether an executor of an estate can file for bankruptcy. The answer is complicated, which is why you should first read this brief outline of what generally happens after an individual passes away in New York State.
To start, when someone’s family member passes away, the first thing that happens is the decedent, or the person who passed, will have his or her assets fall into a new entity which is known as the decedent’s estate. Oftentimes, especially when an individual does not establish certain trusts in his or her lifetime, the estate will enter the probate process. This is a very complicated process, wherein the courts will analyze the individual’s assets, debts, and more. If you are someone who is going to inherit the decedent’s property, you are known as a beneficiary. That being said, if your loved one was recently having his or her home foreclosed at the time he or she passed, you will inherit the property that was being foreclosed on. This is where it gets complicated. You were not the one who went bankrupt, so why should you have to pay off these debts?
Unfortunately, Bankruptcy Code 11 U.S.C. Section 109, states that only an “individual” is allowed to file a Chapter 13 Bankruptcy case, which means that neither you, a beneficiary, an executor, or anyone else may file for bankruptcy on behalf of the deceased individual. That being said, however, if you are to inherit the property, which is subject to a mortgage and a foreclosure, you yourself may file a bankruptcy case for the home and stop the foreclosure on the home. Rather obviously, this is a very complicated legal matter, and if you find yourself in this situation, you must not continue without the assistance of an experienced Rockland County bankruptcy attorney who has been helping individuals just like you for years.
Contact our experienced New York firm
The Law Offices of Allen A. Kolber, Esq. effectively represents clients facing Bankruptcy in Rockland County and all of New York State. Our firm understands the stress one can feel when facing a difficult financial future. Our compassionate staff will work to ease your fears and help you make a new start. If you need quality legal support, contact The Law Offices of Allen A. Kolber, Esq.