You are here

In re Neilsen (Case No. 10-50124) 05/03/2010

            At hearing on a motion for relief, the Court found that the motion for relief was actually a request for a determination of non-dischargeability of debt and a request for the return of funds garnished from the female debtor.  The Court found that an adversary proceeding was required for a determination of non-dischargeability and since the matter before the Court was a not an adversary proceeding, the Court could not hear the issue.  The Court then took under advisement the issue of whether the funds the movant received from garnishing the wages of the female debtor were properly remitted to either the trustee or the debtor.  The Court found that the debtors were not entitled to exempt the garnished wages but that the movant was not entitled to the return of those wages because they became property of the estate when the debtors’ petition was filed.

Date: 
Monday, May 3, 2010
Category: 
Chapter 7 Issues
Garnishment
Relief from Stay
Chapter: 
7