In a Chapter 7 bankruptcy,can apotential future debt from a past non-intentional tort be discharged prior to a damages award?
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In a Chapter 7 bankruptcy,can apotential future debt from a past non-intentional tort be discharged prior to a damages award?
A neighbor alleged an injury caused by my negligence. I am preparing to file Chapter 7 bankruptcy. I understand that if the neighbor obtains a damages judgment against me, it could usually be discharged in bankruptcy. But what about a prospective future damages judgment arising from my past (alleged) negligence? Does it matter whether my neighbor has filed his case yet or not when bankruptcy relief is granted?
Asked on September 23, 2011 under Bankruptcy Law, California
Answers:
S.L,. Member, California Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
At this time, since there hasn't been any judgment against you, it would be premature to include this item in your bankruptcy because you don't know the amount of the judgment, if any. If there is a judgment against you after you file your bankruptcy, you can file an amendment to the bankruptcy to include the amount of the judgment.
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