Collecting a judgment

[71stage1]

What is the name of your state (only U.S. law)? Minnesota

I have been fighting for some money that is owed to me for the last 3 years. I have went through all the steps and he had lied on paperwork, I am trying to have his wages garnish but after about 90 days after his company was served, the sherriffs office said they recieved a letter saying that he will be filling for Bankruptcy. Can I go after the company for not garnishing his wages and am I still entitled to some money if it actually goes through?

[dfromnyli]

Originally Posted by 71stage1

I am trying to have his wages garnish but after about 90 days after his company was served, the sherriffs office said they recieved a letter saying that he will be filling for Bankruptcy. Can I go after the company for not garnishing his wages and am I still entitled to some money if it actually goes through?

Actually be happy they did not garnish his wages, because if they did under bankruptcy law there is what is called "preferential payments" and any payments made to you 90 days prior to the filing of the BK would have had to been returned to the debtor, which is not fun for any creditor.

If he files a chapter 7 bk and gets discharged, you can throw your judgment into the garbage. If it's a chapter 13 bk and it gets approved you be paid by the trustee according to the plan.

[megabux]

Let's be accurate here:

Section 547(c)(8) limits the avoidance power of the trustee if the preference totals less than $600 to a single creditor and the debtor has primarily consumer debts. This provision aims to limit preference actions against loan companies and utilities, and reduces the number of preferences avoidable by debtors.

The 2005 amendments to the Bankruptcy Code created several additional limitations on the avoidance of preferences. Under section 547(c)(9), a trustee may not avoid a transfer in a case filed by a debtor who is not a consumer debtor if the transfer is less than $5,000 (as adjusted each year for inflation). Section 547(h) provides that a trustee may not avoid a transfer made as part of an alternative repayment schedule between the debtor and creditor created by an approved nonprofit budget and credit counseling agency.

[71stage1]

So does this mean I still may have a chance? He owes me like $5250 and its accruing interest everyday. I just talked to the court house and they said as of today he has not filed. How would one know if he files? if he ever does.

Shouldnt his company been garnishing his wages then? it been like 90 days since i files and the company was served.

[megabux]

Assuming the JD is in MN, call:

301 U.S. Courthouse
300 South Fourth Street
Minneapolis, Minnesota 55415
(612) 664-5200