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Is a declaratory relief action for life estate discharged in BK?
Plaintiff sued debtor for a declaratory judgment that he has a life estate
with respect to certain real property the Debtor owns. Debtor filed Chapter
7 and received a discharge. Plaintiff never filed an adversary action to
determine dischargeability. Debtor wants to evict Plaintiff from the
property. Plaintiff wants to proceed with his dec relief action. Debtor
contends Plaintiff is barred by discharge injunction on the dec relief
action. Plaintiff's claim appears to be against the property (in rem) - to
determine that he has a life estate, and not against the debtor personally,
so my thought is that Plaintiff should be able to proceed with his action
although it arose prepetition. My case research so far has not yielded any
case directly on point.
(Additional facts: Plaintiff does not have a recorded document for the life
estate. Unfortunately the agreement was oral, but Plaintiff fully performed
Plaintiff's side of the deal, which is an exception to the statute of
frauds.)
Any guidance is appreciated.
Holly Roark
holly@roarklawoffices.com
www.roarklawoffices.com
Central District of California
Consumer Bankruptcy Attorney
1875 Century Park East, Suite 600
Los Angeles, CA 90067
T (310) 553-2600
F (310) 553-2601
Plaintiff sued debtor for a declaratory judgment that he has a life estate with respect to certain real property the Debtor owns. Debtor filed Chapter 7 and received a discharge.Plaintiff never filed an adversary action to determine dischargeability. Debtor wants to evict Plaintiff from the property. Plaintiff wants to proceed with his dec relief action. Debtor contends Plaintiff is barred by discharge injunction on the dec relief action. Plaintiff's claim appears to beagainst the property (in rem) - to determine that he has a life estate, and not againstthe debtor personally, so my thought is that Plaintiff should be able to proceed with his action although it arose prepetition. My case research so far has not yielded any case directly on point.
(Additional facts: Plaintiff does not have a recorded document for the life estate. Unfortunately the agreement was oral, but Plaintiff fully performed Plaintiff's side of the deal, which is an exception to the statute of frauds.)
Any guidance is appreciated. Holly Roark
holly@roarklawoffices.com
www.roarklawoffices.com
Central District of California
Consumer Bankruptcy Attorney
1875 Century Park East, Suite 600
Los Angeles, CA 90067
T (310) 553-2600
F (310) 553-2601
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