Personal Injury and Bankruptcy

The Bankruptcy Court technically owns everything that a bankrupt person has above their state exemptions. Each state allows an amount of money per person for a home, personal effects, tools of the trade, clothing and automobiles. Money or property over the amount allowed by your state is available to be distributed to creditors. The vast majority of people who file bankruptcy never run into a repayment situation because people who file generally don’t have too many assets.