LA Sheriff now becomes a lien holder
Posted: Thu Jul 05, 2012 4:03 pm
charsetndows-1252
My practice is that if there is a levy in process I do schedule the Sheriff, although not necessarily on Schedule D, maybe F. And I also have commenced an adversary proceeding to release the levy, naming the creditor and the sheriff. Sheriff defaulted and I got the order, which Sheriff complied with. Faster (sometimes) and easier (always) to get Trustee's sign off, and creditor's instruction to the sheriff.
Jason
Jason Wallach
jwallach@gladstonemichel.com
On Jul 5, 2012, at 3:42 PM, sbombalier wrote:
> I thought I'd share this with you all. My client's bank account was levied 5/23/12, we filed his BK 6/1/12, sheriff gets money 6/5/12. Trustee signed letter claiming no interest in the funds and authorized release back to the client.
>
> I called the sheriff's to get status, (spoke with the Supervisor in Huntington Park and then her Supervisor) here's what I was told: 1. The sheriff is not an agent for the creditor but a lien holder. 2. Letter from trustee is insufficient and a court order would be required to return the funds to the client; 3. The money will be paid to the creditor after discharge.
>
> Basically, a BK filing does not act as a claim of exemption would.
>
> Luckily, the creditor has agreed to forward a cancellation order to the sheriffs. I am just waiting to see if the Sheriff's still tells me that the cancellation is not enough.
>
> Just wanted to share that it now appears that the Sheriff should also be listed since they become a "Lien Holder"
>
> I'm glad that the Sheriff's know that California law takes preference over Federal, so they believe.
>
> Silvia
>
>
charsetndows-1252
My practice is that if there is a levy in process I do schedule the Sheriff, although not necessarily on Schedule D, maybe F. And I also have commenced an adversary proceeding to release the levy, naming the creditor and the sheriff. Sheriff defaulted and I got the order, which Sheriff complied with. Faster (sometimes) and easier (always) to get Trustee's sign off, and creditor's instruction to the sheriff.Jason
Jason Wallach
The post was migrated from Yahoo.