.jpg)
Non-exempt Real Estate Commissions
Shannon:
Question of fact. In the past in cases like this, trustees wants to apportion the percentage of work done before filing with the amount done postfiling. Trustee then multiplies the commission by the percentage of the work required postpetition, subtracts that from total commission, and claims the remainder was earned prepetiton and belongs to the estate.
d
Sent from my iPad
On May 22, 2013, at 10:42 AM, "Shannon Doyle" wrote:
> I am currently researching this issue but was wondering if anyone had this fact pattern. Debtor is a real estate agent/broker. My understanding from the case law is that a contractual right to a commission arises at the time the buyer and seller sign a contract. So if the contract is signed pre-petition and the commission is paid post-petition it is property of the estate (subject to available exemptions). In this case, debtor had signed contracts between buyer and seller pre-petition; however these sales are short sales subject to the banks approval. Debtor then filed BK (pro se). Post-petition she is still waiting for the bank to approve the short sale. If the bank has not yet approved the short sale, does the contractual right to the commission arise pre or post petition?
>
>
>
>
>
> Shannon A. Doyle
>
> Attorney at Law
>
>
>
> 100 N. Barranca Avenue, Suite 250
>
> West Covina, CA 91791-1600
>
> Tel: (626) 646-2555
>
> Fax: (626) 332-8644
>
> www.blclaw.com
>
>
>
>
www.blclaw.com
The post was migrated from Yahoo.
I am currently researching this issue but was wondering if anyone had
this fact pattern. Debtor is a real estate agent/broker. My
understanding from the case law is that a contractual right to a
commission arises at the time the buyer and seller sign a contract. So
if the contract is signed pre-petition and the commission is paid
post-petition it is property of the estate (subject to available
exemptions). In this case, debtor had signed contracts between buyer
and seller pre-petition; however these sales are short sales subject to
the bank's approval. Debtor then filed BK (pro se). Post-petition she
is still waiting for the bank to approve the short sale. If the bank
has not yet approved the short sale, does the contractual right to the
commission arise pre or post petition?
Shannon A. Doyle
Attorney at Law
100 N. Barranca Avenue, Suite 250
West Covina, CA 91791-1600
Tel: (626) 646-2555
Fax: (626) 332-8644
www.blclaw.com
The post was migrated from Yahoo.