Bankruptcy: Gave an automobile away to a family member or friend?
We often have potential clients come to our office, and after going through their circumstances we come to realize they transfer an automobile to a family member. At the time of the transfer there were no intentions of committing a future bankruptcy fraud, however nonetheless we have a situation that needs to be dealt with.
If a Debtor (the person filing for bankruptcy) gives an automobile, or any other piece of proper of value, away to a family member prior to filing, the court may deem this to be a fraudulent transfer.
However, fortunately for our clients there is a way out. There is well established case law (Nino v. Moyer) that takes a “No Harm, No Foul” approach. What this means that if we are able to undue the transaction prior to filing the bankruptcy, there is no fraudulent transfer. For information on how this is done, contact our office at (616) 920-0555 or use the following link: Contact Us